2024-04-25-上交所科创板-公司2023年度环境_社会及公司治理（ESG）报告（英文版）_72页_23mb

MGI Tech Co., Ltd. 2023 ESG Report Summary

Core Content

MGI Tech Co., Ltd. is a leading high-end medical device company in China, established in 2016 with a vision to "Lead Life Science Innovation" and a mission to "Develop and Promote Advanced Life Science Tools for Future Healthcare." The company focuses on the R&D, production, and sale of life science instruments, reagents, and consumables, and is committed to fostering sustainable development and innovation in the healthcare, agriculture, and environmental sectors.

Main Business Segments

• Genetic Sequencers: MGI offers a range of sequencers, including the DNBSEQ-T20x2, which sets a new global standard for gene sequencing by reducing costs and increasing throughput.
• Laboratory Automation: Products such as the MGISTP-7000 and DNBelab C series support efficient and accurate research processes.
• New Business: Expanding into new areas like digital sample preparation and automated biobanking.

Key Achievements in 2023

• Launched the DNBSEQ-G99 genetic sequencer, which obtained the Medical Device Registration Certificate from NMPA.
• Received the 24th China Patent Gold Award, the first gold award in the gene sequencing industry.
• Released the DNBSEQ-T20x2, an ultra-high-throughput sequencer with a cost of under $100 per 30x human genome.
• Established the DCS Lab 2023 Global Scientific Research Empowerment Program to support research in frontier science.
• Opened the first CEC in South Korea and set up the first αLab in Hong Kong (China).
• Won the 3rd US BioTech Breakthrough Awards - "High-throughput Sequencing Platform of the Year".

Sustainable Development Strategy

MGI is committed to integrating sustainable development into its corporate strategy and operations. The company supports the UN 2030 Agenda for Sustainable Development and aligns its efforts with the SDGs and global climate scenarios.

• Short-term (3-5 years): Focus on stakeholder engagement and internal governance frameworks.
• Mid-term (5-10 years): Align with SDGs and global trends to enhance business resilience.
• Long-term (10-30 years): Develop comprehensive sustainable development capabilities to drive long-term value creation.

ESG Management Structure

• Board of Directors and Senior Management: Lead and supervise ESG efforts, including the approval of ESG-related plans and reviewing annual reports.
• Sustainable Development Working Group: Monitor and drive ESG-related tasks, ensuring the accuracy of ESG report data.
• Executive Team: Implement ESG initiatives and collect data for the annual ESG report.

Stakeholder Communication

MGI Tech prioritizes addressing the diverse needs of stakeholders, including shareholders, customers, employees, suppliers, government bodies, and the community. The company engages in regular communication and feedback mechanisms to refine its operational policies and strategies.

Material Topics Identification

MGI identifies key ESG topics by integrating global sustainable development trends, internal and external stakeholder insights, and industry-specific standards. This includes:

• Environmental: Developing low-carbon products, resource utilization, and waste management.
• Social: Enhancing employee care, occupational health and safety, and social responsibility.
• Governance: Strengthening corporate governance, compliance, and risk management.

Key ESG Risks and Opportunities

• Risks:

  • Competition Law: Non-compliance can lead to fines and reputational damage.
  • Corporate Governance: Ensuring transparency and integrity in operations.
  • Business Conduct: Preventing corruption through internal supervision and compliance measures.
  • Environmental Compliance: Adhering to environmental regulations and standards.

• Opportunities:

  • Innovation: Leveraging R&D to develop new products and technologies.
  • Collaboration: Working with partners to expand the industrial ecosystem.
  • Market Expansion: Enhancing global market accessibility and partnerships.
  • Sustainability: Supporting UN SDGs and contributing to environmental and social causes.

Corporate Awards and Recognition

MGI has received numerous accolades, including:

• 24th China Patent Gold Award
• German iF Industrial Design Award (2018, 2021, 2023)
• 2023 American National Medal of Science and National Medal of Technology and Innovation
• 2023 MUSE Design Awards
• 2023 Golden Bridge Awards for Business Innovation
• 2023 China Excellent Industrial Design Award - Bronze Award
• 2023 Annual Outstanding CSR Award
• Included in China Global Next 50 List 2023
• Listed Among China's Top 100 ESG Pioneer Listed Companies in 2023

Conclusion

MGI Tech continues to drive innovation in life science and contribute to sustainable development through its comprehensive ESG strategy. The company is committed to enhancing its capabilities in healthcare, agriculture, and environmental protection, while maintaining a strong focus on corporate governance, compliance, and stakeholder engagement. With a global presence and a robust R&D and manufacturing infrastructure, MGI is well-positioned to lead in the life science industry and meet the evolving demands of the global market.