Intron Technology : Environmental, Social and Governance Report 2021

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ENVIRONMENTAL,

SOCIAL AND

GOVERNANCE REPORT

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CONTENTS

2	1	About this Report
2		1.1	Reporting Standard
2		1.2	Reporting Scope
3		1.3	Reporting Language
3		1.4	Approval and Confirmation
3		1.5	Report Availability
3		1.6	Contact Us

3	2	About the Group
4	3	Sustainable Development Strategy
5		3.1	Board Statement
5		3.2	ESG Management
6		3.3	Stakeholder Engagement
7		3.4	Materiality Assessment

• 4 Compliance Operation
• 4.1 Protection of Intellectual Property Rights

9	4.2	Information Security
9	4.3	Anti-corruption

1. 4.4 Service Quality
2. 4.5 Quality Assurance

114.6 Supply Chain Management

12	5	Employee Care
14		5.1 Employment Principles

1. 5.2 Employee Rights
2. 5.3 Benefits and Welfare
3. 5.4 Training and Development

17		5.5	Health and Safety
19	6	Environmental Protection
19		6.1	Energy Saving
20		6.2	Reduction of Waste

1. 6.3 Water Conservation
2. 6.4 Reduction of Emissions
3. 6.5 Climate Change
4. 7 Community Investment
5. Appendix 1: Sustainability Data Statement

29 Appendix 2: Index to the ESG Reporting Guide of Stock Exchange

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ENVIRONMENTAL, SOCIAL AND GOVERNANCE REPORT 2021

• ABOUT THIS REPORT

Intron Technology Holdings Limited (hereinafter referred to as "Company") and its subsidiaries ("Intron Technology", "Group", "we" or "us") are pleased to publish our Environmental, Social and Governance ("ESG") Report ("ESG Report" or "Report"), to summarize the Group's works, practices and initiatives in relation to environmental and social aspects, so that stakeholders can better understand the Group's progress in sustainable development issues.

1.1 Reporting Standard

This Report is prepared in accordance with the Environmental, Social and Governance Reporting Guide ("Guide") as set out in Appendix 27 to the Rules Governing the Listing of Securities on the Stock Exchange of Hong Kong Limited ("Stock Exchange"), the covered scope and content of which are in compliance with the "Comply or Explain" disclosure obligations and prepared based on four reporting principles, namely: materiality, quantitative, balance and consistency. Readers can review the final chapter of the ESG Report - "Appendix 2: Index to the ESG Reporting Guide of Stock Exchange" for quick referencing.

Materiality:	The Group has conducted a materiality assessment in 2020, with additional
	assessment done for 2021. The assessment was determined based on
	the level of importance affecting our business and the expectations of our
	stakeholders. The management, ESG Working Group and the board ("Board")
	of directors ("Directors") have confirmed the applicability of the materiality
	assessment this Year.
Quantitative:	The Report contains standards, methods, assumptions and/or calculation
	tools used, and source of conversion factors used for the emission/energy
	consumption (where applicable), all of which are explained in the definition of
	the Report.
Balance:	The Report provides an unbiased picture of the Company's performance.
	The Report avoids selections, omissions, or presentation formats that may
	inappropriately influence a decision or judgment by the report reader.
Consistency:	The Report uses consistent statistical method with the previous year for
	disclosing the data. Changes (if any) are clearly explained in the Report.

1.2 Reporting Scope

Unless otherwise specified, this Report focuses on the performance of the core business directly controlled by the Group during the period from 1 January 2021 to 31 December 2021 ("Reporting Period" or "Year"). The environmental key performance indicators ("KPIs") cover the offices in Shanghai, Guangzhou, Beijing, and Hong Kong. The chosen 4 out of 15 offices (i.e. Shanghai, Beijing, Guangzhou and Hong Kong) are the major operating bases of the Group's businesses. The scope of social KPIs covers the entire Group.

INTRON TECHNOLOGY HOLDINGS LIMITED Environmental, Social and Governance Report 2021

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ENVIRONMENTAL, SOCIAL AND GOVERNANCE REPORT 2021

1. Reporting Language
   This Report is published in two languages, including Traditional Chinese and English versions. In case of discrepancies between them, the English version shall prevail.
2. Approval and Confirmation
   This Report has already been reviewed and approved by the Board on 18 May 2022.
3. Report Availability
   This Report is published in electronic format on the Company's website (www.intron-tech.com) as well as the HKEx news of the Stock Exchange (www.hkexnews.hk).
4. Contact Us
   We attach great importance to your views or suggestions on this Report. Please contact us via email ([e-mail]).

• ABOUT THE GROUP

Since its establishment, Intron Technology has always been devoted to providing solutions for automotive body control, safety and powertrain as well as technology development businesses, serving customers under the notion of "Elite Perpetual"「( 匯聚精英，共創永恆」).

In 2021, the outbreak of COVID-19 still had a lingering impact on the global economy. The effective control measures adopted by the government of the People's Republic of China ("PRC") contributed to the continual steady recovery of the Chinese economy, which facilitated the implementation of consumption policy measures and strongly supported the recovery of the automotive market. Although the shortage of semiconductors and rising raw materials cost still exerted a certain impact on the automotive market, we leveraged the long-term partnership with its business partners to proactively manage inventory supply ahead of the market trend, our strong research and development ("R&D") capabilities and long-standing solid market position. The Group achieved outstanding results during the Year.

With the change in lifestyle and habits of the public, the Group believes that the adoption of New Energy Vehicle, safer and greener solution for automobile solutions, together with big data and cloud services future development trend, in the long run, will continue to bring stable income for the Group.

Environmental, Social and Governance Report 2021 INTRON TECHNOLOGY HOLDINGS LIMITED

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ENVIRONMENTAL, SOCIAL AND GOVERNANCE REPORT 2021

Goals and Directions

Looking ahead, the Group believes that the electrification and intelligent development of automotive vehicles, the growing popularity of Advanced Driver-assistance Systems, and the investment in data centers and cloud servers driven by technological advancements will create significant development opportunities across the Group's business segments. With years of industry and operational experience, a market leadership position, and significant investment in R&D to strengthen its technological advantages, the Group is confident in its ability to achieve long-term sustainable growth and generate satisfactory returns for the Company's shareholders ("Shareholders").

Additionally, we use the platform published in this Report to disclose our non-financial performance to increase transparency. We probe the risks facing us in environmental and social aspects and implement the measures and policies for mitigating our operational risks through industry analysis.

• SUSTAINABLE DEVELOPMENT STRATEGY

Intron Technology regards corporate social responsibility as an integral part of its business. During the Reporting Period, while seeking business growth, we proactively assumed our corporate environmental and social responsibilities by making steady progress towards sustainable development. To contribute to the environment, the Group is actively developing business in new energy, energy efficiency, and emissions reduction. In terms of social responsibility, we establish close collaboration and strategic partnerships with our employees, suppliers, and customers to lead the development and increase the competitiveness in the industry with ongoing innovation service models.

Brand

Society

Employees

Environment

Sustainable Development Strategy of Intron Technology

INTRON TECHNOLOGY HOLDINGS LIMITED Environmental, Social and Governance Report 2021