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【High-end Interview】135 Strategy Leads to the Realization of ESG Goals——Interview with Li Ling, Vice President of ANTA

author:Xinhua Finance

Xinhua Finance and Economics, Beijing, May 8 (Reporter He Fenglun, Zhai Zhuo, Gao Shaohua) As the global goals of "carbon emission reduction" and "carbon neutrality" are approaching, the "carbon threshold" of the high-end market in the European Union and North America is becoming increasingly clear, and the "low-carbon competition" between enterprises in various countries is becoming increasingly fierce. ESG (Environmental, Social and Governance) has become an important factor in the core competitiveness of enterprises. Chinese footwear companies, which have become "leaders", will adopt strategies to promote the arrival of a green and low-carbon era. The reporter recently had an exclusive interview with Li Ling, Vice President of Anta Group, who gave a detailed answer to Anta Group's ESG strategy and specific measures.

Q: Investors, consumers and stakeholders are increasingly focusing on a company's ESG performance and evaluating its long-term value and competitiveness accordingly. As the world's leading footwear and apparel group, what is ANTA's understanding of ESG?

A: China has pledged to the world the goals of "carbon peaking" and "carbon neutrality", and ANTA Group has actively responded to the dual carbon goals, emphasizing that new quality productivity should be based on green and sustainable development, and green and low-carbon production is an important part of new quality productivity. As the largest sportswear group in China, ANTA Group has formulated a clear ESG strategy and goals based on its business characteristics and market positioning, and has achieved fruitful results.

ANTA Group has deeply embed the concept of sustainable development in every aspect of the company's management by building a green product system, building a green supply chain, supporting biodiversity conservation, and continuously upgrading corporate governance, especially establishing a sustainable development management system with a layer-by-layer responsibility system. ANTA Group has released ESG reports for nine consecutive years, proactively disclosing its positive practices and achievements in the field of ESG and sustainable development. ANTA's outstanding performance in ESG communication has also won it a number of domestic and international awards and honors, further consolidating its leading position in this field. According to Wisers | MSL | According to the 2023 White Paper on Corporate Communication Trends on ESG Issues with Chinese Characteristics (Carbon Peaking and Carbon Neutrality) jointly released by MSC, ANTA Group ranks among the "Top 25 Brands in China in the Communication of Corporate Carbon Peaking and Carbon Neutrality Issues", beating many well-known domestic and foreign companies, ranking first among all consumer goods companies in China. In addition, at the 3rd "2023 Zero Carbon Mission International Climate Summit", he was awarded the title of ESG Annual Communication Impact Pioneer.

Q: In what areas has ANTA Group made a comprehensive layout for ESG?

A: Clarify the development goals and put forward the "1+3+5" sustainable development strategy, of which the core overall goal is to achieve "carbon neutrality" by 2050.

To strengthen the top-level design, ANTA Group has established a sustainable development committee from the perspective of corporate operation, which has become a very important meeting in operation and management. The meeting was chaired by the current Co-CEO of the company, and the board of directors participated. ESG has been identified as an important part of the Group's business units. ESG is considered green productivity because it does allow our company to minimize its impact on the environment while improving operational efficiency.

In terms of effectiveness, in 2023, ANTA Group's total greenhouse gas emission intensity will decrease by 3.6%, and its total water consumption intensity will decrease by 9.0%. ANTA Group's ability to achieve an overall reduction in carbon intensity despite rapid sales growth shows that our policies have indeed achieved good results.

Promote more sustainable "green products" to the market. ANTA Group strives to build a systematic and serialized management system of "packaging-material-brand", and we have made great progress in scientific development both inside and outside the Group in three areas. We continue to develop sustainable products, and we have achieved great results when they are brought to market. If ESG is to be done well, it must make the product work. We serve 200 million consumers every year, and if 200 million consumers are further impacted by our drive for sustainability, then this is a very important contribution to society. For example, in January 2024, the ANTA brand launched its first carbon-neutral products, the ANTA Storm Jacket and the ANTA Champion Running Shoe 2nd Generation Pro, which have been certified PAS2060:2014 carbon neutral. On Earth Day, it also took the lead in exploring and opening the first "0 carbon mission store" in the industry, making a beneficial exploration for the further development of ESG.

Create a green and low-carbon "whole industry chain". ANTA Group is working closely with upstream and downstream partners to extend the concept of green from commodities to the supply chain. We have established strict sustainability standards that have been distributed to our suppliers and partners, including in areas such as energy consumption and water consumption. In the future, upstream and downstream suppliers who will enter the procurement process of ANTA Group must meet the Group's procurement standards.

Q: How does ANTA Group understand the relevance of ESG promotion by enterprises to the entire industry chain and the whole society?

Answer: ANTA Group believes that the efforts of the enterprise will drive the joint efforts of the upstream and downstream supply chain enterprises related to the enterprise, including the "comprehensive low-carbon" from raw materials to equipment, from equipment to production technology and production process, and the efforts of leading enterprises can greatly promote the improvement of the entire industrial chain and drive the formation of a "wild goose flock effect" at the same level to jointly promote "ESG". Every product launched by a company to the market and the world can imperceptibly affect consumers, and even a "blowout effect" will occur at some time nodes, so that more consumers and a broader market can agree with the ESG concept and achieve a comprehensive upgrade of "corporate awareness-product effect-social consensus".

At the same time, we attach great importance to the in-depth integration of ESG concepts with consumers and the global market. This is to emphasize the integration of ESG communication strategies with business development, and to closely link the concept of ESG at different levels with the production and sales of sporting goods, and continuously convey them to consumers and the global market. We focused our ESG communication content on the E (environment) aspect, and put forward the theme of "Green ANTA – Walking with Nature", highlighting our efforts and achievements in green products, green supply chains, and biodiversity conservation. Firstly, by excavating the stories of green commodities and green supply chains, its contribution to industrial empowerment is highlighted. Secondly, by working with the World Wide Fund for Nature (WWF) to carry out a series of activities and co-branded products, we will disseminate its practices in the field of sustainability, and drive more consumers to pay attention to and participate in biodiversity conservation. Such a strategy not only demonstrates ANTA's responsibility and responsibility in terms of environmental aspects, but also enhances the brand image and market recognition of its products. (Participating in the research: Zhang Xinxin, Lei Xiaoxiao, Qin Chen)

Editor: Hu Chenxi

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