2023 Sustainable Development Report
Table of contents
New Journey
Gather our Hearts andMinds to Draw a NewChapter
About this ReportMessage from LeadershipAbout CR MicroTopic 1: Seize the clean development opportunityand deepen the application of low-carbonproductsTopic 2: Protect clear waters and greenmountains and take multiple measures to protectthe ecological environment of the Yangtze RiverSustainable Development Management
Future ProspectsAppendixes
Product innovation and R&DEnhancing the quality controlOffering high-quality services
Regulate Corporate GovernanceActivitiesPromote Risk Compliance
Address Climate ChangePractice Green ProductionEnhance Green Management
Ensure Safe ProductionFoster Social WelfareParticipate in Community Building
Protect Employee Rights and InterestsEmpower Employee DevelopmentImplement Employee Care
Advance Strategic CooperationSafeguard Intellectual Property RightsEstablish Responsible Supply Chains
New Momentum
Serve Customers to Share aBetter Future
New Developments
Create Sustainability ThroughGreen Operations
New Vitality
Empower Employees forMutual Growth
New Opportunities
Join Hands with Partners forDevelopment
New Undertakings
Dedicate to Society, Promotea Better Future
About thisReport
Reporting Cycle
Scope of this Report
Sources of DataTime Frame
Preparation Basis
Notes to this ReportPreparation Process
Reliability Guarantee
Accessibility of this Report
Full Name of the Companies
StandardAbbreviations
This Report details the practices and performance of China Resources MicroelectronicsLimited in the fields of economic, environmental, social and corporate governanceresponsibilities in 2023, aiming to communicate effectively with various stakeholdersand systematically respond to the expectations and requirements of stakeholders.
This Report is the third sustainable development reportmade public by CR Micro. Beforehand, CR Micro releasedeight social responsibility reports. The annual report for theprevious fiscal year was officially released in April 2023.
The organizational scope of this Report covers ChinaResources Microelectronics Limited and its main subsidiaries.
The financial data involved in this Report comes from official
documents and statistical reports of CR Micro. Additionally,
the financial data used in the report are expressed in RMB,
unless otherwise stated.
The time frame of this Report is from January 1, 2023 toDecember 31, 2023. To enhance the comparability andperspectiveness of the Report, the time frame is extended tothe previous year or next year for some contents.
United Nations 2030 Sustainable Development Goals (SDGs)Global Sustainability Standards Board,Global ReportingInitiative Standards (GRI Standards)Chinese Academy of Social Sciences,China Corporate SocialResponsibility Reporting Guidelines (CASSESG5.0)International Sustainability Standards Board,IFRS S1 -General Requirements for Disclosure of Sustainability-related Financial Information and IFRS S2 - Climate-relatedDisclosures
Shanghai Stock Exchange,Rules Governing the Listingof Stocks on the STAR Market of the Shanghai StockExchange (Revised in August 2023)andGuidelines No.14 of the Shanghai Stock Exchange on the Application ofSelf-Regulation Rules for Listed Companies - SustainableDevelopment Report (Trial) (Draft for Comments)]China Resources Group Social Responsibility ManagementMeasures
For the purpose of presentation and reading, this Report
also uses such terms as "CR Micro", "Company", and "We"
to refer to "China Resources Microelectronics Limited". The
"China Resources Group" and "Group" used in the Report
are the abbreviations of "China Resources (Group) Co., Ltd."
Other main companies involved in this Report are abbreviated
as shown in the table below.
This Report is prepared by the following steps: peerbenchmarking, questionnaire survey, information collection,information review, report writing, management discussion,and review of the board of directors, ensuring thecompleteness, authenticity, and balance of the content.
The Company guarantees that neither the Report containsfalse records, or misleading statements nor has anymajor omissions and the Company is responsible for theauthenticity, accuracy, and completeness of the contents.
This report is available in Chinese and English versions,and is published in both hard copy and electronic versions.In the event of any difference between the Chinese andEnglish versions, the Chinese version shall take precedence.Electronic versions in Chinese and English can be obtainedby visiting the official website of CR Micro (https://www.crmicro.com/responsibilityReport/index.html) or by sendingan email to crmic_hq_zi_gw@crmicro.com. To minimizethe impact of hard copies on the environment, we stronglyencourage readers to download and read electronic copieswhenever feasible.
Wuxi China Resources Shanghua TechnologyCo., Ltd.China Resources Microelectronics (Chongqing)Co., Ltd.Wuxi China Resources Ansheng TechnologyCo., Ltd.China Resources Micro Integrated Circuit (Wuxi)Co., Ltd.Jiequn Electronic Technology (Dongguan) Co.,Ltd.China Resources Semicon Microelectronics(Shenzhen) Co., Ltd.Runpeng Semiconductor (Shenzhen) Co., Ltd.
Runxi Microelectronics (Chongqing) Co., Ltd.Xipan Microelectronics (Chongqing) Co., Ltd.
CR ShanghuaCR AnshengRunxi MicroXipan CompanyJiequnSemicon
2023 Sustainable Development Report
CR Micro
CR MicroIntegratedRunpengSemiconductor
Chongqing CRMicro
CR Micro2023 Sustainable Development Report0405Adhere to the innovation-driven strategy, releasethe "Chip" power for new productive forces,practice the ESG development concept, anddevote ourselves to the Company's sustainabledevelopment and long-lasting business
Dear friends,Our ESG concept is in line with the theoretical system ofsustainable development that our country has long upheld andattached great importance to over time. The key words forChina's high-quality development, "Socialist harmonious society","Scientific outlook on development", "Construction of ecologicalcivilization in the new era", "Two-mountain (Clean waters andgreen mountains are just as valuable as gold and silver)" conceptand "Common prosperity", all emphasize the basic policy ofsimultaneously seeking economic development together withpursuing social benefits and protecting the natural ecologicalenvironment. China has promulgated a series of policies in recentyears such as building a green financial system (especially puttingforward the ambitious "Dual Carbon" goal), which have greatlygiven impetus to boost the promotion of the ESG concept andmethod in China. It can be said that the sustainable developmentconcept lays the foundation for the overall ESG framework, andin turn, the ESG concept has become the specific methodologyand point of strength for enterprises to practice the sustainabledevelopment concept.As a China Resources Group's business unit responsible for thedevelopment of the integrated circuit business in the high-techsegment, CR Micro inherits China Resources' corporate cultural
Dr. Li HongExecutive Director and General Manager of the CompanyChairman of the Strategic and Sustainable Development
Committee
concept system, proactively pursues high-quality and sustainablebusiness development, implements the ESG developmentconcept, promotes ESG management practices, and adheres tothe longtermism spirit. Furthermore, CR Micro has established acorporate image of being socially responsible and environmentallyfriendly and continuously improving its corporate governancesystem, which plays a key role in achieving CR Micro's long-lastingbusiness success.Since 2023, CR Micro has continued to promote and improveits corporate governance, shoulder the mission of technologicalinnovation, focus on power semiconductors, digital-analog hybrid,and intelligent control fields, supply core chips, and providethe underlying technical support for the development of greenindustries such as photovoltaic and new energy industries to drivethe "Dual Carbon" development strategy. Meanwhile, we strengthensafety management, actively fulfill social responsibilities, and takemultiple measures to assume the responsibilities of the companyas a central enterprise. Specifically, we have performed operationactivities in the following aspects:
1. With respect to the company's high-quality sustainable
development, facing the industry cycle fluctuation, CR Microhas demonstrated its development resilience to resist the cyclefluctuation, with its operation performance superior to theaverage level of market competitors. By adhering to the IDM
business model, CR Micro continues to accelerate the adjustmentof its product structure and the expansion of its business reachin emerging markets, achieving coordinated regional economicdevelopment. Also, the company continues to deepen itsnationwide business layout along the Yangtze River and threeregions, takes major projects as its key points to steadily promotethe development of new regional productive forces, and usesscientific and technological innovations to achieve social progress.At present, the main factory buildings of the Shenzhen 12-inchwafer project have been topped out, and the Chongqing 12-inchwafer project has been put into mass production. The Chongqingpower semiconductor assembly & test base covers advancedwafer-level, panel-level, and module-level assembly processes. TheWuxi work will be built as a mask manufacturing base with leadingtechnology and scale across the country. Therefore, the companycan achieve the first half of the tasks of the "14th Five-Year Plan"strategy successfully.
2. With respect to technological innovation, CR Micro adheres
to an innovation-driven strategy, constantly strengthens the coreposition of technological innovation in development, strives toenhance the Company's independent innovation capabilities,steadily promotes its original innovation and integratedinnovation capabilities, and continues to strengthen its corecompetitiveness. By continuously increasing its investment inR&D, CR Micro aims to constantly improve the incentive systemfor scientific and technological innovation. The Company alsoencourages innovation activities, tolerates possible failures ininnovation, and deepens the fault tolerance and correction systemfor scientific and technological innovation. By building a reliableR&D organizational guarantee system, CR Micro has set up aheadquarters technology institute that focuses on the researchand development of forward-looking technologies, aiming tokeep its first-mover advantages in cutting-edge technologies.
Meanwhile, CR Micro has set up technology research institutesfor business groups that focus on mainstream applications in thecurrent market in a timely response to market changes. CR Microhas a keen insight into market changes from a scientific researchperspective and has accelerated its entry into high-quality sectorssuch as industrial control and new energy sectors. The Companyhas completed the verification and assessment of nearly 100automotive-grade products, with its third-generation semiconductorbeing put into large-scale mass production and the revenuefrom automotive, communication, and new energy businessesaccounting for 70% of its total revenue. Also, we actively cultivateand incubate “Specialized and innovative” enterprises, focus onkey nodes of the industrial chain and supply chain, and continueto gain strong scientific and technological innovation vitality for thedevelopment of the semiconductor industry.
3. As for promoting ecological civilization, CR Micro actively
builds itself into an environmentally friendly enterprise and iscommitted to the sustainable development of the company'severlasting businesses. By continuing to practice the environmentalprotection concept of “Clear waters and green mountains arejust as valuable as gold and silver", CR Micro makes great effortsto integrate the green sustainable development concept into allaspects of production and operations, improves environmentalprotection governance mechanisms, increases its investment inenergy-saving technological innovations, and optimizes productionprocesses. Also, by expanding its presence in the clean energysector, the Company continues to enhance its energy conservationand energy substitution capabilities, laying a concrete foundationfor the green, digital and intelligent transformation of themicroelectronics industry in the context of the “Dual Carbon”strategy. Meanwhile, we seize the development opportunity formedby the market demand for new energy vehicles to expand ourbusinesses in the domestic automotive-grade chip and chargingstation industry. We also release new products of IGBT and low-voltage MOS series power devices, helping the semiconductorindustry become a green and new industry.
4. With regard to stabilizing the ecological construction of the
semiconductor industry and jointly creating a responsible valuechain, as a leading semiconductor IDM company, CR Microactively links the upstream and downstream industrial chains,sticks to the quality-oriented development concept, and buildsa strong service capability. Hence, the company aims to win thetrust of customers in the market with excellent quality and dedicatedservice. By relying on our resource advantages, we build an openand diversified strategic cooperation platform and an innovationconsortium to drive the sharing of scientific and technologicalinnovation and development results, gather the joint efforts ofpartners, and create an efficient and sustainable cooperation model.Adhering to the people-oriented principle, CR Micro actively createsa harmonious development atmosphere between employees andthe company. Also, the company always protects employees' rightsand interests from infringement, continuously improves the salaryand welfare system and equity incentive mechanism, and deepensthe implementation of the strategy of building a powerful companywith talents in the new era.
5. For actively assuming social responsibilities and keeping in
mind the company's original mission and accountabilities rootedin society, as a responsible and accountable enterprise, CRMicro adheres to the concept of a community with a sharedfuture for mankind to focus on helping low-income groupsthrough consumption and education. Also, we continuously boostrural revitalization and drive the growth and reserve of industrytalents. By setting up the "Runshanhui" trade union confederationorganization and creating the "Yishanxin" public welfare brand andthe "Nuan' xinhumiao" brand, the company is capable of carryingout a series of public welfare activities such as offering financial aidto impoverished students and doing tree planting activities. Also,the company actively promotes volunteerism, duly fulfills corporatesocial responsibilities to jointly create a beautiful and harmonioussociety, gathers people's love, and makes a contribution to society,drawing a new picture of a harmonious and beautiful society.
6. With respect to deepening the ESG concept, accelerating
integration, comprehensively upgrading top-level logic,and consolidating sustainable development management,CR Micro attaches great importance to the leading role ofthe ESG strategy and continuously improves the corporatesustainable development management system. Based on the
establishment of the "Strategic and Sustainable DevelopmentCommittee", the company further upgrades the top-levelconstruction comprehensively and optimizes and integratesthe sustainability development report reporting mechanism.Also, the company encourages subordinate business groupsto deeply participate in the preparation of the company's reportand simultaneously pushes the preparation of the sustainabledevelopment report. Thus, it is possible to promote the efficientmanagement of the company's sustainable development work,helping the company achieve a deep integration of sustainabledevelopment and business operations.Making forward-looking goals and shouldering missions.
Chip technology, the heart of the modern electronics industryand the cornerstone of information technology, is the coresupport for promoting the transformation and upgradingof traditional industries and improving China's "Intelligentmanufacturing" level. Also, the chip industry is a strategic,basic, and guiding industry that promotes economic and socialdevelopment. With technological innovation and applicationguiding, new opportunities arising from the semiconductorindustry are available for use by CR Micro in the current timeand trend. Marching into the breadth and depth of technologyand shouldering the heavy responsibilities for scientificand technological innovations are the responsibilities andaccountabilities of all CR Micro employees. Furthermore, in-depth implementation of the sustainable development conceptand scientific outlook on development is the firm consensus andambition of all CR Micro employees.CR Micro will seriously implement the mission of "Better lifewith the CR Micro chip", promote human economic andsocial development, and make technological progress with adetermined spirit of moving forward and pursuing constantself-improvement. Besides, the company is committed tobecoming the global leading product and solution supplier ofpower semiconductor and intelligent sensor. Meanwhile, thecompany continuously explores new forms of benefiting societyand strives to make new contributions to driving scientificdevelopment, promoting social harmony and progress, andachieving the common growth of mankind and nature.CR Micro also continues to deeply understand and implementthe ESG concept and, in turn, uses the ESG concept as the “softpower” to shape the corporate brand image and promote thecompany to practice the “hard principle” of longtermism. Withrespect to ESG, CR Micro still constantly deepens theoreticallearning, strengthens practical exploration, continues exploringESG governance systems suitable for Chinese enterprises, fusesthe ESG development concept into the context of corporateoperation and development, and enables the company toachieve high-quality and sustainable development. As a high-tech enterprise that is responsible to society, customers,employees, and partners, CR Micro, with its unremitting fightingspirit, adheres to its innovation-driven strategy, releases the“Chip” power for new productive forces, practices the ESGdevelopment concept, and devotes itself to the sustainabledevelopment of the company and its everlasting business!Thanks
About CR Micro
Company ProfileBeing subordinate to China Resources Group, ChinaResources Microelectronics Limited is a high-tech enterpriseengaged in investment, development, operation andmanagement of microelectronics business. The companyhas successively integrated some Chinese semiconductorpioneering companies such as Huake Electronics, ChinaHuajing and CSNC Technology. After several years' ofdevelopment and a series of integration, the Company hasbecome a comprehensive semiconductor enterprise withgreat influence in China. Since 2004, it has been continuouslyrated as top 100 Chinese electronic information enterprisesby the Ministry of Industry and Information Technology.The company was listed on the science and technologyinnovation board on February 27, 2020 (stock abbreviation“CR MICRO” and stock code “688396”), being thefirst domestic red-chip company. The company is an IDMsemiconductor enterprise capable of the integrated operationof the whole industrial chain such as chip design, maskmanufacturing, and wafer manufacturing, assembly & test.Adhering to the business layout of “Yangtze River Delta +Chengdu-Chongqing Economic Zone + Greater Bay Area”
and combining regional, market, and application advantages,the company has optimized resources allocation, with itsbusiness scope covering Wuxi, Shanghai, Chongqing, HongKong, Dongguan, and Shenzhen. At present, the company'smain business can be divided into two business sectors:
products & solutions and manufacturing & services. Thecompany can independently design products and keep themanufacturing process controllable. In addition, the Companyhas possessed strong capability in product technology andmanufacturing process in the fields of discrete devices andintegrated circuits and has formed advanced product lineswith special process and seriation.In the future, the company will take its own core advantages,improve the core technologies and integrate the internaland external resources, so as to continuously promote theenterprise development, further transform ourselves into acomprehensive and integrated product company, solutionson power semiconductors and to be the global leader inpower semiconductor and intelligent sensor.
In the Wuxi region, the companywill build a mask manufacturingbase with leading technologyand scale across the country, aswell as build a third-generationsemiconductor R&D andmanufacturing base. Additionally,the company will make use ofShanghai's talent advantages tooptimize the existing businessframework.
The company will expand its high-power device business scale. Byfocusing on high-end industrialcontrol and automotive electronicsmarkets, the company will buildan automotive-grade powersemiconductor industry baseand automotive chip industryecosphere in Chongqing.
The company will build aproduct and applicationindustrialization technologyinnovation center, strengthenits sensor, module, and systemsolution businesses, andcreate an advanced wafermanufacturing and R&D base.
Business layout
Operation regions
YangtzeRiver Delta
GreaterBay Area
Chengdu and
Chongqing
Yangtze River Delta
Chengdu and Chongqing
Greater Bay Area
Excellent
Big
Strong
Domestic holding platformsIC design servicesIC product design companiesWafer and assembly, test, manufacturingbases (including third-generationsemiconductors)High-end maskOperating CenterInvestment platformPower devices R&D and designcenterPower device extension center8/12-inch power device waferproduction linesPower semiconductor module andassembly baseProduct and application industrialization technologyinnovation centerMarketing and application service centerSensor R&D centerSouthern headquarters and global innovation center12-inch characteristic power integrated circuitmanufacturing and R&D base
CR Micro's nationwide business map
CR Micro
Productsandsolutions
Powersemiconductor
Power devices
MOSFET, IGBT, SBD, FRD, SiC,
and GaNPower management IC, BMS,motor driver IC, signal chain, etc.Human-computer interaction MCU, safety
MCU, and general-purpose MCUMEMS sensors, smoke alarm sensors, and
photoelectric sensing productsThree 6-inch wafer production lines, two8-inch production lines, and two 12-inch wafer
production linesIC assembly, device assembly, moduleintegration, advanced panel fan-out assembly,
and wafer back gold platingCover 6-inch, 8-inch, and 12-inch platemaking
requirements
Power ICIntelligent
control
Assembly &
test
Intelligent
sensorWafermanufacturing
MaskmanufacturingManufacturing
and service
Organization Structure
Corporate Culture
Corporate StrategyCR Micro is affiliated with the Technology and Emerging Industries Division of ChinaResources Group. To solve problems encountered in the development process, matchthe organization structure with its strategic goals, meet the expectations and requirementsof the capital market, and continuously deepen the reform of the state-owned enterprise,the company benchmarks against leading international semiconductor companies,integrates its products and manufacturing resources, and optimizes the headquartersstructure, promoting the specialized development of the company's product andmanufacturing businesses through platform-based operations.
Shareholder'sMeetingBoard ofDirectorsGeneral Manager
Power Device BusinessGroup (PDBG)
Integrated CircuitBusiness Group (ICBG)
Foundry BusinessGroup (FBG)
Assembly and TestBusiness Group (ATBG)
Strategic and SustainableDevelopment Committee
Audit DepartmentOffice of the Boardof Directors
Compliance Audit
CommitteeNomination Committee
Remuneration andEvaluation CommitteeSecretary of the Board
Technological ResearchInstituteStrategic DevelopmentDepartmentFinance DepartmentManufacturing CenterHuman ResourcesDepartmentDiscipline InspectionDepartmentOperating CenterEnvironment, Health andSafety DepartmentLegal ComplianceDepartmentMarketing DepartmentIntelligence andInformatization DepartmentInspection OfficeParty-masses WorkingDepartment
Remain true to our original aspiration and keep our mission firmly in mind, stand up to the difficulties atcritical moments, and go ahead in moments of crisisCreate a corporate culture that meets the characteristics of the semiconductor industry
Get rid of the path dependence and break through inertial thinking; take innovation as our engine towork hard together and inspire each other, and leverage our entrepreneurial spirit to push forwardtransformation and upgradingDevelop a future-oriented vision and thinking pattern, do not bend the rules, fully achieve our goalswithout deduction, and stick to the principle of no sooner said than doneBoost our spirit and energy, keep our sense of urgency, step out of our comfort zone, face challenges,and define ourselves through hard working
AccountabilitiesInnovation andentrepreneurshipEfficientexecutionPassionate and
hard-working
MissionBetter life with the CR Micro chipVision: Become the global leading product and solution supplier of power semiconductor and
intelligent sensor
Leverage its IDM advantages andstrengthen its product businessesFocus on forward-looking layout and
master core technologiesBreak through the high-end application market
segment and take the lead in the industry
Make a regional layout along the YangtzeRiver and focus on development in three
regions
Introduce supporting
assessmentmeasures andincentives Complywith market rulesCreate an efficient
organizationGuaranteeits businessdevelopment
Emphasizeinnovation andentrepreneurshipReshape itscorporate culture
Party building
leadingSupervision andregulation
Optimize resource allocation and boost a
leapfrog growth
Strategicinitiatives
Strategicguarantee
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Honors in 2023
Outstanding Entrepreneur Awardfor Strengthening Cities by IndustryBest Practice Award for Stabilizingthe Growth
Jiangsu Province EnterpriseTechnology Innovation Award
Gold Prize of the Scientificand Technological InnovationAchievement AwardIndustry-University-ResearchInstitute Collaboration InnovationAchievement Award
Jiangnan Evening News
China Resources Group
Jiangsu Provincial People'sGovernment
China Resources Group
Industry-University-ResearchInstitute Collaboration Association
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Investor Relations Tianma Award
Award for "Jinwutong" Most SociallyResponsible Listed CompaniesSecurities Times
China Industrial Cooperation Association
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Award for Most ValuableListed Companies inScience and TechnologyInnovation Board
Award for Specialized,Refined, and Innovative“Little Giant”Enterprises
Science and TechnologyInnovation Board Daily
Ministry of Industry andInformation Technology
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Award for “Green Factory”Demonstration Enterprises
Award for Corporate Governance -Best Practice Cases
Award for OutstandingEnterprises in Jiangsu Province
Award for EnvironmentalDimension of ESG ManagementSystem Conference - ExcellentCasesAward for "Shared DevelopmentEnterprise" Cases of ShanghaiCorporate Social ResponsibilityConference
Chongqing Economic andInformation TechnologyCommission
China Association for PublicCompanies
Jiangsu Provincial People'sGovernment
China Times
Shanghai Federation ofEconomic Organization andShanghai Federation of IndustrialEconomics
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Award for A-rating Evaluation of InformationDisclosure in 2022-2023Shanghai Stock Exchange
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Award for 2023 Corporate Governance "BestPractice Cases"
Award for InnovativeEnterprises of the Year
Award for InnovationPioneer Enterprises
China Association for Public Companies
YICAI
Nanfang MetropolisDaily
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Award for 2022 Wind ESGIndustry Best PracticesWind
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The 24th China PatentExcellence Award
Award for Qingxin 2023 GreenPractice Pioneer Project
Award for Technology Leading Enterprises in 2023Science and Technology Innovation Board
2023 Science and Technology Innovation BoardLeading FigureEnvironmental ProtectionContribution Award
Award for Production SafetyDemonstration Enterprises
China National IntellectualProperty Administration
National Business Daily
Caijing Magazine SMDC
Caijing Magazine SMDCXinwu District EcologicalEnvironment Bureau
Xinwu District EmergencyManagement Bureau
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Award for ESG Governance Pioneers
Award for National Intellectual PropertyAdvantage Enterprises
Award for Information DisclosureOutstanding Companies
Zerenyun Research Institute
China National Intellectual PropertyAdministration
Wuxi Association for Public Companies
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Events in 2023 - CR Micro in 2023January 17
August 9-11
September 18
August 11
September 15
March 31
April 17-19January 21
July 2
July 25
March 6
June 17-18
CR Micro held a summary meeting for the completion of the12-inch power semiconductor wafer production line in itsChongqing Park. A ceremony for putting the production lineinto mass operation was held at the meeting. Additionally,12 outstanding suppliers were prized. Meanwhile, CR Microannounced strategic cooperation with customers.
The 2023 Integrated Circuit (Wuxi) Innovation andDevelopment Conference was held in Wuxi, Jiangsu Province.Dr. Li Hong, General Manager of the company, attendedthe opening ceremony of the main summit and delivered awonderful keynote speech titledLeading with 'Chip': NewPatterns in the Development of the Semiconductor IndustryChain at the Semiconductor Equipment Annual Conferenceand Industry Chain Cooperation Forum.
The CR Micro's Fourth Science and Technology Conferencewith the theme of "With the CR Micro's Chips, Dream OurFuture and Create Our Glory" was successfully held in Wuxi,in which outstanding scientific and technological personnelwere prized for their outstanding performance in 2022 andmajor scientific and technological achievements in the pastthree years.
The CR Shanghua's latest generation of 0.15 μm 40V BCDprocess platform was officially debuted. This process platformfocuses on high-power power management chips and motorcontrol chips, and is used in PMIC applications such as fullyintegrated motor drives and high-performance DC-DC.
The Shenzhen 12-inch Runpeng Semiconductor ProjectInvestment Agreement signed by and between CR Microand external investors was approved by the shareholders'meeting. The external investors introduced this timeinclude 12 institutions, such as the China Integrated CircuitIndustry Investment Fund Phase II, the Shenzhen MunicipalGovernment Investment Platform, and the China State-ownedEnterprise Structural Adjustment Fund Phase II, with overRMB 10 billion raised.
The Chongqing Postdoctoral Management Office held
the 2023 Postdoctoral Salon event themed "Building the
Future". As the only semiconductor company among the 16
companies, Chongqing CR Micro was awarded the title of
"National Postdoctoral Research Workstation".
The 25th China Integrated Circuit Manufacturing Annual
Conference and Supply Chain Innovation Forum themed
“Building a New Pattern for Chip Development and Foster
a New Development Stage” was held in Guangzhou. Dr. Li
Hong, General Manager of CR Micro, as a specially invited
entrepreneur, delivered a wonderful speech titledPromising
Future for the Development of the New Energy Industry;
Steady Progress in the Power Semiconductor Field.
On New Year's Eve, the management of CR Micro and theheads of relevant functional departments visited colleaguesworking in various workshops, chemical warehouses, dutyrooms, dormitories, and guard rooms, and extended their bestwishes for the Spring Festival to them.
CR Micro's first automotive-grade chip CS3629BB passed theAEC-Q100 automotive-grade chip assessment certification.CR Micro is accelerating the perfection of its automotive-grade electronic product system and will constantly introducehigh-quality products in the automotive market.
The Wuxi factory of the ATBG held a ceremony for puttingthe nitrogen production center into operation. This projectgreatly increases the stable supply of nitrogen gas to the Wuxifactory and also reduces nitrogen consumption costs, layinga concrete foundation for the company to continuously pushforward cost reduction and efficiency improvement.CR Micro held the celebration event for the third anniversary ofbeing a public company listed in the science and technologyinnovation board themed "Start Our Chip Business Together"and 2022 project appraisal and commendation event. Overthe three years since its going public on the science andtechnology innovation board, the company saw rapid growth inits performance and high-quality development. The company'smanagement awarded honorary awards to the award-winningteams.
The Second Nansha International Integrated Circuit Industry
Forum was held in Guangzhou. As a specially invited
entrepreneur, Dr. Li Hong, General Manager of CR Micro,
gave a keynote speech titledHarnessing the Power of 'Chip'
to Foster Prosperous Ecosystem for Integrated Circuits in the
Greater Bay Area.
July 11-13
CR Micro showcased its products at the 2023 electronicaChina.
September 21-22November 10-11October 30-November 1December 7
October 10
November 25November 8-10
The 2023 China (Shenzhen) Integrated Circuit Summit washeld in Shenzhen, Guangdong. Dr. Li Hong, General Managerof CR Micro, was invited to attend the Semiconductor andIntegrated Circuit Summit Forum and delivered a keynotespeech titled "Pooling innovation and application advantagesto promote high-quality development of the integrated circuitindustry."
The integrated circuit industry event, ICCAD 2023, themed
"Work with you in the Greater Bay Area, Create a prosperous
future for the chip industry", was held in Guangzhou. CR Micro
showcased its wafer manufacturing and mask manufacturing
capabilities to the guests.The industry event, electronica SouthChina, was held at theShenzhen World Exhibition & Convention Center (Baoan NewHall). CR Micro made a splendid appearance by showcasingits power device products and modules, intelligent sensors,supporting system solutions, and other products.
CR Micro successfully held the 2023 Investor Open Day andNew Product Release Meeting in Chongqing. The event wasthemed “Chase the dream in the chip industry and createour chip future". The company's management and productline leaders had in-depth communication and exchange withinvestors and analysts from all over the country.
The main structure of the CR Micro Runpeng Semiconductor's12-inch integrated circuit production line project located inGreater Bay Area Chip Valley, Baoan District, Shenzhen,covering 17 production systems, 11 production buildings, and4 supporting buildings, completed overall roof sealing.
The Chongqing Integrated Circuit Industry Development
Summit Forum was successfully held in Yuzhou, Chongqing.
As a specially invited entrepreneur, Dr. Li Hong, General
Manager of CR Micro, delivered a keynote speech themed
Bringing Intelligence to Chip Development: Constructing the
Chip Ecosystem to the guests.
The first domestic Energy Electronics Expo was held atthe Zhuhai International Convention & Exhibition Centerin Guangdong. The PDBG of CR Micro focuses on thenew energy and automotive electronics fields and made asplendid appearance by showcasing a series of power deviceproducts and solutions.
Gain a Momentum to CreateLow-carbon Competitiveness inProducts
Multi-dimensional Efforts toRelease a New Momentum forGreen Development
CR Micro takes the promotion of advanced product layout as its coredevelopment strategy and relies on the technology and experienceaccumulated in the manufacturing process of upstream componentsin the field of new energy applications to effectively support itstransformation and development. The company's SiC MOSFETdevices, Cu Clip assembly technologies, and IPM intelligent powermodules play a vital role in supporting the development of products inthe new energy application field. In 2023, the company's technologyresearch and development in the new energy field has achievedsignificant progress, giving momentum to the global clean energytransformation process.
Stimulated by the market demand for new energy vehicles, theautomotive-grade chip industry is facing new opportunities andchallenges. CR Micro actively extends its business reach to the greenmobility sector and insists on making efforts in system construction,product upgrading, industry cooperation, market expansion, and otheraspects simultaneously, being committed to serving the green mobilityindustry.Driven by "independent research and external expansion”, thecompany already has complete SiC and GaN product series, withtechnology research and development being mature and stable andproducts having industry-leading performance across the industry.Relying on the existing 6-inch and 8-inch wafer workshops andadvanced assembly and test bases, and with the support of seniorpower device teams, the company has sufficient production capacityand has established long-term cooperative relationships with manyauto makers. In addition, the company intensifies its customerdevelopment efforts in new energy fields such as photovoltaic invertersand frequency converters. The company's operating revenue from thenew energy fields sees an increasing proportion in the products andsolutions sector. The company's products are successfully installed inthe products manufactured by Sungrow, Deye, Inovance Group, andother key customers.
In the future, the company will continue to provide continuouslyoptimized solutions for products in clean energy applications such asvariable-frequency home appliances and new energy vehicles, furtherimproving energy efficiency.
Third-generation Semiconductor R&D andApplications in the Green Field
Advanced Cu Clip assembly technology todrive green production
Intelligent Power Modules to Promote Low-carbon Technology Innovation
The third-generation wide bandgap semiconductor materialrepresented by silicon carbide (SiC) embodies superior properties suchas lower power consumption and higher switching frequency in high-voltage and high-power power conversion applications. In addition,such material, well known as one of the most promising semiconductormaterials in the power electronics field, presents a rapid developmenttrend.SiC MOSFET devices are the mainstream devices for SiC applicationsand are mainly used in high-power density and high-frequencyapplications such as automobiles, solar energy, power grids, andbase stations. The company initiated the advanced research anddevelopment of SiC MOSFET devices in 2020. By adding specialprocess development equipment to the existing SiC JBS waferproduction line, the company developed key processes, and builtbasic technical capabilities and a research and development platform,forming complete technologies. Through project implementation, thecompany accomplished the development of the first-generation SiCMOSFET products, built the first 6-inch SIC production line in China,and forged a planar SiC MOSFET wafer process platform and aassembly and test platform.
Assembly is one of the core processes of power modules. Thecompany has developed and built seven major process platforms:
PDFN, DSCQFN, Dr.MOS 6X5, PPAK (T0.9)LFPAK, Dr.MOS 5X5,and PPAK Clip, and Wire; and three power device assemblytechnology platforms that focus on different customers' requirementsfor assembly processes, realizing the improvement in both theperformance and efficiency of power device products.
IPM is an important component of the frequency conversioncontroller, which in turn is the core component used for the frequencyconversion control of white home appliances. In the overall contextof energy conservation, emission reduction, and green environmentalprotection, a higher energy efficiency standard for home appliancesresults in higher market requirements for the function, energyconsumption, volume, weight, and reliability of IPM. On the other hand,with the rapid growth of IPM demand in such fields as electric vehiclesand photovoltaic wind power, the requirements for the stability andreliability of IPM performance are gradually increasing.After many years of continuous R&D investment, the company's IPMproduct line has covered low-power full-bridge IPM, low-power half-bridge IPM, and medium-to-high-power IPM. On the basis of the low-power IPM product design and development platform, the companycontinues to strengthen the building of key platforms for IPM modules.During the reporting period, the company launched a company-level major project, "Research and development of medium-voltagehigh-power IPM intelligent power modules." The purpose is toreduce the product size, lower product energy consumption, andenhance product market competitiveness on the premise of meetingperformance requirements.
2023 Sustainable Development Report
CR Micro
The company actively expands its businesses inhigh-end application fields such as automotiveelectronics, develops the SiC MOSFET G2platform, and completes product solidification in2023. Furthermore, the company has completedthe serialization of a total of 7 products producedby the 650V/1200V voltage platform, with theproduct parameters and performance beingup to that of the international mainstream third-generation SiC MOSFET products.For SiC modules that are useful in the electricdrive of new energy vehicles, the company pushestechnology research and development andexpands its product layout.
The DSCQFN double-sided heat dissipationassembly technology developed by the companyachieves lower assembly resistance, enhances highcurrent capability and low assembly inductance,and increases product switching speed. Comparedwith the standard PPAK (Ribbon bond) assemblytechnology, the DSCQFN assembly technologyis able to reduce the thermal resistance by about28%, the assembly resistance by 95.5%, and theassembly inductance by 91.7%.The special process developed by the companyincreases the process efficiency by 5 times asagainst the current efficiency level, achievingenergy conservation, emission reduction, andgreen production.
Progresses andachievements
Effectivenessimprovement
Efficiencyimprovement
In December 2023, the company launched new IGBT and low-voltage MOS series power devices as well as new integratedcircuit products, including safety MCU, IPM, and high-voltageoptocouplers.
The proportion of CR Micro's own products in the pan-newenergy field
Fully integratedlow-powerIPM moduleCS12XMM65
Medium-powerIPM moduleDPM15C60FG2
Integrating an MCU with a motor engineenables the module to have higherflexibility and higher programmability.Meanwhile, the high level of integrationmakes the module smaller in volumeand offers convenience for meeting theclient's high-density design requirements.Applications: plastic-sealed motors,etc. It adopts high- and low-side drivecontrol and has built-in undervoltageprotection. It is highly cost-effective andsmall in volume, making it more suitablefor the current miniaturization trend inapplication fields.Applications: plastic sealed motors, etc.It adopts high- and low-side drive controland has built-in undervoltage protection.It is highly cost-effective and small involume, making it more suitable for thecurrent miniaturization trend in applicationfields.Application: air conditioning compressor,electric tools, etc.
Topic 1
Seize the cleandevelopmentopportunityand deepenthe applicationof low-carbonproducts
In response to the urgent challenges of globalclimate change and environmental degradation,the development of clean technologies can reducethe impact on the environment and improveresource use efficiency, which has become animportant strategic direction for modern enterprisesto achieve their green growth and fulfill their socialresponsibilities. CR Micro knows deep down thatthe development of semiconductor technologyis an important driving force for creating a greenand low-carbon society. CR Micro makes an in-depth exploration of the application of low-carbonproducts, and continues to develop low-carbonproducts and optimize production processes,laying a solid foundation for the green, digital, andintelligent transformation of the microelectronicsindustry in the "Dual Carbon" context.
11%
Communicationequipment
39%
Pan-newenergy field
34%
Consumerelectronics
16%
Industrial equipment(electronicequipment and IoTequipment)
Improve the system andstrengthen operation andmaintenance management
Protect the Clear Waters toDraw a Picture of a Clean andVibrant Environment.
Take Multiple Measures toImprove Water Quality andWater Control Effectiveness
Improving water quality is a long-term, systematic project. Through strictimplementation of theOverall Plan for Comprehensive Management ofthe Water Environment in the Taihu Basin,Action Plan for the In-depthProtection and Restoration of the Yangtze River,Three-Year ActionPlan for Promoting Fundamental Improvement of Water Quality inTaihu Lake and Wuxi Waters (2023-2025), and other plans, CR Microcontinuously improves relevant environmental management systems,and strengthens operation and maintenance management of thewater projects from the top-level building. This guarantees that sewagetreatment projects can achieve their maximum benefits. Also, thecompany can do a good job in the tough battle against protecting theYangtze River water ecology with higher standards and greater efforts.
The Yangtze River keeps flowing day and night, like an ever-lastingsong. CR Micro will move forward with firm steps and take morepragmatic measures to shoulder the responsibility for ecologicalcivilization and ecological environment protection. The company willstay focused on and make precise and sustained efforts in sewagetreatment. The company also continues to cultivate the green conceptin pursuing high-quality development, aiming to consolidate andimprove the effectiveness of Taihu Lake environment management.Furthermore, the company works with enterprises along the river todo a good job in implementing the "Yangtze River Protection" policythat benefits future generations, creating a beautiful and picturesqueriverside environment where mankind harmoniously coexists withnature.
Phosphorus-related materials are required in the daily production andoperation activities in CR Micro's factories. The company is deeplyaware of the importance and urgency of strengthening the treatmentof phosphorus-containing wastewater. By carrying out phosphorus-related rectification projects, we can effectively reduce and controlphosphorus-related emissions and respond to phosphorus leakageevents, reducing total phosphorus pollution emissions.
Build an environmental protection facility archive to recordthe operation and maintenance of environmental protectionfacilities and ensure the normal operation of the facilities.Record pollution source monitoring data and regularlypublish monitoring data to help government environmentalprotection departments and company managementdepartments understand pollutant emission information in atimely manner.Formulate regulations on environmental protection rewardsand punishments and reward those who have madeoutstanding contributions in protecting environmentalprotection facilities, saving energy, reducing consumption,and improving the environment.Establish a monitoring system and provide online monitoringfacilities at volatile organic compound discharge outletsand industrial wastewater discharge outlets to realize onlinewastewater monitoring; entrust qualified environmentalmonitoring agencies to conduct effective verification andsupervision management, making the pollutant treatmentprocess compliant with regulations.
2023 Sustainable Development Report
CR Micro
Phosphorus reduction is controlled from thesource of raw and auxiliary materials
Special Rectification to Effectively ControlPhosphorus Emissions
Emergency Plan to Deal with PhosphorusLeakage
Engineering Transformation to ImproveQuality and Effectiveness
By actively replacing phosphorus-containing raw materials andadjusting phosphorus-related processes, the company can strictlycontrol the procurement, transportation, and storage processes ofphosphorus-containing raw materials and auxiliary materials on thebasis of not reducing product quality. As a result, it is possible toreduce the use of phosphorus-containing raw and auxiliary materialsand reduce total phosphorus emissions.
The rainwater and sewage diversion system in the factory area wascomprehensively renovated and transformed, thoroughly solvingthe leakage problem of domestic sewage pipelines in the factoryarea. The company built an initial rainwater collection system toeffectively reduce the total phosphorus emission concentration atthe rainwater discharge outlets. Meanwhile, the company has setup rainwater collection troughs inside the entrances and exits of allproduction workshops and warehouses in the plant area and builta new emergency tank with a capacity of 1,224 m3. This ensuresthat the emergency water in the contaminated area is sent throughthe collection troughs to the newly built special drainage pipe foremergency water and then discharged into the newly built emergencytank in the plant, improving emergency response capabilities andfulfilling environmental protection requirements.
The company carries out regular leakage emergency drills for theleakage of waste phosphoric acid storage tanks to enhance itsability to deal with emergencies. In 2023, the company updated theemergency plan for environmental emergencies and worked out aspecial phosphorus-related emergency plan for phosphorus pollutionrisks.
By adhering to the environmental priority and sustainable developmentconcept, CR Shanghua, a subsidiary of CR Micro, does a good jobin improving the wastewater treatment system through a series oftransformation measures, such as eliminating and renovating oldequipment, optimizing and upgrading processes, enhancing thestable operation level of the wastewater system, and improving theefficiency of treating pollution factors. Meanwhile, an optimized dosingsystem and an online monitoring system were provided to ensuresafe, reliable, and technologically advanced wastewater treatmentand to ensure that the concentration of pollutants in the dischargedwastewater is significantly reduced.
Photo of the Taihu Basin taken by the CR Micro Trade UnionPhotographic Association
Topic 2
Protect clearwaters and greenmountains, andtake multiplemeasures toprotect theecology of theYangtze River
Green is the most breathtaking background colorof the Yangtze River, and the protection of theYangtze River is to firmly maintain this kind ofbackground color. The trunk stream section of theYangtze River in Jiangsu and the Taihu Lake basinlie in the plain in the lower reach of the YangtzeRiver and are an important area of the YangtzeRiver Delta. The phosphorus-containing wastewaterproduced by industrial enterprises along the lakeand river is one of the main pollution sourcesleading to river water pollution.CR Micro is well aware of the importance ofprotecting rivers, lakes, and other waters in theecological environment. The company activelyresponds to and implements the call of the PartyCentral Committee and the Wuxi government onthe protection of the Yangtze River and shouldersthe responsibility for protecting the ecologicalenvironment of the Yangtze River Basin. Also,the company insists on ecological priority andgreen development and boosts the high-qualitydevelopment of the Yangtze River economic zone.
Fulfill financialresponsibilitiesCreate a valuable CR MicroCreate optimal corporatevalue
Fulfill customerresponsibilitiesBuild a satisfactory CRMicroGain satisfaction and trustwith a true heart
Fulfill employeeresponsibilitiesBuild a people-oriented CRMicroGuarantee happy workingand living
Fulfill partners'responsibilitiesBuild a win-win CR MicroCreate a new win-windevelopment pattern
Fulfill environmentalresponsibilitiesBuild a green CR MicroCreate a green andecological civilization
Fulfill public responsibilitiesBuild a harmonious CRMicroPromote harmonious socialdevelopment
Conduct all-round communication with
all stakeholders, make sustainabledevelopment deeply integrated into thecompany's operation management,business processes, and corporateculture. As a result, this results in thecompany's sustainable developmentbeing ranked among the first-classadvanced semiconductor companiesin the country. Also, a sustainabledevelopment brand will be builtwith widespread influence, forgingsustainable development leadership.
Stage III
2026-2030
(Consolidate the company'sleadership in the industry and build
an excellent benchmark)
Form a mature reporting mechanismfor business groups, giving them themature ability to prepare sustainable
development reports. Individualdepartments/business groups willclearly define their positions and goals
in sustainable development activitiesand conduct sustainable developmentactivities in an orderly manner. (From2023 to 2024, the company's businessgroups prepared sustainability reports
independently.)
Stage II
2024-2025
(Systematically promote thereporting mechanism andpursue quality improvement and
upgrading)
Sustainable DevelopmentManagement
Build a Responsible Organization
Responsibility Strategy
Responsibility Planning
Responsibility System
CR Micro always shoulders the mission of “Better life withthe CR Micro chip”. By adhering to the vision of “becomingthe global leading product and solution supplier of powersemiconductor and intelligent sensor", and practicing thevalues of “Honesty and trustworthiness, performanceorientation, people orientation, and win-win cooperation", thecompany takes the initiative to assume social responsibilities,deepens ESG practices, and manifests the responsibilities of
To achieve higher-level and higher-quality development, thecompany integrates its social responsibility into the processesof corporate development strategy formulation, daily businessoperations, and functional management. Besides, the
In the process of promoting social responsibility management,the company regards system construction as an importantmeans to improve the level of implementation of the socialresponsibility system. By establishing, improving, and graduallyoptimizing specifications for the social responsibility system,
Improve the sustainable developmentgovernance framework andsupporting working systems,formulate a sustainable developmentindicator system and managementmechanism, encourage businessgroups to participate in sustainable
development activities, and lay afoundation for CR Micro to unify and
deepen ESG understanding.
a central government-owned enterprise with its strength.We actively carry out the six major strategies for socialresponsibility, and on the basis of expanding and optimizingour main businesses, pursue the matched economic,social, and environmental benefits, building a sustainabledevelopment brand image for CR Micro.
Stage I
2023(Comprehensively introducesystems and lay a concrete
foundation)
Basic management systemResponsibility supervision systemSocial responsibility special
management system
Carry out aresponsibilityevaluation topromote continuous
improvement
Responsibility implementation and
assessment systemBuild a responsibility indicator system and form astandardized scientific assessment tool
company, on the basis of reality, studies and works out socialresponsibility development goals, builds a social responsibilityframework and an institutional system, and plans a focusedand practicable social responsibility implementation path.
the company continuously promotes the institutionalization,standardization, and normalization of the company'ssustainable development activities, enhancing the company'ssocial responsibility management level, quality, and efficiency.
Social responsibility systemconstruction framework
ResponsibleforcustomersResponsible
forshareholders
Responsible
forenvironment
Responsible
forthe public
Responsible
foremployees
Responsible
forpartners
Sense ofResponsibility
CR Micro2023 Sustainable Development Report2223Responsibility OrganizationAn efficient and collaborative organizational system is anessential guarantee for promoting social responsibilitysystem. The company actively improves the ESG governancestructure, and on the basis of the existing social responsibilitymanagement structure, perfects the management levelsand division of labor, forming an ESG governancesystem composed of a two-level structure, including themanagement level and the executive level.
Management BodyMain Responsibilities
In April 2023, the original "Strategic Committee of the Boardof Directors" was changed to the " Strategic and SustainableDevelopment Committee of the Board of Directors",adding the authority requirements for researching andmaking recommendations on the company's sustainabledevelopment/ESG-related policies.
Coordinates and leads sustainable development andESG-related activities within the company, conductsresearch on relevant policies, and makes appropriaterecommendations; reviews the company's reports onsustainable development and ESG matters.
Formulates the company's sustainable developmentplans and responds to all responsible departments andbusiness groups, forming a sustainable developmentworking system centered on the green and low-carbonconcept.
The Board of
DirectorsDecision-makinglevel
Strategic and SustainableDevelopment CommitteeExecutive level
NominationCommitteeBoard of DirectorsStrategic and Sustainable Development Committee
Remuneration andEvaluation CommitteeCompliance AuditCommittee
ESGCarbon Neutrality Team
Operating CenterEnvironment, Health and
SafetyManufacturing Center
Human ResourcesDepartmentTechnological Research
InstituteIntelligence andInformatization Department
Trade Union
Office of the Board of
DirectorsLegal Compliance
DepartmentDiscipline InspectionDepartment/Inspection Office
Audit DepartmentFinance Department
Promote the Integration of Responsibilities
Responsibility Issues
To deeply understand the stakeholders' appeals, enhance thepertinence and responsiveness of the report, and accuratelyhighlight the sustainable development performance andCR Micro's substantive issue identification and assessment process
Environmentalmanagement systemHelp ruralrevitalizationConduct public welfarecharity activitiesEnergy managementsystemProtect ecologicalsafetyImprove corporategovernanceCompliant andlegitimate operation
Strengthen riskmanagementBusiness ethics and anti-corruptionStrategic cooperationmechanism and platformIndustry developmentleadershipStrengthen corporate partybuildingIntellectual propertyprotectionInformation security andprivacy protection
Provide high-qualityproducts and servicesImprove customersatisfactionIntelligent manufacturingand digitalizationTechnology R&D andinnovationControversial procurementmanagementCreate a responsiblesupply chainCope with climatechange
Importance to Stakeholders
Importance to the Sustainable Development of CR Micro
progress of CR Micro, the company has established astandardized issue identification and assessment process toconstruct a matrix of substantive issues, define key issues,and disclose them in the report.
On the basis of the results of thequestionnaire survey, we further analyzedand sorted out the importance of majorissues and then selected the core issuesthat were of high concern to stakeholdersand closely related to the company'ssustainable development. Therefore,these core issues were regarded as thekey content disclosed in the sustainabilityreport.
The company develops and publishesa questionnaire on substantive issuesto understand the degree of concern ofinternal and external stakeholders for themajor social responsibility issues initiallyidentified and screened. In 2023, a totalof over 500 valid questionnaires werecollected for the company's questionnaireon substantive issues reported in thecompany's sustainable developmentreport.
By studying the macroeconomicdevelopment trend, analyzing industrypolicy trends, investigating national andinternational standards for preparing socialresponsibility reports, and benchmarkingoutstanding practice cases in the sameindustry, we identify and screen out keyand substantive social responsibility issuesthat are of high concern to the company'sstakeholders.
Issue identificationIssue analysisIssue assessment
4.7
4.6
4.5
4.4
4.3
4.2
4.1
3.9
3.8
3.83.944.14.24.34.44.54.64.7
Water pressuremanagementClean technologyopportunitiesPromote energy conservationand emission reductionOccupational health andsafetyImplement employee careactivitiesPerfect compensation andbenefits systemSmooth career developmentchannel
Responsibility and Capacity
The company continues to promote responsibility assumptionand capacity building to provide strong support for theimplementation of corporate social responsibility. Thecompany organizes the functional departments of theheadquarters, the responsible departments of subsidiaries,and the EHS departments to conduct special propagandaand education and awareness training activities on ESGconcepts, key issues, and risk management, aiming toimprove the comprehensive quality and ability of employeesthat conduct social responsibility activities. Additionally, thecompany organizes and encourages workers to participate ininternal and external social responsibility exchange activitiesand find shortcomings by benchmarking good practices inresponsibility management within China Resources Groupand other outstanding companies.In 2023, on the basis of the establishment of the "Strategicand Sustainable Development Committee", the companyfurther comprehensively upgraded its top-level construction.By working with subordinate units, sticking to the principle of"from existence to excellence", and optimizing and integratingthe sustainability report preparation mechanism, the companymobilized various subordinate business groups to exploreexcellent materials and deeply involve in the preparation ofcompany reports. Also, business groups made sustainabledevelopment reports independently to show their highlightsand responsibilities. This is an initial move and a good startto promote the integration of corporate responsibilities andboost the quality and efficiency of sustainable developmentactivities.Preparation of 2023 AnnualSustainable Development Report ofCR Micro
+1 report at the corporate level4 independent reports for each business groupSustainable Development Report of CR Micro (tobe publicly released)Sustainable Development Report of the FBG, CRMicroSustainable Development Report of the ATBG, CRMicroSustainable Development Report of the PDBG, CRMicroSustainable Development Report of the ICBG, CRMicro
Strengthen ResponsibilityCommunicationBy establishing diversified communication mechanisms andchannels, the company, on the basis of its actual businessoperations, disseminates the company's responsibility conceptand responsibility performance dynamics and enhancesstakeholders' understanding of and support of the company.We set up a "Social Responsibilities" sector on our officialwebsite and promptly disclose the company's ESG-relatedinformation or up-to-date events information on our officialWeChat platform and mainstream media websites to enhancestakeholders' understanding of and support to the company.
In 2023, we continued to improve our diversified internaland external communication platforms, maintain an openmind, conduct in-depth research on issues of concern tothe government, investors, customers, employees, partners,communities, environmental agencies, and other stakeholders,listen to their expectations and appeals, and incorporaterelevant opinions into the company's decision-making processand transform them into corporate social responsibility actiongoals and plans.
The social responsibilities sector on the company'sofficial website
Stakeholders' appeals and CR Micro's response
Communication methods and practicesTopics of concernStakeholdersGovernment andregulatory agencies
Shareholders andinvestors
Complying with laws and regulationsPaying taxes in accordance with the law.Supporting local developmentImproving corporate governanceProtecting interests and rights of investorsEnsuring fair access to information
Meeting diverse needsEnsuring product qualityProviding excellent servicesEnhancing customer satisfaction
Supply chain managementAdhering to business ethicsIntegrity and mutual benefitPromoting industry developmentProtecting employee rights and interestsSupporting employee growthEnsuring health and safetyBalancing work and lifeActively engaging with the communityParticipating in volunteer activitiesAssisting disadvantaged groupsEnvironmental managementWater resource utilizationLow-carbon and energy-saving initiativesEcological conservation
Conducting business with integrity and
compliance
Diligently paying taxes in accordance with the
law
Responding to major government policies
Improving governance structure
Standardizing the operation of three meetings
Ensuring a compliant disclosure of information
Promoting innovative research and
development
Enhancing quality management
Ensuring service quality
Safeguarding a timely response and resolution
of customer demands
Establishing sound supplier management
mechanisms
Engaging in transparent procurement
Promoting win-win partnerships
Participating in industry exchanges and
collaborations
Optimizing labor management
Improving career development system
Concerning for occupational health and safety
of employees
Enriching employee activities
Implementing public welfare projects
Promoting rural revitalization
Establishing volunteer service teams
Environmental monitoring
Practicing energy conservation and emissions
reduction
Promoting green and low-carbon development
Advancing resource conservation
Customers
Suppliers andindustry
Employees
Community
Environment
About Us
Company ProfileCorporate CultureSocial ResponsibilityESG Governance FrameworkESG StrategyResponsibility ReportingResponsibility ConceptResponsibility ReportContact Us
New JourneyGather our Hearts andMinds to Draw a NewChapter
Our Performance
CR Micro adheres to the organic integration of party leadershipand corporate governance, continuously improves internalgovernance, clarifies the boundaries of governance subject rightsand responsibilities, carries out system construction and supervisionof risk management, enhances the level of corporate governanceoperation, and activates the intrinsic driving force for high-qualitydevelopment.
Our Actions:
Regulate CorporateGovernance ActivitiesPromote RiskCompliance
Unit: RMB 100 millionUnit: RMB 100 million
Operating IncomeTotal profit
Relevant SDGs:
92.49
23.54
100.60
26.53
99.01
16.87
202120212022202220232023
Unit: RMB 100 million
Unit: RMB 100 million
Net profit attributable to owners of theparent company
Equity attributable to owners of theparent company
22.68
26.17
199.81
14.79
215.58
202120212022202220232023
172.90
2023 Sustainable Development Report
CR Micro
RegulateCorporateGovernanceActivities
Improve Governance System
CR Micro continuously improves its corporate governance structure, strengthens theconstruction of the Board of Directors, attaches importance to information disclosure,aggregates strength to enhance management efficiency, and continuously promotesthe modernization of the governance system and governance capabilities. We aredetermined and steady on the path of high-quality development.
The Company continuously improves the legal governancestructure and operational mechanisms composed of theShareholder's Meeting, the Board of Directors, and themanagement of the Company. It operates a standardizedsystem based on the three meetings by “the Shareholder'sMeeting, the Board of Directors, the Special Committeeof the Board of Directors”, respectively, adhering to thegovernance principles of “statutory and transparentrights and responsibilities for coordinated operation and
effective checks and balances” in managing the threemeetings. The Board of Directors of the Company has fourspecial committees to provide consultation and advice formajor decisions by the Board of Directors, ensuring theprofessionalism and efficiency of the Board's discussionsand decisions. Independent directors and the secretary ofthe Board of Directors effectively enhance the fairness andreasonableness of decisions by the Board of Directors.
Shareholder's
MeetingBoard of DirectorsGeneral Manager
PDBGFBGICBGATBG
Strategic and SustainableDevelopment Committee
Audit DepartmentOffice of the Boardof Directors
Compliance AuditCommitteeNomination CommitteeRemuneration andEvaluation CommitteeSecretary of theBoard of Directors
Technological ResearchInstituteStrategic DevelopmentDepartmentFinance DepartmentManufacturing CenterHuman ResourcesDepartmentDiscipline InspectionDepartmentOperating CenterEnvironment, Health andSafety DepartmentLegal ComplianceDepartmentMarketing DepartmentIntelligent andInformatization DepartmentInspection OfficeParty-masses WorkingDepartment
Strengthen the Construction of the Board of DirectorsEnhance Information DisclosureThe Company, in accordance withthe Company Law, theGuidelines on Corporate Governance for Listed Companies,the Articles of Association, and other laws, regulations, andrules and systems, has formulatedthe Implementation Planfor the Exercise of Authorities by the Board of Directors. ThePlan aims to optimize and improve the discussion processes
The quality of information disclosure is an important reflectionof the quality of a listed company and a crucial basis forinvestors to understand reliable and key information aboutthe Company. CR Micro has always adhered to the principleof “high standards and strict requirements” and attachedgreat importance to information disclosure. Guided byinvestor demands, the Company actively improves the qualityof information disclosure and standardizes the operating level,effectively safeguarding the legitimate rights and interests ofinvestors.
The Company adheres to the policy of diversification for themembers of the Board of Directors and considers variousfactors, including but not limited to age, gender, educationalbackground, professional experience, skills, and tenure whendetermining the composition of the members of the Board ofDirectors. The Company has a total of 12 directors, includingone female director and four independent directors, to achievethe diversification of the members of the Board of Directors.
In accordance with the requirements of the State-owned AssetsSupervision and Administration Commission of the State Councilregarding the standardization of support for the performance ofduties by external directors in central enterprises, the Companyhas establishedthe Support Plan for the Performance ofDuties by External Directors. This includes organizing varioustypes of training, exhibitions, and special meetings, providingsupport such as specialized information submission and pre-communication for major decision-making matters, and activelyproviding relevant materials needed for the performance ofduties by directors to meet their decision-making demands.Additionally, director and executive liability insurance has beenpurchased to ensure the support for the performance of dutiesby directors.
In accordance withthe Opinions on the Reform of the ListedCompany Independent Director System,the Measuresfor the Administration of Independent Directors of ListedCompaniesand other relevant regulations,the Working Rulesfor Independent Directors of China Resources MicroelectronicsLimitedhas been revised. A dedicated meeting mechanismfor independent directors has been established to strengthentheir performance of duties and supporting guarantees, fullyleveraging the role of independent directors.
By establishing a mechanism for selecting andorganizing weekly information on public relations andinvestor relations, the Company collects and compilesinformation such as investor feedback, weeklypublic opinion reports, and industry trends, providingreferences for internal management.By establishing a weekly maintenance and informationfeedback mechanism, the Company guides anddisseminates investor feedback, industry trends, andcompany operations, providing investors with deeperinsights into the Company.
For three consecutive years, the Company hasproactively organized three Investor Open Days toexpand the coverage of investor communication andfoster positive interaction.Combining with new product launches, the Companypromotes its new technologies, products, anddevelopments to investors, thereby boosting investorconfidence.
Following the quarterly/half-yearly/annual performanceannouncements, the Company organizes performancebriefings and roadshows to showcase the Company'shighlights.By adopting a flexible approach combining online andoffline methods, the Company expands communicationchannels through live streaming, video conferences,teleconferences, and collective performance briefings.By employing innovative forms of value communication,the Company creates visual annual reports anddynamic video interpretations of annual performance toenhance communication effectiveness.
In May 2023, the Company washonored with the “Investor RelationTianma Award” in the 14th Securities
Times Investor Relations Awards.
In October 2023, the Company
received an A-level evaluation for
information disclosure work in the2022-2023 period from the ShanghaiStock Exchange and was recognized
as a “Best Practice Case” incorporate governance by the China
Association for Public Companies.In November 2023, the Companyobtained the “Award for InformationDisclosure Outstanding Companies”by the Wuxi Association for Public
Companies.
of the Board of Directors, establish mechanisms for themanagement to be accountable and report to the Board ofDirectors, standardize the positioning and exercise methodsof the Board of Directors' rights and responsibilities, andenhance the efficiency and quality of decisions made by theBoard of Directors.During the reporting period
female director was added.
Special Committee meetings,
Board of Directors meetings, and
Shareholders' meetings were held.Three corporate governance systems were newly established, namelythe Management System for InformationDisclosure Deferral and Exemption Affairs, the Evaluation Method for the Board of Directors of the Subsidiary,theEvaluation Method for Directors of the Subsidiary. Additionally, four corporate governance systems, includingthe 'ThreeMajor and One Significant' Decision-making System of CR Microandthe Implementation Regulations of the StrategicCommittee under the Board of Directors, were revised and improved.
Ensure Diversification of the Board ofDirectors
Support the Performance of Duties byExternal Directors
Ensure the Independence of the Board ofDirectors
Ensure Compliant Information Disclosureand Safeguard Investors' Rights andInterests
Strengthen Communication and DeepenInvestor Relations
In accordance with the relevant requirements oftheCompanies Act of the Cayman Islands, the Securities Law,andthe Administrative Measures for Information Disclosureof Listed Company, the Company strictly fulfills its informationdisclosure obligations, ensuring compliant and efficientdisclosure of corporate information to enhance the valuetransmission and transparency of information disclosure.During the reporting period, a total of 83 announcementdocuments covering corporate governance, intermediaryagency reports, Shareholders' meeting, and other types weredisclosed, with a total count of approximately 1.16 millionwords.
Adhering to the concept of two-way communication, theCompany conducts investor relations maintenance work andcarries out investor communication activities in accordancewiththe Investor Relations Management System of ChinaResources Microelectronics Limited. By establishing effectivechannels of communication with investors, the Companyconveys the voice of the capital market internally andcommunicates the Company's value externally, maintaininggood investor relations and helping establish a trustworthymarket image for the Company.
Honors and Awards
Enhance research capability and listen to themarket
Host investor open day to deepen marketconnections
Conduct performance briefings to gainmarket trust
Dream of a Blue Ocean for Chip, Pioneer the Future of Semiconductors
In December 2023, CR Micro held the 2023 Investor Open Day & New Product Launch. Themed “dreaming of a blueocean for chip, pioneering the future of semiconductors”, the event facilitated in-depth communication and exchangesbetween the management of the Company, product line leaders, investors, and analysts from across the country. Theydiscussed CR Micro's operational highlights, overall strategic layout, development trends of the semiconductor industry,and the growth of the automotive electronic chip industry. The Company patiently and meticulously addressed marketconcerns and jointly outlined a new blueprint for its high-quality development.
During the reporting period
During the reporting period
A total of
investor communications were conducted, with the participation of1,200+institutions andover1,800 attendees.Investors of the Company raised
questions to CR Micro on the “Shanghai Stock Exchange e-Interaction”platform, with a response rate of
%.
The Company issued a total of
systems,including
new ones, revised
ones,and abolished
ones. These systemscover areas such as corporate governance,operations, legal affairs, compliance, humanresources, research and development, andinformation management, effectively ensuringthat all management work is well-founded andsupported.The coverage rate of economic responsibilityaudits and major project investment audits is
%, and the overall rectification of internalaudit projects is at
%.
PromoteRiskCompliance
Compliance ManagementSystem
Relying on the Committee for Law-based Governance, Risk Control, and ComplianceManagement, CR Micro establishes and supervises the system of legal affairs,compliance, internal control, and risk management, thereby enhancing the Company'scapacity for legal and compliant operation and significant risk prevention. Efforts aremade to promote the construction of party conduct and clean governance and anti-corruption work, providing a strong political guarantee to address risk challenges andachieve healthy development.
The Company has formulatedthe Compliance ManagementSystemand established a mechanism for communicationand reporting on significant risks, facilitating two-waycommunication between the Legal Compliance Departmentand the Business Department, thereby improvingmanagement efficiency and avoiding significant risksfor the Company. At the same time, the whole-processcompliance management system, including complianceobligation identification, risk assessment, and response,is established with the Business Department as the mainbody, and coordinated and guided by the Legal ComplianceDepartment.
Internal Control Management
The Board of Directors, as the highest decision-making bodyfor internal control system management, is held liable forestablishing and implementing an effective internal controlsystem. The Committee for Law-based Governance, RiskControl, and Compliance Management, as the leading body,is held liable for coordinating, organizing, and promoting theimplementation of specific tasks. Each functional departmentis the responsible party for the construction and supervisionof the internal control system, implementing relevant workon internal control and risk management according to itsrespective functions. The designated organizations of eachsubsidiary serve as the leading bodies for internal controland risk management, and the authority and responsibilitiesare delegated to the respective responsible departmentsand individuals, forming a well-led, clearly defined, process-oriented, and standardized management mechanism.
TheInternal Control Management Systemhas beenformulated to establish a comprehensive and interconnectedinternal control management system. The Regulations onthe Management of Rules and Systemshas been revised toimprove the mechanisms for the formulation, assessment,and improvement of the internal control system, coveringareas such as corporate governance, operations, legal affairs,compliance, human resources, research and development,and information management, thereby promotingstandardized management.Based on the fundamental elements of internal control andconsidering comprehensiveness, an annual internal controlevaluation is conducted in key business areas. The evaluationaims to continuously optimize the internal control systemthrough evaluation-driven improvements.
The risk management measures are incorporated intoinformation systems, covering key business areas suchas sales, assets, funds, and financial management. Thistransformation upgrades control from a “human-based”approach to a “technology-based” approach, enhancingthe level of informatized control.
Construction of the internal control system
Internal control evaluation
Internal control informatization construction
CR Micro2023 Sustainable Development Report3435Internal Audit
Risk And Identification
Risk management and response
Anti-monopoly and Anti-unfair Competition
Continuously improve the leadership structure of internal auditunder the direct leadership of the Party Committee and theBoard of Directors, further clarify the matters to be reportedby the Audit Department to the Company's Party Committeeand the Board of Directors, and incorporate them into themanual of rights and responsibilities. Systems such as theInternal Audit System of China Resources MicroelectronicsLimited, theImplementation Measures for EconomicResponsibility Audit of China Resources MicroelectronicsLimited, and theMeasures for the Implementation of
In 2023, the Company organized functional departmentsand business groups to conduct top-down risk assessments.Key risk indicators were monitored in real-time, and riskassessment procedures were followed. The top ten risksof the year were selected to prevent the spread andaccumulation of significant risks.
Closely monitor significant risk changes and, based on theanalysis of significant risks in 2023, develop targeted riskresponse measures. Continuously track changes in the levelof significant risks and risk trends, and ensure effectiveimplementation of significant risk control measures.
Strictly adhere to relevant provisions of theAnti-MonopolyLawand theAnti-Unfair Competition Law, and improve theexamination mechanism for anti-monopoly and anti-unfaircompetition in key areas and critical processes. Establisha compliance complaint platform, appoint dedicatedpersonnel for management, and set up a dedicated email forcompliance reports. Procedures for acceptance are definedto promptly identify and address illegal and non-compliantbehaviors. During the reporting period, no complaints werereceived regarding violations of the Anti-Monopoly Law andthe Anti-Unfair Competition Law.
Accountability for Illegal Business Investment of ChinaResources Microelectronics Limitedwere established andimproved, further enhancing the audit system and providingstrong guarantee for deepening internal audit.Furthermore, quality control management and enhancement,exploration of combined inspection and audit models, andinformatization of auditing are carried out in response toannual internal audit plans, summaries, major issues identifiedby internal audits, and the implementation of rectificationmeasures.
Develop and launch the Audit Project
Management System of CR Micro,enhancing functions such as issueidentification, bookkeeping/write-off, rectification feedback, rectificationverification, performance evaluation,process traceability, reminder notifications,and dynamic notifications. This effectivelyimproves project management efficiencyand promotes closed-loop management
of audit rectification.
Optimize the risk classification monitoring indicator system,set up risk quantification monitoring indicators that highlightthe characteristics of the semiconductor industry andthe Company, strengthen quarterly monitoring of majoroperational risks, and enhance the application of monitoringresults.Focus on key areas of risk, carry out special governancefor risks, increase prevention and control efforts, andensure clear visibility and effective management of risks inkey business areas.Enhance risk management discussions, optimize the riskassessment mechanism, and explore issues, challenges,and solutions in risk management.Conduct risk management promotion and training toensure that business personnel have a comprehensiveunderstanding of laws, regulations, and managementrequirements, and enhance their risk managementawareness.
Construction of the audit
information system
Risk prevention and control mechanism
Risk capacity buildingThe Audit Department collaborates with theAudit Project and Inspection Office to jointlycarry out special inspection work, exploring
a new model of “combined inspection
and audit” to promote the organicintegration of “economic examination”
and “political examination”, achieve
timely communication and sharing ofinformation, effectively reduce the burdenat the grassroots level, and fully leverage
the synergistic effect of “1+1<2” in
resource utilization and “1+1 >2” in
supervisory effectiveness”.
Exploration of combinedinspection and audit modelsStrengthen quality control managementand enhancement, with theQuality ControlMeasures for Audit Projects of ChinaResources Microelectronics Limitedbeingformulated. The evaluation indicators foraudit projects are continuously improved,and indicators such as the amount of auditfindings and transfer of leads are included
as bonus items. Rectification measuresare implemented for areas requiringimprovement identified in audits andinspections by shareholders.
Audit quality control
management
Total Risk Management
The Company continues to optimize and improve itscomprehensive risk management system and operatingnorms. In accordance with the requirements of the State-owned Assets Supervision and Administration Commissionand the Group, and based on its own circumstances, CRMicro constructs a comprehensive risk management systemthat is tailored to its characteristics.
Institutional mechanismWork mechanismMeeting mechanism
Provide work mechanisms and specificguidelines for comprehensive riskmanagement through the formulationof theLegal Risk Management System,
theClassification Monitoring and EventReporting Management Measures forSignificant Operational Risks, theRiskManagement Guidelines, and othersystems.
Establish a management model
of “pre-event risk identification
and response - during-event riskmonitoring and early warning - post-
event risk reporting and disposal”and sets up a long-term mechanismfor early detection, early warning, and
early disposal.
The Committee for Law-basedGovernance, Risk Control, andCompliance Management holdsperiodic meetings to study andaddress key and difficult issues.The Legal Compliance Department
organizes periodic activities toimplement daily or special risk
management work.
Operating efficiency risk, macroeconomic and policyrisk, human resources risk, market risk, health, safety,and environmental risk, procurement and supplychain management risk, product risk, innovation risk,engineering project management risk and marketingrisk.
Top Ten Risks of CR Micro in 2023
The ICBG establishes a Risk and Opportunity AssessmentCommittee and holds regular meetings for risk and opportunityassessment management.
Facilitate risk compliance exchanges
Conduct contract management training
Anti-corruption and IntegrityBuilding
The Company is deeply committed to implementing theParty's strategy of self-revolution and the comprehensivestrict governance of the Party. Guided by the spirit of the20th CPC National Congress, we are earnestly promotingthe construction of Party conduct and integrity, as well asanti-corruption efforts. We continuously rectify disciplineand punish corruption to create a clean and upright politicalenvironment.
Deepen reform through case studies
Create an Atmosphere of Integrity
Develop a supervision work plan
Conduct supervision and research andensure effective daily education
Provide recommendations and improveregulations and systems
Maintain a high-pressure environment against corruptionand uphold strict discipline. Intensify efforts to investigateand handle cases in key areas and critical stages. Utilizethe joint case handling mechanism of “office, group, andlocal” to enhance cooperation and communication withlocal supervisory commissions and public security agencies.Adhere to case-led approaches, thoroughly analyze thecauses of cases, promote the establishment of regulations,plug risk loopholes, and strengthen both symptomatic andfundamental measures.
Produce an educational video for warning titledUpholdingDiscipline and Strict Integrityto raise awareness. Convene aneducation conference for warning to share exemplary cases,educate individuals through relatable incidents, resonatewith the education recipients, and achieve a comprehensiveeffect of punishment, deterrence, and vigilance. Enhancedaily education management for investment and acquisitionenterprises. Conduct integrity lectures at the grassroots leveland continue to extend the strict governance of the Party tothe grassroots.
Implement over
measures in terms of politicalsupervision, daily oversight, and integrity education.Education, supervision, and accountability are integratedthroughout the entire project.
Assign one disciplinary inspector to be stationed in theproject team, attending
progress meetings andprocurement committee meetingsCarry out
special supervision inspection on administrativeexpenses, conduct
investigation on business operationsand enterprise management, supervise
time in the field ofbidding and procurement, and conduct
project progresssurveyConduct integrity education in batches, covering
sessionsand reaching
individuals
Issue disciplinary inspection suggestions, offering
workrecommendations and optimizing and revising
systems
Supervision Throughout Key Projects
Urge the implementation of suggestions from the People'sProcuratorate of Xinwu District, promote the improvementof one sales incentive system, plug risk loopholes andstrengthen both symptomatic and fundamental measures.
Hold 2 briefings, present 2 special reports, submit 4 self-assessment reports, present 1 case analysis report, conduct12 interviews, and compile 1 research report.
Enhance sales incentive systems
Conduct in-depth research in the sales field
Conduct Supervision and Inspections
Centered on the overall situation and serving the greatergood, we comprehensively implement the work deploymentof the Party Committee of China Resources Group regardingParty conduct, integrity, and anti-corruption. We clarify taskassignments and promote concrete and regular politicalsupervision. To address systemic and industry-specificviolations and illegal activities, with a focus on rectifying issuessuch as “relying on one enterprise to sustain another” andimplementing the spirit of the eight central regulations, we aimto enhance daily supervision in a thorough and meticulousmanner. For major scientific and technological projects, wedevelop supervision plans and implement precise oversightthrough methods such as supervision and research, dailyeducation, and disciplinary recommendations. This providesstrong support for project development.
Pre-eventDuring-eventPost-event
Broaden the Channels of Publicity
Leverage the internalnetwork's “DisciplinaryInspection” columnas the main platformfor publicity. Takethe initiative to voicepositive guidance andconsistently publisharticles that reflect theunderstanding andpractice of disciplinaryinspection. A total of 27information articles werereleased in 2023.
Create anorganizationalatmosphere ofintegrity and purity.Continuously enhancethe “Integrity CRMicro” brand.Compile and distribute480 copies of thepromotional handbooktitledStart by ChangingYour Habits, covering11 units.
Create an atmosphereof integrity and purityduring the holidays.Pay close attention toimportant time pointsand display pre-holidayintegrity reminderpop-ups to all staffmembers. Produceone electronic book onintegrity and issue fournotices on maintainingintegrity during theholidays.
Establish a dedicated column for publicity
Compile promotional handbooks
Pre-holiday integrity reminder
Produce an educational video for warning.
Convene an education conference for warning
Relevant SDGs:
2023 Sustainable Development Report
CR Micro
Our Performance:
The research and development investment amounted to RMB
1.154
billion, representing a year-on-year growth ofapproximately
25.30
%.The research and development intensity, measured as the percentage of research and development investment tooperating income, was
11.66
%.By the end of 2023, the Company had a total of10,249employees, with4,179being research and developmenttechnicians, accounting for
40.78
% of the total workforce.
CR Ansheng established the first IPM assembly platform based on DBC technology at CR MicroThe “Assembly and Test Key Technologies and Applications for Advanced Power Module” was included in the list ofmajor scientific and technological achievements of central and state-owned enterprises.
The “Positive Award” of the Xinwu District Mayor's Quality Award was received for the first time.Audits from 1,175 customers were successfully passed.A total of 40 quality management audits were conducted by the Quality Management Department, identifying 714aspects for improvement.TheAutomotive Quality Management Guideand automotive rework standards were developed. To ensure theimplementation of control measures, 16 relevant documents were updated, and system optimization was carried out.
Each business group of the Company conducted satisfaction surveys for 175 key customers. The FBG, the PDBG,and the ICBG all achieved comprehensive satisfaction scores of 92 or above (out of 100).The customer complaint resolution rate reached 100%.
Research and development innovation performance:
Research and development innovation achievement:
Quality management performance in 2023:
Customer service performance in 2023:
New MomentumServe Customers toShare a Better FutureCR Micro dedicates itself to fulfilling its primary responsibilities andcore business activities. It regards technological innovation as thecatalyst for its progress, bolstering its research and developmentcapabilities. Furthermore, it places great emphasis on fortifyingits quality management system, augmenting its proficiencyand standards in quality management, and striving to deliverexceptional customer service. The objective is to establish abrand and corporate image that exemplifies top-notch productsand outstanding services, thereby solidifying its competitiveadvancement.
Our Actions:
Product innovationand R&DEnhancing the qualitycontrolOffering high-qualityservices
Productinnovation andR&D
Develop Innovation Strategy
Improve the Innovation System
Innovation serves as a powerful driving force for the progress of theCompany, and continuous improvement in research and developmentcapabilities is a key factor in maintaining long-term core competitiveness.CR Micro focuses on innovation-driven development, enhances theconstruction of innovation management systems, intensifies efforts incore technology breakthroughs, establishes a platform for technologicalinnovation, strengthens the innovation awareness of all employees, andcontributes to the high-quality development of the Company.
The Company adheres to an innovation-driven approach,considering the enhancement of independent innovationcapabilities as a primary task in innovation research anddevelopment management. It revises innovation systemssuch as theTechnology Achievement Reward Management
Expand and optimize the main business of powersemiconductor continuously. Accelerate themastery of core technologies, enhance innovationcapabilities, and improve core competitiveness.Maintain a leading position in domestic marketsegments and strive to achieve global leadership.Strengthen the strategic layout of cutting-edge coretechnologies. Increase research and developmentinvestment and improve research and developmentefficiency. Achieve breakthroughs in key coretechnologies in areas such as third-generationcompound semiconductors, specialty manufacturingprocesses, and advanced assembly.
Accelerate the development of the intelligentsensor business. Strengthen the application andcommercialization of technology reserves. Aim toachieve productization and industrialization andcreate new areas of business growth.Drive technological innovation. Build a high-level research and development team. Achieveindependent research and development ofproducts, independent control of technology, andensure reliable data security.
Process and theEvaluation Guidelines for the Performanceof R&D Projectsin line with the Company's 14th Five-YearR&D Innovation Strategic Plan, establishing the TechnologicalInnovation Hub of CR Micro.
Chongqing Power Semiconductor Technology Innovation Center - granted by Chongqing Science and TechnologyCommissionChongqing Enterprise Technology Center - granted by Chongqing Economic and Information CommissionKey Laboratory of Industrial and Information Technology in Chongqing for Power Device Reliability Testing - granted byChongqing Economic and Information CommissionJiangsu High-Value Patent Cultivation Demonstration Center - granted by the Intellectual Property Office of JiangsuProvinceJiangsu Optoelectronics Engineering Technology Research Center - granted by Jiangsu Provincial Department ofScience and TechnologyJiangsu ASIC Design Engineering Technology Research Center - granted by Jiangsu Provincial Department of Scienceand Technology/Finance DepartmentJiangsu Enterprise Technology Center - granted by Jiangsu Economic and Information CommissionJiangsu Advanced Power Semiconductor Assembly Engineering Research Center - granted by Jiangsu Developmentand Reform CommissionJiangsu Power Semiconductor Assembly and Test Engineering Technology Research Center - granted by JiangsuProvincial Department of Science and TechnologyJiangsu Integrated Circuit Engineering Technology Research Center - granted by Jiangsu Provincial Department ofScience and TechnologyJiangsu Integrated Circuit Advanced Assembly Technology Innovation Consortium - granted by Jiangsu ProvincialDepartment of Science and TechnologyWuxi Enterprise Technology Center - granted by Wuxi Economic and Information Commission (4 qualifications)Wuxi Key Laboratory of Audio and Video Signal Processing - granted by Wuxi Science and Technology BureauWuxi Integrated Circuit Technology Research Institute - granted by Wuxi Science and Technology BureauWuxi New Power Integrated Circuit Technology Research InstituteAdvanced Assembly Engineering Technology Research Center - granted by Wuxi Science and Technology BureauDongguan Advanced Assembly Engineering Technology Research Center for Semiconductor Integrated Circuits -granted by Dongguan Science and Technology BureauWuxi Key Laboratory of Power Semiconductors - granted by Wuxi Science and Technology Bureau
11 provincial-level researchand development institutionqualifications
Qualifications of 10municipal-level researchand developmentinstitutions
Innovation
Strategy
Leadership of the HeadquartersThe Company established CR Micro TechnologicalResearch Institute, responsible for the unified planningand management of major research and developmentprojects. The Science and Technology ManagementDepartment is held liable for the organization, coordination,and management of daily research and development work.The Technological Research Institute is composed of twocategories: Headquarters-level and business group-level,with a total of 7 research and development institutionsresponsible for different research fields and directions. TheTechnological Research Institute of the Headquarters focuseson the future technological development needs of 3-5, oreven 10 years, conducting forward-looking research on the
microelectronics industry. The Technological R&D Centersof the Business Groups carry out technology research anddevelopment based on market demands for 1-3 years.Since its establishment, it has obtained 11 provincial and 10municipal research and development institution qualifications.In addition, the “CR Micro Science Association” wasestablished to continuously strengthen technologicalleadership and build a source of original technology. In2023, the organizational structure of the CR Micro ScienceAssociation was improved by supplementing members basedon the existing members, providing strong support for theCompany's technological innovation work.
Structure of the CR Micro Technological Research Institute
Responsible for research and development of forward-lookingtechnologies and products
Responsible for meeting current market needs and addressing market competition throughresearch and development of technologies and productsProvide a public service platform
CR Micro Technological Research Institute
Research and developmentinstitutions of the Headquarters
Research and developmentinstitutions of the business groupScience and TechnologyManagement Department
PioneeringtechnologyR&D centerForward-lookingtechnologies and
products
Including wide-
bandgapsemiconductordevices, IPMs, etc.
ApplicationtechnologyR&D centerSystem applicationsolutions
Including power
supply, smarthealth application
solutions
Comprehensive
laboratory
Forward-lookingtechnologies andproducts
Providingtesting, analysis,
and reliabilityevaluation supportfor the Company's
technological
research and
development
Processintegrationtechnology R&D
centerProcess integration
technology
Including BCD,MEMS, Analog,
CMOS, etc.
Integratedcircuit R&D
center
MCUs, SoC ICs,and their application
solutions
Including wireless
charging, MCU
sensor control
ASIC, etc.
Powersemiconductor
technologyinnovation centerPower devices and
their application
solutions
Including power
MOS, IGBT,third-generationsemiconductors, etc.
AssemblyengineeringR&D centerAssembly and testtechnology
Including QFP,QFN, IPM panel-level assembly,
etc.
The 4th Technology Conference held by CR Micro for fulfilling ambition through research
Enhance efforts in technological breakthroughs to promote the transformation of scientific andtechnological achievements
In September 2023, CR Micro held the 4th TechnologyConference with the theme “Creating Brilliance with CRChips”. Relevant responsible individuals presented theSummary and Innovation Plan of CR Micro for TechnologyInnovation Workand theReport on the Growth andDevelopment of Technology Talents in CR Micro, providinga phased summary of the Company's technologicalinnovation work over the past three years, discussingand planning future technological innovation work, andcommending outstanding scientific and technologicalpersonnel and achievements for the year 2022, as well assignificant scientific and technological achievements overthe past three years.
Power modules are key components of power converters and inverters, with high industry concentration and significanthead effects, heavily reliant on imports. To avoid the “bottleneck” issue and achieve domestic substitution, CR Micro hasindependently conducted research and development on the structural design simulation, key materials, and key assemblytechnologies of high-performance, highly integrated, and highly reliable power modules. Focusing on products such asIPM intelligent power modules, Copper Clip advanced process modules, and third-generation semiconductor modules,the Company has studied key assembly technologies, carried out the design, trial production, test, and verification ofindustrial control-grade and automotive-grade power modules, mastered the key assembly and test technologies of powermodules, and established industrial production capabilities. A total of 20 authorized patents have been obtained, filling thetechnological gap in the domestic high-end power module assembly field, achieving technological independence andcontrol, and reaching an internationally leading level.In November 2023, the “Assembly and Test Key Technologies and Applications for Advanced Power Module” wasincluded in the list of major scientific and technological achievements of central and state-owned enterprises.
Technological Foundation
Implementation of Achievements
The Company focuses on the field of power semiconductors,intelligent sensors, and key markets. With a focus onpromoting the research and development of core productsand technologies, the Company adopts an open andindependent innovation approach, aiming to be “domesticallyleading and internationally advanced”, by integrating
Under the sound innovation management and research anddevelopment system, the Company has achieved numerousinnovative results that are “domestically leading andinternationally advanced”, obtaining high-quality innovationoutcomes accessible to the microelectronics industry inChina.
The first IPM assembly platform basedon DBC technology was established atCR Micro. Key process research anddevelopment were completed. A GaNmodule mass production assemblyplatform was established, and monthlyshipments in the millions were achieved.
The power assembly and test basehad 38 process platforms, with100% connectivity for 8-inch and 12-inch wafers. Progress was made inadvanced assembly techniques suchas top-side heat dissipation for TOLT,the introduction of third-generationsemiconductors SiC/GaN, and Traceto Die.
A system-level assembly technologyplatform for PSiP and an assemblytechnology platform for GaN powermodules were established based on theadvanced PLP process.
The Cu Clip assembly technologyplatform for power devices wasestablished, as well as variousautomotive product technologyplatforms such as DSCPPAK Clip,SPPAK IC+MOS, TCPAK Clip, andTO263 ATV.
internal and external research and development innovationresources, increasing investment in technological researchand development, nurturing advantageous technologiesand product portfolios, narrowing the gap with the industry'sadvanced level, and enhancing the Company's corecompetitiveness.
Examples ofTechnologicalInnovationInitiatives
CRAnsheng
XipanCompany
CRRun'an
Jiequn
CR Micro's Integrated “High-performanceLow-temperature Rise Intelligent PowerModule CS57XXXT” was honored withthe “China Chip” Excellent TechnologyInnovation Product Award.
CR Micro2023 Sustainable Development Report4445Increase Investment inResearch and Development
Deepen the industry-university-research collaboration
The Company continues to increase investment in researchand development to ensure the continuity of innovativeresearch and development. During the reporting period,in accordance with the overall planning requirements forpromoting technological innovation during the “14th Five-Year Plan” period and theGuiding Opinions on Preparingthe R&D Budget for 2023, R&D funds of RMB 1.154 billionwere invested.
The Company focuses on its core business andcontinues to deepen cooperation and interaction withdomestic universities. Through initiatives such as jointlaboratory construction, collaborative training programsbetween universities and enterprises, promoting targetedinternships and practical training partnerships withuniversities, implementing joint master's and doctoraldegree programs, and establishing postdoctoralworkstations, we are promoting comprehensivecollaboration among industry, academia, and researchinstitutes. This accelerates the independent developmentof outstanding talents in scientific research andengineering, providing talent support for tackling key coretechnologies in integrated circuits.Through the Expert Forum and Business Group EngineerForum of the Headquarters, we foster collaboration andfacilitate internal sharing and exchange of scientific andtechnological talent across departments and units. Thiscreates a technical sharing platform and cultivates afavorable internal scientific and technological atmosphere.The Expert Forum of the Headquarters has conducted25 sessions (featuring lectures by industry experts,professors from universities, and internal experts), whilethe Engineer Forum (focused on internal technical andproduct sharing) has conducted 32 sessions in thePDBG, the FBG, and the ICBG. Additionally, the ATBGhas organized three technical seminars to facilitateboth internal and external communication, broaden theperspectives of technical personnel of the company, andinspire innovative thinking.
7.13
9.21
11.54
Unit: RMB 100 million
202120222023
R&D funds
Incentives for Innovation TalentsThe cultivation of scientific and technological talentsis carried out, and efforts are intensified in innovationincentives. Activities are organized to select outstandingscientific and technological workers, and technologicalinnovation is encouraged. An innovative culture is nurtured,and the innovative drive of researchers is stimulated. At thesame time, the innovative vitality of female scientific andtechnological workers is given importance. Support andencouragement are provided for them to undertake majorcompany-level R&D projects, and the potential of femalescientific and technological workers is tapped into.Female scientific and technological workers share experiences ata technology conference
Talent Incentive System
Incentive system for excellence
Establish an award recognition platform
The top-level design of the R&D innovation system is improved,and regulations such as theMethods for Rewarding TechnologicalAchievementsand theContribution Award for TechnologicalDevelopment Projectsare introduced to ensure the smoothprogress of R&D innovation work. A fault-tolerant mechanismfor technological innovation is introduced, specifying exemptedbehaviors during the technological innovation process andeliminating responsibilities and obligations that should not be borneby scientific and technological personnel.The evaluation and assessment of research and developmentprojects are implemented based on project milestones, anda mechanism for rewarding research and developmentachievements and sharing development benefits after massproduction is established. This encourages researchers toactively seek and make good use of external scientific andtechnological innovation resources.Awards are set up for outstanding scientific and technologicalachievements, collaborative innovation, and excellent patents,forming a classified and graded patent reward mechanism.
Illuminate brilliance and contribute the“female” strength of technologicalinnovation
Consistently implement programs such asintegrated circuit engineering workshops
The application market for wide-bandgapsemiconductor products is rapidly expanding,experiencing high growth in areas such asautomotive electronics, green energy, 5Gcommunications, and military applications. ZhangXiaorong is a female scientific and technologicalworker in the Company. She has participated asa key member and successfully completed majorresearch and development projects on “Designand Process Technology Development of GalliumNitride Power Devices on Silicon Substrates”and “Enhanced Gallium Nitride Power DeviceDevelopment on Silicon Substrates”, establishinga research and production platform for galliumnitride devices. Thanks to the experience gainedfrom the gallium nitride project, her abilities in projectresearch and development as well as managementhave greatly improved. In 2023, she undertookthe Company's forward-looking research anddevelopment project “Development of GalliumOxide SBD Devices” and, as the project's principal,led a team to initiate the development of wide-bandgap semiconductor power devices.
A pathway for the educational advancement of ourscientific and technological talent is being established. Thisincludes initiatives such as the National Master's and Ph.D.Pilot Program, Integrated Circuit Engineering Workshops,and Educational Assistance Programs, providing acomprehensive pathway for individuals to progress from highschool education, college education, graduate education,postgraduate education to doctoral education. Among theseinitiatives, the National Master's and Ph.D. Pilot Program andIntegrated Circuit Engineering Workshops are deep-rootedcollaborative projects between the Company and universities.Currently, we have nurtured 81 individuals with master'sdegrees (77 with equivalent qualifications) and 7 doctoralcandidates (currently enrolled).From June 8 to 9, 2023, CR Micro held the “IntegratedCircuit Engineering Workshops Phase II” ice-breaking andintegration team-building activity, along with the openingceremony. The workshop program contributes to enhancingemployees' overall capabilities and job performance,effectively assisting the Company in building a well-structured,highly skilled, and energetic team with a sufficient numberof scientific and technological talent. This lays a solid talentfoundation for the Company's high-quality development.
Talent Team DevelopmentAs of the end of the reporting period, the Company had a total of4,179research and development technicalpersonnel.Programs such as integrated circuit engineering workshops have been consistently implemented. By the end of 2023,
individuals with master's degrees (77 with equivalent qualifications) and
doctoral candidates (currentlyenrolled) had been nurtured.A technical sharing platform has been established, and by the end of 2023,
sessions of expert lectures hadbeen conducted.
Enhancingthe qualitycontrolQuality Management Systems
CR Micro adheres to the quality policy of “customer orientation, prevention-oriented,green and environmentally friendly, and continuous improvement”, fostering a qualityculture of “customer satisfaction, quality supremacy, and full employee participation”.We continuously enhance the construction of our quality management system andcomprehensively improve the Company's quality management capabilities and standards.
The Company always upholds the spirit of craftsmanship,prioritizing quality and emphasizing meticulous qualitymanagement. We adhere to the principles of high standards,systematic management, and integrated development,incorporating factors such as information security,environment, health and safety, energy, and environmentalmaterials into the scope of quality management. We haveestablished a quality management system in accordancewith ISO9001, IATF16949, and QC080000 standards.Simultaneously, we pay full attention to and implementregulations such as the RoHS directive and REACHregulations, as well as customer requirements related toenvironmental materials. Throughout the entire productproduction process, from procurement to manufacturing andwarehousing, we establish a comprehensive environmentalmaterial management system.In 2023, we continued to promote the integration of qualitymanagement and the upgrade of vehicle regulation qualitymanagement. The Quality Management Department initiatedeight projects in integrated quality management, meetingthe Company's needs for high-quality, high-standard, andefficient development, and maximizing value.
External Recognition
Key customers of CR Micro
Quality Management System for Products and Services Certified by Authoritative Accreditation Bodies
QualityAssurance
ISO9001
Information SecurityManagement
ISO27001Green Partner ofSonySonyGP
EnvironmentalManagement
ISO14001Automotive QualityStandardsIATF16949
Electrostatic ProtectionManagement
ESD20.20Hazardous SubstanceProcess Management
QC080000
Occupational HealthManagement
ISO45001
EnergyManagementISO50001
During the reporting periodA total of
quality management audits were conducted by the Quality Management Department, identifying
aspects for improvement;A cumulative total of
online inspections were performed, covering197,901items, and2,428issues were identified, resulting in a detection rate of
1.22
%;A cumulative total of
audits were performed during the manufacturing process, covering20,430items,and
audits were performed for products, covering
items.
Internal Audit
To ensure the implementation and efficient operation ofthe Company's quality management system, the QualityManagement Department organizes internal audits on topicssuch as “Quality Management System”, “VDA6.3”,
Three projects of CR Micro received the “Improvement Level” achievement award by thenational QC team
The “Positive Award” of the New WuxiDistrict Mayor's Quality Award received
We are committed to providing high-quality products andservices, earning recognition from our customers. Everyyear, we seek third-party organizations to conduct audits andtesting of our quality management capabilities and products,receiving numerous certifications from authoritative institutions.In 2023, the Company successfully passed audits from 1,175customers, including Siemens, FinDreams Powertrain, Goway,CATL, Schneider Electric, Omron, Midea, Haier, and others.In addition, based on the existing platform, the Companyhas established a process for evaluating the introductionof automotive industry products, achieving systematicevaluation capabilities for automotive projects. Based on theAutomotive Quality Management Guideformulated by theQuality Management Department and the requirements ofmultiple automotive customers, specific rework standards forthe automotive industry have been developed. To ensure theimplementation of control measures, 16 documents have beenupdated, and several supporting systems have been optimized,such as the customer downgrading system, Hold system, MESsystem, etc. This elevates the standards of automotive systemmanagement and enhances the automation characteristics ofautomotive product circulation control, making it more efficientand secure. After a duration of 5 months, the first automotiveindustry product fully compliant with automotive regulationswas successfully launched and circulated.
“Information Security”, “Environmental Materials”, andother specific areas. In response to the issues identifiedduring the audits, responsible departments are required togeneralize and implement closed-loop rectification.
Conduct Specialized Training
Strengthen Quality ControlAwareness
The potential of internal and external resources is fully tappedinto to create a series of quality tools and lean-themedcourses. Quality knowledge is promoted and learned throughdiverse means, and lean experiences are shared within theCompany to promote lean concepts and enhance job skills. In
The Company attaches great importance to the constructionof a quality culture. Centered around the theme of NationalQuality Month, we organize a series of quality activitiesunder the banner of “Quality Gathers Brilliance, Gallopingtowards the Future.” These activities include a knowledgecompetition on quality management, the Quality ChampionChampionship, evaluation of outstanding quality teams, and
2023, the Company organized specialized training sessionson 6sigma, VDA6.3, IATF6949, and automotive qualitymanagement, greatly enhancing employees' understandingof automotive system standards and quality managementtools.
employee skill competitions. Through mediums such asdisplay boards, official WeChat account, banners, and bulletinboards, we comprehensively promote National Quality Month,creating an atmosphere of in-depth learning and applicationof comprehensive quality management knowledge toenhance the overall quality awareness of all employees.Training on quality tools and lean-themed courses
Award ceremony for the “Quality Champion Championship”
Conduct the “Employee Skills Campaign” event
Promote National Quality Month activities throughdisplay boardsOrganize employee skill competitions
Offeringhigh-qualityservices
Optimize the Service System
Safeguard Customer Rights andInterests
CR Micro adheres to the vision of “becoming the global leading product and solutionsupplier of power semiconductor and intelligent sensor”. We achieve this by providinghigh-quality products and services, continuously improving our after-sales service andinformation security management system, safeguarding customer rights and interests,and constantly creating greater value for our customers.
High-quality customer service is the foundation forestablishing and maintaining trusted customer relationshipsat CR Micro. The Company always upholds the principle ofcustomer supremacy and has established a customer servicesystem consisting of sales service teams, quality serviceteams, technical service teams, and IT systems. This system
The Company attaches great importance to the protectionof customer rights and interests, considering it an effectiveapproach to improving product quality and better meetingcustomer needs. We further enhance user services,promptly respond to customer complaints, establish smoothcommunication channels, timely and properly addresscustomer concerns, implement responsible marketing, andincrease customer satisfaction and market reputation.
Enable customers to have comprehensiveaccess to information and status on currentyield, online process capability, on-time deliveryrate, complaint progress, and engineeringdevelopment progress in a one-stop manner.
Combine product characteristics with customerneeds, and conduct more precise productknowledge popularization activities throughindustry conferences, exhibitions, and otherchannels.
Utilize the official company website, officialWeChat account platform, email, electronicE-Service system, and telephone services toestablish compliant and systematic processesfor timely understanding of customer-specificneeds and targeted resolutions to customerissues.
Hold regular and irregular customer quality jointproblem-solving meetings to help customersaddress urgent issues encountered in theproduction process.
Through a professional training system, provideemployees with training in communication skills,product technical information, engineeringanalysis, and solution-oriented approachesto continuously enhance the professionalcapabilities of customer service representatives.
aims to improve service efficiency and customer experience.At the same time, we continuously improve and optimize thecustomer relationship management system, promptly andefficiently respond to customer demands and feedback, andprovide customers with comprehensive, three-dimensional,efficient, and prompt high-quality services.
Providingexclusiveservices
Proactively
assist inproblem-
solving
Popularize
productknowledge
Enhance
servicecapabilities
Enrichcommunication
channels
Expand Communication Channels
Properly Resolve Complaints
Rapid response
Root cause resolution
Closed-loop management
Website serviceportal, customerservice hotline,email, electronicE-Service system,etc. of theCompany
Service teamsreceive visits,proactively visitcustomers, organizeregular engineeringquality discussions,and hold irregularcustomer qualityjoint problem-solving meetings.
We implement a 24-hour customer complaint responsemechanism. By leveraging advanced failure analysis equipmentand a comprehensive IT system, we conduct precise analysis ofcustomer failure samples, determine failure mechanisms, andimplement systematic improvement and tracking.
For issues identified in customer complaints, we employ qualitytools such as “the 8D problem-solving method”, “5W2H”,“fishbone diagram”, and “5MIE” to identify the root causes,extrapolate findings, improve products and services, and preventthe recurrence of similar problems.
Professional personnel systematically track and improve failuremechanisms, ensuring a closed-loop management approachwhere every customer complaint receives a response and isfollowed up on.
OfflinechannelsOnlinechannels
In response to customer feedback, we promptly verify and confirm on site, engage in discussions with the customer's technical team, assist inidentifying potential abnormalities in the production line, and develop investigation plans and improvement strategies to enhance customer satisfactionand recognition.
Implement Responsible MarketingCustomer Satisfaction Evaluation
Network Security Management
Data Security Management
Product Recall and Withdrawal
We strictly adhere to national laws and relevant policyregulations, provide truthful disclosure of product andservice information, prohibit false or misleading advertising,and actively engage in responsible marketing by enrichingpotential risk warning channels, ensuring the full protection ofcustomers' legitimate rights and interests.
The Company attaches great importance to customersatisfaction. Guided by the customer-oriented philosophyof “winning satisfaction and trust through dedication”, weconduct satisfaction evaluations and improvement effortsthrough individual scoring and open-ended questions.We listen to customers' voices and meet their needs frommultiple dimensions. We respond promptly to issues raised insurveys and implement rectification measures to continuouslyimprove customer satisfaction.During the reporting period, each business group of theCompany conducted satisfaction surveys for 175 keycustomers. The FBG, the PDBG, and the ICBG all achievedcomprehensive satisfaction scores of 92 or above (out of100).
We establish regulations such as theNetwork SecurityManagement Measures of China Resources MicroelectronicsLimitedand thePersonnel Network Security ManagementSpecifications of China Resources Microelectronics Limitedtostandardize network security management tasks. A networksecurity and informatization leadership group is establishedas the highest decision-making body for network securitymanagement. A daily office is set up under the Intelligenceand Informatization Department of the Company as themanagement organization for network security. Additionally,the heads of each unit are appointed as the first-lineresponsible persons for network security, with designatedpersonnel responsible for network security reporting directlyto them.In addition, the Company conducts regular network securityexercises and anti-phishing tests to continuously enhancenetwork security protection capabilities. It organizes trainingand awareness activities on network security, effectivelyraising the overall awareness of network security protectionamong all employees.
With the objectives of “effective protection” and“standardized management”, theData ManagementMeasures of China Resources Microelectronics Limited(Trial)and theData Security Management Specificationsof China Resources Microelectronics Limited (Trial)havebeen successively developed to continuously improve theconstruction of data security management systems. TheIntelligent and Informatization Development Committee ofthe Company serves as the decision-making organization fordata security work, while the Intelligence and InformatizationDepartment acts as the leading management organization fordata security, jointly promoting the uncompromised protectionof sensitive data assets such as trade secrets and worksecrets and ensuring normal business operations.
Gain a multidimensional understanding of customersatisfaction with company products and services,focusing on product quality, factory capabilities,technological research and development, customerservice, and management systems.
Present survey analysis results to seniormanagement and optimize improvements based onmanagement guidance and recommendations.
Analyze and address various demands raised bycustomers in the satisfaction surveys, formulatingspecialized improvement initiatives.
Assign dedicated personnel to track improvementprogress, conduct regular follow-ups withcustomers, report improvement measures and theireffectiveness, and continuously enhance productsand services.
To ensure product quality, the Company has established strictprocedures for product quality inspection and recall. We haveestablished a comprehensive product quality assessmentand management system for handling defective products,customer complaints, product recalls, rework, and customercompensation. If any quality issues are identified, customersare promptly notified, and the recall process is initiated.Based on the severity of customer complaints regardingquality issues, we have developed an emergency customercomplaint handling process and a bulk exception notificationmechanism. We use various quality tools to quickly analyzethe root causes of problems to ensure timely and effectiveresolution and handling of customer issues.
Each product is accompanied by a productspecification sheet that provides detailedinformation on product parameters and usageconditions.In the “Products” sector of our official website,we synchronously update and upload productinformation and specifications.Our service personnel provide technical knowledgeand safety information covering sales, engineering,and quality aspects, and disseminate productknowledge and precautions to customers.We publicly and regularly update service platforminformation, establish mechanisms for meetingswith key customers, proactively visit customers,and report on the Company's new products,technologies, and process development.
Specific practices by CR Micro ofresponsible marketing
Conduct surveys
Report to senior management
Targeted improvements
Regular follow-up
Ensure Information Security
Strengthen confidentiality awareness
Enhance protection technologies
Emphasize the improvement of employees' awarenessof confidentiality and network security, sign confidentialityand network security agreements, and conduct regularanti-phishing email tests and training. Enhance third-party personnel management by signing network securityresponsibility agreements and confidentiality agreementswith third-party service units (and their personnel).Strengthen inspection and auditing, rectify and improvesecurity risks.
Promote the comprehensive use of the Smart ChipLibrary System, office terminal data leakage preventionsystem, and terminal encryption for key personnel.Continuously enhance data security protectiontechnologies for trade secrets systems, improve controlmeasures from various aspects such as physical security,network security (regional and boundary protection),server and application security (identity authentication,permission management, security auditing, resourcecontrol, backup and recovery, etc.), terminal security,mobile media security, printing and recording security,and strengthen data leakage monitoring and earlywarning.
Data Security Management Measures
Relevant SDGs:
2023 Sustainable Development Report
CR Micro
Our Performance:
The comprehensive energy consumption per RMB 10,000 of output value (comparable price) stood at
0.0655
tons ofstandard coal, representing a decrease of
4.20
% compared to the same period last year (comparable price).The comprehensive energy consumption per RMB 10,000 of added value (comparable price) stood at
0.1190
tons ofstandard coal, representing a decrease of
8.53
% compared to the same period last year (comparable price).The water reuse rate of
92.34
%.Green power program: We had planned to steadily increase the annual green power purchase. In 2024, we aim to purchase
million kWh of green power in the Wuxi region and
million kWh in the Chongqing region.Green power efforts: We have steadily increased the annual green power purchase. In 2023, we purchased a total of
10.5
million kilowatt-hours of green power in the Wuxi region and
17.54
million kilowatt-hours in the Chongqing region.Solar photovoltaic program: In 2023, our existing distributed photovoltaic systems generated a total of
2.077
millionkilowatt-hours of electricity. We had planned multiple rooftop distributed photovoltaic systems under construction in variouslocations, with an expected additional installed capacity of
6.623
MWp by 2026.
The CO
emissions per RMB 10,000 of output value (revenue) (comparable price) stood at
0.4237
tons, representing adecrease of
2.12
% compared to the same period last year (comparable price).We have formulated and issued theCarbon Emission Management Measures of China Resources Microelectronics Limited.Each major affiliated energy-consuming unit has established leadership groups for carbon peaking and carbon neutrality asrequired.
The emission of volatile organic compounds stood at
64.4259
tons, indicating a decrease of
20.28
% compared to thesame period last year.
The compliance rate of hazardous waste disposal stood at
% for three consecutive yearsAll affiliated manufacturing enterprises have achieved a
% certification rate for ISO 14001 Environmental ManagementSystem, and wafer manufacturing enterprises have obtained ISO 50001 Energy Management System certification.
Energy consumption performance in 2023:
CO
emission performance in 2023:
Waste gas emission performance in 2023:
Hazardous waste disposal performance in 2023:
New DevelopmentsCreate SustainabilityThrough Green OperationsThe prosperity of civilization relies on the flourishing of ecology. CRMicro actively responds to the call for building a beautiful China,and consistently upholds the development concept that “Greenwater and lush mountains are as valuable as gold and silver”. Wehave established a robust environmental management system,taking proactive measures to address climate change. We advocateand implement clean and low-carbon production to reduce theenvironmental impact caused by our operations. Our goal is toachieve the integration of economic, social, and environmentalbenefits.
Our Actions:
Address ClimateChangePractice GreenProductionEnhance GreenManagement
CR Micro2023 Sustainable Development Report5657AddressClimateChangeRespond to “Dual Carbon”Goals
Mitigating and adapting to climate change is one of the important challenges thathumanity needs to address collectively. Enterprises play a crucial role in achievingthe "dual carbon" goals and responding to climate change. CR Micro recognizes thesignificance of mitigating climate change for both the Company itself and the world. Weactively respond to the national call, tackle the challenges and opportunities brought byclimate change, enhance our resilience to climate change risks, and make a positivecontribution to global climate change mitigation.
The Company actively responds to the national carbonpeaking and carbon neutrality goals. We have formulatedstandard documents such as theCarbon Peaking ActionPlan of CR Micro, the2023 Carbon Peak ingWork Plan ofCR Micro, and theCarbon Emission Management Measuresof CR Micro. We have also established a sound energy andcarbon emission management system and clarified ourenergy and carbon emission management objectives anddirection.
Enhance Organizational Development
Clarify Management Priorities
In accordance with theCarbon Peaking Action Plan ofCR Micro, the Company has established the Strategicand Sustainable Development Committee to continuouslyimprove the carbon emission management system, providingorganizational support to enhance the Company's carbonemission management level. By the end of 2023, each majoraffiliated energy-consuming unit under the Company hasestablished relevant leadership groups for carbon peakingand carbon neutrality, as required by CR Micro. Additionally,all subsidiary wafer manufacturing companies have obtainedISO 50001 Energy Management System certification.
TheCarbon Peaking Action Plan of CR Microclearlyoutlines the medium and long-term key tasks for energyand carbon emission management in the Company,continuously supporting the Company's transition to a greenand low-carbon model and facilitating the comprehensiveimplementation of sustainable development strategies.
Promote energy conservation and carbon reductionactions throughout the entire manufacturing process,enhance carbon emission management capabilities,improve energy recycling and reuse capabilities,enhance resource conservation abilities, foster greenand low-carbon actions among all employees, andfoster collaborative projects for carbon neutrality andinnovation
Key carbon peaking tasks of CR Micro
Establish Management Objectives
TheCarbon Peaking Action Plan of CR Microclearly definesquantitative objectives for energy consumption and CO2emission reduction for the years 2025 and 2030. Theseobjectives are further detailed and broken down for theperiod from 2023 to 2025, ensuring the Company's high-quality and sustainable development.
In 2023, the Company successfully achieved the energyand carbon emission management objectives. Thecomprehensive energy consumption per RMB 10,000 ofoutput value, the comprehensive energy consumption perRMB 10,000 of added value, and the CO2 emission intensityall decreased compared to the previous year, demonstratingsignificant achievements in emission reduction and carbonreduction.By 2025:
To reduce its comprehensive energy consumptionper RMB 10,000 of output value by
To reduce its comprehensive energy consumptionper RMB 10,000 of added value by
To reduce the CO
emissions per RMB 10,000 ofoutput value by
compared to 2020
compared to 2020
compared to 2020
%
%
%
Overall goals for energy and carbon emissionmanagement
Indicators
Indicators
Unit
Unit
Baseline in2020
Baselinein 2020
Achievementof objectives
Decrease compared to 2020
Decreasecompared to2020
Decreasecompared to2020Currentvalue
Target for 2023
Target for 2023
Target for 2024
Actual performance in 2023
Target for 2025
Comprehensive energy consumptionper RMB 10,000 of output value(comparable price)
Comprehensive energy consumption per RMB10,000 of output value (comparable price)Comprehensive energy consumption per RMB10,000 of added value (comparable price)CO
emission intensity
Tons of standardcoal per RMB 10,000
Tons of standardcoal per RMB 10,000Tons of standardcoal per RMB 10,000Tons per RMB10,000
Tons of standardcoal per RMB 10,000Tons per RMB 10,000Comprehensive energy consumptionper RMB 10,000 of added value(comparable price)CO
emission intensity
0.0935
0.1811
0.6542
0.0935
0.1811
0.6542
6%
4.8%
6%
6%
4.8%
6%
10%8%10%
CompletedCompletedCompleted
8%
6.4%
8%
0.0655
0.1190
0.4237
29.95%
34.29%
35.23%
Annual objectives for energy and carbon emission management
Achievement of energy and carbon emissionmanagement objectives
Respond to the “dual carbon” goals and take multiple measures to address climate changeChongqing CR Micro actively responds to the “dual carbon” goals and continuously improves its climate changeresponse system. At the institutional level, the Company has established carbon emission reduction targets for the“14th Five-Year Plan” period and developed procedural documents such as the Management Procedures for EnergyConservation and Carbon Reduction and the Guidebook for Carbon Emission Accounting to manage carbon emissions. Atthe organizational level, a carbon emission management team and a working group have been established to effectivelyreduce the carbon emissions generated by the Company's operations through carbon emission management, verification,and greenhouse gas reduction efforts.
On October 10, 2023, China ResourcesMicroelectronics (Chongqing) Co., Ltd.was recognized as a “Green Factory”
demonstration unit by the ChongqingEconomic and Information Commission.
With the accelerated adjustment of the global energystructure, promoting the use of clean energy has becomean increasing focus for many enterprises. CR Micro activelyseizes the opportunity of clean energy by accelerating theutilization of green power through three major channels:
Self-generation and self-use of green power, developmentand acquisition of green power certificates for green powertrading. It is committed to increasing the use proportion ofclean energy and achieving carbon reduction and emissionreduction in its own production and operation.
Enhance Management CapabilitiesFurther efforts have been made to conduct specializedinspections and implement corrective actions for carbonmanagement, hold carbon management seminars, organizetraining on carbon emission management focusing on thedecomposition and assessment of “dual carbon” goals,carbon emission management boundaries, emission sourceidentification, and carbon emission accounting methods toadvance the Company's carbon management work. CRShanghua and CR Ansheng continue to conduct ISO 14064greenhouse gas verifications.Carry out carbon inventories to facilitatethe construction of “dual carbon”factories
Increase the self-generation and self-use of
photovoltaic energy
Increase the use proportion of green power
Development and acquisition of green power
certificates
Carbon inventories are foundational work forimplementing “dual carbon” factories. Theyare essential processes for determining changesin greenhouse gas emissions before and afterimplementation and are necessary for theexchange of carbon rights in international carbonmarkets. In response to customer requirements,CR Ansheng has established a carbonverification team and has been fully engaged in“dual carbon” management for several years.Third-party audits are conducted in accordancewith the ISO 14064 system specifications.
| 1 | 2 | 3 | 4 | 5 | ||||||||
Determination ofverification scopeCollection ofverification materialsAnalysis ofverification materialsPreparation of averification reportImplementation ofverification
Greenhouse gas verificationstatement by CR Ansheng
Promote Clean EnergyDeployment
CR Shanghua, CR Ansheng, and CR Micro Integratedhave installed distributed photovoltaic systems onfactory rooftops and carports. In 2023, a total of2,077,000 kilowatt-hours of electricity was generated,resulting in a cumulative reduction of 1,184.5 tons ofCO
emissions.
In the Wuxi region, 10.5 million kWh of green energywere purchased from the power company in 2023,with a plan to purchase 10 million kWh in 2024. In theChongqing region, a total of 17.5494 million kWh ofgreen power was purchased in 2023, with a plan topurchase 20 million kWh in 2024.
To further improve the utilization rate of low-energyelectrical equipment, enhance electrification, andreduce the use of fossil fuels, the development andacquisition of green power certificates will be pursuedas appropriate.In Chongqing Park, Chongqing CR Micro, Xipan Company, RunxiMicro, and CR Run'an have collectively implemented photovoltaicpower generation, empowering green development.
PracticeGreenProduction
Strengthen Water ResourceManagement
CR Micro is committed to sustainable development by deeply engaging in greenmanufacturing, fostering environmental protection awareness, actively implementingenergy conservation and emission reduction projects, advocating green and low-carbonlifestyles and work methods, and striving to achieve harmonious coexistence betweenhumans and nature.
The Company considers water resource conservation as oneof the key focuses of sustainable development. It attachesgreat importance to the supervision and implementation ofwater resource management strategies and performance.Under the leadership of the Board of Directors and theStrategic and Sustainable Development Committee, the EHSdepartment and various business groups are specificallyresponsible for the implementation.
Discuss a dedicated topic on water resource management in theCommitteeFormulate goals related to water resource managementSet an annual target of achieving a water reuse rate of 91% oraboveBreak down the action plan for water resource management andpromote its implementation in business groups, in accordancewith the Committee's goals.Implement water resource management measures, incompliance with the requirements of the EHS managementdepartment.
Strategic
andSustainableDevelopmentCommittee underthe Board of DirectorsEHS department ofthe HeadquartersEHS department ofthe Business Group
Simultaneously, strict monitoring and statistics of waterconsumption are conducted to optimize water resourceallocation. Efforts are made to reduce water consumptionand improve water resource utilization efficiency throughprocess transformation, process optimization, and othermethods, promoting green and sustainable development.
Carbon inventory process
CategoryInitiativesPerformance
Water-saving transformationprojects cover all productionfactories, reducing waterconsumption through measuressuch as process optimization,technological upgrades, and
recycling.
In 2023, the Company successfullycompleted 10 major water-saving
projects.
We enhanced informationexchange with the water supplydepartment to promptly receive
information on water supplynetwork emergencies and plannedwater interruptions. We utilizedunderground reservoirs withinthe Company to store waterfor uninterrupted supply. In thisway, we aimed to avoid supplydisruptions caused by waterinterruptions.In 2023, Chongqing CR Microexperienced 5 instances of waterinterruptions on the water supplypipeline in the factory area due toexternal construction issues, eachlasting for 60 hours. However, the
Company's reservoir effectively
ensured normal productionoperation, resulting in no adverse
impact.
Each business group hasindependently formulated the
Water-saving ManagementSystemand theWater-savingManagement Control Procedure
Program, and compiled a list
of water-saving projects. Weenhanced the reuse rate of water
resources through upgrades towater system equipment, collection
and reuse of process water, and
wastewater regeneration.
In 2023, the Company achieved
a reuse rate of water resourcesof 91.23%, an increase of 0.13%
compared to 2022, resulting in a
water savings of 2.0084 million
tons.
RO concentrate water recovery
in pure water systems
Reuse of grinding wastewater
Reuse of cleaning process
water
UF backwash water
Energy conservation technology
transformation
Utilization of alternative water
sources
Reuse of water resources
Water resource management initiatives of CR Micro in 2023
Identification of Water ResourcePressuresWe continuously monitor the current status ofwater resources in our operational areas. Usingexternal tools such as the Water Risk Atlas fromthe World Resources Institute (WRI) and thewater risk screening conducted by the WorldWildlife Fund (WWF), we identify the rationalityof water usage in our production operations,potential impacts of water intake, water scarcity,and physical risks. We then develop effectivetargeted measures to mitigate risks and ensurethat water resources can sustain the Company'slong-term development.
Testing resultResponse measures
Clear objectivesEnhance monitoringEvaluation and allocationEmergency responseAreas of mediumto high risks:
Wuxi baseAreas of lowrisks:
Chongqing factoryand Dongguanfactory
Overall: Use water according to the government's quantitative
indicator on annual water consumption in 2023. We established
a water consumption target of less than 7.72 million tons of water
intake for the Wuxi region (actually 7.1138 million tons).
Break down: Based on the established water intake target for the
Wuxi region, the 6-inch and 8-inch business groups, and the ATBG
have each set annual water consumption targets of less than 3.84
million tons, less than 2.98 million tons, and less than 0.9 million tons,
respectively.
Water monitoring pointsare installed in variousmanufacturing facilities andwastewater outlets to regularlyconduct water balancecalculations. These calculationsinvolve measuring the amountof tap water, process water,recycled water, wastewater, anddomestic water consumptionwithin the factory.
An understanding of waterusage patterns, flow rates, andrecycling practices is gainedto analyze any abnormal waterconsumption and estimateappropriate water allocationamong different units.
Standardized emergency response plans are developed for the6-inch and 8-inch units to address interruptions in external watersupply or deterioration in the quality of tap water. Water reservoirsare installed for emergency use to ensure the stable operation ofproduction lines.The ATBG will establish a monitoring mechanism for abnormaltap water usage, generating daily, weekly, and monthly reports topromptly notify and analyze any anomalies.
WRI risk monitoring results and response measures of CR Micro
Examples of water-saving measures in the Wuxi region
Annualwatersavings of
Annualwatersavings of
Annualwatersavings of
Annualwatersavings of
tons
tons
tons
tons
292,200
53,700
1,119,700
154,400
Reuse of regenerated waterfrom ordinary acid wastewater
Cooling tower scrubber
Annualwatersavings of
Annualwatersavings of
tons
tons
114,900
254,600
Water conservation improvement projects in Wuxi region for 2023
Wastewater Management
Reduction of waste gas emissions
Disposal of solid waste
The main pollutants in the wastewater generated duringour operational activities are ammonia nitrogen and COD.Adhering strictly to emission standards, the Companycontinuously strengthens wastewater management. Throughmeasures such as constructing an emergency pool, initialrainwater collection system, and recycling of flushing water,we further enhance wastewater recycling and achieve water-saving and pollution reduction.
The waste gases generated during the Company'soperational activities mainly consist of sulfur dioxide, nitrogenoxides, and volatile organic compounds. The Companystrengthens the management of waste gas pollutants throughcontinuous improvement of waste gas management andimplementation of projects for waste gas control.
The solid waste generated during the Company's operationalactivities is mainly composed of household waste andkitchen waste generated in daily office operations. The solidwaste generated in production activities mainly includeswaste organic solvents, waste acids, waste activated carbon,sludge, and other solid waste.The Company strictly controls various solid waste inaccordance with theLaw of the People's Republic of Chinaon the Prevention and Control of Environmental Pollution bySolid Wasteand other relevant laws and regulations on solidwaste disposal, as well as theSafety Management Systemof China Resources Microelectronics Limited for HazardousChemicals. It also strengthens the compliant treatmentand recycling of solid waste. During the reporting period,hazardous solid waste was lawfully disposed of by qualifiedhazardous waste disposal units, and the compliance ofdisposal was supervised in all subsidiaries.
Establish an emergency pool and an initial rainwatercollection system across the entire factory area to preventwastewater pollution incidents.Conduct self-monitoring of soil and groundwater, preparereports on soil and groundwater monitoring, and ensurethat wastewater discharge complies with legal regulationsand relevant standards.Recycle and reuse flushing water from the resin polishingand ultrafiltration membrane replacement processes inthe recycling water system, instead of discharging it intowastewater.
Establish a dedicated warehouse for generalsolid waste, and strictly control every aspectof solid waste generation, collection, internaltransportation, storage, transportation, utilization,and disposal to ensure 100% compliant treatmentof various types of solid waste.Strengthen the qualification and technical capacityassessment of general solid waste and hazardouswaste disposal units, strictly review the introductionof new vendors, and conduct regular audits andon-site inspections of existing cooperating units.
Initiatives to reduce wastewater discharge
Initiatives for solid waste management
Strengthen Pollution Control
The Company bears the primary responsibility forenvironmental governance and actively carries out pollutioncontrol work. Based on a clear understanding of the typesof pollutants generated by its production and operation,the Company continuously improves the managementmechanisms for the emission of waste gases, wastewater,and solid waste. It increases investment and implementsprojects to enhance pollution control, reduces pollutantemissions, and regularly monitors the emission of pollutants.It ensures that pollutant emissions meet standards whileminimizing environmental impacts, thereby contributing to thebattle against pollution.
CR Shanghua refers to relevant pollution emissionstandards and establishes its waste gas managementsystem, testing schemes, and management measures.By employing a two-stage waste gas treatmentapproach, waste gas treatment facilities are implementedat both the machine and plant levels to ensure thatwaste gas emissions meet standards and comply withregulations. Additionally, based on production conditions,testing procedures are developed for waste gases, andregular testing and assessment are conducted to ensurethe compliance of waste gas emissions.
Purification of emissions through alkalinewaste gas scrubbersPurification of emissions through zeolitewheel + combustion devicesPurification of emissions through acidicwaste gas scrubbersPurification of emissions through localpretreatment facilities and scrubbers
Acidic wastegasesOrganic wastegasesAlkaline wastegasesEPI (epitaxial)waste gases
Initiatives to reduce waste gas emissions
Types ofwaste gases
Treatment method
Project nameProject contentAnnual water
consumption
The hot water tank on the roof ofthe dormitory used to dischargesteam condensate water directly(approximately 70 degrees). Now,it is collected and reused, resultingin annual savings of approximately
RMB 90,000.
The flushing time for the bedregeneration step was originallyset to 9,999 seconds. During thisstep, the conductivity samplingvalve can be manually openedto observe the conductivity value.If it meets the specified inletconductivity requirements, it canproceed to Step 25, saving RO
water usage.
Set a fixed time for backwashingand optimize backwashing based
on pressure differential rise,thereby extending the backwash
cycle.
By monitoring the flowmeter for10 days after its installation, wehave successfully recovered 46m
of hot water, averaging 4.6m
perday. Based on this, we estimate anannual water savings of1,679m
.
Regenerating once saves 30m
of water, resulting in an estimatedannual water savings of1,440m
.
We anticipate saving7,200m
ofwater annually.
Steam condensate water recovery
system for dormitory bathing
systems
Bed regeneration water-saving
Extended backwash cycles for
MMF and ACF
CR Micro2023 Sustainable Development Report6465EnhanceGreenManagementEnvironmental ManagementSystem
Implement Green OfficePractices
Energy Conservation andEnvironmental Education
CR Micro adheres to the integration of environmentally friendly concepts into corporatedevelopment strategies and policies, incorporating environmental concepts into theentire process of production and operation, continuously improving environmentalmanagement systems, implementing various environmental protection measures,fulfilling environmental protection responsibilities, and striving for a win-win situation interms of economic and environmental benefits.
The Company strictly complies with relevant laws andregulations such as theEnvironmental Protection Law ofthe People's Republic of China, standardizes environmentalmanagement, establishes sound environmental managementsystems and organizations, and strengthens environmentalsupervision and management. In 2023, the total investmentin environmental protection was RMB 47,512,900. Allaffiliated enterprises have obtained ISO 14001 environmentalmanagement system certification, and no environmentalviolations or penalties occurred.
The Company emphasizes integrating the concept ofsustainable development into daily operations, advocatingfor employees to consciously adopt a green, simple, andlow-carbon lifestyle, and cultivating employees to becomeadvocates and practitioners of low-carbon office practices.For example, the affiliated CR Shanghua has implementedgreen office practices through the introduction of the greenoffice initiative of “energy conservation and consumptionreduction starts with me”. This initiative urges employees tominimize water, electricity, and paper usage in the workplace,aiming to establish an environmentally friendly and low-carbon office environment.
Integrate “Environmental Day” and “Energy ConservationWeek” to conduct special training and education onenvironmental protection. Utilize multiple channels andapproaches to promote the concepts of energy conservation,emission reduction, and low-carbon environmentalprotection. Firmly establish employees' awareness of energyconservation and environmental protection, and stimulatetheir enthusiasm and proactivity in participating in energyconservation and emission-reducing initiatives.
Utilize double-sided printing andcopying, and reuse paper whenpossiblePlace paper recycling bins nearcommunal and departmental printers.
Promptly report any leaks infaucets or pipes for timely repairs.Close faucets tightly after use.
Turn off lights and air conditioningin unoccupied meeting rooms.Use air conditioning reasonably,keeping doors and windowsclosed when it's on.Power off electronics whenleaving for the day.
Environmental Warning and EmergencyMechanism
Paperconservation
measures
Waterconservation
measures
Electricityconservation
measures
Establish a strong bottom-line mindset, enhance riskawareness, and continuously standardize environmental riskmanagement. Develop comprehensive contingency plansfor sudden environmental incidents and self-monitoringprograms, strengthen emergency management throughregular training and drills, enhance employees' alertness andemergency response capabilities, and strive to minimize therisks of environmental emergencies.
Develop environmental emergency plans that coverworkshop-level, company-level, and community-levelenvironmental incidents, closely coordinating withlocal government plans to ensure timely and effectiveresponse and control in the event of accidents.Establish emergency response teams, with theCompany leader as the overall commander and relevantleaders as group leaders, to ensure the prompt andrapid implementation of emergency response work.Conduct environmental emergency drills, where eachfactory conducts targeted drills based on its ownenvironmental risk points, promptly identify deficienciesin emergency response and make improvements, whilealso enhancing response capabilities.
Initiatives for environmental risk
management
Initiatives for implementing low-carbon
office practices
CR Shanghua is continuously improving its environmental management practices. The Company has established a positive brand image betweenXinwu District government and enterprises. On June 5, 2023, it was honored with the “Environmental Contribution” award by the Xinwu DistrictEcology and Environment Bureau.
Share videos promoting energy conservation during the EnergyConservation Week through the official WeChat account
Conduct education on environmental protection and energyconservation during the Environmental Protection and EnergyConservation Week.
Organize employees to study policy documents on energyconservation and carbon reduction. Display postersand play electronic displays within the premises of theCompany for promotional and educational purposes.Publish environmental knowledge content throughchannels such as the official WeChat account and websiteof the Company to enhance environmental awarenessamong partners and other stakeholders.Participate in public welfare campaigns to deepenenvironmental awareness and actively advocate for publicparticipation in environmental protection actions.
Internal education
External sharing
Public welfare transmission
Relevant SDGs:
2023 Sustainable Development Report
CR Micro
Our Performance:
Total investment of RMB8,460,434in employee training, with a training coverage rate of
%Proportion of female managers at
19.57
%Investment of RMB7,187,841in occupational health and safety, achieving the goal of zero occupationaldisease incidents
% labor contract signing rate by employees,
% social insurance coverage rate, and
% medicalexamination coverage rate
incentive recipients granted reserved shares under Phase 1 of the Company's equity incentive plan, initiatingthe approval and implementation of the DIS mixed reform shareholding plan for employees
New VitalityEmpower Employees forMutual Growth
CR Micro adheres to the concept of people-oriented approach,considering employees as important partners. We ensure theprotection of employees' legal rights and interests, improve talentdevelopment systems, and smooth career development paths. Wetranslate our care for employees into tangible actions, respondingto their aspirations for a better life and enhancing their sense ofsecurity, fulfillment, and happiness.
Our Actions:
Protect EmployeeRights and InterestsEmpower EmployeeDevelopmentImplement EmployeeCare
CR Micro2023 Sustainable Development Report6869ProtectEmployeeRights andInterests
Equal and CompliantEmployment
Compensation and BenefitsSystem
Enhance Democratic Management
CR Micro strictly adheres to various laws and regulations such as theLabor Law ofthe People's Republic of China and theLabor Contract Law of the People's Republicof China. We believe in hiring employees in accordance with the law and promotinga diverse, inclusive culture. We ensure the protection of employees' legal rights andinterests, continuously improve democratic management, and strive to create a fair andjust workplace environment with equal opportunity for our employees.
The Company firmly implements legal and compliant employmentpractices. We have established relevant systems such as theEmployee Recruitment Management Systemand theEmploymentand Management Measures for Disabled Employees. Basedon the Company's actual work needs and the comprehensivefactors of the applicants' educational background, professionalbackground, and work abilities, we conduct mutual selection.During the employee recruitment and promotion processes, weeliminate all forms of discrimination based on gender, ethnicity,or religion. We provide equal employment and developmentopportunities for every employee, enhancing workplace inclusivity.In 2023, the number of labor dispatch workers employed by theCompany was less than 10% of the total workforce, complyingwith relevant laws and regulations such as theLabor ContractLawand theInterim Provisions on Labor Dispatch. Duringthe reporting period, we employed over 200 recent universitygraduates, effectively driving social employment.
CR Micro continuously improves its compensation structure andbenefits system by implementing theCompensation and BenefitsManagement System of CR Micro. Taking into account factors suchas company performance, individual employee performance, andinternal and external fairness, we gradually optimize a more equitableand reasonable compensation structure and benefits system throughscientific job evaluation and compensation analysis.In addition to providing statutory benefits such as socialinsurance, housing provident fund, paid leave, maternity leave,and breastfeeding breaks, we also offer other non-statutorybenefits including commercial insurance, meals at work, companytransportation, heatstroke prevention, medical examinations,communication support, and employee activities. During the reportingperiod, the Company introduced a team-building activity fundplan, explored flexible working arrangements for employees of theHeadquarters, and enhanced the coverage of commercial insurancefor interns, effectively increasing employee happiness and sense ofbelonging.
The Company attaches great importance to integrating democraticmanagement into important policy releases and optimization ofmanagement methods. We maintain smooth channels of democraticcommunication, establish sound mechanisms for employee feedbackand whistleblower protection, and encourage managers to engagein two-way communication with employees, actively seeking theiropinions and suggestions to enhance employee engagement and teamcohesion.In addition, any employeecan appeal againstimproper behavior, andthe Company will providetimely feedback, conductconfidential investigations,and respond accordingly.When necessary, remedialmeasures will be taken.
MaleMaster's degree and
above
51 years and aboveJunior college
31 to 40 yearsFemaleBachelor's
degree
41 to 50 yearsBelow juniordegree
Under 30 years old
During the reporting periodThe Company had a total of
Female managersaccounted for
3,714
3,501
3,867
2,594
4,209
6,535
3,531
1,81736%
34%
38%
25%
41%
6%
3%
64%
35%
18%
The labor contractsigning rate was
The socialinsurance signingrate was
The medicalexaminationcoverage rate was
We createdemployees
%
%%%
local employment
positions
disabled individualswere employed by theCompany
10,249
19.57
100100100
3,380
Gender ratio in2023
Education levelstructure andproportions in2023
Age distributionof employees in2023
We implement equal pay for equal work between males andfemales, ensuring timely and full payment of wages each month;We arrange employee overtime compensation in accordancewith the law, either through time-off or overtime pay, whilecomplying with minimum wage regulations;We conduct annual reviews of compensation and, based oncompany performance, reasonably set growth plans;We explore flexible working arrangements for employees of theHeadquarters, benchmarking management culture in technologycompanies. We research and optimize the attendancemanagement mechanism for functional staff at headquarters,exploring flexible working arrangements for some employees ofthe Headquarters. We have revised and issued theAttendanceManagement Regulations of China Resources MicroelectronicsLimited for Headquarters Employees.
Compensation management mechanism
Establish the “casual talk” platform,listen to employee feedback
CR Micro has established and perfectedcommunication mechanisms between employeesand the management, continuously expandingchannels for employee communication. Forinstance, the FBG has added a dedicatedcolumn called “Shanghua Casual Talk” on itsofficial website and established employee self-governing organizations such as the “CateringCommittee, Transportation Committee, andDormitory Committee”. These measures ensurethat employees can raise various work and life-related issues on the platform, with designatedpersonnel responsible for responding to, improving,and resolving these issues. In 2023, a total of702 employee inquiries were received, effectivelyaddressing difficulties related to employees' livesand demonstrating care for their well-being.PrivacyprotectionmeasuresPublicdisclosure ofrectificationtimelinePreciseassignmentof responsiblepersonnelDualverification ofresultsStrengthenreportmanagement
To protect the submitter's identityand ensure the confidentiality ofacceptance results.To clearly indicate the expectedcompletion time for acceptanceresults.To precisely assign responsiblepersonnel based on the nature of theissue.To conduct an initial review by HRadministrators and a secondary reviewby HR managers in response todepartmental responses.To implement targeted managementof issues through fuzzy queriesbased on submission time, handlingdepartment, handling status, andcontent.
In 2023, a total ofemployee inquirieswere received andaddressed.
The companyhas continuouslyoptimized theemployee residentialfacilities andrelocated employeedormitories from theLiangxi Road Campusto the MeiyuanDongxiong Hotel
EmpowerEmployeeDevelopmentFacilitate Career DevelopmentChannels
SeniormanagementMiddle-levelmanagementGrassrootsmanagement
IntermediatePrimary
Professionaldevelopment channelAuthoritative
Senior/expert
Senior
Talent cultivation is crucial for the Company's development. CR Micro continues tofocus on the construction of a talent team that is “youthful, international, professional,and market-oriented.” The Company is committed to providing employees with a faircompetitive environment and broad development space, empowering them to growand excel. By transforming talent advantages into development advantages, CR Microprovides strong talent support for promoting high-quality company development.
The Company adheres to the principles of fair competitionand equal opportunities, establishing and perfectingtalent selection mechanisms. It continuously optimizesthe dual-channel system of management developmentand professional development, further improving andimplementing an optimized career progression plan fortechnical talents. This plan provides employees with moredevelopment opportunities and accelerates their growth.
Enhancing talent development
Deepen university-enterprise collaborationBy integrating the dual-channel career development needsof employees, we have established the “LeadershipDevelopment System” and the “Professional CompetenceDevelopment System”. We conduct diverse anddifferentiated talent development activities to comprehensivelyenhance the professional qualities and abilities of ourworkforce, supporting employees in achieving better careerdevelopment.
We deepen collaboration and interactions with domestic
universities, establishing funds for scholarships and
assistance programs to reward outstanding students and
organize students to visit the Company. This enhances
the Company's employer brand image and attractiveness.
We collaborate with universities to establish innovation
internship practice bases, conduct joint training programs
for engineering practice doctoral and master's degrees,
implement 'customized' part-time master's degree joint
training, and jointly cultivate professional talents. We also
organize various forms of campus recruitment events,
including campus job fairs and live presentations, to ensure
a strong reserve of professional and technical talents for
the Company and actively contribute to promoting social
employment.
During the reporting period
The total investment in employee trainingreached RMB
8.4604
million,with an average training investment of RMB
per person. The training coveragerate for employees achieved
%.CR Micro was awarded the title of ExcellentOrganizational Unit for “Study/Dream PursuitAction” in Wuxi from 2019 to 2022.Zhang Sen, the Vice General Manager of theFBG in charge of research and development,was honored as an “Outstanding Young andMiddle-aged Expert in Wuxi City” in 2023.
This system primarily focuses on the construction of themanagement talent team, identifying key areas at differentlevels. We strengthen the development of middle-levelcadres, emphasize the construction of talent reservesand succession planning, and create a cross-disciplinarycadre team with vision, perspective, and unified combateffectiveness.
This system primarily focuses on the construction ofa professional talent pool. Taking into account theCompany's operational situation and business realities,we conduct training that aligns with current strategicgoals. Through practical project experiences, we enhancethe professional competence of talents, improve theiralignment with the organization, and elevate the corecompetitive capabilities of our talent pool.
By leveraging the learning platform of the State-owned Assets Supervision and AdministrationCommission and the CR Learning and InnovationCenter, we strengthen the political training andprofessional competence of the executive leadershipthrough activities such as cadre training programs,thematic education, strategic discussions, and action-based learning.We select outstanding cadres to participate in specialtraining programs organized by the CR Learning andInnovation Center. Through thematic studies, seminarexchanges, thematic party courses, and investigativeresearch, we enhance the judgment, understanding,and execution abilities of the cadres.Based on the Yuanhang Class and the QihangClass, we conduct training activities in various forms,focusing on political training and managementcapabilities. This enhances the political literacy andmanagement abilities of middle-level cadres.Targeting frontline supervisors, line leaders, sectionchiefs, and supervisors at the grassroots level, weprimarily provide practical management skills trainingin areas such as job guidance, work improvement,work relationships, and work safety. This enhancesmanagement efficiency and effectiveness at thegrassroots level.
We implement the “Future Stars” program, ensuring thatnew hires quickly adapt to their positions and graduallygrow into competent professionals. Through a two-weekon-the-job practice and a three-week intensive trainingprogram, we help newcomers identify with the CR, shiftroles, establish ambitions, and gain professional confidence.After joining the Company, we plan a three-year trainingprogram for them, assign mentors, organize apprenticeshipceremonies, and facilitate their high-quality transformationand rapid growth.
Through initiatives such as the national master's anddoctoral pilot projects, integrated circuit engineeringtraining programs, and educational assistance plans, weprovide pathways for upgrading educational qualifications,including from high school education, college education,graduate education, and postgraduate education to doctoraleducation. The national master's and doctoral pilot projectsand the integrated circuit engineering training program aredeep-rooted collaborations between the Company andeducational institutions.
We foster a conducive internal environment for technologyby promoting internal sharing and communication throughforums such as the Expert Forum and the Business GroupEngineer Forum of the Headquarters. This facilitates cross-department and cross-unit exchanges among our scientificand technological talents, broadens the horizons of ourtechnical personnel, and encourages an innovative mindset.
Leadership Development System
Cultivate newlyhired fresh graduates
Upgrade educationalqualifications of talents
Establish atechnology-sharingplatform
Professional competence development system
Group-managedcadres
Company-managed cadres
Middle-levelcadres
Grassrootscadres
CR Micro's dual-channel career advancement
Improve Talent DevelopmentSystem
The Company always adheres to the talent developmentphilosophy of “respecting the value of individuals,developing their potential, and elevating their spirits”. Itcombines employees' personal value pursuit with the dual-channel career development needs to create targeted trainingprograms and continuously improve the talent developmentsystem. Regular performance evaluations are conducted,and employees are actively provided with feedback onthe evaluation results to help them identify issues, clarifydirections, and achieve rapid growth. Employees areencouraged to engage in self-learning and self-development,supporting them in obtaining higher educational degrees andimproving the overall quality of the workforce. This promotesboth personal and company development, leading to mutualsuccess.
Managementdevelopment channel
Employee self-developmentWe have formulated and released theManagementMeasures for Pursuing Master's and Higher EducationDegrees while Employedand theNotice on SupportingEmployees in Applying for Various Professional TechnicalTitles and Occupational Qualifications (Skill Levels). Thesemeasures encourage employees to engage in self-directedlearning and self-development, strengthen continuingeducation and practical experience, enhance employees'personal education levels and technical titles, maintain theinnovative vitality and competitiveness of our talent pool, andimprove the overall quality of our workforce.CR Micro awarded the title of ExcellentOrganizational Unit for “Study/DreamPursuit Action” in Wuxi
In April 2023, the Wuxi Federation of TradeUnions held a work promotion meeting for“Study/Dream Pursuit” & “Improvementof Education for Advanced Workers andOutstanding Employees” in Wuxi, commendingoutstanding organizations in the “Study/Dream Pursuit Action” from 2019 to 2022.CR Micro has consistently nurtured the habit ofself-directed and continuous learning amongemployees, receiving the title of ExcellentOrganizational Unit for “Study/Dream PursuitAction” in Wuxi from 2019 to 2022.
Improve Talent IncentiveMechanismsThe Company attaches great importance to andhas established sound talent incentive mechanisms,continuously optimizingPerformance Assessment andIncentive Management Measures. We adhere to the “dualbenchmark” of performance and compensation, furtherincreasing incentives by improving the compensationmanagement mechanism, comprehensive performance andproject assessment management system, and relevant salesand R&D incentive systems. This aims to stimulate employeecreativity and enhance the stability of our talent pool.In 2023, Zhang Sen, the Vice General Manager of the FBGin charge of research and development, was honored as an“Outstanding Young and Middle-aged Expert in Wuxi City”in 2023, motivating more talents to make new contributions tothe high-quality leapfrog development of the Company andWuxi.
By combining performance orientation, precise incentives,and timely rewards, we have optimized thePerformanceAssessment and Incentive Management Measures of CR Micro,
continuously implementing differentiated assessments andincentives for different groups of employees.
We are strengthening incentives for research and developmentprojects and the transformation of technological achievements,supporting scientific and technological innovation, andimplementing milestone incentives for key projects bysupporting scientific and technological innovation, incentivizingsales growth, and facilitating strategic development. We arealso refining and optimizing sales incentive programs across allunits to further stimulate employees' enthusiasm and vitality forinnovation and entrepreneurship.
Since going public, the Company has established equityincentive plans to encourage the management team andkey personnel to actively focus on shareholder interests andstrive to improve company performance. In 2021, the secondcategory of restricted stock incentive plan was approved atthe Shareholders' Meeting of the Company, granting a totalof 14.2876 million shares of the Company's stock to eligibleincentive recipients, benefiting 1,612 individuals. In 2023, 339incentive recipients were granted reserved shares under Phase1 of the Company's equity incentive plan, initiating the approvaland implementation of the DIS mixed reform shareholding planfor employees.
Incentive system of CR Micro
Enhance incentive mechanisms
Strengthen technological incentives
Implement equity incentives
ImplementEmployeeCareBalance Work and Life
CR Micro continues to increase efforts in employee care, safeguarding their physicaland mental well-being. We provide assistance to employees in need and organizediverse activities to enhance their sense of happiness and fulfillment, working togetherto build a brighter future.
To improve the quality of life and job satisfaction ofemployees, the Company leverages the platform of laborunion activities to establish various associations, including theSanhao Books Reading Club, Ink and Calligraphy Society,Recitation Association, Sports Clubs, Swimming Club, and
Hiking Activity Conducted Along the “Shili Gallery” of LiangxiRiver
The Ink and Calligraphy Society Officially Inaugurated
Employee-Parent Bonding Activities Organized by the FBGRecitation Performances Organized by the Recitation Association
Theme-Based Team-Building Activities Conducted by the PDBGDumpling-Making Sessions Organized for Employees
Walking Club. These associations offer employees a rangeof artistic, sports, and entertainment activities. By organizingdiverse cultural and sports events, we aim to alleviate work-related stress and create a joyful atmosphere for happy workand fulfilling lives, enabling employees to enjoy a better life.
CR Micro2023 Sustainable Development Report7475Care for female employees
Providing assistance andcondolences
Safeguard Physical and MentalHealthTo tap into the strengths of women and consolidate theircollective power, the Company continues to addressissues concerning the careers, health, and lives of femaleemployees, strengthening care and support for them.Measures such as establishing dedicated lactation rooms,conducting screenings for the “two cancers” amongfemale workers, and hiring experts to provide necessarydisease consultation services are implemented to safeguardthe physical and mental well-being of female employees.Furthermore, the Company has formulated theManagementRegulations of China Resources Microelectronics Limitedon the Prevention of Sexual Harassment among FemaleEmployeesto further protect the legitimate rights andspecial interests of female employees, creating a warm andharmonious working environment.
The Company actively assists employees in resolvingpractical issues and establishes a normalized mechanismfor employee support. It conducts visits and condolencesto retired employees and party members facing difficulties,organizes activities to provide assistance and warmth, andcarries out initiatives to address the challenges brought byhigh temperatures. The Company is dedicated to doing gooddeeds, handling practical matters, and resolving difficulties foremployees, creating a heartwarming home.
The Company places great importance on the health andsafety of its employees, actively implementing relevant lawsand regulations such as theLabor Law of the People'sRepublic of Chinaand theRegulation on Work-Related InjuryInsurances. It promotes occupational disease prevention andcontrol knowledge, conducts occupational health educationand training, and establishes employee health stations tocreate a healthy and comfortable working environment.Meanwhile, it has established platforms such as the“Runxinfang” Employee Care Service Station and the “Xinyue
365” Psychological Care Center, connecting with theemployee care projects of the group, providing psychologicalcounseling services to employees and their families 24 hoursa day, effectively ensuring the physical and mental health ofemployees.The ICBG carries out a series ofactivities to care for and supportfemale employeesThe ICBG of CR Micro pays attention to thehealth of female employees and organizesactivities to care for and support them, includingfloral art salons on “International Women'sDay” and lectures on family and childeducation. Additionally, the “Carnation ServiceStation” is established to provide further care,services, and support for female employees,assisting them in comprehensive growth.
Conduct lectures on the theme of “family education”
Establish the “Carnation Service Station”
During the reporting period
During the reporting period
The Company provided assistance to
employees in need.It offered aid to
employeeswith illnesses, totaling an amount of RMB
66,300.Visits and condolences were made to
households of employees in need, with anamount of RMB65,000.
The Company achieved the goal of zerooccupational disease accidents/incidents.A total of10,251employeesreceived occupational health examinations,with a participation rate of
% foremployee examinations for occupationaldiseases.An investment of RMB
7.187841
million was made in employee occupationalhealth.
Improve working environment and conditions, protect the physical and mental health of workersEmployee safety is the foundation for normal productionoperations. The ATBG of CR Micro has establishedstandardized occupational health managementspecifications. By implementing “checklists, areaidentification, health examinations, and labor protectionmeasures”, it ensures the occupational health ofemployees and creates a safe working environment forthem. In 2023, 136 hazardous factors were identified incompliance, and the pass rate for occupational healthexaminations was 100%.
Employees organized by the ATBG to receive training onfirst aid knowledge
Checklist establishmentCarry out occupational
health evaluations toidentify checklists foroccupational health
management inpositions involving acidmist, acid anhydrides,noise, radiation, etc.Furthermore, establishchecklists for drinking
water and canteenhygiene for daily living
management.
Health examinations
Bring coolness in the heat, warm carein every detail
In order to implement the spirit of theNoticeRegarding Staff Heatstroke Prevention andCooling Measures for 2023issued by theWuxi Federation of Trade Unions, the LaborUnion of CR Micro organized the employeerelief activity themed “Union Brings Coolness,Ensuring Heatstroke Prevention and Health”in 2023. This activity aims to sincerely care forthe workers who persevered on the frontlinesdespite the scorching heat. The leaders of theCompany visited and extended their regards torepresentatives of frontline workers, presentingthem with cool gift packages and remindingeveryone to pay attention to heatstrokeprevention and cooling measures while workingand take good care of themselves.
Regional identification
By combining thechecklist for occupational
health management,identify and organize
control areas, andprovide occupational
health notifications.
Conduct regularmonitoring of hazardousfactors and post healthnotifications in workshopbulletin areas.
Establish occupationalhealth records foremployees in controlareas, conductoccupational healthexaminations for newhires and departures,and conduct annualfixed-month occupational
health examinations foremployees in designated
occupational health
positions.
Regularly conductoccupational protection
training, establishmanagement checklistsfor protective equipment
specifications andbrands based on control
measures. Establishcomparison charts forthe wearing of personalprotective equipment inchemical managementareas and implement“visual management”.
Labor protection measures
Relevant SDGs:
2023 Sustainable Development Report
CR Micro
Our Performance:
The Code of Business Conduct for Suppliers of China Resources Microelectronics Limited IssuedA multidimensional, comprehensive, integrated management platform for supplier management that meets therequirements of integrated management and serves the safety of the supply chain is created, enabling full lifecyclemanagement of suppliers
% of suppliers undergoing social impact assessments
% of suppliers undergoing environmental impact assessments
% of procurement staff receiving sustainable procurement training internally
Chongqing CR Micro, CR Micro Integrated, and Xipan Company were honored with the title of “National IntellectualProperty Advantageous Enterprise”.A Method and Structure for Manufacturing a High-Voltage Trench MOSFET Deviceby Chongqing CR Micro awardedthe “China Patent Excellence Award” by the National Intellectual Property AdministrationAs of the end of 2023, the Company has obtained a total of2,202authorized patents, including1,838inventionpatents, accounting for
83.47
% of the total number of patents.
Supplier management performance:
Intellectual property management performance:
New OpportunitiesJoin Hands with Partnersfor DevelopmentBased on its own resources and advantages, CR Micro activelyresponds to industry demands and takes on the responsibility ofindustry development. Seizing market opportunities, it establishesstrategic cooperation mechanisms and collaborates with multiplepartners to jointly develop high-quality strategies, achieve resonance,and grow together, injecting strong impetus into the progress of theindustry.
Our Actions:
Advance StrategicCooperationSafeguard IntellectualProperty RightsEstablish ResponsibleSupply Chains
AdvanceStrategicCooperationParticipate in Industry Exchanges
Strengthen Brand Building
CR Micro actively builds an open and diverse strategic cooperation platform,continuously promotes technological innovation and the sharing of developmentachievements, and creates an efficient and sustainable development model, makingpositive contributions to industry progress and regional economic development.
We actively engage in and broaden our participation inhigh-end market activities. Our primary focus is on industryconferences, forums, summits, annual meetings, exhibitions,and other market events. Through these endeavors, weestablish and maintain close communication channels withour valued customers, industry experts, scholars, and mediarepresentatives. This facilitates our continuous awarenessof industry-related policies and trends. Furthermore, wefoster collaborations with associations, industry institutions,and other stakeholders to effectively integrate resourcesand collectively explore innovative pathways for industryadvancement.
Always guided by market demand, we strengthen theintegration of advantageous resources, continuouslyenrich our product series, optimize our product structure,actively participate in industry exhibitions, focus on cutting-edge technologies and applications, and comprehensivelyshowcase the achievements we have made in technologicalinnovation and product upgrades. Our goal is to enhance ourcore competitiveness.
In April 2023, we took part in the 25th China IntegratedCircuit Manufacturing Annual Conference, where wedelivered a speech titledPromising Future for theDevelopment of the New Energy Industry; SteadyProgress in the Power Semiconductor Field. Duringthe roundtable discussion, we engaged in insightfuldiscussions with entrepreneurs from various sectors,including semiconductor materials, equipment, EDA,and system software. The topics under explorationencompassed the establishment of the developmentframework for the semiconductor industry, collaborativeinnovation, and future prospects.
In August 2023, the 2023 Integrated Circuit (Wuxi)Innovation and Development Conference, SemiconductorEquipment Annual Conference, and Industrial ChainCooperation Forum were held concurrently in Wuxi,Jiangsu Province. CR Micro actively participated, settingup an exhibition booth to showcase third-generationsemiconductors, system solutions, and module products.A conference on the ecosystem of the automotive chipindustry chain was held under the theme of “JoiningHands for Integrated Development of the Vehicle ChipChain”, promoting mutual exchanges between theautomotive and chip industries and jointly advancing theintegration and innovative development of the automotivechip industry. At the opening ceremony of the forum, akeynote speech titledLeading with 'Chip': New Patternsin the Development of the Semiconductor IndustryChainwas delivered, sharing insights on the Company'srelentless efforts and struggles to create a co-buildingand sharing industry ecosystem.
In November 2023, we attended the ChongqingIntegrated Circuit Industry Development Summit Forumand delivered a themed report titledBringing Intelligenceto Chip Development: Constructing the Chip Ecosystem.Combining the trends in the integrated circuit industryand the Company's regional layout, business layout, anddevelopment strategy in the integrated circuit industry, thereport provided insights and prospects for the integratedcircuit industry from three perspectives: The path ofsemiconductor industry development, semiconductorpotential tracks and trends, and contributions to theflourishing development of the Chongqing integratedcircuit industry. The aim was to contribute to theconstruction of the integrated circuit chip ecosystem andpromote the flourishing development of the integratedcircuit industry.
In June 2023, we participated in the 2nd NanshaInternational Integrated Circuit Industry Forum Summit.Under the themeHarnessing the Power of 'Chip' toFoster Prosperous Ecosystem for Integrated Circuits inthe Greater Bay Area, we delivered a presentation thatencompassed a review of the semiconductor industry'sdevelopment cycle over the past three decades, thetrends in China's semiconductor development, thedownstream application structure, analysis of thesemiconductor industry chain, market opportunities in thesemiconductor sector, and insights into the developmentadvantages of integrated circuits in the Greater BayArea. Our aim was to facilitate enhanced cooperationand communication among the global integrated circuitindustry stakeholders along the supply chain.With the development of electric vehicles,intelligentization, and network connectivity, particularlythe explosive growth of new energy vehicles and therapid evolution of automotive electronic and electricalarchitectures, automotive chips have become anindispensable and vital component of the automotiveindustry. Emerging semiconductor technologies suchas third-generation semiconductors, artificial intelligencecomputing chips, advanced chip packaging with highreliability, and 3D packaging techniques continue toemerge and industrialize, bringing revolutionary changesand breakthroughs to the entire automotive industry. Inthe face of tremendous opportunities and challenges,CR Micro will collaborate to build an industry chainecosystem, continuously drive industrial innovation,ensure the security of the industrial supply chain, andcontribute to the development of the automotive industry.
Deepen technological cooperation andexchange for sustainable developmentIn March 2023, CR Shanghua and Chengdu ACTTachieved a new breakthrough in technology andlaunched eFlash IP based on a 0.153μm HD BCDprocess. The combination of Logic eFlash embeddedstorage technology and BCD technology effectivelymeets the multiple requirements of products in termsof power efficiency, performance level, compatibility,and simplifies the number of masks and processsteps of the popular eFlash technology in theindustry. This breakthrough once again pioneersa new era in analog and storage processes. Itsapplicability in various high-temperature and high-reliability scenarios, such as household appliances,industrial electronics, and automotive electronics,has also been further expanded and applied.
From July 11 to 13, 2023, CR Micro showcased a splendid range ofproducts, including power devices, modules, intelligent sensors, andsupporting system solutions, at the 2023 Munich Shanghai Electronics Show.
On November 10 and 11, 2023, ICCAD 2023, a grand event in the integrated circuit industry, was held in Guangzhou. CR Micro demonstrated itscapabilities in wafer manufacturing and mask manufacturing, attracting visitors to stop and exchange ideas.
Xipan Company participated in the Elexcon 2023 ShenzhenInternational Electronics Show, with its SIP assemblyproducts and Fan-Out Panel Level Packaging (FOPLP)technology, sharing the advantages, latest developments,and future plans of Fan-Out Panel Level Packaging.
From October 30 to November 1, 2023, CR Microshowcased a splendid series of products, including powerdevices, modules, intelligent sensors, and supporting systemsolutions, at the Munich South China Electronics Exhibition.
SafeguardIntellectualProperty Rights
Enhance System Guarantees
Protecting intellectual property means protecting innovation. CR Micro attachesgreat importance to intellectual property protection and has established asound intellectual property protection system in its research, development,production, and operation, continuously improving its layout of proprietaryintellectual property. We strengthen training on intellectual property protectionfor employees to tap into the potential for innovation and promote thedissemination and application of patent achievements, thereby facilitating thehigh-quality development of the Company.
The Company continuously improves its intellectual propertymanagement system and formulates normative managementmeasures such as theIntellectual Property Management Measures,thePatent Management Measures, theTrademark ManagementMeasures, and theManagement Measures for the Layout andDesign of Integrated Circuits. Intellectual property protectionis integrated throughout the entire process of the Company'sbusiness development to ensure robust protection of its innovativeachievements. Simultaneously, we conduct intellectual propertyinfringement investigations for our own research and developmentprojects and investment and acquisition projects to mitigateintellectual property infringement risks. In 2023, we filed 479 newinvention patent applications, and theSemiconductor Devicewith ESD Protection Structure and A Method and Structure forManufacturing a Medium- and High-Voltage Trench MOSFETDevice were honored with the China Patent Excellence Award.
As of the end of 2023The Company has accumulatively obtained2,549authorized patents, including1,826authorized and maintained inventionpatents, accounting for
83.26
% of the totalvalid patents.
Three subsidiaries of CR Micro were awarded the title of “National Intellectual PropertyAdvantage Enterprises” in 2023
The invention patent titledA Method and Structure for Manufacturing a Medium- and High-VoltageTrench MOSFET Device was awarded the “Chinese Patent Excellence Award”
CR Micro has deeply cultivated the semiconductor field, adhering to technological self-reliance and maintaining stable growth inhigh-quality patent applications. Through a scientific management model, it has established a sustainable development ecosystemfor intellectual property.In 2023, the National Intellectual Property Administration formulated and released the List of National Intellectual PropertyDemonstration Enterprises and Advantageous Enterprises. CR Micro's subsidiaries, Chongqing CR Micro, CR Micro Integrated andXipan Company, collectively received the title of “National Intellectual Property Advantage Enterprises”. This honor is a significantrecognition of the overall technical strength and brand competitiveness of the Company.
The Chinese Patent Award, jointly organized by the China National Intellectual PropertyAdministration and the World Intellectual Property Organization (WIPO), is currently the highestaward in the field of patents in China and is recognized by the United Nations' WIPO.In 2023, A Method and Structure for Producing a High-Voltage Trench MOSFET DevicebyChongqing CR Micro was awarded the “China Patent Excellence Award” by the NationalIntellectual Property Administration. This award is the first national-level patent award in thehistory of China Resources Microelectronics (Chongqing) and the first national-level patentaward independently applied for and obtained by CR Micro.
CR Micro2023 Sustainable Development Report8283Enhance Intellectual PropertyTrainingTo enhance employees' comprehension of safeguardingintellectual property and their competence in accessingtechnical information related to patents, the Companyimplements specialized intellectual property training utilizinga combination of online and offline methods. It coordinatesseminars concerning analysis reports on patent layouts
and conducts activities themed “Preserving IntellectualProperty, Advancing Comprehensive Innovation”. Theseendeavors encourage employees to take initiative, exhibitenthusiasm, and unleash their creativity, all with the objectiveof maximizing the value of innovation through proficientmanagement of intellectual property at an elevated level.
Intellectual property training
Patent knowledge training
EstablishResponsibleSupply Chains
CR Micro continuously improves its supply chain management system,enhances the standardization of supply chain management, safeguards thelegitimate rights and interests of suppliers, and is committed to building asunshine, transparent, efficient supply chain system. At the same time, theCompany integrates supplier social responsibility management into its dailyoperations, promoting the enhancement of suppliers' capability to fulfill socialresponsibilities.
During the reporting period
% of suppliers undergoing socialimpact assessments
% of suppliers undergoingenvironmental impact assessments
% of procurement staff receivingsustainable procurement training internallyOver
case sharing and empowermenttraining sessions conducted with more than
key suppliers
quality objectives established,
targeted improvements implemented, and
communication meetings held. In2023, the abnormality rate of key supplierssignificantly decreased by
% comparedto the previous yearThree projects of CR Micro received the“Improvement Level” achievement awardby the national QC team
Implement ResponsibleProcurement
The Company has established regulations such as the
Controlled Material Procurement and ManagementSpecifications, theConfidentiality Management System, andtheOutward Investment Management Systemto providesolid institutional guarantees for responsible procurementimplementation. Through the CR Shouzheng platform,electronic procurement is promoted and implemented toensure transparency in procurement. Furthermore, to furtherpromote local industrial development, the Company activelypromotes a policy of parallel global and local procurement,prioritizing the procurement of materials from the Company'slocal area, contributing to the vigorous development of localenterprises and the economy.
Adhere to the principles of “openness, fairness,impartiality, honesty, and creditworthiness”.All suppliers participating in the procurementbusiness of CR Micro must sign the SunshineDeclaration and provide a telephone number forcomplaints and reports in procurement documents.Supplier penalties: Dishonest suppliers engagedin collusion, bid-rigging, or fraudulent activitiesare recorded on the Shouzheng platform and areprohibited from participating in the procurementbusiness of CR Micro during the prohibition period.
Sunshine procurement rules of CR Micro
CR Micro2023 Sustainable Development Report8485Strengthen Supply ChainManagementThe Company has established systems such as theSupplierManagement and the Regular Performance Evaluation ofSuppliersto develop a sound supplier management system.It focuses on the supplier's full lifecycle managementplatform to enhance the supply chain's risk managementcapabilities. It strengthens quality and safety managementin the supply chain, ensuring that suppliers comply withrelevant ethical, safety, health, human rights, social, andenvironmental performance requirements. The Companyrequires the signing of theHazardous Substance GuaranteeCertificatesand the submission of theRestricted SubstanceInquiry Forms, along with third-party HSF testing reports, tofacilitate green and low-carbon supply chain managementand enhance accountability capability.
Preliminary Evaluation of New SuppliersSupply Chain Risk ManagementEnhance Quality and Safety Systems
Conflict Mineral Management
Full lifecycle management
Process for preliminary evaluation of new suppliers
The relevant departments of the Company jointly participatein conducting item-by-item audits of new suppliers, includingtheir material sources, system certifications, environmentalprotection practices, and hazardous chemical management.
We continuously improve the supply chain risk preventionand control system by evaluating supplier product categories,delivery performance, environmental and quality systemcertifications, compliance with local laws and regulations,and disputes related to raw material procurement. Based onthis evaluation, we classify and manage suppliers accordingto risk levels and issue timely warnings. For suppliers withhigher assessed risks, we establish a high-risk material listand strengthen effective interaction with production linesand quality teams. We track and promote physical validationon the production line, expedite the process of diversifyingour supply chain, enhance the risk response capabilitiesof the supply chain, and actively promote its sustainabledevelopment.
We have established systems such as theSupplier QualityControl Proceduresand theSupplier Performance ReviewOperation Specificationsto strengthen the quality and safetymanagement of the supply chain. We conduct regular qualityaudits of suppliers to promptly identify issues and supervisethe corrective process. We also organize training activitiesfor quality and safety management to continuously enhancesuppliers' capability to guarantee product quality and reduceproduct quality and safety risks from the supply chain.
To reduce product quality and safety risksfrom the supply chain, we always adhereto the principle of “on-site, reality andtangibles”and emphaszie prevention andrisk control, and conduct on-site audits.In 2023, we completed on-site audits of
domestic suppliers, with auditcoverage spanning
provinces andmunicipalities across the country.
We adhere to the business philosophy of “not using conflictminerals in our operations”. The Company recognizes thatengaging in mineral extraction, trading, processing, andexport in conflict-affected and high-risk areas not only causessignificant environmental damage but also carries substantialsocial negative impacts. We commit to not sourcing conflictminerals from conflict-affected and high-risk areas.We continuously advance the work of our supply chainsystem in conflict mineral management. In 2023, we initiatedthe development of a supplier code of conduct for businesspractices and issued theCode of Business Conduct forSuppliers of China Resources Microelectronics Limited.This code clearly defines the responsibility of suppliers torefrain from using conflict minerals. Suppliers are requiredto disclose the presence of conflict minerals (gold/tantalum/tin/tungsten) and conduct due diligence on the source andtraceability of these minerals, ensuring that the metals usedand sold by suppliers are free from any conflict situations.
Through the entire process of “introduction, delivery,management, assessment, and exit”, focusing on the threeaspects of “procurement as the main approach, qualityparticipation, and outsourcing supplementation”, we aim toestablish a multidimensional and comprehensive platformfor supplier management that meets the requirements ofintegrated management and serves the safety of the supplychain, enabling full lifecycle management of suppliers. Thisplatform ensures the efficiency and sustainability of thesupply chain, and jointly promotes the healthy developmentof the industry and supply chain.
Starting with the pilot management of procurement suppliers and
gradually expanding and improving it
Initial screening reviewDetailed screening reviewPurchase Department
A multidimensional and comprehensiveplatform for supplier management thatmeets the requirements of integratedmanagement and serves the safety ofthe supply chain, enabling full lifecycle
management of suppliers
Purchase Department
Business license, registered capital andfinancial statementsIndustry position, industry reputation, coreproducts and core teamProduction capacity, delivery assurancecapability, etc.
Current situation analysis, corecompetencies of new suppliers,weaknesses and corresponding strategies,potential areas of collaboration with CRMicroBusiness evaluation
Environment, Health, and Safety(EHS)
TB committee
QC Department
QC DepartmentTB evaluation form > 80 pointsControl plan
Measurement equipment
Long-term data (Certificate of
Analysis, COA)
Introduction
Exit
AssessmentDelivery
Management
Code ofBusinessConduct forSuppliers ofChina ResourcesMicroelectronicsLimited
Tangibles
RealityOn-siteLegal and regulatory compliancecertificates and Material Safety Data Sheet(MSDS)Production and operation permits forhazardous chemicalsEnvironmental impact assessment report
Quality system certificateExisting customer information
OutsourcingsupplementationProcurementas the main
approach
Qualityparticipation
Quality and Safety Management Initiatives for Suppliers
Quality evaluationImplement training initiativesEmpower management
Based on the four aspects of “quality, business,delivery, and service”, we regularly assessand evaluate suppliers' performance. Excellentsuppliers are given opportunities for increasedcooperation, while inadequate suppliers arerequired to make improvements and are closelymonitored.In 2023, quality objectives were set for 35key material suppliers, with 50 targetedimprovements implemented and 53communication meetings held. The abnormalityrate of key suppliers showed significantimprovement, decreasing by 64% compared tothe previous year.
We organize special training sessions on qualitymanagement, and share cases of productquality and safety risk control. Additionally, wehold periodic training sessions on environmentaland social aspects to strengthen suppliers'accountability.In 2023, more than 60 case sharing andempowerment training sessions were conductedwith over 20 major suppliers. Standardizedrequirements for supplier product managementand key process management methods wereestablished to promote the implementation ofcontrol measures for automotive electronicmaterials, continuously improving the level ofsupplier quality management.
We assist suppliers in establishing qualitymanagement systems to improve productquality. We also help suppliers enhanceproduction processes, technology, raw materials,packaging, transportation, and other aspects toreduce production costs.
Conduct empowerment training and share it with suppliers
Relevant SDGs:
2023 Sustainable Development Report
CR Micro
Our Performance:
RMB 21.97 million invested in safety productionTheAnnual Action Plan of CR Micro for Strengthening Safety Managementwas issued and athree-year special campaign was launched for safety production rectificationIn 2023, RMB 650,000 was donated to charity and nearly RMB 280,000 contributed torural consumptionThe “Nuan'xinhumiao” educational assistance program was initiated, assisting 86underprivileged students in completing their studiesThe “Yishanxin” old clothes recycling project was selected as an excellent volunteerservice project in Wuxi City
New UndertakingsDedicate to Society,Promote a Better Future
CR Micro continuously strengthens safety management, focuseson safety production, strives to enhance the safety awareness andskills of all employees, and solidifies the foundation of safety. Weinsist on synchronizing corporate development with giving back tosociety, supporting rural revitalization, deeply cultivating charitablecauses, and sharing the fruits of development. We fulfill our socialresponsibilities through practical actions.
Our Actions:
Ensure SafeProductionFoster Social WelfareParticipate inCommunity Building
CR Micro2023 Sustainable Development Report9091EnsureSafeProductionSafety Management System
Safety Hazard Investigation
CR Micro actively implements the important instructions and requirements of GeneralSecretary Xi Jinping regarding safety production. Following the safety concept of “lifefirst”, we aim for “zero accidents, zero injuries, and zero pollution” as our work goal.We establish and improve a safety management system, intensify the identification andrectification of hazards, strengthen the construction of a safety culture, and effectivelycontrol occupational health and safety risks related to production and operation.
The Company optimizes and improves the EHS managementsystem, continuously strengthens the construction ofsafety regulations, and enhances the level and efficiencyof safety management. It is committed to establishing acomprehensive safety production management system thatextends horizontally and vertically.During the reporting period, the Company activelyimplemented the action plan of strengthening safetymanagement in state-owned enterprises. It refined andimplemented the action plan for the year of strengtheningsafety management in the Group. Based on the actualsituation of CR Micro and its subsidiaries, theAnnual ActionPlan of CR Micro for Strengthening Safety Management
was issued. The Company solidly carried out the action planfor the year of strengthening safety management, formed astage summary report, consolidated the foundation of safetyproduction, and comprehensively improved the level of safetyproduction management.
The Company held an emergency meeting on safetyproduction in 2023 and formulated theEHS Accidentand Incident Accountability Measures of China ResourcesMicroelectronics Limited. It organized special safetyinvestigations and rectification, focusing on variousproduction parks of the Company. Supervision inspectionsand rectification implementation of safety production hazardswere carried out concerning aspects such as electrical safety,fire safety, and the daily use and supervision of hazardouschemicals.
Enhance emergency response plans, standardize responseprocedures, effectively manage and prevent fire safetyhazards that may arise during operations, and control firesafety hazards at the source.Regularly conduct emergency drills and fire skills training toenhance the capability to handle emergency incidents.Supervise units at all levels to establish dedicated andpart-time fire brigades, provide guidance on equippingfire equipment and extinguishing agents, conduct fireinspections, and ensure fire safety responsibilities areimplemented.Utilize new technologies such as the Fire Cloud IntelligentPlatform and CCTV surveillance systems to collect fireinformation data, implement personnel emergency duty,and improve the level of fire safety management and dailyemergency management efficiency.
During the reporting periodRMB
21.97
million invested in safetyproduction
142,549training hours devoted tosafety training, achieving a coverage rate of
%
safety emergency drills organized,involving15,955 participantsNo major or above accidents occurred, andno reported cases of occupational diseases
full-time safety management personnelemployed, including
registered safetyengineers
Wuxi CR Shanghua was awardedthe title of “DemonstrationEnterprise for Safety Production”
CR Micro actively assumes its socialresponsibility for safety production, continuouslyconducts safety education and training foremployees, organizes emergency drills,enhances the safety awareness and evacuationabilities of all staff members, and promotesthe improvement of safety management andemergency response capabilities to a new level.In June 2023, CR Shanghua was awarded thetitle of “Demonstration Enterprise for SafetyProduction” in the Wuxi High-tech Zone.
Implement the Main Responsibility For Safety
Fire Safety Hazards
Enhance Safety Information Management
The Company considers the establishment of a safetyproduction responsibility system as the core and foundationof its EHS work. In accordance with the laws and regulationssuch as theProduction Safety Law of the People's Republic ofChina and the Regulations of Jiangsu Province on Work Safety,the Company has formulated multiple systems, including the“Safety Production Management Objectives and ResponsibilitySystem” and the “Level Four Enterprise OccupationalHealth and Safety Responsibility Regulations”. It has refinedand improved the safety production responsibility lists for theCompany's top leader, EHS responsible persons, and keymanagement personnel, as well as the annual safety productionwork task lists. The Company has organized the signing ofoccupational health and safety responsibility commitment lettersat all levels, ensuring the hierarchical decomposition of safetyproduction management objectives and responsibility systemsand implementing occupational health and safety responsibilitiesat every position. Efforts are being made to promote the safetyproduction responsibility system.
Establish a dual prevention mechanism for safety productionrisk control and hidden hazard investigation, and improvethe dual control information management system. Using the“Three Platforms and One Window” system as an effectivetool, real-time display of safety risk management informationis carried out, promoting and improving the Company's dualcontrol management level.
The safety production committee of CR Micro has deployed andarranged the Company's safety work
Dual control information management system
Dual control information
Publicity platform
Safety checkReporting platform
Hazard investigationGovernance platform
Dual control information
Update windowAddress the issueof publicizing “dualcontrol” informationrequired by regulations,and reflect theinformatization aspect insafety production laws.
Address the issue of“three managementsand three requirements”in safety production laws,
and provide necessarymeans for departments tofulfill their safety production
responsibilities.
Address the issue ofclosed-loop governance,adopt a method to trackthe improvement of safetyhazards, promote hiddenhazard rectification, andachieve inherent safety.
Address the basicinformation issue of the“Three Platforms” bycontinuously updating andimproving the information,forming a “PDCA” cycle.
Hazardous Chemical HazardsImplement Safety Training and Promotion
Enhance Safety Management Capability
Adhering to international management regulations forhazardous chemical management, we formulate theSafetyManagement System of China Resources MicroelectronicsLimited for Hazardous Chemicalsand theSpecial Three-Year Action Implementation Plan of CR Micro for HazardousChemical Rectification, implement special safety inspectionsfor hazardous chemicals, and focus on identifying safetyrisks, hazards, and management issues during transportationand storage of hazardous chemicals; we strengthen thesafety management of precursor chemicals and flammableand explosive chemicals, strictly manage hazardouschemicals, and eliminate potential hazardous incidents.
Adhering to the action policy of strengthening safetyproduction throughout the year, taking advantage of “SafetyProduction Month” and various special activities organizedby the Group, the company launches safety productionlearning videos, organizes safety production knowledgequizzes, and conducts activities such as safety productionmonth theme events, Ankang Cup labor skill competition,and reporting hazards through mobile apps to create astrong safety atmosphere. At the same time, we activelyconduct hierarchical and classified training, and increase thetraining efforts for team leaders and key personnel in EHSmanagement positions of the Company; we expand thecoverage of training to promote the improvement of safetyproduction awareness among all employees.Solidly promote the construction of the “Three SafetyCompetencies”, strengthen accident source control,process control of hazards, and emergency response afteraccidents, promote the improvement of safety managementmechanisms, enhance the professional level of safetymanagement teams, and strengthen safety managementawareness, thereby achieving “effective risk prevention,sound governance of hazards, timely incident response, andeffective prevention of accidents”, and establishing a soundlong-term mechanism for safety production.Conduct comprehensive on-site audits of specialized work.Affiliated units coordinate the promotion of complianceconstruction through the establishment of an informationmanagement system, improve system management,enhance risk control measures, and enhance risk preventioncapabilities.
Safety Management System of China Resources MicroelectronicsLimited for Hazardous Chemicals
Safety Culture ConstructionWhile continuously advancing safety risk preventionand control, the Company is committed to creating anddeveloping a safety culture and atmosphere. By improvingthe fundamental safety production capabilities of employees,conduct diverse safety culture-themed activities, promotesafety production management concepts, strengthenemployees' safety awareness, and fortify the ideologicaldefense line of safety production.
Enhance safetymanagement capabilitySound governance ofhazardsEffective risk preventionTimely incident response
Promote the enhancementof safety management
mechanisms.
Strengthen safetymanagement awarenessEnhance the professional
level of the safetymanagement team.
Foster a conducive safety
culture atmosphere
Establishmentof evaluationcriteria for the“Three SafetyCompetencies”
Initial assessment ofthe “Three Safety
Competencies”
Overall improvementof the “Three Safety
Competencies”
Dongguan basePromotionPrecisequantification
Shenzhen baseDiagnosis of issuesrelated to the “ThreeSafety Competencies”
Extraction of excellentpractices for the “ThreeSafety Competencies”
In 2023, the “Three Safety Competencies”construction in Dongguan and Shenzhenbases was prioritized as planned.
Safety training conducted for key position team leaders
Practical promotion conducted for cardiopulmonary resuscitationemergency skills
Strengthen the construction of the safety personnel team,encourage grassroots employees to participate in nationalprofessional technical examinations such as the NationalRegistered Safety Engineer and Registered Fire Engineer,and provide cash rewards to employees who obtaincertifications.Improve the incentive mechanism for safety productionpositions, conduct monthly assessments of grassrootssafety management personnel, and introduce safetyEHS performance to enhance enthusiasm for EHSmanagement positions.Actively participate in group safety production knowledgeand management capability training and assessments toimprove safety production management capabilities.
Other practical initiatives
Foster SocialWelfare
Engage in Volunteer Activities
Empower Rural Revitalization
CR Micro is committed to integrating social responsibility into its businessoperations and development. It participates in volunteer public welfare activities,supports rural revitalization, and reciprocates care from all parties through practicalactions. It actively integrates into society, serves society, and practices the conceptof a community with a shared future for mankind, making contributions to theharmonious development of society and the well-being of the people.
In order to promote equal and balanced development of education,the Company, in collaboration with the Wuxi Red Cross Society andWuxi Education Bureau, organizes paired assistance programs andestablishes the “Support Education with Warm Chips” team of CRMicro. Through donating educational assistance funds and materials,we assist underprivileged children in completing their studies, andtransmitting care and positive energy for their growth.
- Wuxi Red Cross Society
The Company vigorously promotes the spirit of volunteers,emphasizing “Dedication, Friendship, Mutual Assistance,and Progress”, and actively participating in social welfareundertakings.
The Company has taken on the important mission of ruralrevitalization, proactively focusing on industries, education,consumption, and other fields. Tailoring our efforts tolocal conditions, we have implemented measures such asconsumer support, pairing for joint construction, and materialdonations to effectively contribute to rural revitalization.In 2023, leveraging our organizational and resourceadvantages, the Company deeply cultivated the path ofrural revitalization through consumer support. We activelyparticipated in the “Consumer Support by a State-ownedEnterprise for Rural Development Week” event, contributingnearly RMB 280,000 to agricultural consumption. Thepurchased agricultural products mainly came from 256counties designated for support by state-owned enterprises,21 counties in Xizang, 16 counties in Qinghai Province, 7counties in the original Central Soviet Area of the south ofJiangxi Province, as well as counties supported by the State-owned Assets Supervision and Administration Commissionby targeted and paired assistance. This enhanced the“hematopoietic” function of the supported regions,stimulated rural development vitality, and assisted in achievingcommon prosperity.
Build a Public Welfare Brand
Implement funding for educationalassistanceOrganize voluntary blood donation
We establish the “Yishanxin” public welfare brand of CRMicro, organize volunteer service teams to visit shoppingmalls, schools, and communities, conduct used clothingrecycling activities and public education lectures, continuouslypromote public welfare and environmental protection, andadvocate the concept of resource conservation through thereuse of old clothes. In 2023, more than 10 used clothingrecycling events were held, resulting in a total collectionof 5.88 tons of old clothes. The “Yishanxin” project wassuccessfully selected as an excellent volunteer service projectin Wuxi City.
In order to promote equal and balanced development ofeducation, the Company, in collaboration with the Wuxi RedCross Society and Wuxi Education Bureau, organizes pairedassistance programs and establishes the “Nuan'xinhumiao”team of CR Micro. Through donating educational assistancefunds and materials, we assist underprivileged children incompleting their studies, and transmitting care and positiveenergy for their growth. In 2023, we targeted and paired 86financially disadvantaged students from Wuxi and donated atotal of RMB 86,000 for their education.
Blood is the source of life, and love is the dawn of life. Overthe years, the Company has actively encouraged partymembers, cadres, and frontline employees to participate involuntary blood donation activities, conveying positive socialenergy through practical actions. In 2023, a total of 175employees donated a heartfelt amount of 52,900 millilitersof blood, fully demonstrating the spirit of dedication andhelpfulness among the vast staff of CR Micro.
The PDBG visited Luoshe Central Primary School in Wuxi to carry out the “Yishanxin” activity
The ATBG visited Xihui Community in Liangxi District to carry out the “Yishanxin” activity
Tips of CR Micro
“Yishanxin” is a public welfare andenvironmental protection project initiatedby the Company in collaboration with theLabor Union of Wuxi Civil Affairs Bureauand the “Runzhishou” platform under theenvironmental protection department of ChinaResources. Adhering to the concept that “everypiece of old clothing represents a kind heart”,the Company carries out public welfare andenvironmental protection activities for usedclothing recycling. The aim is to promote therecycling of old clothes while also makingit an effective approach for the Companyto contribute to “dual carbon” goals andadvocate for public welfare and environmentalprotection. It is a beneficial exploration of CRMicro's fulfillment of social responsibilities.
CR Micro
Participate inCommunity BuildingCR Micro upholds the values of “honesty and trustworthiness,performance orientation, people-oriented, and innovativedevelopment”. We actively assume social responsibility througha series of public welfare activities, including popular scienceeducation in schools and organizing student visits and internships,demonstrating the responsibilities of a state-owned enterprise.
The ICBG conducted the “Popular Science Education in Schools”program with Wuxi Taihu Gezhi Middle School
Semicon actively participated in community union activities
FutureProspects
Standing at the forefront, one can truly comprehend the towering waves and fiercewinds; only ascending to a great height and looking into the distance can onebehold the vastness of the sky and the lofty heavens. Starting at the new point in2024, the second half of the “14th Five-Year Plan” period unfolds, with a newblueprint outlined in the continuation of our mission, a new chapter composedthrough steadfast progress, and a new masterpiece written through unremittingefforts.With determination, we should move forward and fulfill our mission. Wewill promote the highly integrated development of technological innovationand high-quality growth, actively advance forward-looking research anddevelopment projects, and extensively cover high-growth application areas suchas industrial control, automotive electronics, and smart sensors that urgentlyrequire technological breakthroughs, supporting the innovation-driven strategy.Following the path of “technological innovation” and “application-driven”,we will enhance the depth and breadth of product development, strengthenour technological reserves, and make greater contributions to the progress anddevelopment of the semiconductor industry.With unwavering belief, we will forge ahead steadily. We will persist in deepeningthe IDM business model, leveraging our manufacturing capabilities to acceleratethe development of our product business. Continuously deepening our presencein the Yangtze River and Three Regions, we will establish an industrial basefor automotive-grade power semiconductors and an industrial ecosystem forautomotive chips. We will build a leading-edge mask manufacturing base, a third-generation semiconductor research and manufacturing base, and a technologicalinnovation center for product and application industrialization.Gathering momentum, we will march forward courageously. We will continue toadvance a new round of deepening reforms, benchmarking against world-classenterprises to comprehensively enhance our value creation capabilities. We willuphold the tower of quality, strive for excellence, and build a high-quality, efficient,and trustworthy corporate brand. We will explore and optimize our customerstructure, product portfolio, and end applications to better meet market needs. Wewill strengthen the bridge of service, persist in innovation, and respond sincerelyand passionately to the expectations of customers, partners, and shareholders,creating a company that is highly respected by society, trusted by shareholders,and loved by employees.
2023 Sustainable Development Report
FBG：93.26PDBG：92.64ICBG：92.62ATBG：92
6吋：99.568A：99.698B：99.326C：99.89T1: 99.94T2：99.86A3：99.85
11.54
1,597
26.72
5,896
9.86
3,639
8.61
0.0655
0.1190
0.268
0.48
556,847.70
0.42
0.7598
64.43
6.9794
141.269
4.7025
99.01
16.87
14.38
14.79
292.15
236.30
7.15
6.30
107.87
19.78
46.46
27.70
6.08
20.77
10,251
10,251
FBG：93.25PDBG：93ICBG：91.84ATBG：90
6吋：99.578A：99.608B：99.326C：99.93T1：99.94T2：99.80A3：99.84
9.21
1,413
31.35
4,071
9.21
3,425
8.84
0.0683
0.1301
0.130
0.55
608,812.17
0.47
0.5388
32.03
6.9858
135.318
4.6622
100.60
26.53
25.99
26.17
264.58
206.96
14.04
11.04
117.55
34.02
54.82
16.23
5.67
30.99
9,470
9,470
FBG：93.12PDBG：91.90ICBG：93.33ATBG：87.83
6吋：99.658A：99.568B：99.276C：99.94T1：99.94T2：99.62A3：99.80
7.13
19.78
4,472
7.94
2,705
7.91
0.0785
0.1353
0.135
0.27
542,352.54
0.54
0.5378
144.54
6.6898
122.505
4.0890
92.49
23.54
22.58
22.68
221.91
175.00
15.48
10.71
119.78
32.64
51.32
12.66
4.95
28.13
8,989
8,989
%%%
%
RMB 100 millionPersonNos.RMB 100 millionNos.Nos.Nos.%Nos.RMB 10,000TimesNos.%%Nos.%
10,000 tons
RMB 100 millionRMB 100 millionTonTons per RMB 10,000TonTonTonTonTonRMB 100 millionRMB 100 millionRMB 100 millionRMB 100 millionRMB 100 millionRMB 100 million%%%%RMB 10,000/personRMB 100 millionRMB 100 millionRMB 100 millionPerson%%%Person
Contract fulfillment rateCustomer satisfactionCustomer complaint handling rate
Product qualification rate
R&D Investment
Sales revenue of new productsNumber of new patents grantedMajor innovation awardsNumber of patents held and applied for
Number of violations and penalties
Total number of suppliers
Comprehensive energy consumption
Total investment in environmental protectionTotal CO
emissionsCO
emissions per RMB 10,000 of output valueSulfur dioxide emissionsVolatile organic compound emissionsAmmonia nitrogen emissionsChemical oxygen demand (COD) emissionsNitrogen oxide emissionsOperating incomeTotal profitNet ProfitTotal assetsNet assetsWeighted average return on net assetsReturn on total assetsValue-added rate of state-owned assetsProfit margin on cost and expensesOverall labor productivityTotal investment in fixed assetsTotal tax paymentTotal revenue and taxesTotal number of employeesSigning rate of the labor contractCoverage rate of social insuranceCoverage rate of medical examination
Comprehensive energy consumption per RMB10,000 of output value (comparable price)
Tons of standard coalper RMB 10,000Tons of standard coalper RMB 10,000Investment in energy conservation and emissionreduction technology upgradesComprehensive energy consumption per RMB10,000 of added value (comparable price)
Net profit attributable to owners of the parentcompany
Number of employees receiving healthexaminations
Customerresponsibility
Environmentalresponsibility
Economicresponsibility
Employeeresponsibility
Partnerresponsibility
Appendixes
Key Performance Indicators
Responsibilityscope
ResponsibilityscopeIndicatorIndicatorUnitUnit202120212022202220232023
Number of research and development personnelNumber of contributions to international, national,or industry standards
Supplier certification rate for quality,environment, and occupational health andsafety systemsNumber of strategic cooperation agreementssignedExpenditure on industry-university-researchcollaborationNumber of significant negative public relationsincidents handledPercentage of suppliers undergoing socialimpact assessments.Percentage of suppliers undergoingenvironmental impact assessments.Percentage of procurement staff receivingsustainable procurement training internally.
%Person%RMB/year%%RMB 10,000MerchantsRMB 10,000RMB 10,000RMB 10,000PersonRMB 10,000RMB 10,000PersonTimes‰PersonPersonDuration%RMB 100 millionTimesPersonPersonPersonRMB 10,000
0.08
8,460,434
92.6
2.99
6.50
8.6
6.63
2,766
1,121
142,549
0.2197
15,955
718.78
0.07
6,914,105
82.56
91.98
7.42
3.63
4.54
2,343
91,609
0.2208
9,612
894.41
0.07
6,795,635
78.48
91.20
23.73
5.46
25.83
1,917
102,297
0.2003
11,009
680.32
Number of disabled employeesCoverage rate of employee trainingPer capita training investmentTotal investment in employee trainingEmployee satisfaction with the canteenEmployee satisfaction with the dormitoryAssistance provided to employees in needInvestment in assisting employees in needVisits and condolences to families of employees in needSupport for the education of children in needAmount spent on supporting the education of children in needAssistance provided to employees with illnessesInvestment in assisting employees with illnessesNumber of new employees hired (total number of recruitsduring the reporting period)Expenditure on charitable and public welfare activitiesInvestment in rural revitalizationNumber of volunteersNumber of general and major accidentsMortality rate per thousand individualsNumber of accident-related deathsNumber of employee fatalitiesTraining hours on safetyCoverage rate of occupational health and safety trainingSafety production investmentNumber of safety emergency drillsNumber of participants in safety emergency drillsNumber of dedicated safety management personnelNumber of registered safety engineersNumber of occupational disease casesInvestment in employee occupational health and safety
About this ReportMessage from Leadership
About CR Micro
P1.1-1.3P2.1-2.2
G3.11P3,E1.8,V1.1-1.4,V2.1-2.4P3,E4.1-4.3,V4.4-4.5G2.1-2.4,G3.1-3.10
V2.1-2.8S4.1-4.2S4.3-4.9E2,1-2.5,E5.1-5.4,V4.1-4.5E2.9-2.13,E3.1-3.5,E3.6,E3.8,E3.10E1.1-1.4,E1.6-1.9,E2.14-2.15S1.1-1.4,S1.6-1.8S2.1-2.4S1.10-1.11,S3.1-3.3V2.5-2.8V2.4,V2.7S5.1-5.3,S5.6-5.7,V2.5-2.6S3.4-3.11V3.1-3.7V3.4A1A2A4A5
P02P04P06P08P09P09P10P16P18P20P28P33P40P46P50P56P59P64P68P70P73P78P81P83P90P94P96P97P98P101P102
Topic 1: Seize the clean development opportunity and deepen theapplication of low-carbon productsSustainable Development ManagementTopic 2: Protect clear waters and green mountains and takemultiple measures to protect the ecological environment of theYangtze River
Future ProspectsAppendixes
Company ProfileOrganization StructureCorporate StrategyCorporate CultureHonors in 2023
P4.1-4.3
G1.1-1.11
Regulate Corporate Governance ActivitiesPromote Risk ComplianceEnhancing the quality controlOffering high-quality servicesAddress Climate ChangePractice Green ProductionEnhance Green ManagementProtect Employee Rights and InterestsEmpower Employee DevelopmentImplement Employee CareAdvance Strategic CooperationSafeguard Intellectual Property RightsEstablish Responsible Supply ChainsEnsure Safe ProductionFoster Social WelfareParticipate in Community BuildingKey Performance IndicatorsIndex ReferencesOpinions and Feedback
Index References
ReportlocationGuidelines for Corporate Social ResponsibilityReporting in China (CASS-ESG5.0)Secondary titlePrimary titleResponsibilityscope
IndicatorUnit202120222023Proportion of female managers (directly managedby the departments of the Group and its subordinateenterprises)
RMB 10,000/person
Number of individualsor households assisted
number of individualssupportednumber of individualssupported
number of individualssupported
Investment in visits and condolences to families ofemployees in need
Employeeresponsibility
New JourneyGather our Heartsand Minds to Drawa New Chapter
Product innovation and R&DNew MomentumServe Customersto Share a BetterFutureNew DevelopmentsCreate SustainabilityThrough GreenOperationsNew VitalityEmpowerEmployees forMutual GrowthNew OpportunitiesJoin Hands withPartners forDevelopmentNew UndertakingsDedicate to Society,Promote a BetterFuture
Publicresponsibility
CR Micro
Opinions and Feedback
Esteemed Readers:
Thank you for reading the2023 Annual SustainableDevelopment Report of China Resources MicroelectronicsLimited.In order to provide you and other stakeholders with moreprofessional, and valuable information, and to effectivelyenhance the Company's capability and level of fulfillingcorporate social responsibility, we sincerely hope to hear yourvaluable opinions and suggestions. We look forward to yourfeedback through the following channels:
Your information
Open-ended questions
Contact address: No. 14 Liangxi Road, Wuxi City,Jiangsu ProvinceZip code: 214061Contact No.: +86-510-81805891Fax No.: +86-510-85872470Official website: www.crmicro.com
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9. Which topics in the Report are of most interest to you?10. Do you have any other comments or suggestions
regarding the Report?
1. How would you rate the Report overall?
3. Do you think the Report reflects the significant impact of
CR Micro on the environment?
5. Do you think the Report reflects the corporate
governance situation of CR Micro?
7. How would you rate the overall quality of written
expression in the Report?
2. Do you think the Report reflects the significant impact of
CR Micro on the economy?
4. Do you think the Report reflects the significant impact of
CR Micro on society?
6. How would you rate the overall level of information
disclosure in the Report?
8. How would you rate the overall design style of the
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Multiple choice questions (please tick at the corresponding position) (1 being the lowest score, 5 being the highest one)
CR Micro