Leading with Innovation and
Embracing Responsibility to Build a Sustainable Future
Nurturing a Green Ethos: Dedicated to Sustainable Development
  • 106.11million cubic meters
    Total water saved
  • 9.72%
    Renewable electricity share
  • 98.57%
    Water reuse rate
  • 88.82%
    Comprehensive solid waste utilization rate
Environment
  • CNY 3.6billion
    Operating revenue
  • 737MSI
    Shipment area
  • 5%
    Global market share
  • CNY 30billion
    Total assets
  • CNY 338million
    R&D investment
  • 9.42%
    R&D as percentage of revenue
Economy
  • 28.6%
    Percentage of female board members
  • 210859hours
    Number of staff training hours
  • 93points
    Customer satisfaction (non-automotive applications)
  • 91points
    Customer satisfaction (automotive applications)
  • 100%
    Percentage of suppliers committed to avoiding conflict minerals
  • 0
    Number of non-compliant suppliers
Social Performance
* Data as of December 31, 2023
Company Culture

Company Vision and Core Values

Nature Conservation
At ZHA, our mission is to conserve nature, which is a key focus of our corporate development. Driven by our goal to support an intelligent and green global transformation, we are committed to practicing green operations to achieve a harmonious balance and shared prosperity with nature.
Employee Celebration
Placing people first is at the core of our company culture. We believe that caring for our employees is the foundation of our corporate growth. It is essential to foster a diverse, inclusive, equitable, healthy, and safe working environment. Our goal is to achieve mutual growth with our employees.
Community Cherishing
Cherishing communities reflects our commitment to social responsibility. We adhere to a strict code of business conduct and ethical standards while continuously improving our governance practices. Recognizing the importance of contributing to society, we have always been enthusiastic about giving back to our community. We are committed to collaborating with our partners to build a better society.
Customer Championing
We are dedicated to creating long-term value with our partners by honoring contracts and prioritizing customer satisfaction and trust. By focusing on customer needs, we adopt flexible manufacturing practices, offer excellent total solutions, and enhance the environmental and social benefits of our products.

Change

Adapt to change at any moment.
Think out of the box and make breakthrough.
Embrace challenges instead of resting on laurels.

Innovation

More sincerity, less stereotype.
Act proactively, identify root cause internally.
Inspire others with your passion.

Accountability

More sincerity, less stereotype.
Act proactively, identify root cause internally.
Inspire others with your passion.

Excellence

Be thirsty for excellence.
Do right things, even if it’s a tough decision.
Strive for a mission with GRIT.

Corporate Strategy

By utilizing superior resources in Yixing, Xuzhou, Tianjin, and Hohhot, we have established a comprehensive industrial presence across China through our coordinated efforts. In addition, we have set up sales centers in other countries and regions such as Singapore, Japan, South Korea, Europe, and the Taiwan region to drive our global expansion. Upholding a high-quality development strategy, we are committed to advancing automation, efficiency, and digitalization in intelligent manufacturing. We are deeply integrated into the global semiconductor value chain, providing excellent total solutions and reliable products for diverse applications worldwide. We aim to become a world-leading supplier of semiconductor materials with an extensive product portfolio and robust overall capabilities.

Sustainability Philosophy

Our sustainability vision is to "Lead with Innovation and Embrace Responsibility to Build a Sustainable Future." Believing in transforming the world into a more intelligent and greener place, we incorporate sustainable development principles into all our business decisions and operations.

Embrace Change
We enthusiastically adapt to global trends, using our products to drive an intelligent and green transformation worldwide.
Take Responsibility
We are dedicated to shouldering our corporate responsibility and striving to minimize our negative impacts on the external environment.
Create Value Together
We leverage our strengths to grow alongside our stakeholders, actively enhancing our social impact.

Sustainable Development Goals

Governance

Governance

2026

Implement a compliance management system and achieve ISO 37301 certification.

Achieve 100% coverage for anti-corruption and business ethics training.

Reach 100% employee coverage for ESG training.

2030

Establish an industry-leading sustainability management system.

Achieve 100% coverage for anti-corruption and business ethics training.

Reach 100% employee coverage for ESG training.

Environment

Environment

2026

Develop a carbon reduction plan aligned with the 1.5°C climate goal.

Achieve a 99.5% industrial water reuse rate.

Attain a 90% waste-to-landfill diversion rate.

Source 25% of electricity from renewable energy.

2030

Reach peak carbon emissions by 2030 and achieve carbon neutrality by 2050.

Establish a sustainable water management system.

Attain a 95% waste-to-landfill diversion rate.

Source 45% of electricity from renewable energy.

Employees

Employees

2026

Maintain zero major production safety incidents.

Ensure 100% compliance with ILO core principles.

Annually promote complaint channels to all employees.

Establish a robust employee development system.

2030

Maintain zero major production safety incidents.

Ensure 100% compliance with ILO core principles.

Continuously enhance the usability of complaint channels.

Establish a diverse, inclusive, and equitable employee development system.

Society

Society

2026

Build a robust supplier audit system and enhance supplier capabilities.

Conduct on-site audits for 100% of high-risk suppliers.

Organize five employee volunteer or public benefit activities annually.

2030

Continuously enhance supply chain resilience and support its transformation.

Conduct on-site audits for 100% of medium- and high-risk suppliers.

Organize 10 employee volunteer or public benefit activities annually.

Customers

Customers

2026

Achieve 75% coverage for smart industrial parks.

Increase the number of granted patents by 10% compared to 2023.

Attain a 95% customer satisfaction rate.

Ensure 100% coverage for product quality training.

2030

Achieve 100% coverage for smart industrial parks.

Increase the number of granted patents by 30% compared to 2023.

Attain a 99% customer satisfaction rate.

Ensure 100% coverage for product quality training.

Customer Championing

Community Cherishing

Employee Celebration

Nature Conservation

Leadership and Corporate Governance

Partnerships

At ZHA, we continuously enhance our service capabilities through technological innovation and intelligent manufacturing transformation, while fostering strong relationships with our customers.

93 & 91applications

We conduct annual customer satisfaction surveys that assess three areas: business, technology, and quality, using a total of 16 evaluation indicators. In our 2023 survey, we achieved customer satisfaction scores of 93 for non-automotive applications and 91 for automotive applications.

Flexible Manufacturing

We have enhanced our flexible manufacturing capabilities through the use of digital, IT, and intelligent technologies. This enables us to apply flexible processes and formulations for different types of products. Additionally, by implementing an end-to-end management system for Quality 4.0, we ensure consistent product quality throughout the entire production process.

Responsible Consumption and Production

We are dedicated to enhancing energy efficiency through technological innovation while promoting the use of renewable energy as an alternative to traditional energy sources.

Use of Renewable Energy

Through energy-saving and emission-reduction projects such as photovoltaic installations and upgrades to our heating and cooling systems, we have increased our share of renewable electricity to 9.72%.

Sustainable Environmental Management

We are committed to efficient resource utilization and minimal harvesting of natural resources. Our water reuse rate is 98.57%, and our solid waste recycling rate is 88.82%.

Industry, Innovation and Infrastructure

By adhering to cutting-edge international quality management practices, we have established a comprehensive product quality management system at our production facilities. This system covers quality management at all stages, including the supply chain, manufacturing processes, final products, and after-sales services. It ensures rigorous quality control and management throughout the entire product lifecycle.

Core of Intelligent Manufacturing

We integrate quality management software with wafer manufacturing process control, making our QMS decisions more scientific and intelligent.

Quality 4.0

Guided by lean manufacturing principles, Six Sigma quality management, and the 5S methodology, we have deeply integrated Lean Six Sigma (LSS) with industrial engineering operational technology (IEOT). This integration significantly enhances our flexible manufacturing capabilities.

No Poverty

At ZHA, we operate in multiple countries and regions, employing a diverse workforce from various cultural backgrounds. In this environment, we strive to foster a culture of equality and inclusivity, ensuring our team remains closely united.

107

We are committed to enhancing local employment opportunities and ensuring equal treatment for workers of all ethnic backgrounds. As of 2023, we employed 107 individuals from minority ethnic groups.

24% Female Employees

We currently have 3,377 full-time employees, including 810 women, which represents approximately 24% of our workforce.

Quality Education

At ZHA, we are dedicated to building a comprehensive and robust employee training system.

1,639minutes

Our online training platform offers 571 courses. Participants spend an average of 1,639 minutes on training, and a total of 3,063 individuals have taken part in these online sessions.

Progressive and Targeted Training

Our training programs encompass all stages of an employee's career. We have developed and implemented the Training Management Manual, offering systematic training for various types of employees. The primary focus of our training is to enhance their professional skills and maintain up-to-date industry knowledge.

Decent Work and Economic Growth

Guided by the philosophy of honoring the present and looking toward the future, we have established a comprehensive compensation system that supports long-term corporate development.

A Fair, Equitable, and Motivational System

We offer better compensation than the external talent market. Internally, our compensation allocation rules are designed to be fair and equitable across organizations, positions, job families, levels, and capabilities.

100% Performance Evaluation

We ensure 100% performance evaluation coverage for all employees. Our aim is to provide valuable feedback through these evaluations to help our employees better understand their performance.

Sustainable Cities and Communities

By focusing on customer needs, we adopt flexible manufacturing practices, provide excellent total solutions, and enhance the environmental and social benefits of our products.

Environmental Safety Protocols

We adhere to the principles of safe production, environmental protection, legal compliance, and benefiting humanity. We are committed to minimizing environmental pollution and preventing any harm to human health during production, storage, and transportation. Additionally, we require our suppliers to comply with environmental standards such as RoHS and REACH. We ensure strict control over harmful substances in our products and their environmental impact by requiring suppliers to submit hazardous substance inspection reports.

100%

All our suppliers are committed to avoiding the use of conflict minerals.

Partnerships

At ZHA, we continuously enhance our service capabilities through technological innovation and intelligent manufacturing transformation, while fostering strong relationships with our customers.

We conduct annual customer satisfaction surveys that assess three areas: business, technology, and quality, using a total of 16 evaluation indicators. In our 2023 survey, we achieved customer satisfaction scores of 93 for non-automotive applications and 91 for automotive applications.

Flexible Manufacturing

We have enhanced our flexible manufacturing capabilities through the use of digital, IT, and intelligent technologies. This enables us to apply flexible processes and formulations for different types of products. Additionally, by implementing an end-to-end management system for Quality 4.0, we ensure consistent product quality throughout the entire production process.

Good Health and Well-Being

At ZHA, we prioritize the occupational health and safety of our employees. We have implemented a comprehensive occupational health and safety management system. Our commitment is to ensure a safe working environment and cultivate a strong safety culture, safeguarding the well-being of our employees.

Production Safety System

We are committed to standardizing our production safety system and have implemented a robust responsibility system for production safety. Our safety management regulations and operational procedures are thoroughly enforced across all roles and individuals within the organization. Every employee is integrated into our safety responsibility framework and has signed an agreement outlining production safety goals and responsibilities.

Occupational Health Protection

We conduct annual assessments of occupational hazards in factories that pose risks and promptly implement preventive measures based on these assessments. We ensure that employees working in hazardous conditions are informed and trained accordingly. Additionally, we provide necessary protective equipment and conduct annual health examinations related to occupational hazards. Should any employee exhibit signs of occupational health issues or risks, we will reassign them promptly to prevent further health complications. No new cases of occupational diseases were reported in 2023.

Quality Education

Through our Zhonghuan Academy training platform, we offer a range of specialized courses, including the Crystal Management Program, the Crystal Intelligence Program, the Crystal Materials Program, and the Crystal Energy Program. These courses are custom-designed to meet specific needs and goals, ensuring targeted and effective training.

1,639minutes

Our online training platform offers 571 courses. Participants spend an average of 1,639 minutes on training, and a total of 3,063 individuals have taken part in these online sessions.

Progressive and Targeted Training

Our training programs are designed to comprehensively enhance our employees' professional skills and career growth across five key areas: knowledge, skills, awareness, management, and expertise.

Gender Equality

At ZHA, we offer equal career opportunities and a broad development platform for women. We also emphasize the great impact of female role models by appointing women to management positions.

28.6%

Women constitute 28.6% of our Board of Directors.

 

Diverse Workforce

In the semiconductor manufacturing industry, male employees typically outnumber female employees. Therefore, increasing the proportion of female employees is a key objective for enhancing our workplace diversity. We currently have 3,377 full-time employees, including 810 women, which represents approximately 24% of our workforce.

Decent Work and Economic Growth

At ZHA, we are dedicated to an employee-centric approach, aiming to enhance our employees' dignity both at work and in their personal lives. We continuously enhance our automation and IT development while adhering to the core principles of "fewer employees, higher efficiency, and better pay." Our compensation system combines performance-based and capital-based methods, creating a competitive and adaptable pay structure suited to ZHA's various stages of development.

A Fair, Equitable, and Motivational System

We offer tailored career paths and promotion mechanisms for employees across different fields, including management, professional, technical, marketing, and operational roles, based on job evaluations. We have established five job families, each with distinct levels, and each level corresponds to specific pay grades and scales. The career development channels across these job families are interconnected, allowing employees to advance within their current job family or transition to other families for further development.

100% Performance Evaluation

We ensure 100% performance evaluation coverage for all employees. Our aim is to provide valuable feedback through these evaluations to help our employees better understand their performance. In 2023, we successfully completed performance evaluations for all employees, which provided crucial insights for our business management and growth.

Reduced Inequalities

At ZHA, we are committed to an employee-centric approach that safeguards our employees' interests and rights. We actively recruit top talent both from China and internationally, offering competitive compensation and benefits. Our goal is to collaborate with our employees to foster sustainable operations and provide crucial talent support for advancing the semiconductor wafer industry.

107person

We are committed to enhancing local employment opportunities and ensuring equal treatment for workers of all ethnic backgrounds. As of 2023, we employed 107 individuals from minority ethnic groups.

Equal Opportunity

We believe that exceptional talent is often cultivated through practical experience, continuous learning, and growth in foundational roles. Therefore, in our selection and recruitment processes, we prioritize competence and character over education qualifications or tenure. We provide extensive resources and development platforms for individuals who are visionary, diligent, proactive, and team-oriented. Our diverse talent acquisition methods include open recruitment, internal referrals, and campus recruitment. Additionally, we maintain transparent recruitment processes and evaluation criteria to ensure fair and equitable hiring decisions.

Clean Water and Sanitation

Water is essential to every stage of our production and operations. With the global disparity and increasing scarcity of water resources, we emphasize comprehensive water management and sustainable strategies. We prioritize water conservation and minimizing the environmental impact of wastewater.

Smart Water Sourcing

We thoroughly assess the water needs of different processes and the availability of water resources at each factory. We conduct water balance tests to ensure efficient water use tailored to local conditions. In 2023, we sourced 10.52 million cubic meters of water from municipal supplies.

Water Conservation

We follow principles of tiered water usage, downgraded reuse, and production prioritization to significantly improve our water efficiency and reduce costs. In 2023, we saved a total of 1,061,184,155 cubic meters of water.

Affordable and Clean Energy

Expanding the use of renewable energy is crucial for ZHA to optimize energy use and achieve carbon reduction goals. We implement measures such as installing photovoltaic systems and purchasing renewable electricity in accordance with local conditions.

45%

By 2026, we aim to develop a carbon reduction plan aligned with the 1.5°C climate goal, targeting 25% renewable electricity usage. By 2030, we aim to achieve 45% renewable energy usage.

System Certification

All of our factories have obtained certification for ISO 14001 Environmental Management Systems. We have established Safety and Environmental Protection Departments in our subsidiaries to implement and maintain our environmental and occupational health and safety management systems.

Climate Action

We are committed to energy conservation and emission reduction in production processes. We strive to enhance energy efficiency through technological innovation while promoting the use of renewable energy as an alternative to traditional energy sources.

Carbon Emission Verification

We actively address climate change by undergoing carbon emission verification from qualified third-party organizations. We have also enhanced the management and verification of greenhouse gas emissions.

Carbon Management

We increase the proportion of renewable energy and undertake energy-saving upgrades across various systems to mitigate the rise in our carbon emissions associated with capacity expansion.

Life Below Water

We prioritize minimizing the negative environmental impacts of our production and operations. We adhere to environmental and biodiversity protection laws throughout project development, construction, and daily operations. Ecological and environmental resources are key considerations in our investments.

Supplier Screening

We rigorously select suppliers that adhere to biodiversity protection standards. For instance, we ensure that our procurement does not involve wild or endangered animals and that our suppliers' activities do not negatively impact natural reserves.

Support Actions

We support the goals of the Kunming Declaration through targeted actions in corporate operations and supply chain management. These actions involve conducting environmental assessments, protecting and restoring ecosystems, and enhancing the resilience and recovery of ecosystems.

Life on Land

We prioritize minimizing the negative environmental impacts of our production and operations. We adhere to environmental and biodiversity protection laws throughout project development, construction, and daily operations. Ecological and environmental resources are key considerations in our investments.

Protection Policy

We strive for a net positive impact (NPI) and fully support the Kunming Declaration's vision of achieving harmonious coexistence between humans and nature by 2050. Additionally, we have incorporated sustainable development principles into our supply chain management.

Garden-Style Factories

In designing our factories, we not only prioritize functionality but also strive for harmonious integration with the natural environment. We are passionate about creating garden-style factories that blend architecture with nature, fostering a work environment that embodies the synergy between technology and nature. Features such as mechanical forests and artificial hills within our facilities underscore this coexistence, enabling our employees to feel valued and connected to their surroundings.

Leadership and Corporate Governance

At ZHA, we believe that everyone can make a difference. We continuously launch initiatives, such as Go Global, Chip Glow, and Spark Programs, to attract talent from around the world.

3,377members

We have 3,377 full-time staff members, including 810 women, making up 24% of our workforce. In 2023, we hired 747 employees, including over 130 recent graduates.

Zero Safety Incidents

In 2023, we recorded no fire incidents, no Level 1 or Level 2 production safety incidents, and no new cases of occupational diseases among our employees. Additionally, we achieved 100% coverage for our three-tier safety education and ensured 100% signing of an agreement that outlines production safety goals and responsibilities.

Industry, Innovation and Infrastructure

With product responsibility at the forefront of our minds, we continuously improve our product quality and flexible manufacturing capabilities.

Core of Intelligent Manufacturing

We foster the development of an integrated data management platform to enhance our decision-making accuracy and efficiency through high-quality data.

Quality Awareness

We ensure that every employee undergoes at least one quality awareness training session each year. In 2023, we achieved 100% training coverage, with full participation in sessions focused on experience and lessons learned.

Responsible Consumption and Production

To achieve cleaner and less carbon-intensive production, we focus on energy savings and emission reductions throughout our manufacturing processes.

Use of Renewable Energy

Through energy-saving and emission-reduction projects such as photovoltaic installations and upgrades to our heating and cooling systems, we have increased our share of renewable electricity to 9.72%.

Sustainable Environmental Management

We are committed to efficient resource utilization and minimal harvesting of natural resources. Our water reuse rate is 98.57%, and our solid waste recycling rate is 88.82%.

Sustainable Development Achievements

Clear Skies, Clean Waters, and Harmony with Nature

  • Climate Risk Management
  • Natural Risk Management
  • Environmental Actions
  • Green Supply Chain
  • Biodiversity

Risk Management System

Climate change governance

Climate change strategies

Climate risk management

Indicators and Goals

Climate goals

Carbon emission reduction pathway planning

Renewable energy usage

Climate Action

Carbon Management

Energy managemen

Management Goals

Improving efficiency in the utilization of product resources

Minimizing ecological impact on watersheds

Management System Development

Identification and evaluation of environmental impact factors

Objective-based performance management

Communication and negotiation mechanisms

Employee Awareness and Education

Training on environmental protection laws and regulations

Optimization of operational procedures

Implementation of emergency response plans

Sustainable Water Management

Smart Water Sourcing

Water conservation and reuse

Minimizing wastewater discharge

Waste Management

Waste reduction

Eco-friendly packaging

Emission Management

Waste gas emission management

Dust-free production environment

Waste gas emission monitoring

Supply Chain Management

Management of production emissions and waste

Recycling of packaging materials

Transportation process management

Policies and Expectations

Fulfillment of environmental protection responsibilities

Providing technical support and training

Raising environmental standards

Partnership and Support

Sharing best practices

Building partnerships

Corporate Responsibility

Rigorous procurement screening

Diversity protection standards

Long-Term Strategy

Compliance with international and domestic laws and regulations

Support for the actions outlined in the Kunming Declaration

Proactive Measures

Environmental impact assessment

Protection and restoration of ecosystems

Enhancement of ecosystem resilience

Sustainability Report

2023

Sustainability Report (Chinese version）

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2023

Sustainability Report（English version）

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