Technological progress helps promote environmental protection. Anta Group actively and continuously increase the proportion of environmentally friendly materials used by technological innovation, and strives to establish a clear and firm ESG mindset for consumers. We target to increase the proportion of sustainable products and raw materials and packaging to the ratio of 50% by 2030. With regard to the development of environmental protection technology, Anta has employed environment friendly water repellent technology, environmental-friendly ice-skin technology and eco-friendly transparent technology, etc., and uses different materials that are good for the planet and human being. In 2022, the ice-silk short-sleeved tops of Anta's national team series will use Sorona® fiber. Compared with the impact from producing the same amount of nylon 6, the energy consumption and greenhouse gas emissions in the production process can be reduced by up to 30% and 63%. Targeting the high-end market and children's products, Anta has launched products made of biodegradable materials, eco-friendly glue and plant-based dyes, and has partnered with the World Wide Fund for Nature (WWF) to promote biodiversity topics.

In terms of sustainable packaging, by 2022, more than 50% of FILA brand footwear products have used sustainable packaging, and the wrapping and toe paper of all DESCENTE brand shoes have obtained the Forest Stewardship Council (FSC) and the Global Recycling Standard (GRS) respectively. Various brands are also developing projects such as electronic tags. In 2023, ANTA continues to work with the Chinese Olympic Committee as the official partner for 16 consecutive years. The two parties will jointly launch a large-scale environmental activity called "Project for Mountain and River", advocating a green, healthy and eco-friendly lifestyle, and starting from ourselves to properly handle the garbage generated during outdoor sports to protect the environment. We use recycling technology to create the award-winning equipment for the Chinese sports delegation of the Paris Olympic Games. Anta will carry out environmental protecting hiking activities across the country, and will cooperate with major public welfare organizations and outdoor sports groups such as the ONE PLANET Foundation to encourage more people to build a green and low-carbon life concept.

To give examples that are easier to be sensed by our consumers, we have to mention about the packaging reform project of hosiery products. As the category with the largest proportion of accessories business, hosiery products are particularly important in the practice of accessories ESG. Since the company began to propose the ESG sustainable strategic goal, we have actively carried out targeted research on hosiery products, and finally determined the bare socks bag Project, this packaging reform plan not only conforms to the ESG eco-friendly concept, but also helps to reduce costs.

Kicking off the project plan in May 2022, the team quickly invested in research and verification, cooperated with multiple departments to conduct feasibility discussions, and sorted out a list of nearly 20 potential risks, including accelerated yellowing and oxidation of materials, snagging. Having shedded after a series of questions, we collaborated with suppliers to conduct multiple rounds of proofing, repeatedly tested and verified risk issues one by one, and provided training on packaging specifications. In the end, it only took 3 months to achieve the project goal. And starting from the production of 23Q1, adult hosiery products have been launched in bare bags via the offline channels, whose success have been initially verified by sales terminals. In the future, the total number of PE bags for socks will be reduced by more than 23 million, and non-degradable polyethylene will be reduced by about 80 tons every year.

Another example is FILA China's product tag optimization project called “two-in-one action”. FILA integrates and upgrades the main hangtag & QA certificate hangtag. Each two-in-one hangtag is with 1.6 grams less materials consumed. In the 23Q1-23Q3 (as of March 37, 2023), approximately 15.53 million hangtags were avoided thanks to this innovation, accounting for 34% of the total hangtags consumption. This is approximately 24,850 kg of paper being reduced. 

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