PREC Retains EcoVadis Silver Medal, Highlighting Outstanding ESG & Eco-Performance

Shenzhen, China, June 6, 2025 – Shenzhen Prechem New Materials Co., Ltd. (PREC) has once again been awarded the Silver Medal by EcoVadis, the international authority in sustainability ratings. This recognition reaffirms PREC’s commitment to its sustainable development strategy. It highlights PREC’s excellent practices and position among industry leaders in promoting green manufacturing and fulfilling social responsibilities.

Advanced ESG Management Framework

The EcoVadis assessment report highlights PREC’s outstanding performance across all four core pillars, with notable achievements in Environment (75/100) and Labor & Human Rights (75/100) at the Silver level. The report highly commends PREC’s comprehensive ESG management framework:

• Perfect Score in Environmental Policy (100/100): The company has established a robust policy system that covers the entire product lifecycle, including energy and greenhouse gas management, water resources, chemical management, waste, customer health and safety, and local environmental protection, with clear quantitative targets set.
• Dual System Certification as Foundation: PREC maintains international certifications for the ISO 14001 Environmental Management System and the ISO 45001 Occupational Health and Safety Management System, providing systematic assurance for environmental management and employee well-being.
• Transparency in Reporting Leads Practice: The company actively discloses key environmental performance data, including total water consumption, total Scope 1 and 2 greenhouse gas emissions (market-based and country-specific, verified through documentation), and total volumes of hazardous and non-hazardous waste, demonstrating transparency and responsibility in environmental management.

Green Manufacturing: From Concept to Deep Practice

PREC embeds environmental principles deeply into its R&D, production, and supply chain processes:

• Resource Efficiency and Low-Carbon Transition: Through refined management practices, PREC has significantly reduced the intensity of energy and water consumption. The explicit disclosure of greenhouse gas emission data lays a solid foundation for further emission reduction and achieving “Dual Carbon” goals.
• Benchmark in Chemical & Waste Management: Strictly adhering to and exceeding regulatory requirements, PREC has established rigorous standards for hazardous material labeling, storage, handling, and transportation, ensuring operational safety and environmental friendliness. The report specifically notes the completion of substance registration with the European Chemicals Agency (ECHA), a core action and strong testament to PREC’s responsible chemical management and compliance with the high market access standards of the EU REACH regulation.
• Driving a Green Supply Chain: PREC integrates sustainability requirements into supplier management, signs supplier codes of conduct, and incorporates environmental and social assessments into procurement decisions. This not only guarantees the green attributes of its products but also fosters synergistic improvement across the industry chain.

Global Compliance Certifications

PREC’s successful entry into global markets is underpinned by robust support from a series of stringent international ESG-related regulatory certifications:

• Global REACH Compliance Strategy: PREC’s substance registration with ECHA forms the core foundation for its compliance with the EU REACH regulation. The company also holds certifications for UK-REACH, South Korea’s K-REACH, and Turkey’s KKDIK, ensuring its products meet the highest regulatory standards for chemical safety, environmental protection, and health in each respective region. These certifications are not only market access requirements but also a firm commitment by PREC to uphold global environmental responsibility and ensure the safety of downstream users.
• Product Carbon Footprint Certification: As a significant milestone in environmental quantification and product greening, PREC has successfully obtained Product Carbon Footprint (PCF) certification. This certification employs scientific methods to accurately quantify the greenhouse gas emissions throughout a product’s entire lifecycle. It provides a data foundation for optimizing production processes and selecting lower-carbon raw materials, effectively responds to global customer demand for green procurement, and helps navigate increasingly stringent international carbon border mechanisms. This marks a substantial breakthrough for PREC in extending its environmental commitment from factory operations deep into the product value chain.

Continuous Improvement for a Sustainable Future

“The renewal of the EcoVadis Silver Rating is an encouragement for the effectiveness of our ESG strategy. The report also highlights areas for improvement, including public endorsements, refining specific measures (e.g., documentation enhancements for energy, waste, and water resource management), and Scope 3 emissions accounting. PREC views this as motivation for continuous improvement. We will:

1. Deepen Environmental Performance Management: Strengthen energy and resource efficiency projects, explore renewable energy applications, accelerate waste reduction and recycling, and advance Scope 3 emissions accounting and reduction.
2. Expand Responsibility Influence: Actively seek to join more internationally recognized ESG initiatives, enhance external communication, and improve sustainability transparency and brand reputation.
3. Empower the Green Value Chain: Strengthen the auditing, training, and capacity building of suppliers in ESG areas, working together to build a more resilient and sustainable supply chain ecosystem.”

From Ms. Yu Dong’e, General Manager of PREC

PREC firmly believes that sustainable development is the core competitive advantage for a company’s long-term success. Renewing the EcoVadis Silver Rating is a powerful endorsement of PREC’s continuous practice of ESG principles and its drive for green development. Building on its existing achievements, PREC will continue to invest in innovation, deepen its ESG practices, and collaborate with partners to provide global customers with greener, safer, high-performance material solutions, thereby contributing to the protection of the planet and the creation of shared value.