Kronce ESG Report

Shared Sustainability, Shared Success

Driving Green Transformation through Partnership

Since its founding in 1999, Kronce has served the global PET packaging value chain. We understand that in an era where dual-carbon transformation and the circular economy have become global consensus, equipment manufacturers are not merely providers of production tools, but critical enablers of industrial transformation. As a leading provider of PET packaging solutions, we are committed to integrating sustainable development principles into every aspect of our operations, driving green upgrades across the entire value chain.
Therefore, we regard Environmental, Social, and Governance (ESG) standards not only as the cornerstone of our corporate operations but also as a strategic tool to empower our clients in achieving both their commercial objectives and environmental commitments. Through systematic ESG management, we help our clients navigate opportunities and challenges in a complex and volatile market, enabling sustainable, long-term growth.

Our Core Belief:

"Long-term corporate value is derived from the integration of client value, social value, and environmental value. Only through the coordinated development of these three elements can we build true commercial sustainability and create shared value for all stakeholders."

Enabling Green Manufacturing: Turning client Sustainability Goals into Reality

At Kronce, our clients' challenges are the starting point for our innovation. We believe our core value lies in helping clients achieve a win-win situation between environmental protection and economic benefit. Through continuous technological innovation and process optimization, we are dedicated to providing clients with integrated turnkey solutions that are both environmentally sound and economically viable.

Unlocking Your Material Potential, Achieving Your Circular Economy Goals.

Tackling the Global Plastic Pollution Crisis, we jointly explore innovative solutions with our clients. We firmly believe that PET is a key material for realizing the circular economy. Its excellent recyclability offers a practical pathway to ending plastic waste. As a responsible technology provider, we continuously invest in R&D to expand the application boundaries of PET.

Using our advanced injection molding technology, PET products manufactured by our clients can easily enter recycling channels. Whether they are remolded into new packaging or converted into fibers for other applications, the maximum value of the resources is realized. Our technological solutions support the use of high percentages of recycled material (rPET), helping clients establish genuine closed-loop production models. In 2025, the recyclable PET products manufactured by our clients using Kronce equipment exceeded 1,000 tons, making a substantial contribution to reducing virgin plastic usage.

Forward-Thinking Design, Future-Ready Compliance.

We understand that compliance is fundamental to our clients' success. Amidst increasingly stringent global environmental regulations, Kronce stands with you. We ensure your packaging designs not only lead market trends but also comply with strict recycling and environmental protection requirements across different global regions. Our technical team continuously tracks global packaging regulations to provide clients with proactive compliance advice.

Through advanced preform design and precision molding processes, we help clients significantly reduce bottle weight without compromising product performance or aesthetics, thereby reducing plastic usage at the source. This directly lowers your material costs and significantly lessens the environmental burden. Furthermore, our equipment is perfectly suited for mono-material designs, making products easier to recycle and helping clients achieve higher recognition in ESG ratings.

Responsibility Ecosystem: Co-building Success with Employees & Communities

A successful client needs a stable, healthy, and responsible partner. Kronce recognizes that our investment in society ultimately translates into enhanced resilience for our clients' supply chains. We are committed to building a multi-win responsibility ecosystem where every stakeholder can benefit.

Cultivating Craftsmanship, Ensuring Delivery Reliability

Our employees are the first line of defense in enabling your success. Kronce views each employee as a unique partner. We continuously invest in their professional growth through systematic skills training (e.g., "Kronce Academy"), ensuring our team has the capability to meet increasingly complex technical challenges. In 2025, the average training hours per employee exceeded 120, with a training coverage rate of 100%.

We provide a stable, long-term employment environment. Nearly one-third of our employees have over sixteen years of service. This high level of stability and loyalty directly translates into consistent, high-quality service and technical support for our clients. Our experienced engineering teams can quickly respond to client needs and provide precise technical guidance. Simultaneously, we actively recruit young talent and have established a comprehensive mentorship program to integrate innovative thinking into traditional manufacturing, injecting continuous vitality into your future development. Our employee satisfaction rate has remained above 90% for five consecutive years, significantly higher than the industry average.

Rooted in Community, Thriving in Business.

We encourage our employees to extend their professional skills into the community through volunteering, supporting education, health, and environmental causes. We believe a thriving community is fertile ground for business success, and a company's long-term development depends on a harmonious social environment. Kronce actively fulfills its corporate citizenship responsibilities by integrating community engagement into its sustainable development strategy.

Through long-term investment in local educational institutions and public welfare projects, we not only convey the values of environmental responsibility but also contribute to a more harmonious and sustainable operating environment for all businesses, including our clients. In 2025, the company organized 4 employee volunteer activities, with 200 participants contributing a total of 1,600 service hours. We pay special attention to youth environmental education. Through our "Green Future" public welfare initiative, we have educated over 2,400 primary and secondary school students on environmental protection and circular economy concepts, contributing to the cultivation of future environmental stewards.

Upholding Transparent Governance: Leading by Example Alongside Our Clients

We hold ourselves to the same high standards we expect of our clients. Kronce's governance philosophy lies in aligning our actions with our words, conducting all business activities with transparency, integrity, and responsibility. We believe that only by establishing a robust governance system can we ensure the successful achievement of our sustainable development goals.

Grounded in Our Actions, United in Green Partnership.

Before asking clients to adopt our solutions for sustainability, we first ensure our own production facilities are green benchmarks. We strictly adhere to the ISO 14001 environmental management system, continuously reducing energy consumption and emissions in our own factories, and actively explore the application of clean energy. We have implemented energy management systems across all our production bases and established clear carbon reduction targets.

We understand that only by leading through example can we build genuine trust with you and jointly open the door to a sustainable future. In 2025, our factory's energy consumption per unit of output value decreased by 3% compared to the previous year, and the proportion of renewable energy used increased to 8%. At the same time, we have established comprehensive green procurement standards, requiring core suppliers to obtain ISO 14001 certification to control the environmental performance of our supply chain at the source. We have completed ESG risk assessments for 26 of our major suppliers to ensure a green, transparent, and sustainable supply chain.

Mutual Insights, Mutual Growth.

Kronce is not just an equipment supplier; we are your strategic advisor on the path to sustainable development. We transform our accumulated experience in areas like the circular economy, lightweighting technologies, and recycled material application into in-depth support for you. By regularly organizing technical seminars and industry forums, we share the latest technological advancements and policy interpretations with our clients.

Whether it's helping you optimize production processes to lower your carbon footprint or jointly exploring the next generation of eco-friendly packaging designs, we collaborate closely to ensure your investments remain competitive for decades to come. We have provided 68 customized carbon footprint assessment reports for clients and assisted 23 clients in developing carbon neutrality roadmaps. Through our technical support, client production lines have achieved average energy consumption reductions of over 5% and product carbon footprint reductions exceeding 4%.

Looking Ahead

At Kronce, we believe a distinctly different world is being created by us, together with you. We will continue to focus on technological advancement, deepen our commitment to employees and communities, and operate with transparency and responsibility to help every client navigate the journey towards a green future more steadily and further. Genuine transformation stems from our successful collaborations. Let us join hands to write a new chapter in the sustainable development of the PET packaging industry, leaving a cleaner and better world for future generations.

"To learn more about how Kronce can customize sustainable solutions for you, we welcome you to start a conversation with us."