Lately, two subsidiaries under Luxshare, Kunshan Liantao Electronics Co., Ltd. and Luxshare Electronic Technology (Kunshan) Co., Ltd., have successfully passed the third-party audit conducted by TUV Rheinland, earning the Gold certification from the Alliance for Water Stewardship (AWS). These two factories are among the first in Luxshare to achieve this prestigious recognition.

AWS is an international alliance comprised of businesses, non-governmental organizations, and public utility organizations, collaborating collectively to safeguard global water resources. The international sustainable water management standards developed by AWS form a globally applicable framework and are the sole international standards focused on assessing the sustainability of water resource management. These standards serve as a tool for major water users to understand their water usage and impacts, fostering collaboration and transparency to achieve sustainable water resource management within a watershed.

AWS certification is categorized into three levels: Certification, Gold, and Platinum. The higher the score attained, the greater the water management performance and the level of AWS certification. Achieving Gold level certification signifies recognition for Luxshare's ongoing efforts in identifying water risks, improving water use efficiency, reducing wastewater generation and discharge, and collaborating with stakeholders to enhance watershed water resource resilience through tangible actions.

Throughout its history, Luxshare has adhered to the guiding principles of "scientific compliance, balanced health, ample sanitation, and watershed protection," conducting sustainable water management. We actively identify and manage enterprise-level water risks by annually utilizing the "Aqueduct" water risk tool developed by the World Resources Institute (WRI). This tool is combined with the operational status of all factories to identify water risks, and targeted control measures are then formulated based on the identified results for factories at different operational locations.

The company is gradually implementing an intelligent water management system in various factory areas, enabling real-time monitoring of water usage, drainage, and water balance in both production and daily life. This system assesses water-saving potential and identifies directions for water conservation improvements. Based on the purpose of water usage, we analyze and scientifically formulate water-saving plans. For domestic water use, the company has established the "Citizens Water Conservation Behavior Norms," conducting widespread water-saving campaigns to enhance employee awareness. Simultaneously, initiatives such as retrofitting water-efficient appliances and conducting audits on domestic water use are undertaken to reduce wastage. In terms of industrial water use, the company adopts measures such as indirect cooling water recycling, water pressure regulation, and steam condensate recovery to minimize water consumption in production, thereby enhancing the efficiency of industrial water use. Additionally, targeted and effective wastewater treatment processes are implemented based on the types and concentrations of pollutants in industrial wastewater. Resources are invested in installing wastewater treatment facilities, including heavy metal wastewater treatment equipment, phosphorus-containing wastewater treatment systems, comprehensive wastewater treatment systems, and online water reuse systems. Treated wastewater can be reintroduced into production lines, reducing the discharge of production wastewater. As of the end of 2022, through management and technological improvements, eight out of the 14 factory areas under Luxshare, involving the generation of industrial wastewater, have achieved zero industrial wastewater discharge.

In 2022, the company selected Kunshan Liantao Electronics Co., Ltd. and Luxshare Electronic Technology (Kunshan) Co., Ltd. as pilot projects to implement sustainable water management standards in accordance with AWS requirements. The two pilot companies formulated goals for water management, water balance, water quality, WASH (Water, Sanitation, and Hygiene), and IWRAs (Important Water Related Areas) as per AWS guidelines, comprehensively addressing water resource risks. Additionally, the two pilot companies proactively collaborated with stakeholders such as suppliers/service providers, neighboring businesses, and communities. Together, they contributed to the protection of the ecosystem of the Wusong River basin.

Water resources are an indispensable and crucial asset for human life and corporate production. Luxshare is committed to continuously promoting the pioneering principles of AWS. While consistently enhancing operational water efficiency, the company collaborates with government entities, institutions, associations, businesses, and media, among other stakeholders. Together, they address water resource challenges, safeguard the vital water environments essential for our existence, and contribute to the creation of a cleaner, more livable, healthy, and sustainable future.