Environmental, Socialand Governance Report

2023
WuXi Biologics (Cayman) Inc.
藥明生物技術有限公司*(Incorporated in the Cayman Islands with Limited Liability)
Stock Code: 2269
* For identification purpose only

www.wuxibiologics.com

CONTENTS

ENHANCING
GOVERNANCE

GIVING BACK TO
SOCIETY

GREENING OUR
BUSINESSAPPENDIX

Contents
A Message from Our CEO
2

2023 Highlights

Enhancing Governance20

Corporate Governance
4Company Overview

Operational Governance14

Appendix
82

53

Climate Change and Energy Saving


83

59

Environment Protection99

Empowering Our People
28

Supply Chain ManagementGreening Our Business
52

Enabling Clients
21

5

ESG Strategy

Giving Back to Society

111

About the Report
137

Fostering Communities
44

75

ESG Targets and Progressin Line with SDGs
15

WuXi Biologics (Cayman) Inc.
Environmental, Social and Governance Report 2023

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ENHANCING
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GIVING BACK TO
SOCIETY

GREENING OUR
BUSINESSAPPENDIXA Message from Our CEO
As a participant of the United Nations Global Compact — the world’s

WuXi Biologics has made great efforts to maintain a transparent

largest corporate sustainability initiative — WuXi Biologics regards

dialogue and build strong connections with all stakeholders. It

sustainability as the cornerstone of business development strategy,

implements a zero-tolerance policy toward unethical behaviors andstaying true to the vision and mission. While 2023 was a year withcommits to the highest standards of integrity and business ethics.

both opportunities and challenges for the industry, WuXi Biologics

In 2023, an Ethics and Compliance Committee was established tomaintained sustainable growth momentum through our uniqueserve as the highest compliance management body to reinforce its

CRDMO business model. We have demonstrated a deep commitment

ability to prevent and address compliance risks. To actively promote

to upholding our shared responsibility supporting positive social andindustry progress, the Company conducts regular audits and works

environmental impacts across the whole value chain together withclosely with suppliers to ensure supply chain robustness and foster

our global clients.

the sustainable development of suppliers.

Guided by its ESG strategy, WuXi Biologics has established strong

WuXi Biologics’ business success is attributable to its employees.

governance mechanism, which includes oversight by the Board-level

WuXi Biologics has over 12,000 employees who are highly dedicated

ESG Committee, guidance by the Company’s ESG Steering Group,and experienced professionals, representing 56 nationalities withand efficient implementation by the dedicated ESG department

diverse backgrounds. In 2023, the Company established a Diversity,and cross-functional task forces for ESG material issues. In line with

Equity, and Inclusion (DEI) Committee comprised of employees

the United Nations Sustainable Development Goals, the Company

from different departments and countries to formulate and oversee

remains committed to a science-based and measurable ESG target

implementation of DEI strategies. The Company encourages thematrix, and has subsequently developed refined roadmaps while

career development of women in the areas of Science, Technology,

tracking progress for continuous improvement.

Engineering and Mathematics (STEM). Currently, 53% of STEM
positions are held by female employees, far exceeding the industry
average.

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WuXi Biologics sees community engagement as a vital social

in tackling climate change and reducing carbon emission. Since

WuXi Biologics is honored to be recognized by major ESG rating

responsibility. In 2023, over 8,000 employee volunteer hours were

the base year 2020, the Company has achieved a 29% intensity

agencies for its progress towards reaching its commitments. In 2023,

logged. Using core competencies to benefit patients worldwide is

reduction of its Scope 1 and Scope 2 greenhouse emission in

we were named to S&P Dow Jones Sustainability™ World Index andone of the Company’s three-pillar corporate social responsibilities.

2023. Furthermore, WuXi Biologics achieved its water consumption

Emerging Markets Index; granted the AAA rating from MSCI ESG

As part of its business, the Company works closely with global

intensity reduction target ahead of schedule, and proactively

Ratings; awarded the distinguished Platinum Medal by EcoVadis;clients to bring their novel treatments to patients with rare diseases.

upgraded its target from 18% to 30% by the year 2025 since therecognized as both an Industry and Regional Top-Rated Company

Currently there are 19 ongoing rare disease projects on thebase year 2019.

by Sustainalytics; named to the CDP Water Security “A list”; andawarded an “A-” CDP Climate Change score.

Company’s integrated platform. In 2023, the Company has enabled
the approval of an innovative Pompe disease therapy in EU, UK and

To advance an eco-friendly transition for the biopharmaceuticalthe U.S. To celebrate this milestone, the Company launched Run forindustry, WuXi Biologics has integrated ESG concepts into multiple

As we pursue our 2024 goals with boldness and determination,

Health, a charitable initiative to raise scholarship funds for students

innovative technology platforms, including WuXiBodyTM, WuXiUPTM,

WuXi Biologics will continue to integrate sustainability into the corewith rare diseases. The program has been supported by over 1,500

WuXiUITM, to offer an end-to-end green CRDMO solutions for global

commitment that has always defined us: enabling global clients toemployee volunteers from 10 sites worldwide.

clients. The Company also utilizes Lean Management processes andbring life-changing treatments to patients worldwide.

completed over 150 Kaizen projects that yielded environmental andFor businesses around the world, achieving and maintaining

economic outcomes, including improved operational efficiency andenvironmental sustainability has become a critical part of their long-

reduced resource consumption.

term sustainable development. In 2023, WuXi Biologics committed

Dr. Zhisheng Chen

to Science Based Targets initiative (SBTi), marking a new milestone

Chief Executive Officer

in its Net-Zero journey. The Company has seen fruitful progress

Chairman of ESG Committee

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2023
Highlights

Giving Back to Society

ESG Committee

698

22

33

100%

1,200+

100%

19

ISO 27001

8,017

Empowering People

Greening Our Business

47%

29%

53%

Upgraded Water Target

56

ISO 14064

73 hours

ISO 14001

ISO 45001

ISO 50001

Material ESG issues

Participation in business ethics and anti-corruption training

Supplier Code of Conduct sign off

Information security management certification

Female employees in managerial positions

STEM positions held by female employees

Nationalities of our global employeesof training per employee

Occupational health & safety management certification
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WuXi Biologics (Cayman) Inc.
Environmental, Social and Governance Report 2023

GIVING BACK TO
SOCIETY

Enhancing GovernanceComprised of four board members led by CEO

As of December 31, 2023

ENHANCING
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GREENING OUR
BUSINESSAPPENDIX

Integrated projects

Inspections by global regulatory agencies were passed

Client quality audits were passed

Rare disease projects on the platform

Volunteer hours for community

Reduction of GHG emission intensity from 2020 (Scope 1 and Scope 2)

30% reduction of water consumption intensity by 2025 from 2019

GHG emissions verification

Environmental management certification

Energy management certification

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Company
Overview

Introduction

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Over the past decade, WuXi Biologics has experienced robust growth
momentum, driven by the successful execution of the Company’s“Follow and Win the Molecule” strategies. With over 12,000

WuXi Biologics is a leading global Contract Research, Development,
and Manufacturing Organization (CRDMO) offering end-to-end
solutions to enable partners to discover, develop and manufacture
biologics — from concept to commercialization — for the benefit ofpatients worldwide.

employees in China, Ireland, Germany, Singapore and the UnitedStates, WuXi Biologics leverages its technologies and expertiseto provide customers with efficient and cost-effective biologics
discovery, development and manufacturing solutions.
In 2023, we continued to expand our capacity to meet growing clientdemand worldwide, demonstrating great synergy within our existing
network and a strong commitment to our “Global Dual Sourcing”
strategy. Our global manufacturing facilities ensure that products
can be manufactured, and materials can be sourced at multiple WuXi
Biologics locations around the world.

Revenue

17,034

million RMB

Our Vision

Business Performance“Every drug can be made and every disease can be treated” byFree cash flow of RMB0.6 billion to underpin sustainable growthbuilding an open-access platform with the most comprehensive
capabilities and technologies in the global biologics industry.

132 added integrated projects in 2023, bringing total to 698
51 Phase III and 24 commercial manufacturing projects with potential

Gross profit

6,828

million RMB

Our Mission

for future growth

To accelerate and transform the discovery, development andSufficient capacity to start any project within 4 weeks

manufacturing of biologics through a comprehensive open-accessplatform, enabling our global healthcare partners and benefiting
patients worldwide.

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Public Recognition
AwardsINDUSTRY LEADERSHIP

LinkedIn

CDMO Leadership Awards in all six core categories.
Additional recognition as one of the
CHAMPIONS in the Capabilities category.
2018–2023

Talent Awards — Best Talent Acquisition Team/
Talent Insights Pioneer

IMAPAC

China’s Most Attractive Employers — Top 2 inPharma and Biotech Industry

Best CDMO Award

2021–2023

Best Biologics CMO Award for Automation

2023

2023

ISPE
Facility of the Year Award (FOYA) in the
Operations category

APPENDIX

2022–2023

Universum2023

Dingge Award

Asia-Pacific Biologics CMO Excellence Awards

WuXi Biologics (Cayman) Inc.
Environmental, Social and Governance Report 2023

GREENING OUR
BUSINESSEMPLOYER BRANDING

IMAPAC

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GIVING BACK TO
SOCIETY

Life Science Leader

Bioprocessing Excellence Award

WuXi Biologics has gained global
recognition in a number of key areas.
The following is a selection of someof our recent awards and honors.

ENHANCING
GOVERNANCE

Digital Transformation Pioneer List
Global Collaborative Award of the Year for
Outbound Enterprise

2023

sHero
Prime Employers for Women Award

2022–2023

2023

ENVIRONMENTAL, SOCIAL AND CORPORATE GOVERNANCE
The Asset
ESG Corporate Awards — Platinum Award

The Chamber of Hong Kong Listed Companies
2021–2023

Honourable Mentions for Awards of Excellencein Corporate Governance and ESG

2023

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ENHANCING
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SOCIETY

GREENING OUR
BUSINESSAPPENDIXESG Performance andCommitments

Named to 2023 Dow Jones Sustainability™
World Index and Emerging Markets Index,
identified as an industry mover and included
into Sustainability Yearbook

WuXi Biologics has actively engaged in multiple Initiatives todrive a more sustainable business model
A participant of the United Nations Global
Compact, demonstrating commitment torobust sustainability

Received an AAA rating from MSCI

Committed to Science Based Targets
Initiative (SBTi), a new milestone towards
net-zeroAwarded a distinguished Platinum Medal by
EcoVadis in recognition of its sustainability
achievements

Recognized as both an Industry Top-Rated
and APAC Regional Top-Rated Company by
Sustainalytics

WuXi Biologics’ outstanding ESG
performance has been recognizedby the world’s leading ESG rating
agencies.

Named to CDP Water Security “A list”;
Received a CDP Climate Change “A-”
Leadership-level score

ISO 27001

Information Security Management

ISO 45001

Occupational Health and Safety Management

ISO 14001

Environmental Management

ISO 50001

Energy Management

ISO 14064

GHG Emissions Verification
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Benefiting Patients, Benefiting the Earth
Green Solutions across R/D/M Driven
by Innovation

To further help the eco-friendly and low-carbon transformation of the global biopharmaceutical industry driven by technological innovation, WuXi Biologics takes a

Throughout the years, WuXi Biologics has

selection of raw materials or components, direct operations, production and manufacturing processes, internal distribution, storage and transportation. We aim to enhance

consistently engaged in the innovation anddevelopment of pioneering technology platforms.
These efforts have successfully addressed industry
technological pain points, thereby advancing
biotechnological innovation. Ultimately, thisendeavor aims to enhance the capabilities of ourpioneering stance with a strategy of incorporating green concepts into every facet of our operations, including our innovative technology platforms in Research (R),Development (D) and Manufacturing (M). This strategy, based on innovative technology, is seamlessly integrated across all of our business operations, including theresource efficiency of our products, and maximize productivity and quality, while minimizing environmental impacts to deliver greater value for our partners and patientsworldwide.
To implement this strategy, we cultivate a range of industry-leading technology platforms that cover the full spectrum of drug discovery, development and manufacturing,delivering best-in-class biotechnological solutions with positive ESG impacts through innovation, process optimization and management improvements. Our goal is toempower our partners to engage in Green Research (R), Green Development (D) and Green Manufacturing (M) of biologics.

global partners and to make high-quality biologics
more accessible and affordable for patientsworldwide.

C

R

D

M

Contract• Target Selection• Cell Line Engineering• DS GMP Manufacturing

One partner

Services• Reagent/Protein Generation &• Assay Development• DP GMP Manufacturing

with• Process Development• QC Lot Release & Stability

expertise in• Antibody Generation• Drug Product Development• Clinical Supply Services

all areas• Complex Biologics Engineering• Drug-Device Combination Product• Commercial Serialization &Assay Development(e.g., ADC)• DS & DP Scale Up• Developability Assessment• Cell Banking & Characterization• Characterization: (e.g., PK, PD,• Pilot Scale Manufacturing

Efficacy & Exploratory Tox)

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WuXi Biologics (Cayman) Inc.
Environmental, Social and Governance Report 2023

Development• Lead ID & Optimization• Viral Clearance• PCC Selection• Late-stage Dev & PC/PV• Regulatory Support• IND & ELA Filing Support

Packaging• Global Dual Source Support

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Green Research (R)Green Solutions in Research (R)Proprietary Universal Bispecific Antibody Platform

WuXi Biologics offers a full spectrum of discovery services and technologies for the generation, characterization, engineering, optimization and selection of high-potency
novel antibody therapeutics. These proprietary platforms accelerate the drug development process and drive ongoing cost reduction during the scale-up phase of drug
development and commercial production.

Advanced Hybridoma-Monoclonal Antibody
Technologies

Bi-specific antibodies (bsAbs) are spearheading a new era in biopharmaceuticals. However, their research and development may encounter obstacles, such as incorrect
molecular assembly and poor developability, which can lead to a prolonged timeline, the more sophisticated process development, even clinical failures, and ultimately
increased costs and higher demand for natural resources and energy.
Our innovative proprietary technology platform, WuXiBody™, ensures bsAbs with correct molecular assembly, and, at the same time, offers three key advantages:

Human Naïve Library•

Universality. With WuXiBody™, almost any (>90%) monoclonal antibody (mAb) pairs can be used to construct bsAbs, which can be easily produced while at the sametime maintain comparable functionality with their parental mAbs.

•

Flexibility. WuXiBody™ bsAbs can be generated in various formats and valences (1+1, 1+2, 2+2) to meet a wide range of biological needs.

•

Excellent Developability. WuXiBody™ bsAbs exhibit developability properties comparable to mAbs, including high titer, yield, solubility and stability.

These WuXiBody™ platform advantages not only simplify the discovery stage and reduce trial-and-error, but also eliminate the need for complex process development
and extremely strict environment maintenance conditions — including temperature and humidity — for protein culture, harvest, selection, storage and transportation.
The ability of the WuXiBody™ platform to streamline the discovery and development process of bsAbs can translate into a timeline savings of 6–18 months, and — bylowering the environment maintenance demand for natural resources and energy — the platform also significantly reduces environmental impact. This advancement holds
promise for more efficient, cost-effective and environment-friendly bsAbs development in the future.

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Green Development (D)Green Solutions in Development (D)Ultra-High Productivity Continuous Bioprocessing
Platform

WuXi Biologics has established one of the world’s largest and most experienced development team to ensure we have the resources and expertise to assist our clientsin the most efficient and cost-effective manner. Our advanced development platforms offer advantages such as high product quality, high economic efficiency, and highfacility flexibility providing our global partners with more diversified choices, whether for fed-batch or continuous manufacturing processing.
To address the problem of an excessive metabolic by product accumulation and its negative impact on protein production during the latter stages of fed-batch processes,

Ultra-Intensified Fed-Batch Production Platform

our WuXiUITM platform introduces an innovative cell culture bioprocess. The process combines ultra-high seeding density and intermittent-perfusion fed-batch to achieve
3 to 6-fold higher productivity than traditional fed-batch processes while maintaining the highest product quality. The platform’s distinctive design allows for outstanding
adaptability across all common cell lines and diverse modalities and is readily scalable to 2,000 L–12,000 L (e.g., 6 x 2,000 L or 3 x 4,000 L) with high productivity and
60–80% reduced manufacturing cost of goods (COGs). It also has a lower carbon footprint than traditional or other intensified fed-batch processes due to its more

Rapid, High-Quality Protein Production Platform

efficient media consumption, lower waste generation and less demand for building space in the production line.
Continuous processing is a next-generation solution for biomanufacturing, designed to address the production difficulty and inefficiency of either labile/difficult-toexpress or low-expressing-level proteins with minimized environment impact and resource demand. Our WuXiUPTM platform employs an intensified perfusion culture
process and continuous harvest, allowing for the manufacture of different types of pharmaceutical proteins with significantly higher productivity (5–15X greater)

Proprietary High Titer Production CHO K1 Cell Line
Development Platform

compared with traditional fed-batch and perfusion culture. This improvement is particularly notable when the process is scaled to 1,000 L–2,000 L using disposablebioreactors. With stainless steel bioreactors, similar productivity can be obtained only by scaling to 10,000 L–20,000 L. The WuXiUPTM platform achieves not only
higher productivity but also significantly reduces resin usage, with a smaller facility footprint. All these factors collectively lead to substantial cost savings and reduced
environmental impact on protein mass basis.

Comprehensive ADCs Development Platform

While dedicated to high quality and rooted in green principles, our technology platforms in Development (D) achieve unparalleled productivity at every stage compared to
traditional technologies. They enhance the competitiveness of commercialized products by significantly reducing investment and production costs, accelerating the drug
launch process and — with a focus on green benefits — minimizing impact on the environment.

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Green Manufacturing (M)Single-Use Technology (SUT): Allows for highly

Green Solutions in Manufacturing (M)flexible and cost-effective manufacturing technologythat is environmentally friendly.

WuXi Biologics’ diverse technology platforms and next-generation manufacturing strategies demonstrate how
the Company incorporates the concept of sustainable innovation into our CRDMO business and embeds a

Scale-Out Biomanufacturing: Enlarges inherent

green mindset across all process and manufacturing operations.

advantages of single-use technology and achieve
higher production volume.

As a pioneer in the application of large-scale SUT through our scale-out manufacturing paradigm, WuXi
Biologics collaborates with SUT suppliers to improve the sustainability performance of our manufacturing

Robotic Aseptic Filling: Reduces drug-product fillprocess. Relevant research and our practical experience show that SUT can greatly reduce the need forrisk and provides greater aseptic assurance using theequipment-cleaning and disinfection, thus lessening water usage and waste. A water savings of up to 70%

gloveless isolator design.

can be attained compared to stainless steel technology at the same production scale. Throughout the Life
Cycle, SUT can also decrease resource use by approximately 33% and minimize the negative effect on climate

Continuous Manufacturing Process: Combines withchange by approximately 40%, while having negligible end-of-life impacts. Even though SUT solutions offer

intensified perfusion culture (IPC) and continuous

significantly reduced environmental impacts compared with traditional stainless steel technology, WuXi

direct product capture (CDPC).

Biologics continues to explore additional sustainable solutions with clients and suppliers for plastic waste
treatment including recycling and waste-to-energy (WTE) initiatives.

Lean Manufacturing: Features comprehensive
continuous Kaizen of production operations andprocesses by WuXi Biologics Business System (WBS)
to lift efficiency and reduce environmental impact.

Through the adoption of cutting-edge manufacturing technologies like SUT, innovative proprietary technology

Lean Management in Manufacturing
Process in Wuxi site
The Wuxi site actively undertook a comprehensive
Kaizen for production operations and processes
based on workflow, including material, equipment
and solution preparation, as well as process
operation and facility infrastructure like air
conditioning. Taking MFG4 in Wuxi site as
an example, by adopting a standardized andsystematic lean approach, embedding green
concepts into the entire manufacturing process anddaily operation, the facility has achieved annual
reduction of waste by 9.5 tonnes, water usage cutof 8 tonnes, and decrease in GHG emissions by 8.8
tonnes, made by electricity savings of 10,495 kWhand natural gas savings of 500 cubic meters.

platforms — such as WuXiUITM and WuXiUPTM and operational excellence driven by WBS, WuXi Biologics
realizes substantial green benefits by minimizing environmental impact across all of its operational sites, while
continuing to empower our partners by achieving maximum productivity.

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Empowering
Sustainability
Through WBS

Higher Quality , Faster Delivery , Better Value

376

Completed Kaizen Projects in 2023

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160

CultureSystem/Mindset

Tool/Method

Management and Problem Solving Tool Box toSupport Continuous improvement and innovation

million RMB

Revenue increased from WBS projects
to improve capacity.

245

GREENING OUR
BUSINESSAPPENDIX

Quality Management

Reduced quality risks and increased customer satisfaction through suchinitiatives as Poka-yoke, and made improvements in the areas of standard
work, process optimization and training.

Operational Efficiency
Enhancement

Greatly improved the operational efficiency of field management andstandardized operations.

Workflow Optimization

Identified and eliminated redundant processes to streamline multiple
workflows, and increased efficiency by using value stream and processes
analysis.

Material Cost Saving

Identified material cost-saving opportunities, enhanced material-use flexibility
and decreased waste to improve gross profit margin and competitiveness.

Inventory Management

Reduced inventory and material impairment, and lowered storage andtransportation costs through inventory strategy optimization.

Capacity Increase

Increased multiple facilities’ capacity through improvements that included fastchange-over between batches and optimization of solution preparation.

Delivery Speed

Significantly shortened turnaround time for testing reports and batch releases.

WuXi Biologics Culture

Management System and Lean Mindset

GIVING BACK TO
SOCIETY

WBS Achievements in 2023

WBS

Guided by our lean culture and enabled by the
WBS, WuXi Biologics applies lean management
principles and methods to support continuous
improvement and make measurable progress inachieving ESG objectives. Through the adoption of
its WBS tools, the Company is able to streamline
operations, improve quality management, boost
client satisfaction, foster a more engaged andempowered workforce, and improve resource
efficiency, leading to an improved overall ESG
performance.

ENHANCING
GOVERNANCE

million RMBInternal material, expense, and capital
expenditure investment savings.

1,000klabor hours

Saved from WBS projects to improve labor
efficiency.

270

million RMBInventory reduced through Kaizen
projects.

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18,183annual carbon reduction

51,486annual water reduction

tCO2e

tonnestonnesIn 2023, WuXi Biologics initiated the ESG Kaizen ofof its WBS approaches with ESG to continuously

The Year Award for the purpose of acknowledging

drive ESG improvements throughout ouroutstanding Kaizen projects that had significant•

Standardization of Membrane Usage

operations. Out of all the completed Kaizen projects

ESG benefits, outstanding alignment with company•

Reduction of DS Filter Changeover and Filter

in 2023, 42% achieved ESG improvements.

ESG strategies, and demonstrable value for

ESG Guideline for Kaizen Project

Projects , which serves as a useful tool to help all
employees effectively identify ESG opportunities
and track progress with clearly defined indicator
metrics.

2023 ESG Kaizen Award Projects

Integrity Testing

dissemination. Ten projects were selected as the•

Low Energy Operating Mode for Site Facilities

2023 ESG Kaizen winners, and the winning teams•

Wuxi Site Electricity Saving

received rewards and internal publicity recognition.

•

Suzhou Site Production, Internal & Regional

Selection Criteria:

•

•

•

Warehouse Auto Replenishment

Reduction of Industrial Steam Cost in
Hangzhou Site

improvement was generated and whether it
resulted in significant or multiple ESG benefits.

•

Contribution Level: Whether the improvement•

Reduction of Downstream Raw Material Costof Traditional Fed-Batch Manufacturingcontributes to the Company’s overall ESG
objectives.

of Kaizen projects

Clean Utilities System Water Saving
Optimization in Shanghai Site

Quantifiable Benefits: How the ESG•

Harvest Process Optimization for 3L
Bioreactorsaligns with the Company’s ESG strategy andachieved ESG improvements

APPENDIX

WuXi Biologics strives to achieve deep integration•

42%

GREENING OUR
BUSINESSESG Kaizen of The Year Award

Biologics developed an ESG Guideline for Kaizen

annual waste reduction

GIVING BACK TO
SOCIETY

Deep Integration of WBS and ESG

To further the integration of WBS and ESG, WuXi

1,351

ENHANCING
GOVERNANCE•

Wuxi Site Hazardous Waste Management
Optimization

Dissemination Value: The extent to which
the improvement measures and resulting ESG
benefits can be disseminated or serve as areference for other departments.

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GIVING BACK TO
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ESG Strategy

Gi
v
to in
S

ck
Ba y
g cietoE
Go nhanve crnGfour areas enable us to address major global
sustainable issues and also create long-termvalue by continuously challenging ourselves
to innovate, leading with accountability, andforming collaborative partnerships.

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WuXi Biologics (Cayman) Inc.
Environmental, Social and Governance Report 2023

n g a c ti t y anot io a n d n a n d I n c l u
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society. With our ESG strategy, ESG priorities

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sustainable value for our business andCopo
E m urO

performance which helps us contributegy

is committed to delivering superior ESGisi n gne O uss r

Development Goals (SDGs), WuXi Biologics

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In line with United Nations Sustainable

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nit
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yE dI
n

GREENING OUR
BUSINESSAPPENDIXCONTENTS

ESG Targets andProgress in Line
with SDGs

Enhancing
Governance

GIVING BACK TO
SOCIETY

GREENING OUR
BUSINESS

TopicsGoals and Targets

2023 Progress

Business Ethics

Maintain 100% anti-corruption training coverage every year

Achieved

Ensure that 100% of new suppliers and targeted suppliers sign the Code ofBusiness Conduct and Ethics of WuXi Biologics Business Partner every year

Achieved

Ensure 100% of procurement staff trained on sustainable procurement

Achieved

Ensure 50% of overall workforce is comprised of women and achieve 45% of
women in managerial positions globally every year

Achieved: 54% of women in overall
workforce and 47% of women in
managerial positions globally

Talent Development

Ensure that 100% of employees receive training every year

Achieved

Occupational Healthand Safety

Keep the Lost Time Incident Rate (LTIR) ≤0.063

Achieved: 0.009 in 2023

Continually expand community involvement and employee volunteer hours

On Track: 8,017 hours and1,907 person-times of volunteer
participation

Mid-term Goal: Reduce Scope 1 and Scope 2 greenhouse gas (GHG)
emissions intensity by 50% by 2030 from the base year 2020 (tonnes/
RMB10,000)

On Track: 29% decrease in Scope 1
and Scope 2 GHG emission intensityfrom the base year 2020

Sustainable Supply
Chain

Diversity, Equity, andInclusion

Being
Responsible
to Society

ENHANCING
GOVERNANCE

Community
Engagement

Climate Change andEnergy Saving

APPENDIX

Related SDGs

Long-term Goal: Achieve net-zero emissions from overall operations by 2050

Greening
Our
Business

Water Management

Waste Management

Original target: reduce water consumption intensity by 18% by 2025 from thebase year 2019

Achieved

Upgraded target: reduce water consumption intensity by 30% by 2025 fromthe base year 2019

On Track: 23% decrease in water
intensity from the base year 2019

Implement Water Excellence Stewardship (WES)1 on our priority sites by2027

On Track: Draft of WES developed

Reduce waste intensity, including hazardous and non-hazardous waste by
10% (tonnes/RMB10,000) by 2027 from the base year 2022

On Track: 23% decrease inhazardous waste intensity and 1%
decrease in non-hazardous waste
intensity compared with the baseyear 2022
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The Big Picture
As a global citizen, WuXi Biologics not only embeds sustainability concepts into our daily operations as a fundamental part of the Company’s operational mindset, but also collaborates with global partners to foster the sustainable
development of communities. We consistently align our actions and targets with the SDGs to make meaningful contribution to society and the communities where we operate.

UN SDGs Indicator

Ensure healthy lives andpromote well-being for
all at all ages

With the vision that “Every drug can be made and every disease can be treated”, we are dedicated to accelerating and transforming the discovery, development,
and manufacturing of biologics through our comprehensive open-access platform. We work closely with our global health partners to empower them, thereby
benefiting patients worldwide. We also support the R&D efforts of companies specializing in rare and major diseases to fulfil the unmet medical needs andparticipate in epidemic prevention to benefit people worldwide. Meanwhile, the health and safety of our employees are of great importance to us, laying thefoundation for their well-being.

Ensure inclusive andequitable quality
education and promote
lifelong learning
opportunities for all

Talent is crucial for the growth and success of our company. We are striving to develop a skilled and motivated workforce to better accomplish our mission of
benefiting patients worldwide. We believe in the merit of comprehensive and lifelong learning; therefore, we offer our employees an extensive array of learning
opportunities, encompassing professional development, leadership training, and a variety of essential skills, among other programs. In addition, collaborative
learning is encouraged. Seminars and workshops are held for employees to share their own knowledge and experience with their peers, fostering an interactive andmutually beneficial learning environment. As part of our effort to give back to society, we collaborate with local schools to provide on-site learning opportunities in
STEM fields and offer scholarships to students with rare diseases, aiming to ease their challenge at school.

Achieve gender equality
and empower all womenand girls
Gender Equality

We are dedicated to creating a diverse and inclusive working environment, ensuring equitable opportunities for all employees, regardless of gender. We have set
targets to achieve balanced gender representation and have surpassed our goal by achieving 47% female representation in managerial positions globally in 2023.
The percentage of women in executive management positions increased from 30% to 33%. As part of our commitment to fostering an inclusive culture, we havelaunched initiatives to encourage female employees to increase their representation and unlock their potential in STEM fields. By the end of 2023, women held 53%
of STEM roles at WuXi Biologics, showcasing our strides towards gender equality in the workplace. In 2023, we established the DEI Committee, which is responsiblefor directing and developing DEI objectives and strategies, overseeing the progress of DEI projects and conducting performance tracking, among other duties.

Clean Water andSanitation

We strive to achieve good water stewardship throughout our operations as an effort to mitigate global water scarcity and promote water conservation. We seek toincrease water efficiency by reducing water consumption at the source by applying SUT technologies in manufacturing processes, and maximize the use of recycled
Ensure availability andwater by establishing rainwater harvesting system. In addition, we annually assess water related risk for all operational sites. In 2023, having achieved our water
sustainable management
consumption intensity reduction goal ahead of schedule, we proactively upgraded this target from an 18% to a 30% reduction by 2025, using 2019 as the baseline.
of water and sanitation
Additionally, we aim to implement Water Excellence Stewardship (WES) on our priority sites by 2027, focusing on site-specific water management, ensuring accessfor allto safe drinking-water, sanitation and hygiene (WASH), and further reducing water usage. This year, WuXi Biologics was named to CDP ‘A List’ for water security,reflecting our dedicated efforts toward combating global water scarcity and our strong dedication to environmental sustainability and supporting SDG 6.

Goal 3
Good Health andWell-Being

Goal 4
Quality Education

Goal 5

Goal 616

Contributing to SDGs

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UN SDGs Indicator

Goal 7
Affordable and Clean
EnergyGoal 8Decent Work andEconomic Growth

Goal 9Industry, Innovation
and Infrastructure

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Contributing to SDGs

Ensure access toaffordable, reliable,
sustainable and modern
energy for all

Acknowledging the significance of the clean energy transition in mitigating and adapting to climate change, we are firmly committed to reducing energy use andmaximizing access to renewables. We have set mid-and long-term GHG reduction goals and committed to SBTi in 2023, aligning our climate actions with theParis Agreement . We established an internal energy management system aligned with ISO 50001 standard to enhance energy efficiency and systematically reduceenergy consumption. By adopting cutting-edge technologies and advancing green process and manufacturing, we have managed to reduce energy use during
manufacturing. Furthermore, we actively deploy photovoltaic systems, biomass solutions, and purchase renewable electricity at our sites to fulfil the clean energy
transition. As a result, our energy consumption intensity (kWh/RMB10,000) has achieved a 28% decrease over the last three years.

Promote sustained,
inclusive and sustainableeconomic growth,
full and productive
employment and decent
work for all

Decent work and productive environment are vital to sustainable economic growth. We value diversity and generate equal opportunities for all employees, firmly
opposing any form of discrimination or illegal employment practices, including child and forced labor. Our commitment to integrity is highlighted by our zerotolerance policy towards discrimination and harassment, ensuring a respectful and safe working environment. We ensure fair compensation, adhere to minimum
living wage standards, and provide competitive benefits, reflecting our commitment to our employees’ welfare. Our approach focuses on developing a skilled andmotivated workforce prepared for future challenges through continuous learning and professional development opportunities. To gauge and improve employee
engagement, we conduct surveys every two years, acting on feedback to enhance our work environment. We also actively pursue our CSR strategy, recognizingthat charitable donations are a vital way to give back to our communities and strengthen our public bonds. By dedicating resources to support various causes, WuXi
Biologics reaffirms its commitment to making a positive impact.

We consistently invest in innovation to enhance our operational efficiency and are at the forefront in adopting the sector’s cutting-edge technologies in core
operations. WuXi Biologics spearheads the eco-friendly and low-carbon transformation within the biopharmaceutical industry by integrating sustainability acrossall facets of our operations, including research and development (R&D) and manufacturing. By leveraging technologies such as SUT and our innovative proprietary
Build resilient
platforms (e.g., WuXiUITM and WuXiUPTM), we achieve significant environmental benefits and minimize our ecological footprint. To further our commitment, we
infrastructure, promote
integrate sustainability into the design of our sites and establish green and low-carbon facilities worldwide to move towards a greener future. Moreover, we
inclusive and sustainable
understand that integrating a robust Environmental Management System (EMS) throughout our operations enables us to effectively coordinate our efforts forindustrialization andresource conservation and waste reduction. This, in turn, enhances our environmental compliance and minimizes our operational impact on the environment.
foster innovation
We continuously monitor our environmental performance through regular internal and external audits, aligned with ISO standards, across all operational sites.
Furthermore, we actively promote communication on environmental management issues internally and externally, fostering inclusive industry collaboration andsupporting sustainable industrial practices.

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UN SDGs Indicator

Goal 10
Reduced Inequalities

Goal 11
Sustainable Cities
and Communities

Goal 12
Responsible
Consumption and
Production

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Contributing to SDGs

At WuXi Biologics, we believe that a diverse and inclusive workforce is essential for fostering new ideas, perspectives, and developing solutions that can makepositive impacts on our clients and patients worldwide. We are committed to empowering every employee, ensuring that no one is discriminated against basedon age, sex, disability, race, ethnicity, origin, religion or economic or other status. Our WuXi Biologics Diversity, Equity, and Inclusion Policy not only clarifies but
Reduce inequality within
also reinforces the critical role of DEI in our workplace culture. We actively support this commitment by providing our employees with a comprehensive range ofand among countries
DEI-focused training programs. Moreover, we uphold the principles of the UN Guiding Principles on Business and Human Rights , demonstrating our unwaveringcommitment to respecting and protecting human rights. Since 2023, WuXi Biologics has proudly been a participant of the UN Global Compact, further solidifying ourdedication to labor and human rights, anti-corruption, and environmental sustainability.

Make cities and humansettlements inclusive,
safe, resilient andsustainable

Building inclusive, safe, resilient, and sustainable cities and communities is pivotal as part of our strategy to give back to society. We proactively engage with local
communities where we operate, maintaining close relationships by, for example, contributing to disaster recovery efforts and supporting local disadvantaged
populations through various channels.

Ensure sustainableconsumption andproduction patterns

We continue to pursue responsible production and are committed to reducing our adverse environmental impacts by advancing green process and manufacturing.
We promote the efficient, circular use of water and packaging materials to ensure responsible production and disposal. We give preference to suppliers offering
low-carbon, environmentally sustainable products, and demonstrating strong commitments to social responsibility. Suppliers must adhere to our Code of BusinessConduct and Ethics of WuXi Biologics Business Partner , affirming their dedication to ethical business practices. Furthermore, we conduct sustainability risk
assessments and on-site audits to monitor and mitigate potential risks within our supply chain.

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UN SDGs Indicator

Goal 13

Peace, Justice andStrong Institutions

Goal 17
Partnerships for theGoals

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Contributing to SDGs

Take urgent action tocombat climate change
and its impacts

The recent United Nations Climate Change Conference (COP28) called for urgent action to address climate change and to keep the global warming objective of
the Paris Agreement within reach. WuXi Biologics stands firmly committed to decreasing our energy use and reducing emissions. We have set mid-term targets for
reducing the intensity of Scope 1 and Scope 2 greenhouse gas (GHG) emissions and long-term targets for achieving net-zero emissions from our overall operations
by 2050. To realize these targets, we take a series of actions on carbon reduction and energy efficiency improvement, including adopting low-carbon design for
all new construction projects, integrating renewable energy into our energy mix, and maximizing energy efficiency for our manufacturing and operations throughtechnological solutions and actions. Furthermore, we promote wider cooperation to intensify decarbonization efforts across our value chain, including with suppliers,
clients, and employees. We firmly align our targets and actions with the Paris Agreement , aiming to contribute to addressing one of the greatest threats to human.

Promote peaceful andinclusive societies
for sustainable
development, provide
access to justice for
all and build effective,
accountable andinclusive institutions at
all levels

Our pursuit of peace, justice, and strong institutions is fundamental to our sustainability strategy, with integrity as a core value and business ethics integral to ouroperations. We prioritize the development of effective, accountable, and transparent institutions at all levels while rigorously combating corruption and bribery
in all forms. We ensure consistent communication and provide training on business ethics, achieving 100% anti-corruption training coverage annually. Throughregular audits and risk assessments, we proactively identify risks and assess the impact of our anti-corruption practices and information security systems. Our
Whistleblowing and Investigation Policy safeguards whistleblower rights and empowers our employees to maintain high ethical standards. We diligently conduct
due diligence on business ethics, including anti-bribery and corruption measures, for all new business partners, such as suppliers, contractors, and consultants. Our
ongoing collaboration includes continuous compliance monitoring through audits and risk assessments. Moreover, we have integrated sustainable supply chain
targets into our procurement policies, steering the Company towards a supply chain that is not only more transparent and ethical but also responsible.

Strengthen the meansof implementation
and revitalize the
Global Partnershipfor Sustainable
Development

WuXi Biologics is fully committed to ethics and anti-corruption mandates as well as external mandates to protect human rights. We firmly uphold the principles andvalues laid out in the United Nations International Bill of Human Rights , the International Labor Organization’s Declaration on Fundamental Principles and Rights
at Work and its Follow-up , and the UN Guiding Principles on Business and Human Rights . In 2023, we proudly became a participant to the UN Global Compact,
committing to implement the ten principles concerning human rights, labor, environment and anti-corruption. Through the operations of our WuXi Biologics Charity
Foundation, we harness our resources to fulfill our commitment to contributing to society. For example, in 2023, we provided donations for disaster relief efforts
following the earthquake in Gansu and Qinghai.

Climate Action

Goal 16

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Corporate Governance28

Operational Governance44

Supply Chain Management

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Environmental, Social and Governance Report 2023

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BUSINESSAPPENDIX

In the pursuit of corporate objectives, governance serves as the foundation for
WuXi Biologics’ compliant and effective business management. We operatewith a comprehensive governance mechanism and seek transparent dialogues
with our stakeholders. Recognizing ourselves as a corporate citizen, we upholdhigh standards of ethical behavior and extend the same expectations to ourpartners and suppliers.

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Corporate
Governance

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BUSINESSAPPENDIX

The Big Picture
As we face multiple challenges of adapting to constantenvironmental and social changes, a strong governanceframework and effective management procedures haveenabled us to embed sustainability into our businessstrategy and everything we do. By enhancing supervision,transparency and effectiveness, WuXi Biologics is striving
to deliver long-term value for all stakeholders.

ESG GOVERNANCE
BOARD STATEMENTSTAKEHOLDER ENGAGEMENT

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BUSINESSAPPENDIXESG Governance

Governance Structure
Five Board-level committees have been established with clearly delineated duties, building up our robust
corporate governance framework and accelerating operational excellence. Under the guidance of thesecommittees, we are taking steps to achieve greater transparency and accountability for our stakeholders.

Why It Matters

Board Governance Structure

Oversight and management of ESG issues from the Board level ensures that the Company’s management
procedures are effective and that adequate resources are allocated to improve our ESG performance. By virtueof the ongoing attention of the Board and the active executive engagement in ESG topics, we drive the integrity

The Board

Audit
Committee

Remuneration
Committee

Nomination
Committee

of corporate governance structure and enhance corporate competitiveness.
Strategy
Committee

ESG
Committee

ESG Governance Structure
Our Board of Directors is our highest decision-making and governing body regarding ESG issues. Composed

Board Diversityof executive directors and independent non-executive directors, our ESG Committee takes primary oversight

A diverse board is essential for us to operate effectively in the changing business environment. The Company istracking, evaluating ESG trends, opportunities and risks, in areas such as Business Ethics and Informationcommitted to supporting and encouraging the diversity of the Board in terms of skills, experience, background,race, gender, etc. We have established a Board Diversity Policy , which includes our approach to achieving
and maintaining the diversity of the Board. All Board members are appointed based on their individualcompetencies and abilities, such as diverse and differentiated technical and managerial skills, regional andindustry experience, and financial and risk management expertise, among other considerations. This is to ensure
an optimal representation of extensive high-level perspectives in the Company.

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responsibility for formulating the Company’s sustainability vision, target, policy, strategy and progress
Security, Environmental Protection and Climate Change, Human Capital and DEI, Sustainable Supply Chain,among others. To drive continuous improvement of our sustainability performance, we have incorporated ESG
metrics into the performance and remuneration measurement of Chief Executive Officer, senior executives
and relevant management teams through pre-defined indicators and targets. Their contributions toward
our ESG performance are evaluated annually as part of the short-term and long-term incentive mechanisms,
continuously promoting effective management of our prioritized ESG issues.

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ENHANCING
GOVERNANCE

GIVING BACK TO
SOCIETY

GREENING OUR
BUSINESSAPPENDIXESG Management Structure
Organization

Members

Responsibilities

ESG Committee

Chaired by the CEO
Composed of an executive director and three
independent non-executive directors• Reviews ESG trends, oversees ESG issues and identifies sustainability opportunities.
• Directs and develops vision, objectives, strategies and structures.
• Oversees ESG governance framework and the implementation progress of ESG targets.

ESG Steering Group

Company senior executives from all business units• Provides insights into material issues for ESG Department to ensure objectives align closely with business.
• Coordinates resources to ensure effective implementation of ESG strategy and plan.

ESG Department

Dedicated ESG management in parallel with all Business
Units, part of company core leadership team• Evaluates ESG performance, with reference to long-term strategy and globally recognized ESG standards.
• Proactively communicates with stakeholders about material issues and provides advice, directions and suggested solutions for ESG
decision-making.
• Refines action plans for ESG targets approved by the Board and coordinates implementation across departments.

Material Issues Task Forces andRelevant Departments

Head of each department and their designated ESG
representatives• Jointly promote the implementation of ESG strategies and action plans.
• Keep innovating and refining operational excellence to improve ESG performance.

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Board
Statement

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WuXi Biologics Board of Directors’ Statement
Supervision of the Board
The Board holds overall accountability for the Company’s ESG governance. As the decision-making body, the Board reviews all the progress on ESG targets and ESG
implementation.
ESG Committee is appointed by the Board and chaired by the CEO, Dr. Zhisheng Chen. It also includes three independent non-executive directors to ensure its independence
and effectiveness. To support the Board’s oversight responsibilities for ESG management and performance, the ESG Committee regularly monitors the development andimplementation of the Company’s ESG vision, strategies, policies, governance structure, and objectives; approves and assures that all priority topics are covered in our ESG
report; and reports on ESG progress and recommendations to the Board.
Work Implementation
An ESG Steering Group, formed by the Company’s senior leadership team, was set up to provide strategic insights and resource support for ESG work. ESG Department
reports to the ESG Committee on a regular basis to provide professional advice. It is also tasked with facilitating communications about ESG implementation and coordinating
the engagement of relevant departments, with the goal of embedding ESG strategy into daily operations. The department’s output and recommendations are overseen andendorsed by the ESG Committee.
Risk Management
We take a disciplined approach to our risk identification and review process to make sure all ESG-related risks are fully considered and integrated into our enterprise risk
management (ERM) system. As a key category in our ERM, ESG risks are assessed by identifying the concerns of our stakeholders, with the integration of our annual materiality
assessment results.
Potential ESG-related impacts will be fully monitored and discussed by the Audit Committee should any emerging risk be identified. All ESG-related risks and potential impacts
are overseen and endorsed by the Audit Committee.
ESG Targets and Progress Tracking
To help assure that we attain ESG targets, we assign employees to take responsibility for target achievement, and to regularly collect data, track progress and review
performance.
The Board is committed to tracking ESG progress towards goals in response to the concerns and expectations of stakeholders.
ESG Material Issues

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WuXi Biologics is committed to incorporating stakeholders’ shared values into its ESG strategy. We have established a smooth and transparent communication mechanismwith all stakeholders to identify and assess ESG material issues, in terms of ESG issues’ financial impact as well as company operation’s social and environmental impact. The
Board and ESG Committee meet regularly to discuss stakeholders’ area of concerns, identify ESG material issues, and review and assess ESG performance. This allows us tocontinuously refine our sustainable development strategy and protocols.

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Stakeholder
Engagement

Material ESG Issues
In 2023, we conducted a comprehensive double
materiality analysis. By distributing questionnaires
and conducting extensive interviews with all

Why It Matters
The direction of WuXi Biologics’ ESG development
is decided by a systematic evaluation process
in which both the impact of ESG issues on the
Company and the impact of the Company’s
operations on the environment, society andother external stakeholders are considered.
Besides conducting assessments and updating
our materiality annually, we also have establishedregular dialogues with all stakeholders to evaluate
importance of ESG issues as well as impacts of ouroperations, to better understand their expectations
and concerns.

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Assessment Process

Step 1

Step 2

Step 3Create a pool of ESG issues

Materiality assessment

Select material issues

Based on the industry

Assess the financial impact

Review and select materialfeatures and theof ESG issues on theissues: Thoroughly assesscharacteristics of theCompany, as well as thethe issues based on theirCompany, formulate

environmental and social

financial, environmental

engagement strategies for

impacts caused by theand social impact andrelevant stakeholders, andCompany's operations:select 22 material issues,establish a preliminary topic• Evaluate the impact,

disclose response strategies

stakeholders, including clients, government andregulatory agencies, suppliers, social organizations,media, board members, senior management,
relevant departments, and general employees, we
identified the potential financial impacts of each
ESG issue on our Company, as well as the socialand environmental effects arising from our business
operations. Materiality assessment has been
integrated into ERM system process.

library containing 30 ESG

risk, and opportunities

to address these issues

issues:of each ESG issue

according to the ESG• Review the readiness of• Refer to preset

internal data

standards to determine• Soliciting internalmateriality: the criteria

opinions on the topic

for assessing impact

librarymateriality includes• Analyze industry trends

severity and likelihood;and international

the criteria for assessing

standard requirements

financial materiality

strategy.

include the degree andlikelihood of financial
impact

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9

Environmental and Social Impact

2
1
14
17

11
15

16
21

18

10
4

5
6

7

3

20

19
22
8

12

13

Financial Impact

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12

Access to Healthcare

2

Business Ethics

13

Community Investment andDevelopment

3Intellectual Property Protection

14

Diversity, Equity and Inclusion

4

Information Security

15

Occupational Health and Safety

5

Sustainable Procurement

16

Environment Management

6

Supplier Engagement

17

Climate Change

7

Risk Management

18

Water Resources Management8

Responsible Marketing

19

Waste and Discharge Management

9

Product Safety and Quality

20

Technology and Innovation

10

Customer Relationship

21

Energy Management

Impact Assessment — Climate Change

11

Employee Rights andDevelopment

22

Green Process and Manufacturing

Type of impact: Positive

to measure the external societal or environmental impact. Our materiality assessment metrics and the 2023 materiality matrix have been reviewed and approved by the

BOARD STATEMENTSTAKEHOLDER ENGAGEMENT

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APPENDIX

Corporate Governanceto measure the direct environmental and social impact of our business activities. We conducted an impact valuation by converting the output metrics into an impact metric

ESG GOVERNANCE

GREENING OUR
BUSINESS

1

Based on the materiality assessment, we further identified multiple ESG topics that have a material impact on external stakeholders. In 2023, we used a quantitative metric

Board of Directors.

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SOCIETY

Impact Assessment — Product/Service
Quality & Safety
Type of impact: Positive
Based on our assessment, external stakeholders
hold the same opinion that WuXi Biologics is ahigh performer in this aspect. Leveraging industryleading technologies, world-class quality system, andeffective execution, we have been enabling our global
partners to discover, develop, and manufacture
biologics, accelerating their efforts to bring lifesaving
therapeutics to benefit patients around the world.
Quality is a core value embedded in our culture.
Going forward, we will continue to maintain ourworld-class quality standards and bring long-terms
value for our clients and patients worldwide.

Pursuit of environmental sustainability has become aconsensus among human society, and is considered
as an imperative for every company to achieve longterm goals. At WuXi Biologics, we take innovative
actions to address climate change and to minimize
our impacts on the environment through GHG
emission reduction. We set long-term goal to realize
Net-Zero emissions by 2050 from overall business
operations, and try to reduce our carbon footprint
with green technologies and platforms. Across ourglobal sites, we have built “Factory of the Future”
facilities with innovative green design concept andgreen manufacturing process, all to accelerate theclimate-change transition of the industry and create
positive impacts on the whole value chain.

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Stakeholder Communications

Stakeholders

We disclose our major activities on material
issues through ESG reporting for transparent
communication with stakeholders. In addition, we

Common Goals

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Communication Channel

Corporate governance
Board of Directors

Product safety and quality guarantee• Board meetings

Information security• ESG committee meetings

established regular communication channels with

Climate change and Energy management

major internal and external stakeholders to openly

Superior delivery capabilities• Client communication and complaint mechanisms

Product safety and quality guarantee• Client satisfaction surveys

Intellectual property protection• Transparent disclosures

Information security• Client audits

and dynamically report on our ESG performanceand progress regarding our common goals.

APPENDIX

Clients

Salary and benefits
Employees

Safeguarding of employee rights and interests
Employee developments and training
A culture of diversity, equity and inclusion
Corporate governance

Investors

Business ethics and complianceTechnology and innovation

Suppliers• Staff Townhall• CEO mailbox• HR Hotline and service desk
• Annual general meetings• Investors meetings

Supply chain management• Supplier approvals and audits

Supply chain safeguards• Communication channels include email, call, regular meetings, and trainings

Business ethics and compliance
Government and Regulatory Authorities

Product safety and quality guarantee• Transparent disclosures

Climate change and Energy management
The Public

Benefits for patients
Community engagement and development• Transparent disclosures• WuXi Biologics Charity Foundation and Volunteer Association• Enabling clients to accelerate the launch of new drugs

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Operational
Governance

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The Big Picture
Operating responsibly is a vital step in establishing close
connections with the society. WuXi Biologics honors thetrust that our clients, partners, employees, and communities
put in us, and strives to retain it by upholding the highest
standards of business ethics. Our key efforts involveanti-corruption, risk management, intellectual property
protection, information security, responsible marketing, andanimal welfare.

BUSINESS ETHICSRISK MANAGEMENTINTELLECTUAL PROPERTY AND TRADE SECRETS MANAGEMENTINFORMATION SECURITYRESPONSIBLE MARKETINGANIMAL WELFARE

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Business
EthicsManagement Structure and Policies

In 2023, WuXi Biologics, as part of its ongoing

Our ethics and compliance management systemcompliance system, established internal policies

consists of the Ethics and Compliance Committee,
the Compliance, Audit and Risk Management

Why It Matters
With integrity as one of our core values, WuXi
Biologics is committed to identifying andaddressing any potential business ethics risks in ouroperations. Business ethics are deeply embeddedin the way we work, and we aspire to generate real,
lasting, positive impacts on the value chain by also
requiring that our business partners hold to thesame ethical standards.

Department, and other specialized teams on various
compliance issues. The Audit Committee of theBoard of Directors oversees the effectiveness of ourcompliance system and programs.
The Ethics and Compliance Committee — chairedby the Chief Executive Officer and composed ofmembers from the Company’s senior managementlevel — exercises comprehensive control of theCompany’s compliance risk management. The
Committee receives quarterly reports on the
Company’s compliance status and formulate
strategies to ensure execution and continuous
improvement of the Company’s business ethics andcompliance management system.
The Compliance, Audit and Risk Management
Department is responsible for establishing andmonitoring the implementation of our compliancesystem and policies, and for reporting any

BUSINESS ETHICS

anti-corruption and business ethics-related issues

RISK MANAGEMENT

directly to the Audit Committee.

INTELLECTUAL PROPERTY AND TRADE SECRETS MANAGEMENTINFORMATION SECURITYRESPONSIBLE MARKETINGANIMAL WELFARE

ENHANCING
GOVERNANCE

commitment to advancing its business ethics andon business ethics that guide and mandate all
employees conduct their work with integrity andhonesty. The Company’s Code of Business Conduct
and Ethics , which outlines our compliance principles
and standards in detail, applies to all directors,
managers and employees of the Company,
including its worldwide holding subsidiaries andaffiliated companies.
In addition to the Code of Business Conduct andEthics , our Anti-Corruption Policy and Conflict ofInterest Policy were established to address different
forms of corruption and bribery. We carry out
regular audits on the conformance of our ethicalstandards and anti-corruption policies to ensure
their effectiveness. The frequency of these audits
is to be increased in areas where high risks are
identified.

GIVING BACK TO
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GREENING OUR
BUSINESSAPPENDIX

Our Approach
WuXi Biologics’ business ethics and complianceprograms are designed to ensure the effective
implementation of our high ethical standards,
and to prevent, identify, and respond in a timely
manner to any potential business ethics risks. Keyelements of the ethics and compliance programs
include communication and training, regular audits
and risk assessments, employee incentives linked
to compliance, and well-established reporting andincident investigation procedures.
Communication and Training
WuXi Biologics steadfastly embeds a culture ofcompliance within its core values, employing
a comprehensive training program to ensure
employees understand our business ethics
standards. In 2023, we extensively overhauled
our business ethics compliance training modules
to align with the expanding global scope of
our operations, covering essential compliance
topics such as our code of conduct, trade secretprotection, anti-corruption and anti-bribery,
conflict of interest, and privacy protection. To
constantly reinforce the importance of businessethics and compliance, we also leveraged diverse
educational channels, including our internal
online training platforms, team compliance
meetings, specialized lectures, and annualcompliance training. Furthermore, we mandatethat all employees annually confirm and sign off oncompliance policies such as the Code of BusinessConduct and Ethics and the Anti-Corruption Policy .
To solidify understanding and compliance, wedeliver a sequence of online courses followed byassessments that affirm employee commitment toour business ethics standards.

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Environmental, Social and Governance Report 2023

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CONTENTS

GIVING BACK TO
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GREENING OUR
BUSINESSAPPENDIX

Parallel to our full-time personnel, we expect the same level ofRegular Risk Assessments and Audits

Incentives and Discipline Linked to Complianceadherence to the compliance culture from our part-time employees

WuXi Biologics’ Compliance, Audit and Risk Management Department

The Company incorporates ethical conduct as part of our employee(interns) and contractors. We enforce completion of compliance training

undertakes all-encompassing annual risk assessments — including on

performance appraisals, with significant violations will directly affectprior to their onboarding and continuously offer comprehensive

anti-bribery and anti-corruption topics — across our global operations

the yearly performance results for both the individuals involved andtraining sessions. Part-time employees are required to participate inthrough comprehensive mechanisms that incorporate in-depth

their departments. We award incentives to employees who actively

annual compliance training and examinations. Contractors undergo

engagements with the line managers of each department. These

monitor and report corrupt behaviors, and we implement appropriate

a distinct compliance training program, complete with necessary

assessments aim to detect areas of high risk and evaluate the possible

disciplinary actions for affirmed cases of non-compliance. In 2023,

examinations. This program encompassing topics such as trade secretimpact on our business and its severity. We identify business activities

no violations were noted in areas of corruption or bribery, conflict ofprotection, anti-bribery and anti-corruption, conflict of interest, andand operations with high corruption risks through audits and otherinterest, money laundering, insider trading, or customer privacy.

privacy protection. All the contractors were required to compete thecontrol procedures, and our Compliance, Audit and Risk Management

training and pass the corresponding examination this year. These

Department issues investigation reports on any confirmed cases andcompliance education programs — mandated across all workforce

takes actions accordingly.

tiers — ensure ongoing awareness and conformity with our ethicaland regulatory guidelines, a reflection of our steadfast dedication to

The internal audit plan at the Group level is developed annually. These

maintaining organizational integrity.

internal audits, which focus on key risk areas identified through risk
assessments, encompass our global operations and all departments.
The 2023 audit plan progressed in line with our timelines and forecasts.
In 2023, the Internal Audit team performed comprehensive evaluationsof our international operations, ensuring full coverage of operationalsites through a risk-based approach and tackling business ethics issues.
We take forceful measures to deter non-compliance and reduce
exposure to unethical opportunities, and we endeavor toeliminate conflicts of interest by sharing information internallyon a need-to-know-basis. We also promote transparency in our

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WuXi Biologics (Cayman) Inc.
Environmental, Social and Governance Report 2023

organization by encouraging employees to understand and identify
conflicts of interest, disclose them in a timely manner, and seek
guidance when in doubt. Background checks are used to confirm
employees’ history of ethical conduct.

Reporting and Incident Investigation Procedures
We strive to cultivate an open environment and encourage our
employees, clients, suppliers, and other stakeholders to raise concerns
on any suspected violations. A 24/7 global hotline and an online
reporting platform (wuxibiologics.ethicspoint.com) — with local
language services across our operational sites — are operated by anindependent third-party to ensure independency. This service, available
to both internal and external stakeholders, provides valuable input tosupport the effective oversight of WuXi Biologics' business ethics.
We adhere firmly to the WuXi Biologics Whistleblowing andInvestigation Policy , which sets out clear protocols for reporting,investigation, rewards, and disciplinary measures. This policy isdesigned to protect all stakeholders who report concerns and tofoster an environment where doing the right thing is valued. We
endorse confidential and anonymous reporting channels, assuring
full confidentiality and implementing robust measures to shield
whistleblowers from retaliation. Any retaliation against individuals
for reporting concerns in good faith or collaborating with inquiries isstrictly prohibited. Strong safeguards for the rights of whistleblowers
are detailed in our Whistleblowing and Investigation Policy .

CONTENTS

100%

of Board Directors participated in training on
ethical standards and anti-corruption

ENHANCING
GOVERNANCE

GIVING BACK TO
SOCIETY

GREENING OUR
BUSINESSAPPENDIX

In 2023, through our reporting channels, we

Advancing Integrity and Transparency

received 26 reports related to business ethics.

WuXi Biologics is dedicated to promoting a culture of integrity in business, fostering a workplace atmosphere

All identified issues, including ethical violations

characterized by uprightness and honesty, and championing a compliance culture that establishes a clear

and Company policy breaches were subject to aand transparent business environment. In 2023, we actively joined the Integrity Alliance and the Corporate

structured follow-up process to ensure proper

Anti-Fraud Alliance and set up a dedicated section on the Anti-Fraud Alliance’s official website. This spaceresolution. During the reporting period, WuXi

provides detailed information about our Company and publicizes our channels for reporting fraud, underscoring

Biologics faced no lawsuits or legal actions

our relentless effort to nurture an ethical, open business landscape.

regarding business ethics violations2, nor were any

100%of employees (including part-time employees)
participated in annual training and examination on
ethical standards and anti-corruption

administrative penalties levied.

Indicator
Training on the Code of Business Conduct and Ethics and Anti-corruption
Policy that each Board Director received

Training on Reporting Concerns and “Speak-Up”

Percentage of Board Director participated in training on ethical standards andCultureanti-corruption

In 2023, we further refined our reporting andinvestigating system to address the concerns ofwhistleblowers and move forward efficiently withinvestigations of reported incidents. To promotea healthy “Speak-Up” culture that empowers

Training on the Code of Business Conduct and Ethics and Anti-corruption
Policy that each employee (including part-time employees) received
Percentage of employees (including part-time employees) participated intraining on ethical standards and anti-corruption

Unit

Launched in 2023

Hour

0.5

%

100

Hour

1

%

100

employees to raise issues or questions, two training
sessions were provided for all employees regarding
the whistleblowing mechanism and process. During
the training, we conveyed the attitude of theCompany and management towards whistleblowing
and investigation, answered questions from
BUSINESS ETHICS

employees, and addressed their potential concerns

RISK MANAGEMENT

on reporting misconduct.

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CONTENTS

Risk
Management
Why It Matters
As a company operating on a global scale, WuXi
Biologics actively takes actions to mitigate various
internal and external risks that could potentially
impact our operations. We continually work onenhancing our risk management system to boost
resilience and integrate it into everything we do.

ENHANCING
GOVERNANCE

GIVING BACK TO
SOCIETY

GREENING OUR
BUSINESSAPPENDIXManagement Structure

The first line of defense consists of front-line employees, such as managers andWe have established a comprehensive risk management system that covers all

and providing products and services to clients. These team members bear thedesignated individuals within business units who are directly engaged in creating

key business modules and stages to identify risks, formulate risk management
strategies, and implement risk management measures in a timely manner. The
Board of Directors holds the overall responsibility for the risk management
system, and our Audit Committee oversees the appropriateness and effectivenessresponsibility for owning and managing risks inherent in daily operations.
The second line of defense in our risk management hierarchy is the Compliance,
Audit, and Risk Management Department and other Operation Units (suchof the system as well as the overall management structure.

as Finance, Legal and HR). The Compliance, Audit, and Risk Management

The three lines of defense are designed to support and improve our risk

(CCO), who reports directly to the CEO. This department — along with the

Department is presided over by WuXi Biologics’ Chief Compliance Officer

management structure. Throughout this framework, our objective is to develop
a top-tier compliance and risk management system that drives the Company’ssustainable, long-term progression.

Ethics and Compliance Committee chaired by the CEO and composed of senior
management — exercises comprehensive oversight regarding the Company’s
compliance risk management. The Committee reviews quarterly reports on
our compliance initiatives, reinforcing constant enhancement and execution of
our business ethics and compliance framework. The second line of defense isFirst line

Second line

Third line

responsible for establishing the control mechanisms executed by the first line ofof defenseof defenseof defense

defense.

• Daily risk

• Comprehensive• Independent

The third line of defense is our Internal Audit Department, which serves as anindependent assurance provider, certifying that organizational practices alignownership andoversight,

assurance andwith the Company’s risk strategy and policies as operationalized by the first andmanagement

risk controls

oversight

second lines of defense. With a focus on significant risk areas identified throughestablishment

targeted risk assessments, the Department conducts meticulous audits thatunearth pivotal issues. Deploying professional and systematic methodologies,
it not only offers critical insights for enhancing our risk management strategy

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WuXi Biologics (Cayman) Inc.
Environmental, Social and Governance Report 2023

but also ensures fidelity to our overarching risk governance. Reporting directly
to the Board of Directors, the Internal Audit Department plays a crucial role insupporting the board’s oversight and refining the Company’s risk mitigation
practices even further.

CONTENTS

Our Approach
Risk Management Strategy
Risk management is incorporated into the strategicand operational processes at all levels within WuXi
Biologics to minimize the impact of risk. Following
the COSO3 Enterprise Risk Management Frameworkand guided by internal policies, we conduct annual
formalized risk assessment, which includes theidentification, prioritization, measurement andcategorization of all key risks that could potentiallyaffect the Company’s objectives. We continuously
evaluate our risk exposures to adapt to shifting
risk dynamics, strengthening the Company’s
resilience to potential threats. In 2023, we launched
a comprehensive Compliance Risk Obligation
Identification, meticulously identifying corecompliance-related risk responsibilities involved invarious departments. Additionally, we conducted
a Business Continuity Management (BCM) Survey
and Risk Assessment to further solidify our
preparedness and response strategies.

ENHANCING
GOVERNANCE

WuXi Biologics has developed a rigorous Business

Risk Management Culture

Continuity Management System (BCMS), creating

To embed an effective risk management culturea dynamic framework that regularly refines our

into our daily operations, we use an approach that

Business Impact Analyses and Disruption Risk

includes a series of actions aimed at making risk

Assessments. Our intentional design focuses on

management a collective responsibility for our

pre-emptively recognizing and strategizing for

employees at all levels.

possible business disruptions, and developing
resilient Business Continuity Plans (BCP) that
underpin the seamless operations of our enterprise.
The BCMS is meticulously monitored by theBusiness Continuity Management Committee
and managed by our Global Operations Support
department, which assesses and assures theeffectiveness and practicality of our system.
Across our global operations, each facility
has implemented a tailored BCP, and a BCM
Coordinator role has been instituted at each site
to facilitate coordination with tailored site-specificcontingency protocols. The BCP, strengthened byroutine drilling exercises, ensure business continuity
is consistently upheld and effectively executed atevery level — departmental, site and corporate.

Regular Risk Education
We strive to increase employees’ awareness ofcompliance and risk management through training
and communications that cover a wide range offocus areas, including compliance, cybersecurity,
quality, and environment, health and safety.
Our internal compliance and risk control policies
and procedures are clearly communicated to all
employees through dedicated training sessions andweekly compliance meetings. Our BCMS culture isstrengthened through rigorous adherence to theCompany’s compliance directives and document
control protocols. To maintain readiness, eachof our sites and business divisions systematically
updates and conducts annual refresher training fortheir BCP.

In 2023, we executed numerous BCM exercises

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GREENING OUR
BUSINESSAPPENDIX

Incentive Scheme
We have developed a set of compliance and risk
management-related metrics — such as complianceand risk control — and incorporated it into ourorganization and employee performance appraisal
system. The evaluation procedure applies to bothsenior executives and line managers. In addition,
rewards are provided to employees who proactively
identify and report potential risks.
Risk Reporting Mechanism
Beyond our whistleblowing mechanism, we've
developed a compliance risk reporting channel,(ASK COMPLIANCE), to promote risk management
as a collective duty throughout the Company,
encouraging proactive risk identification andreporting by employees. Aligning with our BCM
protocols, each site and business unit’s BusinessContinuity Management Team ensures that risks
related to business disruptions are reported ina timely manner, as per BCM stipulations. Thisguarantees that our BCP are activated promptly,
effectively, and with rigorous supervision whennecessary.

across our global operations, verifying the effective
BUSINESS ETHICSRISK MANAGEMENTINTELLECTUAL PROPERTY AND TRADE SECRETS MANAGEMENTINFORMATION SECURITY

functionality of each BCP, promptly resolving

Risk Management Process

any identified issues, and assuring our readinessfor swift operational recovery in the event of
disruption.

Risk
Identification

Risk
Assessment

Risk
Handling

Risk Monitoring
and ReportingRESPONSIBLE MARKETINGANIMAL WELFARE

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CONTENTS

Emerging Risks Evaluation and
Mitigations
We annually evaluate emerging risks coming fromthe dynamic environment to effectively manage
potential risks that may affect our business
operations in the long term.

ENHANCING
GOVERNANCE

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GREENING OUR
BUSINESSAPPENDIX

Emerging Risks Due to Expanding Global Climate Policies
With international efforts intensifying to combat climate change, an evolving landscape of climate policies presents significant long-term risks for global companies. WuXi
Biologics, which operates bases in China, Ireland, Germany, the United States, and Singapore, must proactively navigate a patchwork of environmental regulations that
affect our operations. These policies — aimed at reducing greenhouse gas emissions and promoting sustainability — affect diverse aspects of our business, from energy use
to facility operations and supply chain management.
China is heavily investing in achieving carbon neutrality by 2060, introducing restrictions and incentives that could affect our production. The EU’s carbon reduction targets
impact our operations in Ireland and Germany. The US’s renewed environmental focus and Singapore’s Green Plan 2030 also pose compliance and adaptation challenges
for WuXi Biologics.
As WuXi Biologics steps forward to address risks tied to escalating climate policies, we are refining our operations to ensure alignment with global sustainability goals.
To govern this transition, our Board and senior leadership have established a robust risk management framework that thoroughly assesses the potential impacts on ourbusiness. We carefully incorporate this evaluation into our strategic planning, ensuring that governance and risk management remain top priorities.
Our mitigation actions are focused on:• Advanced Energy Management: Aligning with ISO 50001 standard, we are systematically improving energy efficiency to shrink our energy footprint.
• Efficient Resource Utilization: We are dedicated to enhancing our operational processes to maximize resource efficiency and minimize environmental impact.
• Sustainable Infrastructure: Proactive investment in sustainable infrastructure equips our facilities with the means to effectively reduce energy consumption.
• Collaborative Decarbonization: By engaging with internal teams and external partners, we aim to collectively diminish our carbon footprint across the value chain.
In alignment with the SBTi, we endorse measures that guide our path to a net-zero emissions target by 2050. As climate policy continues to expand worldwide, thesestrategic initiatives lay the groundwork for WuXi Biologics to navigate this evolving environment resiliently and sustainably.

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CONTENTS

Intellectual Property
and Trade Secrets
Management
Why It Matters

ENHANCING
GOVERNANCE

GIVING BACK TO
SOCIETY

GREENING OUR
BUSINESSAPPENDIXManagement Structure and Systems
The Company’s legal department holds the responsibility for designing and implementing our intellectual property protection strategy across the organization. Our internal
policies on intellectual property management are aligned with standards and principles such as the GB/T 29490–2013 Administration of Intellectual Property Rights ofEnterprises , and we stringently enforce policies and procedures to ensure accountability in cases of infringement. In 2023, we further optimized our approach by revisingand refining our internal intellectual property management guidelines, and during the year, we successfully passed audits from external certification bodies, maintaining
our certified status as evident from our Intellectual Property Management Certificates. Moreover, the Shanghai Intellectual Property Administration awarded an “excellent”
evaluation to our patent pilot project in their assessment.

At WuXi Biologics, protecting intellectual
property, including vital trade secrets, is pivotal tomaintaining the trust of our clients. These assets,
central to our collaborative achievements, areguarded by principles of integrity, state-of-theart security, and strict policy enforcement. A zerotolerance stance and proactive legal defense affirm
our dedication to secure and preserve the valuable
proprietary knowledge that fuels innovation andbusiness growth.

Intellectual Property Management Certificates
Trade secret protection is a fundamental priority at WuXi Biologics. We have instituted a dedicated Trade Secret Protection Department, which is tasked with overseeing
regulatory compliance and administering comprehensive management systems. This ensures that the safeguarding of trade secrets is woven seamlessly into our key
BUSINESS ETHICS

business activities, from research and development to production and day-to-day operations.

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ENHANCING
GOVERNANCE

GIVING BACK TO
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GREENING OUR
BUSINESSAPPENDIX

Our Approach
Intellectual Property Protection Measures
We take an all-encompassing approach to protecting intellectual property. Internally, our efforts focus on raising awareness and enhancing IT infrastructure. To enhancerisk monitoring and management, we have a clear escalation protocol in place and encourage all employees to report any potential intellectual property infringement.
To minimize the risk of intellectual property infringement when we collaborate with a third party, we require our suppliers to sign the Suppliers Intellectual Property
Declaration , which explains the application of intellectual property rights and describes our dispute settlement procedures.
Trade Secret Protection Measures
Risk Assessment: Through ongoing internal evaluations and oversight, WuXi Biologics identifies risk points in trade secret management, continually enhancing our ability to
manage these confidential assets. Additionally, we have developed a digital platform to oversee and control the risk of trade secret disclosure.
Training and Awareness: Our comprehensive training programs aim to boost trade secret protection awareness across WuXi Biologics. We offer regular company-wide
sessions, including departmental and all-staff meetings, alongside annual training with assessments. Specialized, department-focused training is also conducted, as well as
onboarding sessions that embed trade secret principles for new hires and contractors from the start.
Safeguarding Measures for Trade Secrets
Aspect

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WuXi Biologics (Cayman) Inc.
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Descriptions

Information Classification

Trade secrets are rigorously categorized by relevance and sensitivity, with access limited by role, necessity, and strict
oversight. Protective measures safeguard each secret throughout its lifespan.

Technical Safeguards

To prevent data breaches, we deploy sophisticated tools such as encryption software, behavior monitoring systems,
secure endpoints, and data transfer protocols that limit unauthorized use of removable media.

Client Project Security

We protect client-related projects with a unique coding system, ensuring data is accessible only by the assigned team.
We maintain strict confidentiality through project-specific firewalls and secure communication channels.

Pre-Launch Assessments

Before initiating key business systems, we conduct exhaustive trade secret protection reviews, scrutinizing the system’s
any possible vulnerabilities related to authorization, data transit, and storage.

CONTENTS

Information
Security

Management Structure, Systems andPolicies
Information security
The effectiveness of the information security

Why It Matterssystem is supervised by WuXi Biologics’

At WuXi Biologics, information security andSecurity Management Committee — headed

data privacy are a top priority. The stability andefficiency of our services depend on criticalinformation systems and the secure transmissionof data, and we are committed to respecting andprotecting data privacy in all our operations andactivities. To that end, we pay close attention topotential information security risks, and are diligent
in our efforts to identify and quickly respond toany conceivable security incident or data breach,going to great lengths to protect the information
entrusted to us by our clients and partners.

executive management team. Our Informationby the CEO, one of the Board members — isresponsible for the establishment of strategy
and the review/approval of relevant policies.
Moreover, our Chief Technology Officer (CTO)on the executive management team is tasked
with overseeing cybersecurity within the
Company. Also at the executive level, we havean Information Security Working Committee —composed of members from various business
units — which is responsible for executing
related tasks and performing security risk
assessments for major projects. Throughout theyear, the Board receives quarterly reports fromrelevant departments regarding informational
security matters.
WuXi Biologics’ information security

BUSINESS ETHICS

management system is built in accordance

RISK MANAGEMENT

with the requirements of ISO 27001. We

INTELLECTUAL PROPERTY AND TRADE SECRETS MANAGEMENT

have established comprehensive policies and

INFORMATION SECURITY

processes to control potential informationRESPONSIBLE MARKETINGANIMAL WELFARE

security risks, including Information Systems

Business Continuity & Disaster Recovery
Plan for WuXi Biologics, WuXi Biologics
Information Security Management Manual,

ENHANCING
GOVERNANCE

WuXi Biologics Information Security Risk
Management Standard, WuXi Biologics
Information Security Policy, WuXi Biologics
Third Party Security Management Standard,
WuXi Biologics Acceptable Use Policy, andWuXi Biologics Information Security IncidentManagement Standard. In addition, we createdan Application Security Assessment Platformthat optimizes security requirements analysis,
security design review, vulnerability scanning,code auditing, and penetration testingprocesses throughout the entire lifecycle ofinternal information assets. Company policies
regarding information security are provided toall employees and updates are made throughemail transmissions and training sessions toensure that current rules are well known andfollowed. Our suppliers are also required toabide by our information security policies. We
have established the WuXi Biologics Third
Party Security Management Standard to
conduct risk-based management of third-party
suppliers.

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GREENING OUR
BUSINESSAPPENDIX

Certificate of Registration
信息安全管理体系
兹证明：无锡药明生物技术股份有限公司
中国
江苏省
无锡市
滨湖区
梅梁路108号
邮编：214091

此地点包含在主证书中，证书号为:

Wuxi Biologics Co., Ltd.
No.108, Meiliang Road
Binhu District
Wuxi
Jiangsu
214091China

IS 762433

BSI地址： 0047841284-002

运行的信息安全管理体系符合

ISO/IEC 27001:2013/GB/T 22080-2016
的要求,此体系覆盖了注册范围详细规定的活动内容.

BSI代表：

Michael Lam - Managing Director Assurance, APAC
首次发证日期： 2022-01-28

有效期至： 2025-01-27

本证书非正本证书，仅用于展示目的。
具体认证方案和认证范围请见正本证书
此证书的所有权属于BSI，并受合同条款的约束。
信息查询及联系方式：BSI, Kitemark Court, Davy Avenue, Knowlhill, Milton Keynes MK5 8PP. 电话：+44 345 080 9000
BSI保证英国有限公司，注册地英国，注册号码7805321，地址：389 Chiswick High Road, London W4 4AL, UK
英标管理体系认证（北京）有限公司 北京市建国门外大街甲24号东海中心2008室 邮编：100004 电话：+86 10 85073000
BSI集团公司成员。

ISO 27001 Certificate

We have obtained ISO 27001 certification4,
having met the requirements of that standard
for Information Security Management Systems(ISMS). In addition, our key internet-facing
systems, including company website andCustoms management system, have met level-IIrequirements of the Multi-Level Protection System(MLPS) by cybersecurity regulatory bodies. This
ensures the strict adherence of our system to theframework and standards of industry cybersecurity
management.

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CONTENTS

Data privacy
To aid the Company in adhering to laws andregulations related to data while safeguarding ourdata assets, we established globally applicable

WuXi Biologics Data Protection Guidelines, WuXi
Biologics Information Classification and GradingStandards , and WuXi Biologics Data Privacy
Policies . Additionally, we have appointed a Data
Protection Officer and established the InternalGroup Data Transfer Agreement (IGDTA) tooutline compliance principles for data processing.
A dedicated internal data privacy complianceteam conducts assessments and provides
recommendations for compliance in scenarios
involving the collection, processing, storage,
external provision, and cross-border transferof personal information. We regularly update
company data privacy policies, privacy statements,and other documents, and provide specialized
training on personal privacy protection for all
employees.

ENHANCING
GOVERNANCE

Our Approach
Information security
We use a rigorous proactive approach to protect
the Company’s assets, systems, and informationfrom potential technical failure, human error, or
malicious attacks. External and internal audits are
conducted every year. In 2023, we received IT
audits from our clients and invited an external party
to conduct independent IT audits. There were no
major findings or evidence of business information
leaks. Moreover, there were no confirmed
information security incidents.
To prevent and control risk at its source, we employ
a series of precautionary measures, including
raising security awareness through regularstaff training sessions, integrating information
security metrics into employee performance
evaluations, and opening reporting channels thatenable internal and external stakeholders to raise
concerns.

GIVING BACK TO
SOCIETY

GREENING OUR
BUSINESSAPPENDIXTo ensure business continuity and maintain client
trust, we continuously enhance our defense
technologies and infrastructure to cope withpossible external cybersecurity risks. Formulating
proactive contingency plans for common
information security incidents of different levels,and conducting annual training and drills. The
contingency plans are tested at least semi-annually
to increase resilience and further optimize theoriginal plans. Additionally, cyber security insurance
strengthens our company’s information security
defense, mitigates any financial burden broughtby potential risks, and helps ensure the continuityof business operations. We continuously monitor
and collect vulnerability disclosures through threat
intelligence systems, assess and track vulnerability
fixes.
Holding our business partners to the same
standards, we conduct information security due
diligence on those third parties. High-risk suppliers
involved in storing, processing, or accessing WuXi
Biologics’ sensitive information must undergo
security assessments. Risks identified during thesesecurity assessments are tracked for remediation

BUSINESS ETHICSRISK MANAGEMENTINTELLECTUAL PROPERTY AND TRADE SECRETS MANAGEMENT

In 2023, we conducted security assessments for
medium to high-risk suppliers and performed onsite audits for high-risk suppliers. Information

INFORMATION SECURITY

security clauses have been explicitly outlined in

RESPONSIBLE MARKETING

procurement contracts.

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38

progress, and an annual reassessment is required.

WuXi Biologics (Cayman) Inc.
Environmental, Social and Governance Report 2023

CONTENTS

ENHANCING
GOVERNANCE

Achievements in Protecting Information Security
Gateway Optimization

Threat Identification

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Data privacy
WuXi Biologics classifies and grades company trade
secrets and personal information, strictly controlling
access to sensitive data such as confidential client• Optimization of 142 rules related to email security
gateway black and white lists.
• Deployment of technology against advanced email
threat.
• Blocking of approximately 160 million external
attacks, 4 million phishing/spam emails, and 4,000
computer virus/malware attempts in 2023.

• Penetration testing from two externalorganizations annually, ensuring that risks
are identified from an independent andmultidimensional perspective.
• Full application security assessments for hundredsof IT and business projects.

Training

Drilling

project information and personal privacy data. We
have implemented security standards and measuresrelated to information transmission and storage
encryption, data expiration deletion, and media
secure destruction.
To prevent data breaches, employees’ work
computers are equipped with hard disk encryption
and data leakage prevention software. We set• Renewal of training materials for new hires.
• Information security training courses for all new
employees, including part-time employees andcontractors.
• 4 information security training sessions for all
employees, including part-time employees andcontractors.
• 3 dedicated training sessions for all IT employees(include part-time employees and contractors) on
IT application security to improve their IT skills andraise awareness regarding information security.

• 42 information system technical recovery drills
conducted in 2023.
• 4 separate tests of the contingency plans.
• 4 rounds of phishing email simulations for all
employees (include part-time employees andcontractors).

strict restrictions on email outbound, cloud storage
usage, instant messaging tools, and mobile terminal
usage.
To enhance data security management, we conduct
regular permissions reviews for shared storage andimportant application systems to mitigate the riskof information leakage. There was no information
leakage in 2023.
To raise awareness, we provide specific training
sessions on personal data security and conduct

BUSINESS ETHICS

quarterly phishing email drills for all employees.

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Email Security Immune System

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Information Security MonthIn 2023, we held WuXi Biologics’ first Information Security Month, featuring a seriesof eight online and on-site activities aimed at raising employees’ awareness on dataand information security globally. These activities included:

In 2023, we conducted multi-departmental information security emergency
drills, simulating various scenarios from receiving phishing emails to criticalsystem lockdowns, business interruptions, ransom emails and data breaches. Our
emergency response capabilities and the collaboration among cross-departmental
teams were significantly enhanced. Additionally, quarterly phishing email drills
were conducted for all employees, and an in-house phishing testing platform wasestablished. Our goal is to build an email security immune system that continues tostrengthen WuXi Biologics’ security defenses.

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Woodpecker Action•

Data and Information Security Knowledge Contest•

Phishing Drill Testing•

Application Security Development Training•

Data and information Security Tips•

Security Q&A offline Event•

Office Information Security Check•

Annual Training on Information Security SOPCONTENTS

Responsible
Marketing

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BUSINESSAPPENDIXManagement Structure and Policies
Our ethical marketing practices are supported by a robust governance structure. We have established a Steering Committee that provides oversight and guidance forresponsible marketing issues. The Steering Committee Chair reports directly to the CEO and holds overall responsibility for the Company’s marketing behavior. We also
have a Marketing Committee in place to support the Steering Committee in developing and implementing strategy and providing regular training in responsible marketing.

Why It Matters
Marketing compliance is a key component of ouroverall business ethics management. As part of our
mission to improve people’s lives, WuXi Biologics
aims to ensure that our marketing behaviors

We have established WuXi Biologics Responsible Marketing Policy with provisions that help relevant employees regulate their ethical interactions and communications withall stakeholders, including our customers, the public, etc. Based on the policy, ethical reviews are carried out regularly to ensure that the context of promotional materials
meets our ethical standards. We have also established a systematic audit procedure for marketing compliance that involves multiple internal and external reviewers.
Marketing materials must be approved by authorized management personnel and departments before being published or disclosed to any party for the purposes ofprinting and publication. For more information on our marketing material risk assessment and control procedure, refer to WuXi Biologics Responsible Marketing Policy .

are honest, accurate, and consistent with ourcompany values. The Company strictly abides
by all applicable legal requirements and industry
guidelines regarding ethical marketing, and isMarketing Material Risk Assessment and Control Procedure at WuXi Biologics
ApplicantLine manager

marketing the Company’s services to stakeholders.

Legal Department

PR reviews corporate messages (facts and numbers), visual identity (logo, template)committed to demonstrating socially responsible
values when communicating, promoting and

PR & Marketing Department

Submit marketing

Review the context ofmaterials

submitted materials

and sensitivity (undisclosed client/business)

Review context related to IP,
non-disclosure information andMarketing reviews potential misrepresented products, services, or prices andcompetitor

misleading statement of competitor

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Our Approach

To increase employees’ awareness of responsible

We also have reporting channels in place to engage

marketing and facilitate their understanding of our

stakeholders in helping us manage our marketing

We make every effort to identify, assess andpolicies and procedures, we require all employees,

compliance risks. Any employee, client, supplier, or

including part-time employees and contractors, toother third party may report potential marketing

receive annual training on Responsible Marketingviolations. All reports of misconduct will be taken

Policy . Our training covers various ethical marketingareas related to our business, including social
media communications, antitrust and competition
principles, and anti-bribery during marketing
activities. Those courses and training on the audit
and approval of publicity material are mandatory
for all new employees. In 2023, 100% of employees
have received training on responsible marketing.

seriously and an investigation will be conducted

minimize potential compliance risks associatedwith marketing misconduct. The Company has
established a marketing material reviewing andmonitoring system focused on policy compliance,
where due diligence is conducted at all levels of themarketing team.

consistent with the established investigation
procedure if necessary. The investigation teamwill involve department such as Internal Audit,
Compliance, Legal, HR and etc. Corrective action
will be taken accordingly. In the case of a possible
illegal or criminal offence, we will seek legal
advice and refer to relevant authorities. For more
information on our procedures for investigating

In addition, for business development personnel

marketing violations uncovered throughand employees who engage in marketing,monitoring, auditing or reporting mechanisms,

communications, and sales we regularly offer in-refer to the WuXi Biologics Whistleblowing andInvestigation Policy and Code of Business Conduct
and Ethics .

depth and role-specific training on responsible
marketing to ensure that our marketing activities
are being implemented in an appropriate way.
Ethical training is provided regarding relevant

In 2023, no administrative penalties or litigation

topics such as public external speech, webinars

arose from marketing violations.

and events, and promotional and non-promotional
materials.
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Animal
WelfareWhy It Matters
WuXi Biologics takes effective measures to ensurethat laboratory animals are treated ethicallyand humanely, and that their use is scientificallyjustified. We strictly abide by all applicableguidelines and regulations in each country or
region in which we operate, and uphold the highest
standards for animal care.
In 2023, we maintained our accreditation fromAAALAC International (the Association for
Assessment and Accreditation of Laboratory AnimalCare).

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Our Approach

The compliance and management of animal

Subscribing to the recognized 3Rs principle (Replace, Reduce, Refine), we work to reduce the use of

research is under the supervision of ourlaboratory animals to a strictly necessary minimum, while we also implement effective programs to ensure

Institutional Animal Care and Use Committeethat animals are treated ethically and humanely, and that appropriate designs and sanitary facilities are(IACUC), with the Chair of the committee

provided to promote their comfort and well-being.

reporting directly to our CEO on the
management and ethical conduct of animal

Initiatives to Enhance Animal Welfare

tests. The committee carries out semi-annual
audits to evaluate the necessity, rationality,
and standardization of the use of laboratory
animals. The audit outcomes are used to
identify opportunities for alternative (nonanimal) methods and detect gaps in theprocesses or procedures. We have establishedsound animal welfare policies and standard
operating procedures on responsible animaluse, which provide guidance for relevant

Replace Animal Testing

Reduce Animal Testing

Refine Animal Testing• Conduct in vitro testing when

• Before granting permission• Select advanced equipment andselecting the suitable molecules

for an animal test, conduct a

refine experimental methods,

as an alternative to animal

series of evaluations to identify

and minimize discomfort, pain

testing, allowing molecules towhether use of animals is

be studied safely and ethicallyscientifically justified.

without subjecting animals to• Increase the enrolment ratepossible side effects or toxicity.

during the IACUC audit toeach animal has an appropriate

reduce animal use.

activity space. Continuously• Improve the skills andmonitor temperature andpersonnel in our animal research. WuXi
Biologics is committed to conducting animal

performance of relevant

testing only under legal and regulation

personnel to minimize

circumstances, and we refer to best practiceunnecessary animal use.

standards and requirements for animal testingand stress to animals.
• Design optimal animal living
environments to ensure that

humidity.
• Provide toys to animals for theirwell-being.

certification.
WuXi Biologics provides technical and compliance training on a regular basis to ensure that all personnel in our
BUSINESS ETHICS

animal research centers remain aware of their ethical and legal responsibilities. Additionally, external training

RISK MANAGEMENTon professional skills related to laboratory animals is provided for all professional staff, including part-time

INTELLECTUAL PROPERTY AND TRADE SECRETS MANAGEMENTINFORMATION SECURITY

employees and contractors.
In 2023, zero misconduct and non-compliance regarding animal welfare occurred.

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Supply Chain
Management

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The Big Picture
As a global company, WuXi Biologics collaborates withbusiness partners worldwide. We are committed to working
with supply chain business partners who operate in linewith our ethical standards and principles, and we strive to
integrate environmental and social sustainability into our
supplier management system, engaging and collaboratingwith our suppliers to drive best practices and bring positive
impact to our value chain.

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Procurement
Management

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Our Approach
Full Lifecycle Supply Chain Management System

Why It Matters

Supplier
Engagement

Effective procurement management is essential
for WuXi Biologics to ensure we meet customer

Supplier Admission

demands in a timely manner and with the highest
possible quality. We have implemented a rigorous

Supplier
Management

supply chain management process — from initial
vendor assessment and approval, and supplier risk

Supply Chain Continuity
Supplier
Classification

Supplier
Audit

assessment and fulfilment evaluation to annual
audits and corrective plan implementation —with the goal of minimizing supply chain risks andscaling quality assurance.
Supplier Admission

Together with strict product quality requirements and Good Manufacturing Practice (GMP) reviews, we conduct due diligence with respect to our suppliers’ qualifications
and review sustainability performance through our supplier management process. To assure that our suppliers are operating in a responsible way, we also include socialand environmental sustainability criteria in our supplier assessment forms and all supplier contracts.
Our criteria for admitting suppliers includes: establishing the required material and quality standards; ensuring that product conforms to national, industry and company
standards; checking supplier’s production capacity and conditions, and quality assurance; confirming that after-sales service meets our requirements as well as supplier’s
reputation and provision of quality service; prioritizing suppliers with low-carbon and environmentally friendly products, and those with a good record of corporate social
responsibility.

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Supplier Audit

Supplier Classification

In 2023, we updated the design of our supplier audit system, which includes non-quality and quality audits.

We screen all approved suppliers and then classify them as either significant (including strategic and preferred)

The non-quality audits, guided by PSCI5 principles, assess ethical, environmental, and labor compliance, whileor general suppliers, identifying them by procurement volume, nature of the procured item, and substitutability.

the quality audits — conducted by our Quality Assurance team — focus on pharmaceutical GMP requirements.

Sector-specific and commodity-specific risks are also considered in the screening process for significant

We conduct annual audits of our suppliers’ facilities and processes, covering all significant suppliers as well

suppliers. We have implemented various management approaches — based on the classification — for effective

as selected general suppliers. Our internally developed audit criteria enable us to comprehensively evaluate

supplier management.

suppliers in terms of product safety and quality management, internal management, production reliability, andother factors. Manufacturers or distributors of raw material, as well as GMP service providers, are qualified only
after being certified against our internal quality standards, which are in line with GMP requirements. Aside from

Supplier Classification and Management

auditing direct suppliers, we also test and certify all the raw materials we use to ensure they meet our quality
standards, and we continue to monitor our raw material quality on an ongoing basis.

Category

Our audits take the form of document audits and on-site audits to verify that a supplier’s production

volumeour suppliers to devise targeted correction plans, and track their implementation for additional quality• Provide criticalmanagement. Suppliers who fail to pass the audit twice are blacklisted.
Key Features

component(s)• Provide multiple

Supplier Engagement

categories of products/

We have established an open and constant communication mechanism with each supplier, sharing with themservicesthe latest standards and updates, as well as providing any needed support during day-to-day business. We
organize regular strategic, technical, and operational meetings with suppliers, helping them to improve their• Monthly performanceefficiency and quality of delivery.

evaluations• Quarterly quality andTo drive innovation and industry development, we once again held a Supply Chain Innovation Day in 2023
innovation case studies.

Strategic Suppliers• High purchasing

and operation are responsible and meet our expectations. In response to audit findings, we may instruct

in cooperation with our strategic suppliers, covering various topics such as cutting-edge technology andSignificant Suppliers

technical exchanges
Extent ofManagement• Biannual leadershipteam communications• Ongoing strategic
synergy andrelationship

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management

Preferred Suppliers

General Suppliers• Cooperation time ismore than one year
• No major quality
complaints• Selected through• Comply with supplieradmittance process• Pass quality audit

competitive bidding• Quarterly performance
evaluation• Annual due diligenceand risk assessment• Ongoing business• Day-to-day supply
management

continuity risk

• In major event cases,

management

activation of risk

• Ongoing procurement
cost management• Ongoing alternative
supply development

substitution strategy

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Supplier Geographical Distribution by Spend

37%

38%

25%

Americas
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BUSINESSAPPENDIX

the exception and managing their performance. Results from the exception recording system contribute to the
Supplier Management
WuXi Biologics’ Supplier Dynamic Performance

Asia

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Management system employs a standardized

overall Supplier Daily Dynamic Performance Management system, which is subject to real-time updates. Thissystem ensures active engagement and support for suppliers, reinforcing efficiency and quality in our supply
chain.

scoring method for ongoing management. It
facilitates real-time updates of online material

Supplier Continuity

inventories and e-catalog purchasing, allowing

Ensuring supply chain continuity remains one of our top priorities, and we consistently maintain our multiple-

for immediate tracking of supplier performance.

sourced procurement and safety stock. To safeguard a steady supply source, we have established an effective

In addition, this system incorporates the Supplierinventory strategy by proactively assessing and classifying high-risk materials and suppliers. For those

Exception Recording System, comprising threeidentified as high risk, we apply a dual-sourcing plan to keep backup vendors available in our supplier pool.

stages: information input, proposal confirmationand supplier feedback. The proposer provides
a factual statement about an exception andsubmits a request, and the supplier management
staff categorizes these exceptions and monitors
the resolution process. Procurement staff areresponsible for liaising with suppliers regarding

Indicator

Unit

2023

Total number of significant suppliers in Tier 16

Number92

Percentage of total spend on significant suppliers in Tier 1%

78

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Sustainable
Supply Chain

Principles
Governance Framework
Target and Progress

Why It Matters
An inclusive, responsible, and resilient supply chain
is key to the long-term success of our business.
We are working to embed sustainability in all ourbusiness dealings through continuing collaboration
with our suppliers. With ongoing training,communication, and sustainability programs,

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1

2

3

4

Supplier
Admission

Desk
Assessment

On-site Audit

Trainings &Engagement

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In 2023, we updated our New Supplier Introduction
Management Procedure , mandating new suppliers
to sign the Code of Business Conduct and Ethics of
WuXi Biologics Business Partner , and introducing
a stringent trade compliance assessment to ensure
integrity and compliance in our supply chain. During
our collaboration, we continually supervise theircompliance through audits and risk assessments.
The supplier ESG programs are under the oversightof the Board and reviewed by management
quarterly.
Throughout the lifetime of our relationship withall suppliers, we seek to keep them well-informed

we aim to promote environmentally and sociallyof our internal policies and standards, and ensure

responsible practices within our value chain.

that their conduct meets our expectations. We
communicate and emphasize our anti-bribery and
WuXi Biologics strives to conduct business with partners who share our commitment to high ethical standards
and who operate in a socially and environmentally responsible manner. We developed responsible purchasing
principles, and, when admitting and assessing prospective suppliers, we consider their sustainability
performance — among other factors — to ensure alignment with our responsible supply chain principles. We
also include environmental sustainability criteria as part of our selection process, prioritizing suppliers with lowcarbon and environment-friendly products.
Governance Framework

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To further advance our social and environmental commitments, we published the Code of Business Conduct
and Ethics of WuXi Biologics Business Partner and updated a series of procurement-related policies, such as
WuXi Biologics Procurement Policy and WuXi Biologics Supplier Management Standards with more detailed
requirements regarding business ethics, anti-bribery and corruption, labor and human rights, health and safety,
environmental protection, quality control, and an overall compliance management system.

corruption requirements to all business partners
and ensure that they fully acknowledge and comply
with our policies by signing the Code of BusinessConduct and Ethics of WuXi Biologics Business
Partner .

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Target and Progress

We incorporate a questionnaire to assess supplier diversity, including their ownership, employment structure,

We have established and included suitable sustainable supply chain targets in our procurement-related policies,

size suppliers, enabling them to provide products and services to WuXi Biologics. In addition, we conduct due

business type, and DEI policies. We actively engage in business cooperation with a range of small and middle-

guiding the Company towards a more transparent, ethical, and responsible supply chain.

diligence for new business partners — suppliers, contractors, and consultants — regarding their business ethics,
including anti-bribery and corruption.

Target2023 Progress

Require that all new suppliers sign the Code of Business

100% new suppliers and all existing significant suppliers

We actively identify, assess, monitor, and mitigate suppliers’ sustainability risks through desk assessments

Conduct and Ethics of WuXi Biologics Business Partner .

have signed.

with systematic verification of evidence. In 2023, we conducted a supplier sustainability risk assessment by

Conduct an annual sustainability risk assessment thatcovers at least 75% of the entire supplier base by spend.

All significant suppliers were included in the 2023
sustainability risk assessment, covering 78% of theentire supplier base by spend.

Approach

Risk Assessment

sending questionnaires to all of our significant suppliers, covering 78% of our entire supplier base by spend.
The four major areas of assessment were business ethics and anti-bribery & corruption, labor and humanrights7, environment and climate change, and sustainable procurement. We applied customized metrics toevaluate suppliers’ policies, actions, and performance in the four major areas, and provided audit feedback andimprovement plans to targeted suppliers.

Supplier Sustainability Risk Definitions

Supplier Admission
Our criteria for admitting suppliers reflect our firm commitment to a sustainable supply chain. Sustainable

Level of Risk

background investigation is mandatory in the supplier selection process to understand suppliers’ ESG• Structured and proactive CSR management

performance. We prioritize suppliers who have demonstrated strong ESG performance, such as suppliers thatadhere to high business ethics standards, empower their employees through trainings and benefits, and provide
healthy and safe working environments.

Descriptions

Low Risk• Detailed policies and tangible actions in place on major ESG issues• Evidence of implementation• Performance and actions around ESG indicators fully disclosed• Structured and proactive CSR management

Medium Risk

• Detailed policies and tangible actions in place on major ESG issues• Performance and actions around ESG indicators partially disclosed

High Risk• Lack of policies or actions on ESG issues• Evidence of serious misconduct in specific areas (e.g., pollution, corruption)

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Measures to Improve Supplier’s Sustainability Performance

Sign the Code of Business Conduct and Ethics Commitment of

Business Partners and the Integrity Agreement for Cooperation
Participate in annual sustainability risk assessment (desk or on-site)
carried out by referencing PSCI principles.
Participate in supplier on-site assessments conducted by contracted
consultants or an independent accredited auditing body
Participate in our training and communications
Strengthen ESG performance through corrective action or
improvement plans

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High Risk

Medium Risk

Low Risk

√

√

√

√

√

√

√

√

√

√

√

√

√

√

Indicator

Unit

2023

Total number of suppliers assessed via desk assessments

Number92

Percentage of suppliers assessed via desk assessments by spend%

78

Number of suppliers assessed that had potential negative impacts

Number15%

100

Number0

Number3

Percentage of suppliers that had potential negative impacts and agreed tocorrective improvement plan
Number of suppliers that had substantial potential negative impacts and were
terminatedTotal number of suppliers supported in corrective action plan implementation

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100%

Targeted suppliers with contracts that include
environmental and social clauses

On-site Audit

Trainings and Engagement

Based on the risk assessment results, we engaged

Supplier Engagement and Development

as necessary with suppliers through detailed
on-site audits, training and education, and, if
needed, established effective remedial action

100%

New suppliers and targeted suppliers that havesigned the Code of Business Conduct and Ethics of
WuXi Biologics Business Partner

100%

Procurement staff trained on sustainableprocurement

plans to improve their sustainability performance.
We provided suppliers with remote or on-site
support for the implementation of corrective
or improvement actions, and offered one-onone technical assistance to build capacity before
reassessing and checking for improvements.
In 2023, guided by PSCI principles, we conducted
the on-site audit of a strategic supplier. This
comprehensive assessment covered five criticaldimensions: labor and human rights, health andsafety, management systems, environment, and

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Based on the supplier performance evaluation, we actively engaged suppliers with sustainable capacitybuilding programs, including training on quality assurance as well as our supplier ESG program, process andsustainable requirements. We offer various training to all suppliers on an annual basis to help them refine their
quality management. We also proactively share our peers’ benchmark and best practice of ESG governance tohelp empower our suppliers for continuous improvement. In 2023, we conducted two engagement meetings
with our strategic suppliers during which we exchanged insights on ESG performance requirements andsustainable technologies.
Empowerment of Procurement Personnel
Training for buyers and internal stakeholders is essential for the effectiveness of our sustainable supply chain
management system. We integrated the sustainable supply chain targets into the performance evaluationof our procurement personnel. Training programs on sustainable purchasing are provided annually to all
procurement personnel to ensure their understanding of social and environmental issues, and how those issues
are factored into our procurement process.

ethics.
Indicator

Unit

2023

Percentage of procurement personnel trained on sustainable procurement%

100

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GIVING BACKTO SOCIETY

As a responsible corporate citizen, WuXi Biologics always strives to advanceequity and opportunities for our clients, employees, and the communities
we reach, while creating broad value to society. We aim to fulfil our clients’
expectations, empower our people, and serve our communities throughtechnology and innovation.

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Enabling Clients

53

Empowering Our People

59

Fostering Communities

75

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Enabling
Clients

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The Big Picture
As a leading global open-access biologics technology
platform, WuXi Biologics offers end-to-end solutions andtechnologies to empower our clients to bring groundbreaking therapies to people in need. We regard ourclients as an indispensable part in shaping our sustainable
development strategy, and strive to provide our clients withthe most comprehensive capabilities.

QUALITY MANAGEMENTCLIENT ENGAGEMENT

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Quality
Management

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BUSINESSAPPENDIXManagement Structure and Policies
Quality is the hallmark of WuXi Biologics. We have developed a unified Global Quality Manual that provides the basis for 38 Quality Standard Guidelines and thousands ofStandard Operating Procedures. We detail our commitment to an effective and modern Pharmaceutical Quality System (PQS) and the highest standards of product quality andsafety. The PQS assures the quality of the products and services provided to our clients, and ensures the excellent execution of all production-related activities. Additionally, it

Why It Matters
Quality is a core value embedded in our culture
to assure that the biopharmaceutical products
manufactured at WuXi Biologics are of thehighest level of efficacy and safety as per ourclients’ expectations. For our global partners, ourcommitment to premier world-class quality is key
to enabling hundreds of biologics to enter thedifferent stages of clinical trials and the market.

provides guidance towards achieving our quality objectives of maintaining product quality, product safety, compliance, and customer satisfaction, while minimizing inefficient
practices as well as failure costs.
WuXi Biologics has established a Quality Governance framework to guarantee transparency of quality issues at all levels of management. Quality information is systematicallyand continually gathered, and reported at periodic quality review meetings, with potential risks promptly identified and escalated. Our Chief Quality Officer takes the leadingrole in ensuring effective and comprehensive implementation of our quality system, supported by the five forces of our quality management system.
At each global/regional organizational level, the quality lead chairs a cross-functional Quality Committee to review quality and compliance. At the site or facility level,
information is escalated to senior management from various Specific Quality Review Committees. Quality Governance establishes clearly delineated management
responsibilities, along with efficient reporting and escalation across local, regional, and global scales.

The Five Forces of the WuXi Biologics Quality System
Global Quality Compliance

Quality Assurance

Quality Control

Training Center

Ensures consistency in quality

Ensures products meet theProduces high-quality data to

Implements trainings andprotocols and practices acrossrequirements for registration

ensure the Company’s productprograms under strictsites and departments

and usequalitycompliance requirements

Regulatory Affairs
Provides clients with the best
drug application strategies toensure product safety, efficacy,and quality

Our ApproachQUALITY MANAGEMENTCLIENT ENGAGEMENT

Global Quality System
To ensure safe and efficacious biotherapeutics and vaccines, global manufacturing regulatory agencies provide drug manufacturers with a comprehensive set of guidelines
and regulations that covers all aspects of product development and manufacturing. Meeting these guidelines and regulations is the utmost priority for WuXi Biologics, andwe commit to the highest level of production quality in accordance with GMP requirements.

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We closely monitor product quality, safety performance and the related metrics, and conduct rigorous

One Global Quality System
Key Components of the
WuXi Biologics Quality System:

investigations of any deviations, findings from self-inspections or external inspections, complaints, and recalls.

TIER 1
Global Quality
Manual• Documentation Management• Audit and Inspection

TIER 2• Personnel and Training• Risk Management• Supplier Management• Quality Management Review

Global Quality
Strategic Guides (QSG)• Deviation/OOS Management• Annual Product Review• Change Management• Compliance Management• Data Integrity• Regulatory Intelligence• CAPA

We strictly follow a series of SOPs on product recall and the deposition of recalled products. An appropriate
level of root-cause analysis is applied during the investigation of deviations, suspected product defects andother issues, as determined by our QRM principles. Corrective and/or preventive actions are identified andtaken in response to investigations, and the effectiveness of such actions is monitored and assessed to assurealignment with our QRM principles.
Quality Control

TIER 3Global & Regional SOPs / Records /Forms / Quality Agreements

WuXi Biologics has a systematic quality control process with robust in-house quality testing capabilities,
supported by quality control laboratories located around the world. This helps enhance our quality throughregular precautionary testing for emerging quality/safety concerns in all products and services, and includes
such aspects as raw material testing, in-process testing, process control and validation, product release testing,Our comprehensive Global Quality System was established based on GMP requirements and governs 100% of
our manufacturing operations globally. It has been audited by multiple regulatory agencies including, but notlimited to, the FDA, EMA, NMPA, PMDA, MFDS, HSA, ANIVSA, HPRA and Health Canada.
The key components of our quality system are quality risk management, quality control, quality inspection andcertification, and quality training.
Quality Risk Management
Quality risk management is an integral part of our Global Quality System, and is embedded throughout thefull product lifecycle at all our R&D and manufacturing sites. We have established a Quality Risk Management(QRM) system in accordance with the guidance of GMP, and it is a systematic process for the assessment,
control, communication, and review of risks related to the quality of the medicinal products. The evaluation ofand stability testing for biologic products. In addition, we provide information regarding potential health andsafety impacts in products and services through our quality risk management process, a systematic process forthe assessment, control, communication and review of possible risks to the quality of the product across the
product lifecycle.
Quality Inspection and Certification
Our globally unified quality standards are based on GMP requirements, along with the guidelines of multiple
regulatory agencies — such as NMPA, FDA and EMA — and company standard operating procedures. We
conduct internal audits annually at all of our operating facilities in strict accordance with internal quality
standards. Designated departments are involved to analyze audit results, develop appropriate solutions, andimplement improvement measures in coordination with the on-site quality assurance and quality control
departments.

quality risks is based on scientific knowledge and experience with the process, and is ultimately linked to theprotection of patients.

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Supplier Quality Management

Quality Training

We review all material for our GMP service suppliers before their admission. Quality certification includes

Building a quality-focused company culture is vital for deploying quality standards and regulating day-to-day

examining their qualification documents, conducting quality questionnaires and signing a quality agreement.

operations. Our Training Center is responsible for implementing training policies, developing the annual training
plan, and conducting the training programs. In-depth quality trainings include job-specific training and productquality practice promotion, among others, and the trainings are applied to all employees — including full-time

Measures for Suppliers in Various Categories
Audit and Communication

Daily Quality Management• Manage supplier daily quality• Conduct on-site audits for

performance and changes

key suppliers to confirm thethrough supplier compliant

compliance of relevant quality

process, supplier performancesystems and our requirements

evaluation and supplierand needs.

change notification evaluation.

• Provide our quality regulations• Initiate supplier causal audit

and requirements.
• Share better practices withfor quality issues if necessary.
• Establish regularsuppliers.

communication mechanismwith strategic suppliers.

QUALITY MANAGEMENTCLIENT ENGAGEMENT

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Material Certificationand part-time — as well as contractors.
New employees in R&D, production, quality, and other related positions receive training on GMP, production
and quality control, along with hands-on laboratory practice. Annual trainings and up-skilling trainings are• Confirm the Certificate ofoffered to existing employees for quality knowledge updates. All employees can access online courses throughAnalysis (CoA), TSE/BSE

the iGrow training platform to continually improve quality awareness. We also use Virtual Reality (VR) training

Certificate, Nitrosamine

to facilitate training on the Operation and Cleaning of the Biowelder/Biosealer, making the practicing process

Impurities and Melamine

repeatable and observation more immersive. In addition, we cooperate with a third-party partner to provide

free certificate (if necessary

fresh and diverse training programs for our employees. In 2023, we provided trainings on production processes,

according to FDA

quality testing and process development with our partner.

requirements).
• Collect information on

To help ensure the continued effectiveness of our quality training, we have strict rules for the preparation andbiosafety and sterilization

evaluation of each quality training, and require that each training be followed by examinations, data collection,

process on a continual basis.

survey feedback, reports generation, and record archiving.

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Continuous Training Framework
All employees also receive periodic continuous trainings to maintain, review and reinforce their knowledge andskills on product quality, including the annual GMP training, routine training and annual On the Job Training

Quality Certification Training(OJT).
We provide trainings to facilitate employees obtaining certifications related to quality management.
Type

Objective and contents• Ensure employees have clear understanding ofAnnual GMP Training(Covered 5,300 employees across sites)

GMP requirement and cGMP guidelines.
• Mandatory for employees performing GMP

Deviation training is designed to provide trainees with a comprehensive understanding of deviation handlingprocedures, including reporting, evaluation, investigation, grading, approval, closure, and revision processes.
Through a combination of online instruction and offline case studies, the training aims to prepare participants with
the necessary qualifications to effectively investigate deviations.

relevant work.
Routine Training(Covered 8,000 employees across sites)
Annual OJT Training(Covered over 900 employees at the Wuxi site)• Ensure employees grasp newly formulated orrevised knowledge-based documents.
• Provide periodic training and assessment for
certain qualifications and skills requiring reconfirmation.

The Trainer Qualification Program (TQP) is designed to train and certify production OJT trainers. The program
created a standardized training model, combining with GMP standards and requirements, and comprises fourQUALITY MANAGEMENT

stages: project launch, technical training, soft skills training and final evaluation.

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ClientEngagement

Our Approach
We are committed to delivering the best product

Voice of Clientsand service experience for our worldwide clients“I have worked with 12 CMOs over the past six years.
WuXi Biologics’ quality standard and adherence tothe schedule are truly outstanding. WuXi Biologics’
team is very flexible and goes the extra mile to meetschedule requirements.”

with speed, flexibility, and quality. To achieve

Why It Matters
Candid engagement facilitates mutual
understanding between clients and WuXi Biologics,
and we can better leverage client input to address
any issues or concerns in a timely manner anddeliver value more effectively throughout thecollaboration journey. We aim to build trust andstrengthen relationships with our clients, whichleads to improved outcomes and higher levels ofsatisfaction.

this, we monitor client satisfaction, maintaincommunications, and follow rigorous recall
procedures. We also practice dual sourcing andmulti-sourcing of materials globally to meet clientdemands, improve stability of supply, and fulfill
client expectations.
Customer Satisfaction
To effectively gather feedback from our clients, we
conduct customer satisfaction surveys and carefully
review the results every year. In 2023, with thesurvey focused on those customers who accountfor over 74% of revenue, our overall customer
satisfaction rate reached 89.2, exceeding the 2023
target of 82.

89.2

Customer satisfaction rateQUALITY MANAGEMENTCLIENT ENGAGEMENT

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my 40-year career. It is very special and rare in theindustry to have so many projects going on at thesame time but WuXi Biologics makes it happen.”“Far beyond our expectations. We expect to pay

for services but were surprised at the level ofcommitment and collaboration that was included —hard to achieve in a tough year.”“Someone asked me my thoughts of WuXi Biologics. I
said it’s very difficult for other companies to competewith the one that says yes all the time.”

Client Communication and Feedback
Maintaining communication with our clients is an
important way to help us improve the quality of ourservices, and we have set up complaint channels forreceiving their feedback. We require that productcomplaints be investigated in a timely manner by
qualified and trained individuals, that investigations
be documented with a written report, and thatappropriate actions be taken as a result of aninvestigation. Complaints are reviewed periodicallyto detect trends that might suggest changes
needed to improve product quality or operational
processes.

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In 2023, we received and properly addressed
three client complaints related to the products
and services we provide. We reviewed the causes,
strengthened communication between relevant
suppliers, and prevented recurrence via internal
training, the upgrading of the relevant documents
or SOPs, and in specific instances, the filing of
supplier complaints.
Product Recall Process
As a Contract Manufacturing Organization, WuXi
Biologics is responsible only for releasing products
to our clients, who then release the products to themarket. Product recalls are not initiated by WuXi
Biologics, but we actively cooperate with clientsin the event of recalls and we have establishedeffective product recall processes to respondto potential product quality incidents. Different
scenarios and levels of recalls are specified toensure timely and appropriate response. In
addition, to improve our resilience to product recall,
we conduct mock recalls annually and invite clients
to participate.
While we actively work to prevent productquality and safety incidents, in the event of noncompliance, we will publicly report on product/
service safety issues to protect our clients andmaintain transparency. In 2023, no product recalls
occurred.
Meeting Client Needs with Flexibility
To deliver projects at the fastest speed with thehighest quality, we deploy a Global Dual Sourcing
manufacturing strategy with built-in contingency
plans and mitigation controls. With facilities locatedin the United States, Ireland, Germany, Singapore,
and China, our biomanufacturing capacity is able tomeet the growing needs of our clients worldwide,
while ensuring a robust global supply chain.

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Empowering
Our People

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The Big Picture
The WuXi Biologics team comprises highly dedicated andexperienced talents, who are our greatest asset and help
maximize our competitive advantage. The well-being andgrowth of our employees is invaluable to our businessand sustainability strategy. By fostering a welcoming andrespectful atmosphere, we remain dedicated to creating
a diverse, equitable and inclusive workplace for all
employees.

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Employment
Compliance
Why It Matters
Productive employment and decent work arefundamental to sustainable growth. WuXi Biologics
is committed to providing all employees with a fair,just and sustainable work environment. We strive
to create an inclusive and supportive environment
where employees are treated with dignity andrespect, and are free from inappropriate behaviors
such as bullying, harassment, and discrimination.

Policy and Commitment

managers and interviewers from diverse

WuXi Biologics firmly upholds the principles andand use standardized methods to ensure that wevalues laid out in the United Nations International

The policies are available in relevant languages

providing business teams with the resources they

address discrimination, harassment, and otherforms of misconduct, as well as sessions on otherhuman rights issues, to emphasize our zerotolerance stance.

Our Approach
EMPLOYMENT COMPLIANCE

Talent Acquisition

DIVERSITY, EQUITY, AND INCLUSION (DEI)

WuXi Biologics believes that transparency in the

TALENT DEVELOPMENT

hiring process helps attract high potential talents.
We are committed to diversifying our hires andmaintaining a fair and equitable recruitment
process, during which our standards arecommunicated to all candidates in a transparent

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consider only their competence and individual
merit. We treat every applicant equally, and do not

Additionally, we provide training sessions that

OCCUPATIONAL HEALTH AND SAFETY

backgrounds. We evaluate candidates objectively

Bill of Human Rights (consisting of the Universal
Declaration of Human Rights and its associatedcovenants), the International Labor Organization’s
Declaration on Fundamental Principles and Rights
at Work and its Follow-up , and the UN Guiding
Principles on Business and Human Rights . Our
Code of Business Conduct and Ethics serves as
the overarching policy that guides everything we
do. Additional requirements regarding recruitment
and employment align with regional and country
guidelines where we operate.

and communicated globally to all employees.

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manner. Our hiring team is made up of recruiting

discriminate on the basis of ethnicity, gender, race,
region, religion, form of employment, or any otherfactors.
We conduct annual talent reviews and humancapital risk assessments to identify current
workforce skill gaps, forecast talent supply anddemand, and establish talent pipeline strategies.
Starting in 2023, we launched the Successor
Assessment Project across selected business units.

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Seeds Program
The Seeds Program is our flagship internshipprogram that offers practical training opportunities
to university students and full-time positions to top
performers. We have formed long-term partnerships
with over 30 universities to recruit interns. The Seeds
Program lasts from 3 to 6 months, during which
we offer systematic and comprehensive learning
roadmaps along with tailored training plans. In 2023,
the Seeds Program effectively converted the majorityof its participants into permanent roles via internalrotations, while continuing to nurture ties withpartner educational institutions, culminating in thesigning of new collaborative agreements.

This initiative encompasses talent assessments,
need to evaluate the capabilities and readinessof their talent. The program serves as a valuablesupplementary tool for our talent reviews,
enhancing our ability to effectively identify andmeet our internal succession needs. Our HR
Dashboard and HR Analytics Platform are used tofacilitate these processes.
In 2023, the Company’s recruitment team made a
conscious effort to expand its global recruitment
channels, identify key job directions, and designtalent community projects to recruit experts withdiverse backgrounds. We have developed various
channels to find new hires, including campus
recruitment seminars, online recruitment, talent
recruitment fairs, internal referrals, and internaltransfers.

Elite Program
At WuXi Biologics, the Elite Program is designed tocultivate high-potential talents at the beginning of
their careers and develop them into future leadersin the biopharmaceutical industry. This is achieved
through job rotations, individual development plans,
mentor coaching, and a combination of online andoffline training methods. These activities help elite
trainees solidify their professional and management
skills, and develop the ability to handle responsibility
and withstand pressure. As a result, elite trainees
experience rapid growth in their careers though thisprogram. In 2023, we organized the “Experts Campus
Tour” event globally for the first time. So far, we haveconducted four online promotional events in Europe,
the United States, Singapore, etc.

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Human Rights Protection

Human rights topics were covered as part of theWe maintain a zero-tolerance policy regarding

We strive to prevent human rights violations,

We continue to make progress in expanding our

two main assessment processes: annual corporate

illegal employment, including child labor andand are committed to identifying risks andefforts to ensure respect for human rights in fiverisk assessment and ESG materiality assessment.

forced labor, and any form of discrimination

implementing actions to eliminate, isolate orpriority areas: labor practices; diversity, equity,

Additionally, we take proactive measures toand harassment. We advocate the principle

minimize the risk of harm through continuous

and inclusion; occupational health and safety;

identify, assess and mitigate potential risks8 acrossof “openness, transparency, and proactive

monitoring and internal auditing. Any suspectedenvironment protection; and data privacy. As

our value chain, new business relationships, andcommunication” through our PROUD10 culture,human rights concerns or violations can alsopart of those efforts, we updated the Employee

other activities related to our business. We also

encouraging our employees to express their

be reported through our confidential grievance

Handbook by revising and supplementing theemployee code of conduct, personal information
protection and reporting procedures. We openly
solicited employee feedbacks during the policy
updating process. In addition, we proactively
updated our onboarding management manual byrefining the information review process to preventthe employment of child labor and establishing
precautionary remedial protocols. We have also
updated our Whistleblowing and Investigation
Policy regarding the division of responsibilities
and management rules for the investigation
departments.

involve internal expert teams to conduct targeted

opinions. To report misconduct, policy violations,

reporting and escalation channels, which

due diligence during any mergers and acquisitions

or inappropriate behaviors that are detrimental

are publicly available and have been broadly(M&A) transaction process. Relevant stakeholders

to a healthy workplace culture, including but not

introduced to both internal and external

are considered and particular attention is paid

limited to discrimination, sexual harassment andstakeholders. All reported violations are subject to a

to groups that are widely regarded to have a

improprieties, employees can use various publicthorough and timely investigation, and actions areheightened risk of vulnerability9. We engaged withchannels provided by the Company or directly

taken for prevention, mitigation and remediation.

a wide range of internal and external stakeholders

to their immediate supervisors and the Human

In 2023, there were no human rights violation

to identify and assess the issues covered in these

Resources Department. The Company will conduct

incidents reported.

processes and maintain continuous communication

a comprehensive investigation while guaranteeing

and response mechanisms.

anonymity and prohibiting any form of threat or

EMPLOYMENT COMPLIANCE
DIVERSITY, EQUITY, AND INCLUSION (DEI)

retaliation against the reporter.
Employee rights protection is an indispensable
element of a fair and equitable workplace. Our

At WuXi Biologics, we are committed to offering

Human Resources Department has implemented

equal remuneration, guaranteeing minimum livinga range of actions to enhance fair labor practices

wages, and providing fair and competitive pay andin our operations and create a respectful and justbenefits. Salaries are reviewed on a regular basis toworking environment for our employees, where wekeep up with market trends, and staff are rewarded

prohibit illegal employment, respect freedom of

based on their performance and contribution. For

association, promote equality and decency, monitor

extra or out-of-hours work, we pay overtime orrisks or violations concerning human rights, andoffer reasonable time off. We also make an effort

maintain a healthy and harassment-free workplace.

to promote the work-life balance of our employees
and reduce excessive working hours.

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Diversity, Equity, andInclusion (DEI)

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WuXi Biologics has established a robust DEI governance structure and ecosystem, integral to our commitment to inclusivity and equitable practices. Our Board of
Directors plays a critical oversight role by conducting an annual review of our DEI strategy and its execution. The founding of the DEI Committee in 2023 brought together
representatives from various departments and regions to steer DEI objectives and monitor initiatives. Our global DEI taskforce concurrently champions diverse initiatives

Why It Matters
At WuXi Biologics, we believe that a diverse andinclusive workforce is essential for fostering new
ideas, perspectives, and developing solutions
that can make positive impacts on our clients andpatients worldwide. We are committed to providing
an equal and inclusive environment for talentswith different backgrounds, and enabling every
employee to reach their full potential.

throughout the Company, supported by dynamic, employee-driven DEI communities, including localized Women in STEM (WiSTEM) committees, which drive employee
participation and bolster our collective DEI efforts.
Our WuXi Biologics Diversity, Equity, and Inclusion Policy clarifies and reinforces the importance of DEI in our workplace. We provide mandatory training to all employees
on our DEI Policy, covering topics such as workplace DEI culture, anti-discrimination and anti-harassment measures, human rights, employee well-being, and the available
reporting channels. In 2023, we offered a variety of awareness training sessions to educate, influence, and inspire positive behaviors throughout the Company. These
included a session titled “Build an Inclusive Workplace” that underscored our strong stance against discrimination or harassment, offering practical steps to create awelcoming work environment. Additionally, we held a session led by an external coach on how male allyship can further advance a collaborative culture.
Employees by Gender

Employees by Age

Employees by Job Level

3%

10%
54%

46%

51%

2%
7%

46%

81%

Male
FemaleEMPLOYMENT COMPLIANCE
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Under 30

General Staff

30-50

Primary Management

Over 50

Middle Management
Senior Management

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47%

Percentage of female in managerial positions

53%

Percentage of female in STEM-related positions

Our Approach
Equitable Opportunities
WuXi Biologics believes in building inclusive
environments where everybody has the opportunity
to thrive. We actively seek to hire diverse talents,
and we ensure equitable opportunities are available
to all11. This contributes to our business excellenceand drives our diverse and inclusive culture into
every corner of the Company.
WuXi Biologics has set targets to ensure thatwomen comprise 50% of our overall workforce
and to achieve that 45% of managerial positions
are held by women across our global operations.
To reach these goals, we have undertaken several
initiatives and actions including the global WiSTEM
program. In 2023, the percentage of female inmanagerial positions reached 47%, outperforming
our target of 45%.

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Another aspect of the active role we take infulfilling our corporate social responsibility is theassurance of equal opportunities and benefits
for our employees with disabilities, akin to
their colleagues, which includes comprehensive
insurance coverage. We are also proud to partnerwith non-profit organizations that advocate
disability rights, reflecting our inclusive ethos.
Currently, 0.8% of our employees are people withdisabilities. For their safety and convenience, wehave designed and set up accessible facilities at
each of our sites, such as elevators, entrance ramps,
and designated parking.

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Women in STEM
Acknowledging the invaluable contributions of women in STEM fields, WuXi Biologics continued its commitment
through 2023 with our WiSTEM program, initially launched in 2022 by our CEO, Dr. Zhisheng Chen, to elevateand motivate our female workforce. As we review the past year, it is noteworthy that women held 53% of STEM
roles at WuXi Biologics by the end of 2023, reflecting our focused efforts on gender parity in the industry.
During Women's Month in March 2023, our DEI taskforce launched a series of initiatives to support women in
STEM, including a WiSTEM survey, online training, and forums with female leaders and male allies in various
STEM fields. In the U.S., we hosted a WiSTEM Panel Discussion with influential Function Leaders, and in Ireland,
we invited an esteemed executive coach, to speak on enhancing collaboration through male allyship. These
efforts culminated in the creation of our global WiSTEM community, offering women at WuXi Biologics theopportunity to connect, share, and progress within their careers. In March 2024, our quarterly DEI Read & Sharegathering celebrated International Women's Day, focusing on women's narratives. Guided by a management
mentor, participants engaged in book discussions that highlighted pivotal female contributions, evidencing ourcommitment to gender diversity and fostering a tightly-knit community.
At WuXi Biologics, we are not only celebrating advancements in our WiSTEM initiatives, we are shaping thefuture through a vibrant tapestry of programs blending education, hands-on experience, and mentorship to
inspire women in science and technology. From the “Girls in STEM Science Camp” in Shanghai to interactive
STEM kits for primary students in Ireland, and “Girls Day” activities in Germany, we strive to spark curiosity andshowcase STEM careers up close. Our comprehensive approach includes mentor-led discussions, a scholarshipprogram to support university students, and community-building through WiSTEM committees. These
synchronized efforts across different regions emphasize our ongoing commitment to creating an inclusive andsupportive environment where female talents can explore, learn, and thrive in their future careers.

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56

Total number of employee nationalities

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Continuing our dedication to fostering an
inclusive workplace, we persistently collect andanalyze employee diversity data to measure ourrefined diversity tracking tool, allows for ongoingassessment, a crucial practice for implementing andenhancing diversity throughout the Company.
WuXi Biologics upholds the principle of equal pay
for equal work, and strives to ensure equal wages
for men and women who perform equivalentwork. We not only perform an annual in-depth
assessment on compensation data for continuous
monitoring, but also conduct audits of our gender
pay gap, analyze the audit findings, take followup actions, and disclose the metrics annually. The
gender pay gap12 was 8.0% in 2023.

Cultural Mix Initiatives
As WuXi Biologics continues its rapid global expansion, we are drawing in a diverse talent pool from various
cultural backgrounds, enriching our company with a plethora of ideas and perspectives. This diversity fuels
our commitment to fostering a workplace where innovation flourishes and inclusive decision-making iscommonplace. Our initiatives are tailored to promote collaboration, open dialogue, and mutual respect —a foundation where every individual can excel and contribute uniquely.
To navigate the complexities of international business and lead teams of diverse cultural backgrounds, werecognize the need for leaders with a global mindset. To address this, the Company has developed a bespoke“Becoming a Global Leader” program, which comprises three key modules: “Cross-Cultural Communication,”“Developing a Global Mindset,” and “Adapting to Change,” all aimed at nurturing such leaders. The program
has attracted a significant number of participants worldwide and has achieved a high satisfaction rate,
reinforcing our commitment to equipping leaders with the tools to manage diversity effectively.
Our cross-cultural celebration events emphasize the beauty of diversity. From Chinese New Year to St. Patrick'sDay, each celebration is a showcase of our workforce’s rich cultural heritage. By appreciating one another'sbackgrounds, we strengthen our sense of unity and belonging.

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APPENDIX

Continuous Monitoring of DEI

year-over-year progress. Our HR dashboard, a

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TalentDevelopment
Why It Matters
Talent development is essential for the growth andsuccess of any organization. WuXi Biologics truly
cares about and invests in our people, striving todevelop a skilled and motivated workforce that isfully equipped to meet the challenges of the future.
We inculcate a culture of continuous learning,

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Our Approach
Employee Training
We believe that effective and comprehensive training not only improves employee and corporate performance, but also help retain top talents. We have built a thoroughannual training and development plan in response to business demands, and established an efficient talent training and development system for all employees13. In 2023,
we aimed for at least 95% satisfaction in our training programs and achieved an impressive average rate of over 96%.
WuXi Biologics’ iGrow online learning platform — with multiple language options and covering our global employees — helps staff access relevant courses related totheir career development and skill enhancement. The iGrow platform leverages resources from well-known training hubs14 and learners can have access to other learning
platforms for additional resources.
Our training program framework is detailed as the following:
Types

Trainees

where employees are provided with a variety ofTraining Contents and Objectives
Within the first 12 months after onboarding, new employees will go through the New Employee Orientation (NEO) learning

training programs and ongoing career development
All Employees

opportunities to help them grow professionally andsucceed at work.

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Orientation

journey, including online and offline training on company culture, professionalism, and career story sharing from management. The
comprehensive courses guides their career development, equips them with soft skills, helps them integrate knowledge with hands-on
practice, and facilitates their personal growth and development.

All Management
All Employees

Within the first 6 months after onboarding, new leaders will join in the “Navigator Program” and gain a deep understanding of ourculture, business model, different functions, and key focuses, as well as expectations for middle to senior leaders.
Leadership training for general staff focuses on self-awareness, project management, effective communication, and personal
effectiveness, etc.
Junior Level Leadership program is a blended learning journey designed to improve the management capabilities of junior managers.

Primary Management
EMPLOYMENT COMPLIANCE
DIVERSITY, EQUITY, AND INCLUSION (DEI)

employee coaching & motivation, etc.

Leadership

Middle Level Leadership program is a blended learning journey designed to improve leadership of mid-level managers. This program
Middle Management

OCCUPATIONAL HEALTH AND SAFETY

focuses on the topics such as effective decision-making, self-management, leading high-performance team, leader as coach, influenceby storytelling, etc.

TALENT DEVELOPMENTEMPLOYEE ENGAGEMENT

This program focuses on topics such as manager role change, performance management and team roles, effective communication,

Senior Management

Through the Senior Level Leadership Program, leaders can develop a deep level of self-awareness by mindfulness, leader as coachtraining, and 1:1 coaching. This will help senior leaders to lead their teams more effectively and improve organizational capability, etc.

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100%

Types

Trainees
Junior Specialist

Training Coverage

Professional
and73

Mid-Level Specialist

Job-SpecificSenior Specialist

Average training hours per employee

All Employees
Educational
All Employees
General Skills

All Employees

Vocational

All Employees

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BUSINESSAPPENDIX

Training Contents and Objectives
On-the-job training and standard operating procedure training help technical staff adjust quickly and master core knowledge andtechnology.
Mid-level technical experts gain advanced knowledge and strengthen their project management skills so they can grow into
technology-driven managers.
Through training camps and programs, we enhance our specialists’ drug research and innovation, enabling them to become experts intheir fields.
We encourage employees to obtain on-the-job graduate and doctoral degrees from partner universities to improve their professional
skills. We also provide tuition support.
English and German learning opportunities are offered and tuition support is provided to encourage all employees to improve theirlanguage skills.
The iGrow online learning platform covers office skills, soft skills, and fundamental leadership skills. We have also conducted courses ontechnical sharing to foster an environment for knowledge exchange.
Employees in various functions are encouraged, with financial support, to undertake vocational training and obtain related
occupational certificates.

The “LEAP” Series Employee Development Training Program
In 2023, we continued to develop and refine our talent development program system, resulting in the creation of the LEAP talent development programs:• L represents the “Leadership Transition Program”, which is designed for frontline managers to enhance their leadership skills, help them develop role awareness, andstrengthen the reserve of mid-level management talent.

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• E stands for “Elite Program”, a customized talent development project designed by the Company to foster the next generation of top talents in the industry and train future
leaders.
• A is for the “Advancing Program”, which is designed for mid-level managers to build high-performing teams and enhance the organization's core strengths through leadershipprojects.
• P is for the “Pilot Program”, which is designed for senior level managers and focuses on leadership projects that achieve team and organizational change throughself-awareness.

In 2023, approximately 140 targeted online and offline courses and seminars were offered. By the end of December, a total of 4,050 participants had participated in theleadership training projects, with a talent retention rate of 97%.

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Talent Retention and Promotion
To effectively identify, develop, retain, and grow ourtalents, WuXi Biologics established a comprehensive
individual performance management and review
system.

In 2023, we implemented a matrix reporting structure with dotted-line
managers for those relevant employees. During the annual performancegoal-setting process, line managers, dotted-line managers andemployees engage in in-depth discussions to establish performancegoals. The setting of both team and individual performance goals arealigned with WuXi Biologics’ organizational strategy and operational
objectives, and the Company’s key performance indicators are cascaded
down to the teams and individuals.
During the annual performance review, we analyze each employee’s
current competencies and develop an Individual Development Plan
(IDP) that aligns with their personal career development targets andthe Company’s organizational objectives. Multidimensional performanceappraisals15 are conducted on an annual basis that cover all employees.
We determine key evaluation indicators based on job requirements
and establish formal comparative ranking of employees. We have taken
the necessary steps to spread an open-feedback culture throughout
the Company, resulting in improved transparency and clarity during
the employee appraisal process. We operate with a formal mechanism
where managers provide feedback to their direct reports, andemployees can also provide upward feedback about their supervisors.

EMPLOYMENT COMPLIANCE
DIVERSITY, EQUITY, AND INCLUSION (DEI)TALENT DEVELOPMENTEMPLOYEE ENGAGEMENT

During individual performance mid-year reviews, employees andmanagers review goals and progression and exchange feedbacks on
performance areas that requires further improvement. Apart from
regular reviews of team goals and personal goals twice per year,
continuous conversations and feedback between employees and theirline managers and dotted-line managers are required to keep trackof progress and ultimately achieve the performance targets for bothindividuals and the organization. In 2023, 98% of employees received anannual review on performance and career development. The remaining
2% of employees, who had been with the Company for less than threemonths, were not subject to the annual performance review process.

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SOCIETY

GREENING OUR
BUSINESSAPPENDIX“The Ming Shi Tang” Internal Trainer Program“The Ming Shi Tang” Internal Trainer Program aims to promote a
culture of learning and personal development. Structured aroundguided course instruction, annual empowerment activities, and ongoing
curriculum development, this program equips our employees with thetools to excel and grow, and cultivates internal trainers to support
the growth of individuals, departments, and the Company as a whole.
By the end of 2023, a total of 88 internal trainers participated in thisprogram, and 23 of them received the “Training the Trainer to Train”(TTT) certification within the year. Together, the program involved over
400 teaching hours, achieving an average satisfaction rate of 97%.

WuXi Biologics Learning Month
The event focused on four developmental dimensions: Achieving, Thinking,Self-Awareness and Relating. It revolved around four main themes:
Business Insights, Breakthrough Thinking, Personal Development andInterpersonal Influence. The initiative was designed to educate employeeson the latest business dynamics and technology trends; explain how
to undertake company-wide business expansion, and the value of lean
thinking for both the Company and individual employees. During theevent, more than 3,100 employees participated in live online broadcasts,
while more than 1,600 employees engaged in reviewing through recorded
videos. The overall learning experience satisfaction rate was 96%.

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93.11%
Talent retention rate16

12,740
Number of employees

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APPENDIX

and variable pay components, and all employees

By leveraging resources such as online education

facilitate internal career mobility, we put in place

are eligible for high performance rewards as

platforms and partnerships with educational

formal promotion and transfer processes as part ofpart of our annual performance bonus plan. At

institutions, WuXi Biologics keeps exploring various

our talent development initiative. Our development

the implementation level, the Company ensures

ways to cultivate and nurture talents. We support

plan and assessment standards are based on athat high-performing employees are recognizedemployees in pursuing higher education degrees

comprehensive talent inventory and take into

through various salary adjustment methods —and obtaining professional certifications, offer

account individual ability, strengths and potential.

including annual increases, promotions, andgraduate traineeship programs, and partner withThe “Fresh Water” program we have implemented

special adjustments — and has innovated its

educational institutions to develop and deliver joint

promotes cross-regional and departmental

stock incentive model based on performance,

training programs. We provide opportunities for ourrotations, expanding career opportunities andlinking long-term incentives to both company

employees to pursue advanced academic degrees

supporting our company’s growth. In 2023, the WE

and individual performance. In addition, incentive

to further their careers. By providing tuition

DO 2.0 program was launched, facilitating global

mechanisms have been expanded based on thesponsorship and partnering with universities, wetalent mobility and granting all employees fairneeds of the business pipeline, encouraging a spirit

hope to lower the barrier for employees to obtainchances at international positions by simplifyingof co-creation among employees for the overall

advanced education. We have partnered withthe process for team members to pursue roles

business of the Company.

several universities — such as Fudan University,
Jiangnan University, and Zhejiang University — toEurope, and the US, as well as vital business

After approving various compensation andoffer graduate programs in a variety of disciplines,

areas. Aimed at unlocking employee potential andincentive policies, the HR Department actively

including bioengineering, biotechnology, anddiversifying career paths, the program has also

communicates with employees through various

pharmacy, and with Tsinghua University to offer anotably improved the recruitment and onboarding

channels, such as policy releases and online anddoctoral program in chemical engineering.

experience for new employees, streamlining theiroffline discussions, to clearly communicate theintegration into diverse workplace environments.

value proposition and key points of the policies
and answer any questions. At the same time, HR

DIVERSITY, EQUITY, AND INCLUSION (DEI)

GREENING OUR
BUSINESSTo empower our talents to fulfil their potential andin our global locations, including Singapore,

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WuXi Biologics continuously benchmarks andcoordinates internally and externally to ensure

optimizes its compensation and benefits to

a comprehensive understanding of policies andmaintain strong competitiveness within the

responsibilities, and monitors the distribution ofindustry. Our remuneration system includes fixedcompensation and incentives.

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Employee
Engagement

Our Approach
Employee Communication
At WuXi Biologics, a great variety of transparent
and inclusive communication channels are available

Why It Matters
Decent work, authentic recognition, a high levelof engagement, and improved overall well-being
can make employees feel appreciated and valued.
WuXi Biologics is deeply aware of the importanceof retaining high-quality, talented individuals andgenerating employee loyalty. We are dedicated toproviding a broad range of benefits for employees
and actively organizing cultural and recreational
activities to enrich their work experience.

— such as the Company intranet, CEO mailbox
and corporate WeChat — that help create a strong
mutual bond between managers and generalstaff. In addition, we have established accessible,
comprehensive and confidential internal reporting
channels, including a reporting platform, email andhotline. We listen attentively to the requests andopinions of our employees, and seek to proactively
address problems through staff townhalls, regularinternal evaluations and targeted improvement
initiatives.
Employee Engagement Survey
In 2022, we conducted an employee engagement
survey (PROUD survey) covering all employeesof WuXi Biologics. We achieved a response
rate of 86%, which exceeded our target of 72%.
The survey evaluated the employee experience
across multiple dimensions, inquiring about job
satisfaction, internal motivation, stress, happiness inthe workplace, and more. The results highlighted a

EMPLOYMENT COMPLIANCE

robust overall engagement rate of 87%, indicating a

DIVERSITY, EQUITY, AND INCLUSION (DEI)

positive organizational climate.

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BUSINESSAPPENDIX

Based on the 2022 survey findings, we identified

Efficiency Boost — To enhance organizational

gaps and actionable items for improvement. All

efficiency, we have bolstered cross-teamdepartments were involved in developing andcollaboration by clearly defining roles andimplementing action plans in to address the issues

responsibilities, fostering information sharing, andidentified and continually improve employee

refining workflows with a series of WBS Kaizen

engagement.

Projects. We also conducted a thorough review and
execution of the Delegation of Authority (DOA) to

Enhanced Communication — In response to ourstreamline the workflows and approval processes

employee engagement survey, we have optimized

across diverse teams and countries.

our communication channels and integrated the
PROUD culture into our daily work, focusing on

Compensation Benchmarking — Regarding“diversity” and “transparent communication” toequitable compensation, we continuously

ensure full dialogue between management andconduct benchmarking analyses to ensure

our diverse team. Through such communication,

our compensation levels are competitive. We

employees can gain a deep understanding of thehave strengthened the link between pay andCompany’s business direction and achievements.

contribution, and have clearly communicatedThis not only promotes connections among

compensation principles and structures to ouremployees but also forms a strong collaborative

employees.

culture. We advocate an “open door policy” tofurther encourage direct communication andOnboarding Experience — To optimize thesimplify the communication and problem-solving

onboarding experience for new employees, we

process across different levels. We have also

have improved the onboarding training process,adjusted and differentiated our communication

with a special focus on necessary software andstrategies — based on cultural and regional

hardware training. Additionally, we have organizeddifferences — to ensure the creation of an inclusive

a variety of welcome events to foster a sense of

and attractive work environment for everyone,community and belonging among team members.

encouraging employees to be their authentic
selves.

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Employee Benefits

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Statutory Benefits•

Pension•

Medical insurance•

Unemployment insurance•

Disability insurance•

Work-related injury insurance•

Birth insurance•

Housing provident fund

Supplementary•

Paid annual leave

Benefits•

Supplementary commercial insurance18•

Annual health examinations

time employees.

•

Commuting subsidies•

Free transitional housing

We recognize the importance of employees’ mental health and well-•

Paid leave during high temperatures•

Overtime pay and time off in lieu•

Flexible working hours•

Remote working arrangements

Family-Friendly•

Paid maternity leave

Benefits•

Paid paternity leave•

Prenatal check-up leave•

Paid parental leave•

Paid family or care leave beyond parental

In August, 2023, WuXi Biologics hosted the PROUD Day celebration
globally with 5,577 employees participating both on-site and online.
The employee satisfaction rate reached 95.4%, with over 95% ofparticipants feeling that the event deepened their understandingof the corporate culture and increased their pride in the Company.
The event promoted greater mutual understanding and cultural
integration among employees from different countries, andprovided a platform for employees at all levels around the world toshowcase their spirit and ethos.

and country guidelines where we operate. We also offer a wide range

insurance payments in full and on time, in accordance with regionalof non-pay benefits to all our employees, such as paid parental leave,
paid family or care leave, and commuting subsidies. As part of ourefforts to support and facilitate global talent mobility, we provide
assignees with special benefits that include long-term incentives, global
health insurance, relocation allowance, temporary living arrangements,
family allowance for spouse or children, and assistance with children’s
education17. We ensure that part-time employees and contractors
working at our company receive the same routine benefits (such as
meal allowances, vacations, holiday gifts, family day site visits) as full-being, and offer various stress-management support options. An
Employee Assistance Program (EAP) hotline is available for one-

Flexibilities

on-one mental health counselling, and we also invite internal andexternal experts to provide training sessions on emotional and stressmanagement.
We encourage work-life balance and can offer remote and flexible
working options to accommodate employees’ needs. Additionally, weorganize corporate culture and employee appreciation events at ourdifferent business locations, and also support various sports clubs

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APPENDIX

Details

At WuXi Biologics, we ensure that all employees receive their social

DIVERSITY, EQUITY, AND INCLUSION (DEI)

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BUSINESS

Types of benefits

PROUD DayEMPLOYMENT COMPLIANCE

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and hobby associations. We regularly hold sports competitions andsocial activities to enrich the cultural life of our employees and foster apositive work environment.

leave
•

Breast-feeding/lactation leave•

Nursing room

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Occupational
Health and Safety
Why It Matters
Employees’ health and safety lays a solid
foundation for their well-being and productivity.
As one of WuXi Biologics’s core values, health andsafety is always a top priority. We incorporate thehighest standards in every aspect of our operations
to protect our employees from health and safety
hazards in the workplace, and create a healthy,safe and environmentally friendly workplace

Certifications and Awards
ISO 45001 Certification
Work Safety Standardization Certificate

Healthy Enterprise Award by the Hebei Commissionof Health
Advanced Occupational Health Unit Award by
the Hangzhou Hospital for the Prevention andTreatment of Occupational Disease
Advanced Safe Production Enterprise Award by theChengdu Medical City Administrative Committee
Safe Production and Socially Responsible EnterpriseAward by Suzhou Science and Education Innovation
Zone Emergency Management Bureau

for our employees, contractors, visitors andcommunity. We are committed to respecting theright of our employees to healthy and safe working
conditions, and we continually strive to improve theperformance of our Occupational Health and Safety(OHS) management system.

TALENT DEVELOPMENT

ISO 45001 Certificate

EMPLOYEE ENGAGEMENT

ISO 45001 Certificate

OCCUPATIONAL HEALTH AND SAFETY

GIVING BACK TO
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GREENING OUR
BUSINESSAPPENDIXManagement Structure and Policies

Implementation of our EHS management system is

Our WuXi Biologics Environmental, Health andsets EHS-related targets as well as key indicators

Safety (EHS) Policy and WuXi Biologics EHS
Standards provide the guiding principles for
managing occupational health and safety across
our operation sites, including key issues such as
emergency response, contractor management,
permit to work, industrial hygiene, bio-laboratory
safety, noise management, radiation safety,
machinery and electrical safety, warehouse safety,
fire prevention, traffic safety, and slip and fall
prevention. These policies and standards comply
with the laws and regulations where we operate,
and their development took into account not only
the nature of our industry and best practices, butalso involved consultation with and participationof all employees. They are guiding principles
applicable to our employees, contractors, andindividuals under the Company’s supervision.
Additionally, we obtained ISO 45001 certification4
with a series of OHS internal policies established inaccordance with ISO 45001. In 2023, no penalty for
violating occupational health and safety laws andregulations was incurred.

EMPLOYMENT COMPLIANCE
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ENHANCING
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endorsed by the Board, and executive management
for an EHS performance assessment at the annual
management review meeting. In 2023, to further
reduce potential health and safety incidents, weupdated the target for the Lost Time Incident
Rate (LTIR) to be ≤0.063 from ≤0.072 in 2022, andwe will continue to set more stringent targets toenhance our safety record. Prioritization and actionplans related to EHS are developed at management
review meetings to guide the implementation of theinternal policies and initiatives.
WuXi Biologics has established a Biosafety
Committee at all operational sites which involve
biosafety issues. Biosafety laboratories at eachsite are registered according to local regulatory
requirements and managed in accordance with
the WuXi Biologics Bio-Laboratory Environmental,
Health and Safety Management Procedure . We
conduct biological hazard assessments for all ourlaboratories to evaluate associated pathogenic
biological factors for every project and determine
the laboratory biosafety level, procedures, facilities
and equipment required for an experiment basedon different levels of biological hazards.

Indicator

Unit

2023

Lost Time Injury Rate

Time/200,000
working hours

0.009

Percentage of the total workforce across all locations represented in formal joint
management-worker health & safety committees%

100

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Our Approach
Risk Assessment

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GREENING OUR
BUSINESSAPPENDIX

mitigation measures such as using decorative

To measure and keep improving our preventive

Any issues identified during audits are entered intosound-absorbing materials, reducing machinery

measures, WuXi Biologics sets targets for its

our system and followed up for corrective actions

noise, and installing silencing equipment.

lost work day case-rate, which are linked to theand preventive actions. In addition to internal safety

performance evaluations of all departments andinspections and audits, an independent annual

employees, including management. Our progress

external verification of health and safety was also

towards these targets is evaluated every year andconducted in 2023 in accordance with ISO 45001.

The first and foremost approach to providing
our employees with a healthy and safe work
environment is prevention, which includes

we continually track health and safety related

avoiding workplace injuries, operational accidents

metrics.

or interruptions. Our preventive measures are

Potential Risk Reporting
At WuXi Biologics, our commitment to cultivatingbased on the occupational health and safety risk

Safety Inspections and Auditsa safe and inclusive workplace environment

We conduct safety inspections routinely andis demonstrated through initiatives like theworkplace.

encourage employees to report potential risk in“Woodpecker Action”. This program encourages

the workplace. Our EHS Department follows up on

employees to proactively identify and report

Based on the risk assessment, prevention plans are

the reports promptly to inspect and resolve any

occupational health and safety incidents, risks,

issues identified. Various types of EHS inspections

and concerns via internal communication channels.

are carried out, including daily inspections, pre-Upon receipt of an employee’s health andholiday inspections, and cross-department

safety potential risk report, our EHS department

joint inspections. Moreover, security patrols arepromptly coordinates with relevant stakeholders

conducted at a specific frequency by on-site

to implement corrective and preventive measures.

security guards to detect potential emergencies

Additionally, employees who actively contribute toin a timely manner. Health and safety audits forpotential risk identification are duly recognized andall sites are carried out at least once every three

rewarded.

assessment conducted by third-party agencies to
identify what could potentially cause harm in thedeveloped accordingly and actions are prioritizedto address any risks identified. Our prevention
plans include making regular occupational healthmedical check-ups compulsory for employees,
informing them of potential occupational hazards,
providing them with personal protective equipment
as well as relevant training, and conducting
regular occupational hazardous factor assessment.
Taking noise prevention as an example, in orderto further protect employees from noise hazards
at workplaces, our sites adopted multiple noiseEMPLOYMENT COMPLIANCE
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In 2023, to help prevent or reduce the risk ofrepetitive strain injury (RSI), we upgraded the WuXi

Biologics Ergonomics Evaluation Guidelines topromote best ergonomics practices at workplaces,
including risk assessment for typical activities,
such as manual material handling, tool-assisted
material handling, improper working postures,
repetitive work activities, and human-machine
work environments. Improvement measures were
implemented in accordance with the principles
of ergonomics, thereby mitigating or preventing
employee injuries to employees during work
activities.

years to identify safety hazards, supervise theimplementation of our EHS policies, and discoverand correct any unsafe conditions or unsafe
behaviors in a timely manner.

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Incident Response
When a work-related injury occurs, first aid will

GIVING BACK TO
SOCIETY

GREENING OUR
BUSINESSAPPENDIXOHS Drills

OHS Training

be administered immediately. The injury will bepromptly reported and the injured person will

Routine Safety Training Sessions

First Aid Training

be sent to the hospital (if necessary). During the

The EHS Department regularly organizes online andOur aim of our first aid training is to equip

handling process, we follow the local work-injury

offline training sessions to continually strengthen

employees with life-saving skills. The training

and accident-insurance-declaration requirements

employees’ safety awareness, with a variety of safety

covered cardiopulmonary resuscitation, the Heimlich

to make reports, and we assign experts to provide

related topics including electrical safety, chemical

maneuver, and the use of automated external

employee care and psychological services. Oncesafety, traffic safety, fire safety, work permits, OHS

defibrillators (AEDs), etc.

the workplace accident has happened, an accident

laws and regulations, occupational hazard protection,

investigation team is set up immediately to conduct

ergonomics, incidents sharing, personal protective

an investigation, analyze root causes and carry out

equipment, and special equipment safety.

Fire Drills
To improve our employees’ ability to respond to
emergencies and familiarize them with emergency
evacuation routes, WuXi Biologics conducts two
fire evacuation drills per year, which involve
all employees, contractors, and visitors. The
comprehensive drill for emergency evacuation andrescue simulates the entire process including thediscovery of fire incidents, reporting of alarms,
firefighting coordination, emergency evacuation,
rescue operations, and medical assistance. withactive cooperation from multiple departments andlocal firefighters.

corrective and preventive actions. Between 2020
and 2023, WuXi Biologics operated safely, withno work-related fatalities among employees andcontractors.
Training and Drill
Employee training is essential to raise awarenessand reduce operational health and safety incidents.
We conduct regular safety training and drills for all
employees and also invite contractors and visitors
on-site to participate.

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100%

of sites which an employee health & safety risk
assessment has been conducted100%of employees who received safety training
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Drills for Safety Emergencies

Drills for Environmental Emergencies

To enhance our employees' ability to respond to

To help our employees better prepare for andvarious safety emergencies, we organize specialized

respond to environmental incidents, while raising

drills, for handling such emergencies as natural-gas

awareness about potential environmental hazards,

leakage, elevator entrapment, and electric shock.

we organized drills for handling environmental
emergencies, such as chemical spill, to minimize
the impact of potential incidents, protect theenvironment, and safeguard public health andsafety.

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Contractor Fire Extinguishing Training

our own employees, we are acutely aware of the

Our practical trainings also extend to oursafety of those under our supervision, including

contractors to better prepare them forcontractors and project construction workers. Our

emergencies.

safety requirements extend to all personnel at WuXi
Biologics’ work sites, and OHS criteria is included
in our procurement and contractual requirements.
For contractors, we conduct training programs
specific to their job responsibilities — such as

Biosafety Drills

hazardous waste management training for relevant

In 2023, we conducted a biosafety drill to help

personnel — and ensure that they are all trained on

prepare employees for potential biologicalsafety rules and regulations. Additionally, suppliers

emergencies and assess their readiness.

and contractors are pre-screened for safety

performance is continually monitored on site. Our
objective is to eliminate safety risks and incidents
for all personnel working at our operational sites,
including our visitors and contractors.

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In addition to protecting the health and safety ofto admission and during operation, and their OHS

DIVERSITY, EQUITY, AND INCLUSION (DEI)

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BUSINESS

Supplier and Contractor Safety

performance and risks by project specialists prior

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Fostering
Communities

ENHANCING
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GREENING OUR
BUSINESSAPPENDIX

The Big Picture
Generating social value is at the heart of WuXi Biologics’sustainability strategy. We are dedicated to conducting
our business in a way that improves society, enhances
the welfare of local communities and benefits patientsworldwide. And we established three pillars of corporatesocial responsibility, including use our core competencies
to benefit patients worldwide; protect the environment andpromote a low-carbon ethos and engage with communities
through volunteerism and donations. Based on the threepillars and linked to company's business strategy, we aim
to bring about positive change in social and environmental
well-being and reflect a broad extension of our dedication
to enhancing public health. In addition, we have set up
the WuXi Biologics Charity Foundation and the WuXi
Biologics Volunteer Association as part of our continuingcommitment to putting our CSR strategy into action.

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Benefiting
Patients Worldwide

At WuXi Biologics, we are dedicated to accelerating
the development of biologics for the ultimate
benefit of patients and global health. We also strive
to raise awareness of rare diseases and address
other public health issues through our platforms,
expertise, community engagement, and charity
events.

GIVING BACK TO
SOCIETY

Public health is integral to the work we do at WuXi
Biologics. We leverage our strengths to benefit
disease, supporting the R&D of firms specializing inrare disease drugs, and helping to advance better

In China, we have been providing scholarships to students with rare diseases for over three years. We haveestablished an educational support program for high school and college students affected by these diseases. So
far, we've granted scholarships and educational gift packages to 62 students, demonstrating our dedication toprotecting and improving children's rights, particularly those affected by rare diseases.

care for these patients.
Diseases with an incidence of 0.65‰ to 1‰-such
as Pompe disease, Fabry disease, hemophilia,
thalassemia, amyotrophic lateral sclerosis andGaucher disease – are defined as rare diseases
by the World Health Organization (WHO). Morethan 300 million people around the world live
past decade, WuXi Biologics has empowered ourclients worldwide to accelerate the developmentof innovative biologic medicines that can treat rarediseases. We have cooperated with and enabledmany global innovative biotechnology companies
to explore and develop rare disease therapeutics.
As of December 31, 2023, there are 19 ongoingrare disease projects on our platform.

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Granting Scholarships to Students Suffering from Rare Diseases

with one or more of 7,000 rare diseases. Over the

PROTECTING THE ENVIRONMENTGREENING OUR
BUSINESS

Our Approachpatients worldwide, especially in the area of rare

Why It Matters

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Paintings by Rare Disease Children

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GREENING OUR
BUSINESSAPPENDIXRun for Health, Chasing the Miracle!

Caring for Breast Cancer Patients 100K in 30 Days in Ireland

In September 2023, we inaugurated a global charity run named “Run for Health, Chasing the Miracle”. ThisFor the third consecutive year, the CSR committee of WuXi Biologics and WuXi Vaccines Ireland is sponsoring theinitiative celebrates WuXi Biologics' new chapter in our commitment to enhancing and advocating for the field of

impactful “100K in 30 Days” initiative for Breast Cancer Ireland. This sponsorship is a testament to our unwavering

rare diseases. Furthermore, it aims to elevate awareness across all societal sectors about rare diseases, fostering acommitment to Corporate Social Responsibility, perfectly aligning with our vision to foster a healthier future andcollaborative effort to support the rare disease community.

give back to our community. By supporting this initiative, we not only contribute to vital research and patient
support but also actively engage in raising awareness about breast cancer, encouraging early detection andVolunteers who participated in the event contributed by donating their daily steps and running distances, amassing

treatment. Together, with every step we take and every euro raised, we are not just envisioning but actively building

a total of approximately 100,426 kilometers. These efforts were translated into charitable donations by oura pathway towards a future where the shadow of breast cancer no longer looms over our communities.

company, earmarked for rare disease education programs.

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Paintings by rare disease patients

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Protecting theEnvironment
Why It Matters

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Our Approach
We empower our employees to protect theenvironment, promoting a low-carbon ethos
throughout the Company. We advocate and initiate
environmental protection activities across oursites related to energy conservation, emissions
reduction, and a low carbon footprint.

“Energy Saving NOW!” Campaign
We promote and call employees for creative “Golden Ideas” aimed at energy conservation. From the start of the
program in 2022 through the end of 2023, we have received 141 energy-saving “Golden Ideas” from 11 sites
covering various working scenarios, including utilities, offices, manufacturing areas, and labs.

Human health is closely tied to the natural

To help our staff better understand and apply new energy-saving ideas, and actively contribute to the process, theenvironment. WuXi Biologics, as a company

selected “Golden Ideas” were shared across the Company on a regular basis. Employees were encouraged to learn

devoted to enhancing public health and protecting
people’s right to a healthy environment, raises
awareness, promotes environmental sustainability,and generates ideas and initiatives that support ourenvironmental objectives.

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Litter Pick-up in Haggards town, Ireland
At a litter pick-up event in Ireland, held in
collaboration with Haggards Town Tidy Towns,
a devoted team of 20 WuXi Biologics employees
and their families collect over 1,000 liters of litter,
fostering a cleaner and healthier community.
The event was in keeping with this dedication toenvironmental responsibility, contributing to thewell-being of our local communities and promoting
a culture of environmental consciousness among our
employees.

from other’s best practices.

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Community
Engagement

Why It Matters
WuXi Biologics prioritizes social interconnection
and proactively undertakes initiatives that
address social and environmental challenges inour communities. Our employees are encouraged
to volunteer and demonstrate their social andenvironmental commitment. This not only makes
our work more rewarding but also benefits the

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Unite for Nature During Earth Week
During the earth week, employees from all over the United States participated in a variety of nature relatedcauses. The program allowed employees to volunteer for a cause they were passionate about, whether throughindividual participation or organized group activities. Throughout the week, employees signed up for 173 different
opportunities, and by the end of the week, they had volunteered for 250 hours. With a diverse range of causes tochoose from, our employees demonstrated their dedication to making a difference in their communities. The impactof our collective efforts was evident in the significant hours they volunteered.

communities we cherish. Charitable donation is
also a direct and impactful means by which WuXi
Biologics gives back to our communities andstrengthens our bond with the public. To that end,
we set aside dedicated resources to financially
support various causes.

8,017

Volunteer hours donated to communities

Our Approach
Facilitating Volunteerism
WuXi Biologics has established a company-wide
volunteer association with site-level divisions andcorresponding volunteer platforms to provide
specialized resources for global employees whoseek to make an impact in their communities.
In 2023, WuXi Biologics’ volunteer contribution forcommunity service totalled 8,017 volunteer hours
and 1,907 person-times of participation.

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Sparking Curiosity in Young Minds

Immersing Ourselves in Community

Volunteer Association

At our Dundalk site in Ireland, we have pioneered theinaugural Engineering Week. This initiative reflected
our dedication to fostering educational growth andenthusiasm for engineering within our community. By
engaging with local schools and communities, we areinvesting in the future and laying the groundwork fora brighter tomorrow. Our goal is to spark curiosity inyoung minds and inspire them to become innovativeengineers of future, ready to tackle tomorrow’s
challenges.

At the 11th Schwebebahnlauf in Wuppertal, on the
5 km course, employees from WuXi Biologics braved
the almost 30 degrees in Wuppertal and celebrated
together at the finish line!

In the spirit of fostering a sense of community, we organized a series of activities with employee volunteers, suchas site family days and charity bazaars, employee volunteers use their expertise and spontaneously participate invarious community welfare and assistance activities to become WuXi Biologics’ important force in fulfilling social
responsibilities.

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This event, along with our other initiatives, represents
our commitment to community engagement andfostering a sense of camaraderie and teamwork in
our employees. Beyond simply sponsoring events,
we actively participate and immerse ourselves incommunity activities. We believe in the power ofcommunity and the positive impact we can havewhen we come together to support common goals
and initiatives. Our community involvement is atestament to our dedication to creating a positive,
sustainable impact on society.

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Charitable Donations

In 2023, the Foundation saw significant

To systemize and enhance the transparency ofadvancements in both development and operation.

our charitable efforts, we took a significant step

With the help of standardized operation andin 2022 by establishing the WuXi Biologics Charity

management, it earned a series of honors andFoundation. This Foundation serves as a formal

validations, including charitable volunteer practiceand non-profit organized platform that allows us

site, tax-exempt and tax deduction qualifications,

to coordinate our philanthropic activities morewhich were awarded in June and December

effectively.

respectively.

The Foundation operates under the guidance of the
WuXi Biologics Charity Foundation Charter , which
strictly complies with relevant laws and regulations
regarding charities and donations and ensures that
our Foundation maintains the highest standards oflegality and ethicality in all its activities.

In 2023, WuXi Biologics donated cash and tangible
assets to various causes across five countries
through different sites in China, the UnitedStates, Germany, Ireland, and Singapore. The

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Donating for Disaster and Emergency Relief after the Gansu and Qinghai Earthquake
On December 18, 2023, a magnitude earthquake struck Jishishan and several counties in Gansu and Qinghai
Province. The Company quickly coordinated various of relief materials. The materials were urgently dispatched to
the front lines of the disaster within three days.
In addition, the WuXi Biologics Charity Foundation opened a special donation channel within the Company named“Supporting Gansu and Qinghai” to employees. The Foundation engaged in matching gift proportionally to the
donation from the employees. During this donation process, we received donations from more than 400 employees.
In total, we have donated materials worth more than RMB440,000 to the earthquake-stricken areas in Gansu andQinghai, and raised cash donations (including donations from WuXi Biologics employees and matching donations
from the WuXi Biologics Charity Foundation) of RMB560,000, with a total donation value of over RMB1 million.

donations were aimed at supporting local charities,
communities, and individuals in need.

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BUSINESS

Pursuit of environmental sustainability has become a consensus of humansociety, and is considered an imperative for every business to achieve theirlong-term goals. At WuXi Biologics, we take innovative actions to address
climate change and optimize our environmental management system,
aiming to continue to greening our business and influencing the wider
value chain.
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Climate Change and Energy Saving

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Environment Protection

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Climate Change
and Energy Saving

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The Big Picture

The 2023 United Nation Climate Change Conference (COP28) in Dubai was seen as a
critical milestone to keep the global warming objective of the Paris Agreement alive,
calling for immediate actions around the world to transition away from fossil fuels
and scaling renewables. As climate change impact intensifies globally, WuXi Biologics
stands firmly committed to decreasing our energy use and reducing emissions. In
addition, as a global corporation, we shoulder the responsibility to minimize ourcarbon footprint and build business resilience against climate change throughout ourown operations, as well as the upstream and downstream value chain.
The Task Force on Climate-related Financial Disclosures (TCFD) guides ourunderstanding of risks and opportunities that may arise from climate change,
and we developed our Climate Change Policy accordingly. With reference to therecommendations of the TCFD, we conduct and communicate climate-related
disclosures under the four core categories of governance, strategy, risk management,
and metrics and targets.
We actively take steps to transparently disclose our GHG emissions reduction progressand other critical climate-related information to our valued stakeholders; establish andtrack our context-specific plans to adapt to physical and transition risks in existing
and/or new operations; implement mitigation actions by avoiding and reducing ourenergy consumption; replace current energy sources with clean energy; and contribute

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to an overall reduction in GHG emissions through carbon offset.

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Governance

At WuXi Biologics, governance of climate-related issues is incorporated
into our comprehensive ESG structure to ensure that the topic of climate

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ESG
Committee

ESG
Steering
Group

The ESG Steering Group, composed of the Company's
senior executives, is responsible for:• Providing business insights into the Company's
Climate Change strategy, including the monitoring andmanagement of climate risks and opportunities.
• Ensuring resources allocation for the implementationand enforcement of climate-related strategies andclimate-related risk management.

ESG
Department
and Climate
ChangeTask ForceThe Climate Change Task Force — composed of experts
from various key departments and facilitated by anindependent ESG department — is responsible for:• Communicating with stakeholders and providing
insights and advice for identifying climate risks
and opportunities, and formulating climate-related
strategies.
• Continually monitoring climate-related performance andrefining action plans for achieving climate-related goals.

Business
Units andAll Sites

Relevant business units — including research anddevelopment, manufacturing, EHS — together with all sites
are responsible for:• Implementing climate-related adaption and mitigation
strategies.
• Proposing and implementing innovations andoperational excellence practices to advance theCompany's climate-related vision.

of climate-related risks and opportunities, and the Company’s
decarbonization performance on an annual basis. A dedicated task
force and various related departments are involved to ensure sufficientknowledge and resource allocation for managing climate-related issues
across all sites.
The process of identifying climate-related risks is incorporated into therisk assessment practice carried out company-wide. The assessment ispart of a holistic and integrated risk management system that is alignedwith the COSO Enterprise Risk Management Framework — Aligning Riskwith Strategy and Performance .
To effectively guide our goal-setting and actions related to climatechange, we developed a Climate Change Policy in 2021, which addresses
our commitments, targets, strategy and roadmap for reducing GHG
emissions and environmental impacts, decarbonizing our business, andmanaging and adapting to climate risks. The policy is regularly reviewed
and updated as necessary.
As a further driver to the achievement of our environmental and
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we link climate change and environmental management key performance

STRATEGY

indicators to the performance reviews and remuneration packages of the

RISK MANAGEMENT

Company’s CEO and all related senior executives and employees.

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climate-change targets, and the promotion of low-carbon operations,

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APPENDIX

The Board-level ESG Committee is responsible for:• Guiding and formulating the Company's climate-related
vision, goals, strategies, roadmap and structure.
• Determining material climate risks and opportunities.
• Tracking the execution and progress of climate-related
goals.
• Scheduling an annual board meeting review of climaterelated issues.

Company’s strategy-making process.

climate change-related strategies, the identification and management

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Climate-related Governance Responsibilities

change is considered equally with other material ESG issues in the

The Board takes ultimate responsibility for oversight and review of

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Strategy
Transition Risks
Policy & Legal
Technology
MarketReputation

Physical Risks
Acute
Chronic

Strategic Planning
Risk Management
Risks

Transparency
Adaptation
Mitigation

Opportunities
Opportunities

Resource Efficiency
Energy Source
MarketProducts and Services
Resilience

Climate-Related Strategic Planning
Given the cumulative and multifaceted impacts of climate-related risks on our business, effective assessment and management of those risks is essential for the continuityof our operations. When formulating strategy, we consider external factors — such as government policies and plans — that may influence our operations; and historical
records and future projections of extreme weather events; and internal factors such as operational characteristics and business growth. To facilitate our physical andtransition risk identification and prioritization process, we applied four climate scenarios for analysis: “Representative Concentration Pathways (RCP) 2.6” and “Net Zero
Emissions by 2050 Scenario (NZE)” as 2 ℃ or below scenarios, and “Representative Concentration Pathways (RCP) 8.5” and “Stated Policies Scenarios (STEPS)” as above
2 ℃ scenarios19.
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Climate-related Scenario

RCP 2.6 (IPCC)20

policy changes are made to reduce emissions, and characterized
by increasing GHG emissions that lead to high atmospheric GHG

negative before 2100.

concentrations.

Temperature Rise by 2100

1.8 ℃

4.4 ℃

Approach of Analysis

Physical risks are analyzed, responding to physical impacts on our assets and across value chain over the short-, mid- and long-term.

Approach of Analysis

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RCP 8.5 (IPCC)21

around 2020, then decline on a linear path and become net

Temperature Rise by 2100

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APPENDIX

The high-emissions scenario, consistent with a future where no

Description

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emissions in line with the Paris Agreement , which would peak

Climate-related Scenario

STRATEGY

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This scenario is consistent with ambitious reduction of GHG
Description

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NZE (IEA)22

STEPS (IEA)23

A scenario that sets out a pathway for the global energy sector

A scenario that reflects current policy settings based on ato achieve net zero CO2 emissions by 2050. It does not rely on

sector-by-sector and country-by-country assessment of theemissions reductions from outside the energy sector to achieve

specific policies that are in place, as well as those that have been

its goals.

announced by governments around the world

1.4 ℃ (with a 50% probability)

2.4 ℃ (with a 50% probability)

Transition risks and opportunities are analyzed, responding to adapting and mitigating climate transition impacts over the short-,
mid- and long-term.

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Risk and Opportunity Identification & Evaluation Process

Step 1

Step 2Developing a Risk and Opportunity Register

Qualitative Assessment and Prioritization

Screening and identifying risks/opportunities thoroughly — considering

Ranking risks and opportunities from both likelihood and impact perspectives,

both the Company’s own operations and the value chain — based on TCFD

as well as considering qualitative factors such as policy and social impact,

recommendations, peer benchmarking and stakeholder communications.

business continuity and strategy attainment.

Step 4

Step 3

Response Strategy Planning

Quantitative Assessment of Prioritized Risk and Opportunity

Applying differentiated response strategies based on the qualitative andAssessing the financial and non-financial impacts associated with climate

quantitative assessment of climate related risks and opportunities, which arerisks through internal workshops and internal analysis processes underintegrated into our overall business planning to strengthen climate resilience

selected scenarios; and evaluating the opportunities that may contribute tothroughout our operations.

our operations and the wider environment arising from our current and future
practices over the short-, mid- and long-term.

The prioritized risks and opportunities, the associated financial impact under different scenarios over time, and our response strategy are detailed in the accompanying
graphic. Please note that scenario analysis is a tool used to better visualize how the physical and transition risks/opportunities of climate change may impact our businesses,
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strategies, and financial performance over time. It is not intended in any way to convey predictions about the future.

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Detailed List of Climate-Related Risks and Opportunities
Risk/Opportunity

Description

Financial Impact

Impact Rating under Scenario Analysis
Scenario

Time Horizon
Short-term(by 2025)

Acute
Physical Risk

Increased severity and frequency of extreme weather events
resulting from climate change — such as heat waves, cyclones
and floods — may disrupt our ability to operate effectively due tointerruption of energy and transport infrastructure.
Typhoons and rainstorms could sever transportation routes and

RCP 2.6

Very Low

Long-term(by 2050)

Low

Chronic physical risks arising from climate change may include
temperature rise, sea level rise, and long-term shifts in climate
patterns. Rising temperature may require more energy to regulate
site temperatures. Coastal sea level rise and coastal flooding may
have a significant impact on critical public infrastructure, which
could potentially impact a site’s ability to operate efficiently.

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• Pay close attention to weather forecasts and issue
timely alerts in the case of extreme weather events.
• Develop early warning systems, evacuation plans,and emergency response measures to prepare forextreme weather events.

RCP 8.5

Very Low

Low

Mediumour supply chain.

Chronic
Physical Risk

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Very Low

Mid-term(by 2030)

Increased operating costs fromreinforcement of site infrastructures
and additional engineering costs.

disrupt both upstream and downstream activities throughout
Physical Risks

Response Strategy• Develop supply chain continuity plans accounting for
upstream and downstream suppliers’ climate-relatedrisks, and apply dual-sourcing plans accordingly.

Increased operating costs due tothe additional energy needed tomaintain optimal temperatures at our
manufacturing sites, and additional
subsidies and insurance to ensure
employee health in hot temperatures.

RCP 2.6

Very Low

Very Low

Very Low

RCP 8.5

Very Low

Low

Medium• Transition to more efficient heating and coolingsystems, and track and analyze energy consumption
trends on an annual basis.
• Provide employees with paid leave or flexible work
arrangement during high temperature days.

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Risk/Opportunity

Description

Financial Impact

Policy andLegal Risk

Technology
Risk

Increased operating costs from future
implementation of carbon pricing
schemes in more jurisdictions.

Our endeavors to transition to low-carbon operation will require
us to invest in energy-efficient equipment as well as clean energy
and low-carbon production technologies.

Decreased asset value from theneed to upgrade to low-carbon
technologies. Decreased asset
useful life, asset impairment or early
retirement of existing asset mightoccur.

Transition
Risks

Market Risk

Reputation
Risk

NZE

As climate change intensifies globally and the propensity of clientsto use environmentally friendly products and services rises, WuXi
Biologics will invest in enhancing our competitive advantage by
proactively adopting a strategy of improving the environmental
performance of products and services. Failure to do so may cause
us to lose market share and decrease market demand for ourservices.

Increased cost to respond to clientchanges in preference towards moreenvironmentally friendly products andservices.

The expectations of stakeholders — including clients, employees,
investors, and shareholders — regarding our contribution to alower-carbon economy could affect the Company’s value, which
may decrease if our performance in relation to climate goals andactions is seen as insufficient.

Potential decrease in company value
from failure to meet stakeholders’expectations.

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Impact Rating under Scenario Analysis
Scenario

As governments review, update, and deliver on their commitments
to the United Nations Framework Convention on Climate Change
and the Paris Agreement , GHG emission policies and regulatory
measures continue to evolve. As a result, the carbon price is
expected to rise, and additional resources will be needed to stay
current with regulatory changes and eliminate risk exposure to
litigation related to climate change.

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Response Strategy

Time Horizon
Short-term(by 2025)

Mid-term(by 2030)

Long-term(by 2050)

Very low

Low

Medium• Stay updated on the latest climate-related regulations,at both the national and international level.
• Evaluate our operations, products, and supply chain
to understand the risks posed by new regulations

STEPS

Very Low

Very Low

Very Low

NZE

Low

MediumMediumand how they may affect our business.
• Optimize business processes and strive for green
manufacture and lean management.
• Consider environmental impact and energy efficiency
when acquiring new equipment.

STEPS

Low

Low

Low

• Explore clean energy alternatives and expand the useof clean energy.

NZE

Low

MediumMedium

STEPS

Low

Low

Low

NZE

Very Low

Very Low

Very Low

STEPS

Very Low

Very Low

Very Low• Maintain close communications with our key clients
regarding their expectations of our environmental
performance.
• Enhance transparency of our environmental
performance.

• Strengthen communications with stakeholders andgather timely feedback regarding any concerns about
our climate-related responses.
• Maintain transparent disclosure on climate-related
efforts.

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Risk/Opportunity

Description

Financial Impact

Impact Rating under Scenario Analysis
Scenario

Resource
Efficiency

By seeking technology improvement and process innovation,
opportunities may arise from more efficient use of utilities including Reduced operating cost from improved
steam, water, and electricity. Improved resource efficiency andresource efficiency.
enhanced process efficiency will bring positive business impact.
As we integrate more renewable energy into our energy mix —such as installing more photovoltaic systems — it will not only lower
Returns on investment in renewable
our emissions but also decrease energy costs.
energy projects.

Energy Source

Opportunities

MarketProducts andServices

Resilience90

In addition, governments globally are rolling out policies andReduced operating cost fromincentives in favor of renewable energy development and trading,potential policy incentives.
which provides promising opportunities for us to actively and easily
adopt more renewable energy.
Opportunities might be found in existing and new markets through Increased revenue from tapping into
low carbon solutions, and working together with value-chain
expanded and new markets with apartners towards a more sustainable economy.
broader client base.
The implementation of green manufacturing — including operation
efficiency enhancement and manufacturing process improvement— will help attract and retain clients and gain competitive
advantage, as more clients are incorporating environmental aspects
in their tender criteria.

Increased revenue resulting fromincreased demand for products
and services provided through anenergy-efficient and low-emission
platform

As WuXi Biologics continues to enhance our capacity to bettercombat climate risks and expand opportunities, we enable not
only ourselves but also our suppliers and clients to become more
resilient to climate change by increasing the reliability of our supply
chain and strengthening the ability to operate under various
conditions.

Increased market valuation throughresilience planning.

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Reduced operating costs fromenhanced supply chain stability andreliability.

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Response Strategy

Time Horizon
Short-term(by 2025)

Mid-term(by 2030)

Long-term(by 2050)

NZE

MediumHigh

Very HighSTEPS

MediumMediumMediumNZE

Low

Medium

High

STEPS

Low

Low

Low

NZE

MediumHigh

Very HighSTEPS

MediumMediumMediumNZE

MediumHigh

Very HighSTEPS

MediumMediumMediumNZE

Medium

High

High

STEPS

MediumMediumMedium• Take advantage of opportunities to optimize businessprocesses and strive for green manufacture and leanmanagement.

• Actively explore ways to continue shifting our energy
mix to include more renewable sources.
• Keep updated on national and international
renewable energy policies to amplify both
environmental and financial outcomes.

• Expand collaboration with industry partners on
low-carbon solutions, and products research anddevelopment.

• Enhance competitive advantage by proactively
optimizing operation efficiency and processes, enablingclients to lower a product’s carbon footprint.

• Participate in climate-related programs and adopt
energy-efficiency measures.
• Advocate for suppliers and clients to also engage inthese resilience-enhancing activities.

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Risk Management

The Company is working both internally andexternally to minimize and mitigate identified
material climate risks. The processes for identifying,assessing, and managing climate-related risks are
essential elements of our current risk management
system, which is aligned with the COSO Enterprise
Risk Management Framework — Aligning with
Strategy and Performance and is designed toassess and manage multidisciplinary risks andopportunities. Our climate-related strategy is built
on three pillars: transparency, adaptation andmitigation.

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GHG Emission Measurement and Verification
In 2023, we invited an independent and accredited
professional agency to conduct carbon accounting
across the Company based on the ISO 14064
standard24 for Scope 1, Scope 2 and Scope 3. Their
analyses allowed us to lay a solid foundation for anenergy-saving and carbon-reducing roadmap, andto track our progress against our GHG target. As
a result, we were able to estimate our long-term
carbon emissions using capacity planning andpresent a rationale based on science.

Transparency
Compliance and Disclosure
WuXi Biologics ensures full and consistentcompliance with international standards as wellas the national laws and regulations wherever theCompany operates. We believe that being valued
and trusted by our stakeholders is critical to ourbusiness and development, and that transparent
disclosure can foster their confidence and reliance.

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STRATEGYRISK MANAGEMENTPERFORMANCE AND METRICS

We constantly monitor our climate-change andenvironmental performance, as well as track andevaluate our GHG emissions-reduction progress
through annual carbon inventory. We arecommitted to providing regular, fair and balanced
information regarding our progress, initiatives,opportunities and risks of environmental protection,and climate-change topics. At the same time, we
actively and transparently communicate with our
stakeholders on an ongoing basis — through formal
stakeholder engagement and analysis — regarding
climate-change issues deemed material.

Statement of Conformity CN24/00002475

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Life Cycle Assessment (LCA)
As market demands are shifting to more sustainable
and low-carbon products, WuXi Biologics aims
to minimize our environmental impacts and risks
throughout the entire life cycle of our products
to bring wider benefits. We have conducted a full
LCA, in accordance with the ISO 14067 Standard,
to evaluate potential environmental impacts(climate change) throughout a product’s life cycle.
We are taking steps to extend our LCA to otherenvironmental impacts, such as our water footprint
and resource footprint, to comprehensively review
the environmental performance of our products,
leading to more eco-friendly products for ourclients.

Greenhouse Gas Verification Statement
The inventory of Greenhouse Gas emissions in
01 Jan. 2023 to 31 Dec. 2023 of

WuXi Biologics (Cayman) Inc.
Business address: PO Box 309, Ugland House, Grand Cayman, KY1-1104,
Cayman Islands
Organization boundary: Detail organization boundary information has been listed in
Annex, for multi-site statement
has been verified in accordance with ISO 14064-3:2019 as meeting the requirements of

ISO 14064-1:2018
Direct Emissions [Category 1]
32,687.08 tonnes of CO2e
Indirect Emissions from Imported Energy [Category 2]
149,229.10 tonnes of CO2e
Indirect Emissions from Transportation [Category 3]
25,038.53 tonnes of CO2e
Indirect Emissions from Products Used by An Organization [Category 4]
40,425.24 tonnes of CO2e
Indirect Emissions Associated with The Use of Products fromThe Organization [Category 5][be determined as non-significant indirect emissions and not quantified]
Indirect Emissions from Other Sources [Category 6][be determined as non-significant indirect emissions and not quantified]Total Emissions Quantified
247,379.95 tonnes of CO2eTarget Setting
WuXi Biologics is fully aware that GHG reduction
is key for mitigating both physical and transition
climate-related risks. We set GHG emission
reduction targets based on different time horizons.
Our mid-term goal is to reduce our Scope 1 andScope 2 GHG emission intensity by 50% (tonnes/
RMB10,000) by 2030 from a 2020 base year.
Our long-term goal is to achieve net-zero emissions
from overall operations by 2050.

Authorized byDavid Xin
Sr. Director - Business Assurance
DATE: 13 Mar. 2024
SGS-CSTC Standards Technical Services Co., Ltd.
16F Century Yuhui Mansion, No. 73, Fucheng Road, Beijing, P.R. CHINA 100142
t +86 (0)10 58251188 www.sgsgroup.com.cn

Page 1 of 4This document is an authentic electronic certificate for Client’ business purposes
use only. Printed version of the electronic certificate are permitted and will beconsidered as a copy. This document is issued by the Company subject to SGS
General Conditions of certification services available on Terms and Conditions |SGS. Attention is drawn to the limitation of liability, indemnification andjurisdictional clauses contained therein. This document is copyright protected andany unauthorized alteration, forgery or falsification of the content or appearanceof this document is unlawful.

In 2023, we committed to SBTi, aligning our climate
actions with the Paris Agreement , which pursues
efforts to limit global warming to 1.5℃ above
pre-industrial levels.

ISO 14064 Certificate
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Adaptation
Addressing Climate Risks
We aim to create a climate-resilient workplaceand build a climate-literate workforce, equipping
ourselves to better cope with the physical impactsof climate change. As such, with considerationof our response strategies, we formulate

To adapt to the climate risks at existing operations,

Business Contingency Plan Optimization

we conduct substantive analysis on each site andAs a key part of our operations risk adaption

develop targeted response programs as needed,

strategy, we developed business continuity planssuch as introducing adaptive design by developingthat take into consideration possible disruptions

weather early-warning systems; designing

due to extreme weather events — among otheremergency response measures and evacuation

potential incidents or risks — and ensure thatplans; implementing energy reserves; and initiating

we will maintain critical crisis management andsoil and water conservation programs.

execution capabilities. To protect our business fromphysical risks, we pay close attention to weather

context-specific plans with various physical riskchanges, and allocate protective devices andadaptation initiatives in both existing and new
operations.
During the planning for new construction —whether a new site or expansion at an existing
location — WuXi Biologics applies the highest
environmental standards. This includes integrating
sustainability criteria into the risk assessment
process for new mergers and acquisitions, such asresilience analysis, flood risk assessment, energy
efficiency evaluation, and carbon emissions
calculations.

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Adaptive Design: Make-up Air Unit (MAU)
Seasonal Switching

emergency equipment ahead of possible climate

When designing the MAU system for the WuXi
Biologics Hebei site, we took full account of
the climatic conditions in Hebei, specifically theseasonal trend of local air humidity. When thedryness of the air meets the requirements of the
Air Handling Unit (AHU) and there is no need todehumidify the air, we stop the operation of thedehumidifying machine and instead meet the
fresh air demand of the AHU through natural
air extraction, thus effectively reducing thedehumidifier’s energy consumption.

response. In 2023, there were no safety accidents

At the same time, by continually optimizing thedesign of the winter fresh air ducts of the MAU
system, we ensure the stability of the system when
the air is taken and switched, and reduce the power
consumption of the fresh air unit’s fan motor, whichis expected to reduce carbon emissions by about
146 tCO2e per year.

Company encourages employees to contributedisasters. In addition, we conduct annual drills
to evaluate the effectiveness of our emergency
or production impacts caused by extreme weather
at WuXi Biologics.
Training
Employee engagement is critical for achieving
our GHG goals and implementing our climate
adaption plans. To raise employee awarenessregarding climate change topics, we actively
provide them with training curricula, lectures andother internal communications. In addition, thetheir knowledge and ideas to help reachcarbon-reduction goals in their daily work. We
incorporate energy management performance into
department assessments, link relevant indicators
to individual performance reviews, and reward
projects and innovations that offer notable energy
conservation and carbon-reduction results.

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2023 Environmental Sustainability
Workshop
WuXi Biologics held the 2023 Environmental
Sustainability Workshop at our Wuxi site, with 300
colleagues across all departments joining in personor online. The workshop shared best practices
around three key themes — climate change,
water management and waste management —and unveiled 20 best practice awards in carbon
reduction, water-saving, and waste reduction tovarious sites.
During the workshops, the sites shared information
on policy requirements, trends, challenges,
initiatives and achievements, as well as practicalexperiences in executing energy-saving projects;
implementing water and waste recovery initiatives;and deploying onsite solar panels. Participants fromeach site actively exchanged ideas on techniques,
equipment indexes and practical details with a view
to improving their environmental sustainability
performance.

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Industry Cooperation
WuXi Biologics strives to boost the ability of ourbusinesses, our employees, our suppliers and thecommunities in which we operate to better adapt toclimate change. This involves having — and helping
to provide access to — information, skills andphysical resources. We are committed to following
public policies related to climate change that alignwith the Paris Agreement . We also collaborate
with trade associations and global organizations
that have the same philosophy to develop andtest methods for increasing energy efficiency, findthe best solutions on climate change, and improve
environmental performance in our business. A
reviewing and monitoring process was set up
to continually assess whether our public policy
engagement and collaborations are aligned with
the Paris Agreement .

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In 2023, we committed to TCFD supporters and
SBTi for setting near-term science-based emissions
reduction targets and net-zero targets in linewith the SBTi criteria and recommendations.
We also participated in the CDP environmental
disclosure and assessment process to share ourcorporate climate-change activities, with a view tocontributing industry-specific insights for securing
a sustainable net-zero and water-secure world.
In recognition of our leadership in disclosing
information, identifying and managing risks,
addressing challenges, and setting significant,ambitious goals, WuXi Biologics’ score on climatechange improved significantly from previous years
and we received A-for Climate Change from CDP in
2023.

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Mitigation
In addition to adapting to ever-changing climate risks, we also proactively embed various mitigation plans into
our climate response strategy. Pursuant to our commitment to reducing our carbon footprint, we set mid-and
long-term GHG emission-reduction targets with four main pathways: avoiding and reducing GHG emissions
by enhancing our energy management system; integrating energy-conservation and emissions-reduction
measures throughout our design, manufacturing and operation processes; replacing fossil fuels with renewableenergy; and seeking carbon-offset opportunities to reduce overall emissions.

Avoid and Reduce
Energy Management
We established an internal energy management system aligned with the ISO 50001 standard and formulated
various internal policies for using energy in an efficient way, enhancing energy efficiency, and reducing energy
consumption through a systematic and comprehensive management structure. Internal audits of the energy
management system are conducted annually to assess conformity and effectiveness. We developed our
WuXi Biologics Energy Management Standards to define responsibilities and guide our approaches to energy
conservation and emission reduction.
Through the comprehensive and systematic energy management system, we vigorously adopted energyefficient technologies and equipment, and focused on increasing the proportion of clean-energy usage. WuXi
Biologics is committed to aligning all future capital expenditures with our long-term GHG target, and to
facilitating decarbonization throughout the design, construction and daily operation phases of our facilities.
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Energy-Efficient Building Design
Energy-saving and a low-carbon concepts areintegrated into the design and construction of our
new sites to reduce future energy consumption.
Low-Carbon Design• Meet or exceed the relevant local andinternational standards of green building in all
new construction projects.
•

Adopt low-energy consumption, low-carbon
and environmentally friendly products asbuilding materials.

•

Design the external features and architecturalform with consideration of the climate
environment.

Energy Efficiency Upgrade• Create a monitoring system to identify key
control points of energy consumption; monitor
the operation status of production facilities
and equipment; and strengthen energy
information collection, daily monitoring andmanagement.
•

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Take advantage of natural light to reducethe demand for indoor lighting and install
intelligent lighting systems with controls thatwill help reduce electricity consumption.

•

Select suitable building materials and improve
the airtightness of windows and doors to
improve building insulation and reduce HVAC
energy consumption.

•

Maximize the use of natural cooling capacity
and save electricity consumption.

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Adopt energy-efficient production facilities
and equipment — such as fresh air systems
and clean utility facilities — while continually
optimizing equipment parameters to improveenergy-use efficiency and reduce GHG
emissions.

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Reusing and Recycling• Establish water recycling systems forrainwater, condensate, and grey water tosave water resources and improve water-use
efficiency.
Clean Energy• Integrate into the energy mix renewablesources, such as green electricity, photovoltaic
power, and wind power.
Cutting-Edge Technologies• Integrate innovative continuous manufacturing
processes and environmentally friendly SUT
to improve energy efficiency, reduce water
consumption, and minimize environmental
impacts.
•

By combining SUT with our new-generation
continuous biologics manufacturing platform,
we are estimating that water usage will be
reduced by approximately 70% and energy
consumption by 33% compared to traditional
stainless-steel technology.

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Energy-Efficient Manufacturing and Operation
Recognizing energy consumption as one of theCompany’s most significant aspects in achieving
our GHG emission reduction goal, we set a targetof continually improving energy efficiency andreducing energy consumption during our businessand manufacturing operations. For effective energy
management at our operational sites, the Company
established an energy management team in eachsite to monitor resource use in real time, detect
and rectify abnormalities, and conduct regularinspections.
WuXi Biologics diligently seeks opportunities
to decrease our energy consumption. We haveadopted key mitigation technologies in all aspects
to achieve this objective, including processoptimization, equipment upgrades, infrastructure
replacement and renovation, and energy-saving
initiatives in offices. In 2023, 15,287 MWh ofelectricity, 1,031,928 cubic meters of natural gas,and 26,950 GJ of steam were saved, leading to a

Going forward, we will continue to integrate the16,641 tCO2e reduction in Scope 1 and Scope 2

concept of sustainability into the design of our

GHG emissions.

sites, establish green and low-carbon facilities
worldwide, and move towards a greener future.

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Examples of Actions Taken at Various Sites to Improve Energy Efficiency and Reduce Energy Consumption
Process Optimization• Optimizing production process system parameters to enhance energy
efficiency.

Machine/Equipment Replacement• Selecting the latest energy-efficient process equipment in the market tomaintain highly efficient energy use.

• Implementing real-time manufacturing process monitoring andautomated controls to reduce equipment idle time.
• Optimizing compressed air system for energy conservation.

• Carrying out a low-nitrogen retrofit for boiler burners.
• Deploying a multiple-tier energy metering device to monitor and further
control equipment electricity use.

Maintenance Program• Repairing and coating the surface of the impeller and worm gear to
improve the surface’s finish and reduce its adhesion effect, thus increasing
the operating efficiency of the pump and decreasing energy use.
• Adding automatic start/stop devices to air curtain units.
• Strengthening insulation effects for steam pipelines.
• Cleaning equipment regularly.

Annual GHG emissions reduction 4,318 tCO2e

Annual GHG emissions reduction 1,225 tCO2e

Cooling Technology• Utilizing free cooling system to maximize the use of natural cooling.

Heating, Ventilation, Air-Conditioning and Cooling (HVAC)• Installing heat pipe modules on the cool section of the air conditioning• Equipping chiller rooms with Maglev chillers.

unit to recover the energy from the dehumidification process and thus

• Adding an atomization system on the air-cooling unit to bring down the

reduce energy loss.

temperature of the air cooler owing to increasingly hot weather.
• Adding automatic control programs for the cooling system.

Annual GHG emissions reduction 420 tCO2e

Waste Heat Recovery• Adding a heat recovery unit and cooling tower to recover heat from steam
condensate.
• Employing a double-loop U-shaped heat recovery system that

• Adopting an air recirculation system to optimize the proportion of fresh
air.

simultaneously recovers the cooling capacity of the exhaust side and therear sides of the cooling coil.

• Adopting a Building Management System (BMS) for better control ofenergy consumption for heating, ventilation and air-conditioning.
• Setting an optimal indoor temperature that prevents wasting electricity
on air-conditioning.
Annual GHG emissions reduction 1,694 tCO2e

Renewable Energy• Deploying a photovoltaic system.
• Purchasing renewable energy.

Annual GHG emissions reduction 6,667 tCO2e

Annual GHG emissions reduction 346 tCO2e

Reuse of Steam• Re-using steam condensates for exchanging heat with water supply andreplenishing water in the cooling tower.

Lighting• Using Light Emitting Diode (LED) light sources for lighting fixtures.
• Installing sensor lights.

• Using biofuels to replace fossil fuels• Using compressed air to reduce humidity and steam usage.

• Keeping the lights off in non-working areas.

Annual GHG emissions reduction 876 tCO2e

Annual GHG emissions reduction 865 tCO2e

Annual GHG emissions reduction 230 tCO2e

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Energy Saving and Carbon Reduction
Whitepaper
The Company proactively promotes theimplementation of energy-saving and carbonreducing initiatives during our daily operations. In
2023, the Company released the Energy Saving andCarbon Reduction Whitepaper to further encourage
all our global sites to explore the potential forenergy saving and carbon reduction. The whitepaper
systematically outlines our strategy and roadmap
on climate change actions — taking stock of theenergy-saving and carbon-reduction projects fromall operation sites within the Company — to further
intensify our decarbonization efforts and reaffirm ourcommitment on our journey to net zero.

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Decarbonizing Our Value Chain
Reducing GHG emissions from our value chain
is an integral part of the Company’s strategy toaccelerate decarbonization in the industry and drive
positive changes through proactive engagementwith our key stakeholders — suppliers, clients andemployees.

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We are highly aware that collective efforts along
our supply chain are required for tackling climatechange. To enhance climate resilience and minimize
our environmental footprints, we have incorporated
climate change-related requirements in our
procurement process covering all our suppliers,
and we prioritize the purchase of low-carbon andenvironmental-friendly products. We educate

Suppliers
As the climate performance of our suppliers is
crucial to the performance of our Scope 3 GHG

our suppliers on climate change and emission
reduction, and encourage them to incorporate bestpractices into their operations.

emissions, we are dedicated to promoting wider
cooperation with our key suppliers to achieve
GHG reduction in the value chain. We engage
with our suppliers through risk assessment, audits,
incentive programs, training and education, andhave established effective remedial action plans toimprove their sustainability performance.

Optimization of Warehouse Shipment andInventory Management at Suzhou Site
In 2023, our Suzhou site optimized the shipment
and inventory management processes throughKaizen, redefining the material storage strategy
for three warehouses. This involves implementing
measures such as centralized allocation,
Electronic-Kanban information sharing, and theestablishment of new replenishment rules. These
actions reduce transport frequency and labor
hours, achieving coordination among the three

GOVERNANCE

warehouses. As a result, it optimized the warehouse

STRATEGY

storage space, and significantly reduced diesel

RISK MANAGEMENT

usage by 2,189 liters and the consequent GHG

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emissions from upstream transportation by 5.8
tCO2e in 2023.

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Clients

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Substitute

WuXi Biologics continuous to foster transparency
and regular communication with our clients on

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Shifting our energy mix to renewable sources isGreen Commuting

climate-related issues. Collaboration and innovation

crucial for our decarbonization strategy, and wecontinually explore opportunities for generatingwith clients allow us to better understand their

We have implemented a number of initiatives toand purchasing more renewable energy. We

concerns and requirements.

empower our staff to travel in an eco-friendly way:encourage all our operations to expand their use of• Reducing dependence on private cars by offering

renewable energy, to replace energy sources with

128 electric shuttle buses for daily commuting.

green alternatives when possible — such as green

In 2023, based on pre-defined criteria, we identified
key clients who were likely to be the most impactfulregarding our Scope 3 emissions. We conducted
regular engagement with these clients via• Providing 225 electric vehicle chargers for
employees.

electricity, photovoltaic power, and wind power —and reduce the use of fossil fuels.

• Encouraging staff to use business taxis that are

one-on-one meetings, workshops and visits, email

electric vehicles. In China, 80% of business taxis

In step with WuXi Biologics’ commitment toand online communications to ensure transparent

taken by our employees are e-cars.

increasing the use of renewable energy, somedisclosure, open dialogue, and collaboration onsites are actively experimenting with new energy

decarbonization.

sources. For example, our Dundalk, Ireland site gets
100% of its power supply from renewable energy.

Employees
We raise awareness for our employees throughtraining programs and communications, driving
positive behavior that contributes to a reduction in
Scope 3. In particular, we actively encourage andpromote environment-friendly business travel.

Further advancing our renewable energy journey,
a number of PV power installation projects, among
other improvements, were completed recently at
the Wuxi site, the Shanghai site, the Ireland site,and several other operational sites. In 2023, weconsumed 2,797,037 kWh of renewable electricity
through the use of decentralized or embedded site
renewables.
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In accordance with WuXi Biologics’ Climate Change
Policy , carbon removal and verified carbon offsets
form part of our strategy. We are dedicated tosupporting nature-based solutions and otheremerging carbon offset technologies, and focusing
our efforts on carbon credit purchasing, and carbon
capture and storage.
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Performance andMetrics

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In this report, we disclosure Scope 1 GHG emissions25, Scope 2 GHG emissions26 and part of Scop 3 GHG emission27 (refer to Appendix I for details). All data, including GHG
emissions and energy consumptions, are verified by an independent and accredited third party.
In 2023, our GHG emissions intensity (Scope 1 and Scope 2) decreased by 29% compared with the baseline year 2020.
Climate change is, and will continue to be, a defining issue for our business and for the world. We will strengthen our efforts to decarbonize our business through suchactions as improving energy efficiency, reducing energy waste, increasing the use of renewable energy and offsetting carbon, and will make periodic reports regarding ourprogress.

29%

decrease in Scope 1 and Scope 2 GHG emission
intensity compared with the baseline year 2020

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Environment
Protection

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The Big Picture
We believe that business growth should not come at the expense of the environment.
In addition to compliance with applicable environmental laws and regulations, we
continually improve our environmental management system, aiming to minimize ourenvironmental impact through effective waste management and discharge control in
our operations while protecting valuable resources.
We prioritize proper waste disposal and pollutant management, and constantly seek
to identify waste reduction and recycling opportunities. Furthermore, WuXi Biologics
places a high value on the protection of water resources and the economical use of
packaging materials. We strive to set targets for water use, emissions, and waste
reduction that will lead us to take prompt action in reducing environmental impacts,and empower energy and resource saving initiatives.

ENVIRONMENTAL MANAGEMENTWASTE AND DISCHARGE CONTROLRESOURCE MANAGEMENT

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Environmental
Management
Why It Matters
A robust Environmental Management System (EMS)
is indispensable to WuXi Biologics’ sustainability
strategy. We recognize that by integrating asound EMS into all aspects of our business, we
can coordinate our plans for overall resource
conservation and waste reduction, which helps
further improve our environmental compliance andreduce operating impacts on the environment.

Certifications and Awards
ISO 14001 Certification

Leading Green Development Enterprise of Jiangsu
Province by the Department of Ecology andEnvironment of Jiangsu Province

Water-Saving Corporation of Jiangsu Province by theWater Resource Department of Jiangsu Province

Water-Saving Corporation of Shanghai Municipality
by the Shanghai Municipal Commission of Economy
and Informatization and Shanghai Water Authority

Environmental Protection Demonstration Enterpriseby the Bureau of Ecology and Environment of Wuxi
City

Clean Production Enterprise by the Bureau of Ecology
and Environment of Wuxi Xinwu District

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WuXi Biologics has established, implemented,

Our Board of Directors undertakes the overall

our environmental management framework andresponsibility for the Company’s environmental
management strategy, oversees theimplementation of relevant environmental policies,
and monitors the progress and improvement of ourenvironmental performance. The Environmental
Health & Safety (EHS) Department is responsiblefor instructing other departments regarding theimplementation of environmental management
initiatives, and for monitoring and recording
environmental performance in daily operations.
All employees — from entry-level to senior
management — are actively engaged in allenvironmental efforts, and contributing in facility
design, construction and operation. We link key
environmental performance indicators to theperformance reviews of all employees, and any
inappropriate behaviors — such as non-complianceof regulations-can negatively affect the result.

and maintained a global EHS policy clarifying
environmental commitments, which applies to all
our business and employees. Our WuXi Biologics
EHS Policy and WuXi Biologics EHS Standards
provide the guiding principles for environmental
management, including for key issues such as
emergency response, contractor management,
air emission management, water and wastewater
management, waste management, EHS by
design and management of change, and noise
management. We integrate EHS into our overallbusiness strategy throughout operations, products
and services, distribution and logistics, due
diligence, and mergers and acquisitions.

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Through these comprehensive environmental

In 2023, we complied with all environmental

management policies and standards, we ensurelaws and regulations of the jurisdictions in which

our compliance with all applicable EHS laws andwe operate, and we had no reported external

regulations, as well as company EHS standards

environmental pollution incidents or environmental

and industry practices in all operational activities.

penalties.

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Our Approach
Environmental Management System
WuXi Biologics has in place a reliable, effective, andresponsible environmental management system

To further ensure our compliance, we regularlythat was developed according to the latest ISO

conduct environmental compliance assessments.

14001 standard. It covers all countries and regions

When there are new or updated environmental

where we operate, and governs our operations andlaws and regulations, we determine whether

sustainability efforts. Following the requirements ofthey apply to us and update our EHS law andour EMS, the Company manages the environmental

regulation list in a timely manner. We set up

elements of its operation, identifying products,

quantitative environmental targets and objectives,

activities and services that have significant impacts

manage environmental risks effectively, andon the environment. We are committed to reducing

use management systems to identify hazards,

the generation of pollutants while complying withestablish prioritization and action plans,

local laws and regulations for waste and emissions.

and drive environmental performance into

In our environmental management procedures, we

continual improvement. Our policies are publicly

define the responsibility of related departments incommunicated with the purpose of showing

managing solid waste, wastewater, air emissions andcommitment to our employees and fostering anoise, as well as the principles of such management.

transparent dialogue with internal and external

Independent third-party inspections and audits on

stakeholders regarding our environmental efforts

environmental performance are conducted regularly

and progress.

and recorded for further compliance on waste anddischarge management. We also conduct regularmonitoring of air emissions, wastewater discharge,
and boundary noise emissions to ensure compliancewith applicable standards. In addition, we havedeveloped contingency plans for environmental
emergencies, and have made relevant arrangements

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ISO 14001 Certificate

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certification4, and a series of environmental internal
policies were established in accordance with ISO
14001.
For new sites and extensions of existing sites, as wellas sites added from acquisitions, we ensure strict
compliance with the “Three Simultaneities” principle
and identify significant environmental impacts inaccordance with local laws and regulations. At theearly stage of mergers and acquisitions, our EHS
team comprehensively assesses the environmental,
health and safety risks of the project by conducting
on-site inspections, hiring a third party to assess
for soil and groundwater contamination, andproviding the Company with EHS risk management
recommendations. The EHS team is also involved at
a project’s designing stage to evaluate and monitor
environmental risks. We conduct environmental
impact assessments and get approval by authorities
before project implementation. Continuing
its oversight and following our management
framework, the EHS team organizes environmental
risk assessments at least once a year to identify
and record environmental risks of our operations —according to the “Environmental Impact Checklists”— and formulates targeted measures. In 2023,
environmental risk assessments were conducted at
all our sites.

for responding to environmental pollution accidents
with the aim of eliminating adverse environmental
impacts. Additionally, we obtained ISO 14001

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100%of employees who received environmental training
courses100%

of sites which an environmental risk assessment has
been conducted

EHS Training

years. In 2023, WuXi Biologics conducted its annual

To help our employees understand the impact ofcompliant management of all chemicals used at ourinternal EHS audits, covering all operational sites,

their work activities on the environment and raise

operation sites. We have implemented a chemical

based on our environmental management system.

their awareness of environmental protection, ourthe Globally Harmonized System of Classification

In addition, external audits are conducted instaff, senior managers and executives, coveringand Labelling of Chemicals (GHS), as well as andrelevant local standards, such as the Inventory of
Existing Chemical Substances in China (IECSC).
In 2023, to streamline the management of Safety
Data Sheets (SDS) for our chemicals and products,
we introduced an SDS management platformthat facilitates transparent and efficient sharingof SDS resources and generates chemical labels
compliant with GHS requirements. By centralizing
SDS access and eliminating the need for separate
requests from suppliers, as well as maintaining SDS
libraries at individual sites, the platform enables us
to enhance the operational efficiency, reduce laborcosts, and mitigate environmental compliance risks.

accordance with the ISO 14001 standard at least

such topics as environmental management,

once a year. We actively encourage internal

environmental compliance, hazardous substancesand external communications on environmental

management, water efficiency management

management issues and welcome remote andprograms, and waste classification and reduction.

onsite visits from clients and governmental

We conduct specific training for the EHS team at all

officials. In 2023, sites visited by our clients andof our sites on the latest updates of environmental

their audit officers were highly praised for our EHS

laws and regulations. Furthermore, we organize

management system. All audits reported no critical

drills of simulated environmental emergencies tofinding of policy or procedural breaches.

improve staff’s emergency response capabilities.

regulations, implementation of environmental
management procedures, and risk management
measures. Internal audits on EHS procedures andWuXi Biologics (Cayman) Inc.
Environmental, Social and Governance Report 2023

EHS team organizes regular training for generalclassification and labelling system in alignment with— for compliance with environmental laws and102

APPENDIX

regulations conducted at least once every threeoperational sites — through internal EHS audits

RESOURCE MANAGEMENTGREENING OUR
BUSINESS

WuXi Biologics endeavors to ensure the safe andWe monitor our environmental performance at all

WASTE AND DISCHARGE CONTROLGIVING BACK TO
SOCIETY

Chemical Management

Internal and External Audits

ENVIRONMENTAL MANAGEMENTENHANCING
GOVERNANCE

implementation of key EHS risk management
measures are conducted at least once a year,with audits on compliance with EHS laws andIn 2023, all of our employees participated in andWe take corrective and preventive actions if any

completed the environmental training courses.

issues arise, aiming for further improvement andcontinual compliance. A corrective action plan

In addition to raising the awareness andand preventive action plan are developed oncecompetence of our employees through training,

incidents happen, and presented in a management

we also encourage internal communications onreview meeting if it requires adjustments toenvironmental management issues through a series

our environmental management system. Theof activities, such as our “2023 Environmental

management review meeting is organized andSustainability Workshop”, which shares best

attended by top management and conducted atpractices from different sites and departments onleast once a year, where EHS policies, targets,environmental protection and reduction of carbon,

and management initiatives are discussed andwaste and water usage.

adjustments are made to the environmental
management system as needed to align with ourcommitment to continual improvement.

CONTENTS

Waste and
Discharge Control
Why It Matters
WuXi Biologics strives to reduce the amount of

ENHANCING
GOVERNANCE

WuXi Biologics has set up waste management programs to continuously identify areas where waste

WuXi Biologics strictly supervises the collection,

performance can be improved, and we take proactive actions to minimize waste generation, by mobilizingclassification, storage, and transfer of different

resources on initiatives that work towards waste reduction at all our operational sites and lead to a decrease inkinds of waste to prevent environmental pollution

the total waste to landfill. We spare no effort to explore environmental-friendly waste management practices

and maintain compliance. We are committed toand have adopted a systematic approach to waste reduction:

regularly monitoring and analyzing our waste
streams, and to reducing both hazardous and non-MeasureMeasurefurther compliance. In 2023, all waste and discharge
were compliant and no cases of pollutant discharge
exceeded regulatory limits or violated relevant
industrial standards.

APPENDIX

Waste Management

and waste gas emissions. We have developedon waste management and discharge control to

GREENING OUR
BUSINESS

Our Approachhazardous and non-hazardous waste, wastewater,
specific internal policies and auditing procedures

GIVING BACK TO
SOCIETY•

Map waste streams for all operational sites and identify main source.

•

Establish baseline and target set-up for mature sites.

Avoid
Avoid

ReduceRecycle•Operate own waste/wastewater treatment facilities if possible.

•

Work with suppliers to eliminate non-recyclable packaging.

Reduce•Achieve waste reduction via technical/process/behavior transition.

•

Integrate material reduction and waste-related indicators into WBS.

Recycle•Select waste suppliers/partners based on sustainability performance.

•

Employ internal reuse system for consumables and packaging.

hazardous waste in a targeted manner. In 2023, westayed on track to reach our waste reduction target
on both hazardous and non-hazardous waste.
Our Measures
To ensure waste is properly managed and to
reduce our environmental impact, the Company’s
hazardous and non-hazardous waste are
separated, collected on the site of generation,and disposed of through qualified third-party
waste management companies in accordance with
our polices and all applicable legal requirements.
In 2023, the Company — through an internal
environmental database — continually measured
and monitored both hazardous and non-hazardous
waste generation volumes and disposal methods.

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CONTENTS

100%

of waste treatment compliant

100%

of wastewater treatment compliant

WuXi Biologics is committed to reducing theand storage bags. All biohazardous waste is final

intensity of waste — including hazardous and non-domestic waste and general industrial solids. Once

disposed of by qualified third parties. To improve

hazardous waste — by 10% (tonnes/RMB10,000)

the waste has been collected and classified as non-our hazardous waste handling capacity and ensure

by 2027 from the base year 2022 as one of ourhazardous waste, it is stored in a proper place tothe compliant disposal of hazardous waste, wesustainable development targets. To meet thisprevent it from polluting land and soil, before it

conduct hazardous waste training for all employees

target, we are proactively developing innovativeis transferred to a garbage recycling station forand contractors entering the site.

and impactful waste reduction opportunities. Our

centralized collection and disposal.
Hazardous Waste
Hazardous waste is produced mainly from R&D

requirements regarding storing, segregating,labelling and documenting hazardous waste, andmeet stringent requirements for decontaminating
biohazardous waste prior to final disposal. All
hazardous waste is classified into different
categories based on their properties before
being stored temporally in a warehouse, and aregistration form must be completed before thetransfer. Additionally, hazardous waste labels incompliance with local regulatory requirements

104

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Environmental, Social and Governance Report 2023

APPENDIX

are required to be put on all waste containers

We follow local environmental regulations and

RESOURCE MANAGEMENTGREENING OUR
BUSINESS

Non-hazardous waste includes office waste,liquid, consumables, and waste activated carbon.

WASTE AND DISCHARGE CONTROLGIVING BACK TO
SOCIETY

Non-hazardous Waste

processes and manufacturing, and includes

ENVIRONMENTAL MANAGEMENTENHANCING
GOVERNANCE

EHS Department is in charge of developing andWe perform EHS audits of all our hazardous waste

improving the management plan for hazardous

vendors for compliance. A database of hazardous

waste and developing initiatives that will help

waste suppliers established in 2021 has been

reduce hazardous waste and its perniciousness.

continually optimized to allow comprehensive
evaluations of our suppliers. In 2023, we conducted
an on-site assessment of our hazardous waste
vendors. The assessment included the status of the
suppliers’ environmental evaluation documents,
discharge permits, ledgers, environmental penalty
records, environmental treatment facilities,
employee training, and security. Sites located in thesame region share information on waste disposal
suppliers, and set up backups to mitigate theimpact of an emergency or the unavailability of asingle supplier.

Optimization of Raw Material Usage for
Traditional Fed-batch Manufacturing
While also achieving cost-reduction goals, thisproject aims to reduce the usage of chemicals,
increase the membrane loads, and consolidate
the reuse of collection and storage bags. These
initiatives resulted in an annual reduction ofwaste generation by 1.41 tonnes and a reductionof water usage by 1.26 tonnes from rinsing,disinfection, and other steps.

CONTENTS

ENHANCING
GOVERNANCE

GIVING BACK TO
SOCIETY

GREENING OUR
BUSINESSAPPENDIX

In 2023, we have implemented a variety of
initiatives to reduce hazardous waste andStandardization of Membrane Usage
Initiative at Shanghai Site

Harvest Process Optimization for
Bioreactors

The Shanghai site analyzed its raw materials

This Kaizen project successfully reduced thecosts and identified cost-saving opportunities fornumber of harvests in a 3L bioreactor by 45% in

membrane usage. They developed an initiative

the product development phase, which not onlythat aims to reduce material usage and waste

reduced operation time and material consumption,

volume by using a standardized approach,but also helped save water resources and decrease

waste; optimizing storage tank designs toincluding improvement of the development loadwastewater discharge and electricity consumption.

enhance utilization; and implementing recyclingof Ultrafiltration/Diafiltration (UF/DF) membrane,

For harvested 3L bioreactors, we utilized the Failure

practices for packaging materials.

reduction of the safety margin of production

Mode and Effect Analysis (FMEA) approach tomembrane, and optimization of both the operating

conduct a thorough risk assessment and simplify

process and the delivery sample strategy. The

operational steps. Additionally, we reused filters

initiative resulted in an annual reduction in material

to further reduce solid waste generation. These

usage by 13.83 tonnes, waste by 15.1 tonnes andmeasures resulted in an annual reduction ofwater usage by 1.27 tonnes.

electricity consumption by 18,600 kWh, waste

optimize waste management across all of ouroperational sites. These programs, which involved
collaborative efforts from various departments,
included constructing new wastewater treatment
stations; improving wastewater treatment
processes to reduce hazardous waste volumes;
allocating R&D resources and adopting flexible
methods for solution preparation to minimize

Process Optimization to Reduce Hazardous
Waste Generation
WuXi Biologics continues to take the initiative in

generation by 5.13 tonnes, and water usage by 5.04

reducing hazardous waste generation throughtonnes.

technical upgrade and process optimization. In
2023, the Wuxi site undertook a risk management
analysis and upgraded its GMP process, which
resulted in reduced turnaround time and more
efficient manufacturing. The upgrade further
decreased our consumptions of consumables by 23
tonnes per year and the discharge of flushing waste
liquid by 1,932 tonnes per year.
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Water Discharge Management

Our Measures

Wastewater generated by office and other non-

WuXi Biologics attaches great importance to

All of the Company’s wastewater is first collected

it is discharged to the industrial park or municipal

wastewater management and wastewater quality

in tanks or reservoirs and treated in our internal

improvement, and we strictly abide by laws,

wastewater treatment facilities. It is then tested

regulations, and standards of wastewater treatment

according to local permits before being discharged

in all countries and regions where we operate.

into the industrial park or municipal sewage system,
to prevent its polluting the environment, soil orgroundwater. In addition, we have implemented amonitoring system that detects abnormalities —such as Ammonia Nitrogen and Chemical Oxygen
Demand (COD) — to ensure that wastewater isdischarged only after reaching standard allowablelevels. The system alerts the responsible personnel
in a timely manner when abnormalities are
identified, and immediate corrective actions aretaken to ensure we remain in compliance.

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Environmental, Social and Governance Report 2023

GIVING BACK TO
SOCIETY

GREENING OUR
BUSINESSAPPENDIX

laboratory operations is collected separately before

2023 Wastewater Management Programs

station for further treatment. Sludge generated
from the treatment is dehydrated and transported

WuXi Biologics strives to reduce wastewaterto qualified third party disposal plant.

discharge and improve wastewater quality byadopting a waste reduction approach to map andInternal inspections are carried out periodicallyevaluate wastewater streams across all operational

as required by local environmental law andsites. In 2023, several initiatives were undertaken

regulation requirements. For a further check on

to reduce our wastewater discharge and improve

compliance, we engage third-party institutions towastewater quality, including the construction ofregularly monitor the quality of wastewater that is

new wastewater treatment facilities (informed bydischarged. Based on the results of our monitoring

the evaluation of wastewater streams), technicaland inspection systems, all our wastewater

enhancements to existing wastewater treatment

discharge has proven compliant.

facilities, and the implementation of advanced
treatment processes to improve efficiency andmitigate environmental risks.

CONTENTS

Air Emission Management

Our Measures

In addition to the importance we place on reducing

WuXi Biologics makes proactive efforts to control

the emission of greenhouse gases, we are highly

and reduce air emissions through continuous

aware that the management of non-GHG emissions

investment and technical improvement of our– such as soot/Particulate Matters, NOx, and SOx

emission control equipment at emission points.

– is also important to our operations and to the

We take the initiative and continue to implement

environment. We require all our facilities to havehigh-efficiency filters and activated carbon in ourstrong air emission management programs in placesites to reduce non-GHG emissions and preventand to take any and all necessary steps to reduce

air pollutants from entering the environment. In

non-GHG emissions and ensure environmental

addition, we engaged a third-party institution

protection.

that regularly monitors and audits emission

ENHANCING
GOVERNANCE

GIVING BACK TO
SOCIETY

GREENING OUR
BUSINESSAPPENDIX

2023 Air Emission Reduction Programs
To protect the environment and ensure our compliance on air emissions, we consistently review our air
emission treatment facilities and in 2023 implemented a number of initiatives, including: constructing new
air emission treatment facilities; adding technical enhancements to existing air emission treatment facilities;
and installing an additional activated carbon treatment system for laboratory exhaust gas to enhancetreatment efficiency and reduce non-GHG emissions into the atmosphere. For example, at our Suzhou site,
the installation of an additional set of activated carbon treatment units to treat exhausts from laboratories
enhanced the treatment efficiency by 80%.

concentrations to ensure ongoing compliance. To
reduce overall air pollutant emissions, our sites
continued to refine their machinery and improve air
emission treatment methods in 2023.
In 2023, we implemented a variety of initiatives
to reduce non-GHG emissions across all of ouroperational sites.

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Resource
Management
Why It Matters
Natural resources and other materials are essential
to the existence of human beings, and are
indispensable in medical research, development
and production. We protect the environment andpursue sustainability by operating responsibly,
reducing our adverse environmental impacts
through efficient, circular use of water andpackaging materials to ensure responsible
production and disposal.

WuXi Biologics has set up water efficiency management programs to conduct water use assessments that

operations, including for washing, cleaning andidentify opportunities for water efficiency improvements, and lead to proactive actions for reducing water

sanitization, and as a product ingredient. Water

consumption and improving wastewater quality. We also actively carry out water recycling initiatives and hold

we use for operations comes from municipal water

water-use awareness trainings for employees. We spare no effort to explore environmental-friendly water

systems, and a small amount for irrigation andmanagement practices and adopted a systematic approach to water reduction:road cleaning comes from harvested rainwater.
We provide all employees with safe drinking-Measurewater, sanitation and hygiene, and we also work
continuously to reduce water usage. Our sites
actively participate in local water-saving initiatives

Measurewhere we operate. For example, our Wuxi site andinitiative of water-saving enterprises establishment,

WuXi Biologics (Cayman) Inc.
Environmental, Social and Governance Report 2023•

Annually assess water-related risk for all operational sites.

•

Establish baseline and target set-up for mature sites.

Avoid

Shanghai site participate in their local community’s

Avoid

and have been recognized as a “Water-saving
Corporation” by the local water management

ReduceRecycle108

APPENDIX

Water is used for various purposes across our daily

campus to carry out water-saving projects.

RESOURCE MANAGEMENTGREENING OUR
BUSINESS

Our Approachother companies operating at the same industry

WASTE AND DISCHARGE CONTROLGIVING BACK TO
SOCIETY

Water Resource Management

agencies. Our Shanghai site is cooperating with

ENVIRONMENTAL MANAGEMENTENHANCING
GOVERNANCE•

Ensure every new site will be the best ESG site — Water Saving Design.

•

Adopt less water-intensive production techniques, such as SUT.

Reduce•Achieve water saving via technical/process/behavior transition.

•

Integrate water-related indicators into WBS.

Recycle•Promote water recycling including reclaimed or condensed water.

•

Capture rainwater and reuse where possible.

CONTENTS

23%

reduction in water consumption intensity since
2019

Water Target
Achieved
Ahead of schedule

Our Targets
Having achieved our water consumption intensity
reduction target ahead of schedule, we haveactively upgraded the target from 18% to 30%
by the year 2025 from the base year 2019.
This reaffirmed our commitment to good water
stewardship — improving our water efficiency
performance and minimizing our reliance andimpact on water resources — and we arecommitted to implementing Water Excellence
Stewardship (WES) at our priority sites by 2027.
In line with our targets, we formulated a water
consumption reduction plan, and continuallymonitor water consumption performance and ourprogress towards the targets.

ENHANCING
GOVERNANCE

Our Measures
Water-Stress Assessment
Before beginning a new project, WuXi Biologics
conducts a water-stress assessment at thepotential site to evaluate water scarcity andwater-related risks and opportunities — including
physical, regulatory and reputational — anddevelops a site-specific water management plan
based on the assessment result. During operations,
we conduct regular water risk assessments andscenario analysis within our direct operations
and other stages of the value chain. We dedicate
financial expenditure for costs associated withwater-related risks — including Investment in R&D
and facility upgrades to mitigate water-related risks
and we strive to reduce our own water use as well
as safeguard water resources in the regions where
we operate.

GIVING BACK TO
SOCIETY

GREENING OUR
BUSINESSAPPENDIX

Reducing and Recycling water
We focus our efforts on reducing our water
consumption at the source, and maximize theuse of recycled water in manufacturing processes
across all sites. To optimize the utilization of water
resources, we establish and operate water recycling
facilities that can adjust water balance and recycle
water between facilities with different water needs,
and we use reclaimed and pre-treated water toreplenish a cooling tower, and for irrigation androad cleaning. We also engage with our value chain
on water-reduction issues.
Technology Optimization
We seek innovative solutions to enhance thewater efficiency of our equipment and process.
To support the Company’s green development
and save water resources, our sites actively
adopt rainwater harvesting technology to meetthe demand for facility grounds’ irrigation. As an
example, our Shanghai site saved 629 tonnes ofwater in 2023.

ENVIRONMENTAL MANAGEMENTWASTE AND DISCHARGE CONTROLRESOURCE MANAGEMENT

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CONTENTS

will successfully meet our updated targets. In 2023,
WuXi Biologics had no incidents of non-compliancewith water quality or quantity permits, standards orregulations.

Optimization of Filter Usage and Integrity
Testing Strategy at Wuxi Site
This initiative aims to optimize the usage and integrity
testing strategy of filters in the raw material area of
our Wuxi site. Encompassing regulatory requirements,
it aimed to apply scientific risk assessment methods

Digital Management System for Flexible
Water Use at Shanghai site

to evaluate key risk-control points of different
filters in equipment and processes. Through thecollaborative efforts of the team members, a risk-

In 2023, our Shanghai site adopted a digital

based strategy for filter replacement and integrity

management system for flexible water use.

testing was ultimately formulated. Additionally, theThe system enabled site operations to provide

integrity assurance of filters was moved from post-intermittent and real-time water supply to betterusage testing to pre-usage testing, contributing tosatisfy water needs from the demand side. It issignificant ESG improvements. It is estimated 851

estimated that 1,682 tonnes of steam, 431 MWh

tonnes of water was saved annually through thisof electricity, and a total of 13,600 tonnes of water

initiative.

can be saved per year through the use of the digitalmanagement system.

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SOCIETY

GREENING OUR
BUSINESSAPPENDIX

Packaging Optimization

We will continue to make a concerted effort in thearea of water conservation and are confident we

ENHANCING
GOVERNANCE

The 3R concept (Reduce, Reuse, Recycle) is becoming more important in all phases of product lifecycles — fromdevelopment and production to use and final disposal. WuXi Biologics directly and indirectly uses various typesof packaging materials in our manufacturing and transporting processes. We carefully consider the impact ofour products on the environment through all stages of their lifecycles.

Our Approach
We make great effort to use more recyclable, reusable or industrially compostable materials while also reducing
the use of plastic and working on better packaging solutions. The main types of packaging used for our clients’finished drug products are medicine bottles/vials, rubber stoppers/plugs, aluminum caps, labels, honeycomb
covers and carton boxes. To prevent the waste of packaging materials and lessen the use of excessive andunneeded packaging, we work with suppliers to eliminate non-recyclable packaging, and we reduce the useof materials by managing the source of product packaging and streamlining the manufacturing process. We
also actively seek out new packaging materials that are made from sustainable components — 100% of ourpaper packaging for drug products are Forest Stewardship Council (FSC) certified — while ensuring they are of
the same or even better quality. We classify left-over packaging materials and reuse them internally for otherpurposes when possible. If they cannot be used internally, we cooperate with qualified third-party agencies tomaximize the recycling or reuse of packaging materials.

CONTENTS

Appendix I
Key Performance
Indicators

ENHANCING
GOVERNANCE

GIVING BACK TO
SOCIETY

GREENING OUR
BUSINESS

2021

2022

APPENDIX

Environmental performance indicators
Type

Unit

2020

2023

Energy indicators
Direct energy consumption — Gasoline

Liters—12,974

10,76452,203

Direct energy consumption — Diesel fuelLiters—60,314

16,47036,350

Direct energy consumption — Natural gas

m3

5,665,031

10,575,955

11,875,465

10,432,418

Indirect energy consumption — Purchased electricity

kWh81,128,859

145,487,253

166,417,679

173,378,300

Indirect energy consumption — Purchased steam

GJ—

62,708108,021

187,216

Total energy consumption29

MWh—278,070

325,195

332,191

Integrated energy consumption intensity

MWh/10,000RMB

—

0.270

0.213

0.195

Energy consumption indicators

28

Greenhouse gas emissions indicators
Scope 1 Emissions

tCO2e

11,042

29,91733,762

32,687

Scope 1 Emissions Intensity

tCO2e/10,000RMB

0.020

0.029

0.022

0.019

Scope 2 Emissions30

tCO2e74,361

114,292

136,067

149,229

Scope 2 Emissions Intensity

tCO2e/10,000RMB

0.132

0.111

0.089

0.088

Totals（Scope 1 + Scope 2)tCO2e85,403

144,209

169,829

181,916

Total Emission Intensity（Scope 1 + Scope 2)

tCO2e/10,000RMB

0.152

0.140

0.111

0.107

Scope 3 Emissions — Fuel and energy-related activities

tCO2e

—

—

—

35,385.14

Scope 3 Emissions — Upstream transportation and distribution

tCO2e

—

—

2,431.75

2,251.28

Scope 3 Emissions — Waste generated in operations

tCO2e

—

—

2,944.18

5,040.10

Scope 3 Emissions — Business travel

tCO2e

—

—

—

2,101.23

Scope 3 Emissions — Employee commuting

tCO2e

—

—

20,40019,654.27

Scope 3 Emissions — Downstream transportation and distribution

tCO2e

—

—

1,169.96

1,031.75

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CONTENTS

Appendix I
Key Performance
Indicators(Cont.)

ENHANCING
GOVERNANCE

GIVING BACK TO
SOCIETY

GREENING OUR
BUSINESSAPPENDIX

2020

2021

2022

2023

Environmental performance indicators
Type

Unit

Waste indicators
Hazardous waste produced volume

tonnes1,626.78

3,021.99

3,337.11

2,852.50

Hazardous waste treatment — Landfilled

tonnes000.00680.05

Hazardous waste treatment — Incinerated with energy recovery

tonnes318.32

1,144.43

2,866.50

1,839.30

Hazardous waste treatment — Incinerated without energy recovery tonnes

956.31

1,774.60

438.69917.95

Hazardous waste treatment — Recycled/Reused

163.80

0

6.32

54.60

Hazardous waste treatment — Other treatments
Hazardous waste Intensity
Non-hazardous waste produced volume

tonnestonnes

188.35102.96

25.59

40.60

tonnes/10,000RMB

0.00290.00290.00220.0017

tonnes2,107.31

2,687.07

2,671.93

2,962.67

Non-hazardous waste treatment — Landfilled

tonnes

0

0

12.00

39.11

Non-hazardous waste treatment — Incinerated with energy
recovery

tonnes1,287.66

1,384.68

2,317.19

2,488.83

Non-hazardous waste treatment — Incinerated without energy
recovery

tonnes

10.05

57.42

42.32

268.34Non-hazardous waste treatment — Recycled/Reused

tonnes

38.54

51.69

171.42160.04Non-hazardous waste treatment — Biological treatment

tonnes

0

0

25.00

6.35

Non-hazardous waste treatment — Other treatments

tonnes

771.06

1,193.28

104.000tonnes/10,000RMB

0.00380.00260.00170.0017

tonnes343,350

765,480

1,410,253

1,657,000

tonnes343,350

765,480

1,396,193

1,629,345

Non-hazardous waste intensity
Water discharge indicators
Total water discharge
Off-site water treatment total discharge31

112

WuXi Biologics (Cayman) Inc.
Environmental, Social and Governance Report 2023

Beneficial/other use total discharge

tonnes00

14,06027,655

Other destination total discharge

tonnes0000

COD discharge

tonnes

——101.91

63.79

NH3-N discharge

tonnes

—

—

6.81

4.02

CONTENTS

Appendix I
Key Performance
Indicators(Cont.)

ENHANCING
GOVERNANCE

GIVING BACK TO
SOCIETY

GREENING OUR
BUSINESS

2022

APPENDIX

Environmental performance indicators
Type

Unit

2020

2021

2023

Exhaust gas indicators
NOx emissions

tonnes

2.66

5.67

3.53

5.04

SOx emissions

tonnes

—

—

0.005

0.018

Soot/Particulate Matters emissions

tonnes

0.02

0.12

0.19

0.26

tonnes935,046

1,500,923

2,108,001

2,373,618

Municipal water supply

tonnes935,046

1,500,923

2,106,456

2,372,989

Harvested rainwater

tonnes

0

0

1,545

629

Water consumption indicators
Total water consumption/withdrawal32

Other sources
Water consumption/withdrawal intensity
Total water recycling

tonnestonnes/10,000RMB

0

0

0

0

1.67

1.46

1.38

1.39

tonnes——

15,605

40,132Harvested rainwater

tonnes

—

—

1,545

629

Condensed water

tonnes———

11,848

Reclaimed water

tonnes——

14,06027,655

Packaging material consumption indicators
Packaging material consumption

kg

23,400126,651

219,325

177,824

Packaging material consumption intensity

kg/10,000RMB

0.042

0.123

0.144

0.104

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Appendix I
Key Performance
Indicators(Cont.)Type

GREENING OUR
BUSINESSAPPENDIX

Unit

2020

2021

2022

2023

Number

6,646

9,864

12,461

12,74033

Personnel employment indicators
Number of employees
Male

Number

2,772

4,236

5,808

5,922

FemaleNumber

3,470

4,865

6,653

6,816

Gender unknown

Number———2

Under 18

Number———0

18 to 30

Number

3,463

4,970

6,546

5,929

30 to 50

Number

2,677

4,003

5,591

6,458

Over 50

Number

102

128

324

353

Full-time employees

Number

6,646

9,864

12,461

12,740Part-time employees

Number

178

161

409

179

Contractors34

Number

—

—

—

78

Senior management

Number

101

191

218

251

Middle management

Number

350

997

1,161

867

Primary management

Number

807

684

927

1,308

General staff

Number

4,984

7,992

10,155

10,314

Asia

Number

——11,217

11,11035

America

Number

—

—

359

411

EuropeMale

WuXi Biologics (Cayman) Inc.
Environmental, Social and Governance Report 2023

GIVING BACK TO
SOCIETY

Social performance indicators

New employees

114

ENHANCING
GOVERNANCE

Number

—

—

885

1,219

Number

—

4,189

3,826

1,688

Number

—

—

1,714

824

FemaleNumber

—

—

2,112

843

Gender unknown

Number———1

CONTENTS

Appendix I
Key Performance
Indicators(Cont.)

ENHANCING
GOVERNANCE

GIVING BACK TO
SOCIETY

GREENING OUR
BUSINESS

2021

2022

APPENDIX

Social performance indicators
Type

Unit

2020

2023

Under 18

Number———0

18 to 30

Number

—

—

2,649

997

30 to 50

Number

—

—

1,098

607

Over 50

Number

—

—

79

64

Average years employed by the Company - Male

Year

—

—

1.9

3.2

Average years employed by the Company - Female

Year

—

—

2.0

3.2

Employee equality and diversity metrics
Total number of employee nationalities

Number

14

16

49

56

Percentage of non-Chinese employees

%

—

—

8.6

9.5

Percentage of non-Chinese employees in all management
positions

%

—

—

14.1

12.4

Percentage of employees from minority ethnic groups

%

—

—

2.3

4.2

Percentage of employees from minority ethnic groups in all
management positions

%

—

—

1.2

3.6

Percentage of employees from minority ethnic group in senior
management

%

—

—

—

2.4

Percentage of female employees in executive management

%

—

—

30

33

Percentage of female employees in senior management

%

—

38

39

39

Percentage of female employees in middle management

%

—

—

46

45

Percentage of female employees in primary management

%

—

—

50

50

Percentage of female employees in management positions inrevenue-generating functions

%

—

—

44

45

Percentage of female employees in STEM-related positions (as% of total STEM positions)

%

—

—

53

53

Percentage of employees with disability

%

—

—

0.8

0.8

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Appendix I
Key Performance
Indicators(Cont.)

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GOVERNANCE

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SOCIETY

GREENING OUR
BUSINESSAPPENDIX

Social performance indicators
Type

Unit

2020

2021

2022

2023

%

—

—

101

101

Average salary comparison between genders
General staff
Primary
management
Middlemanagement
Senior management

Base salary
Base salary

%

—

—

97

97

Base salary + bonus

%

—

—

—

97

Base salary

%

—

—

97

99

Base salary + bonus

%

—

—

—

99

Base salary

%

—

—

87

84

Base salary + bonus

%

—

—

—

84

Employment compliance metrics
Number of reported incidents of discrimination and harassment

Number——00

Number of reported incidents of forced labor or child labor

Number00

0

0Percentage of employees covered by collective bargaining
agreements

%

—

—

32

28

Employee retention metrics
Total employees lost

Number

909

1,249

1,300

1,393

Total employee turnover36

%

14

13

10

11

Male

%

15

13

11

12

Female

%

14

12

10

10

Under 30

%

17

13

10

14

30 to 50

%

11

12

10

8

Over 50

%

14

11

14

14

China

%

14

12

10

11

Outside China

%

6

16

16

14

Number

—

1,500

1,176

953

Internal employee transfers

116

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Appendix I
Key Performance
Indicators(Cont.)

ENHANCING
GOVERNANCE

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SOCIETY

GREENING OUR
BUSINESSAPPENDIX

2020

2021

2022

2023

0

0

0

0

Social performance indicators
Type

Unit

Occupational health and safety indicators
Number of deaths due to work injuries — Employees

NumberNumber of deaths due to work injuries — Contractors

Number00

00

Number of lost work days due to work injuries — Employees

Day

45

32

103

6

Lost-time injury rate — Employees

Times/200,000 working hours

0.038

0.042

0.040

0.009

100

100

100

100

Employee training indicators
Percentage of employees trained

%

Male

%

44

47

47

46

Female

%

56

53

53

54

General staff

%

80

81

82

81

Primary management

%

12

7

7

10

Middle management

%

6

10

9

7

Senior management

%

2

2

2

2

Hours

78

73

72

73

Average number of training hours per full-time employee
Male

Hours

78

73

71

73

Female

Hours

78

73

73

73

General staff

Hours

78

69

72

73

Primary management

Hours

78

69

75

76

Middle management

Hours

77

74

72

70

Senior management

Hours

66

77

57

64

Hours

—

—

—

40

Average number of training hours per part-time employee
Average number of training hours per contractor

Hours

Total investment in training

10,000RMB

—

—

—

13

127

330

1,335

1,601

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Appendix I
Key Performance
Indicators(Cont.)

ENHANCING
GOVERNANCE

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SOCIETY

GREENING OUR
BUSINESSAPPENDIX

Social performance indicators
Type

Unit

2020

2021

2022

2023

Employee volunteering hours

Hours

—

3,192

5,996

8,017

Times of volunteer participation

Person-times

—

798

1,371

1,907

2020

2021

2022

2023

—

3,419

2,884

2,962

Social contribution indicators

Governance performance indicators
Type

Unit

Supplier Distribution
Total number of suppliers

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Companies

Number of suppliers in Asia

Companies

—

3,079

1,468

1,423

Asian supplier distribution by purchase volume

%

—

31

27

38

Number of suppliers in Europe

Companies

—

205

480

1,019

European supplier distribution by purchase volume

%

—

38

38

37

Number of suppliers in America

Companies

—

135

936

520

American supplier distribution by purchase volume

%

—

31

35

25

CONTENTS

Appendix II

GIVING BACK TO
SOCIETY

Subject Areas, Aspects, General Disclosures and KPIs
A.

HKEX
Environmental, Social andGovernance Reporting
Guide Index

ENHANCING
GOVERNANCE

GREENING OUR
BUSINESSAPPENDIX

Index

Environmental

Aspect A1: Emissions

General Disclosure

Information on:(a)the policies; and(b)compliance with relevant laws and regulations that have a significant impact on theissuer relating to air and greenhouse gas emissions, discharges into water and land, andgeneration of hazardous and non-hazardous waste.

Greening Our Business-Climate Change andEnergy Saving
Greening Our Business-Environment Protection
Greening Our Business-Climate Change andEnergy Saving-Performance and Metrics

KPI A1.1

The types of emissions and respective emissions data.

Greening Our Business-Environment
Protection-Waste and Discharge Control
Appendix I: Key Performance Indicators

KPI A1.2

Direct (Scope 1) and energy indirect (Scope 2) greenhouse gas emissions (in tonnes) and, whereappropriate, intensity (e.g. per unit of production volume, per facility).

Greening Our Business-Climate Change andEnergy Saving-Performance and Metrics
Appendix I: Key Performance Indicators

KPI A1.3

Total hazardous waste produced (in tonnes) and, where appropriate, intensity (e.g. per unit ofproduction volume, per facility).

Greening Our Business-Environment
Protection-Waste and Discharge Control
Appendix I: Key Performance Indicators

KPI A1.4

Total non-hazardous waste produced (in tonnes) and, where appropriate, intensity.(e.g. per unitof production volume, per facility).

Greening Our Business-Environment
Protection-Waste and Discharge Control
Appendix I: Key Performance Indicators

KPI A1.5

Description of emissions target(s) set and steps taken to achieve them.

ESG Targets and Progress
Greening Our Business-Environment Protection

KPI A1.6

Description of how hazardous and non-hazardous wastes are handled, and a description of
reduction target(s) set and steps taken to achieve them.

ESG Targets and Progress
Greening Our Business-Environment
Protection-Waste and Discharge Control

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Appendix II

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GOVERNANCE

GIVING BACK TO
SOCIETY

Subject Areas, Aspects, General Disclosures and KPIs

GREENING OUR
BUSINESSAPPENDIX

Index

Aspect A2: Use of Resources

HKEX
Environmental, Social andGovernance Reporting
Guide Index (Cont.)

General Disclosure

Policies on the efficient use of resources, including energy, water and other raw materials.

Greening Our Business-Environment
Protection-Environmental Management

KPI A2.1

Direct and/or indirect energy consumption by type (e.g. electricity, gas or oil) in total (kWh in’000s) and intensity (e.g. per unit of production volume, per facility).

Appendix I: Key Performance Indicators

KPI A2.2

Water consumption in total and intensity (e.g. per unit of production volume, per facility).

Appendix I: Key Performance Indicators

KPI A2.3

Description of energy-use efficiency target(s) set and steps taken to achieve them.

Greening Our Business-Climate Change andEnergy Saving-Risk Management

KPI A2.4

ESG Targets and Progress Greening Our
Description of whether there is any issue in sourcing water that is fit for purpose, water efficiency
Business–Environment Protection-Resource
target(s) set and steps taken to achieve them.
Management

KPI A2.5

Total packaging material used for finished products (in tonnes) and, if applicable, with reference
to per unit produced.

Appendix I: Key Performance Indicators

Aspect A3: The Environment and Natural Resources

General Disclosure

Policies on minimising the issuer’s significant impacts on the environment and natural resources.

Greening Our Business-Climate Change andEnergy Saving
Greening Our Business-Environment Protection

KPI A3.1

Description of the significant impacts of activities on the environment and natural resources andthe actions taken to manage them.

Greening Our Business-Climate Change andEnergy Saving
Greening Our Business-Environment Protection

Aspect A4: Climate Change

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General Disclosure

Policies on identification and mitigation of significant climate-related issues which have impacted, Greening Our Business-Climate Change andand those which may impact, the issuer.
Energy Saving

KPI A4.1

Description of the significant climate-related issues which have impacted, and those which may
impact, the issuer, and the actions taken to manage them.

Greening Our Business-Climate Change andEnergy Saving

CONTENTS

Appendix II

GIVING BACK TO
SOCIETY

Subject Areas, Aspects, General Disclosures and KPIs
B.

HKEX
Environmental, Social andGovernance Reporting
Guide Index (Cont.)

ENHANCING
GOVERNANCE

GREENING OUR
BUSINESSAPPENDIX

Index

SocialEmployment and Labour Practices
Aspect B1: Employment

General Disclosure

Information on:(a)the policies; and(b)compliance with relevant laws and regulations that have a significant impact on the issuer
relating to compensation and dismissal, recruitment and promotion, working hours, rest
periods, equal opportunity, diversity, anti-discrimination, and other benefits and welfare.

KPI B1.1

Total workforce by gender, employment type (for example, full- or part-time), age group andgeographical region.

KPI B1.2

Employee turnover rate by gender, age group and geographical region.

Appendix I: Key Performance Indicators

General Disclosure

Information on:
the policies; and(a)(b)
compliance with relevant laws and regulations that have a significant impact on theissuer relating to providing a safe working environment and protecting employees fromoccupational hazards.

Giving Back to Society-Empowering Our
People-Occupational Health and Safety

KPI B2.1

Number and rate of work-related fatalities occurred in each past three years including the report Giving Back to Society-Empowering Our
year.
People-Occupational Health and Safety

KPI B2.2

Lost days due to work injury.

Appendix I: Key Performance Indicators

KPI B2.3

Description of occupational health and safety measures adopted, and how they are implemented
and monitored.

Giving Back to Society-Empowering Our
People-Occupational Health and Safety

Giving Back to Society-Empowering Our People

Giving Back to Society-Empowering Our
People-Diversity, Equity, and Inclusion (DEI)
Appendix I: Key Performance Indicators

Aspect B2: Health and Safety

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Appendix II

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GOVERNANCE

GIVING BACK TO
SOCIETY

Subject Areas, Aspects, General Disclosures and KPIs

GREENING OUR
BUSINESSAPPENDIX

Index

Aspect B3: Development and Training

HKEX
Environmental, Social andGovernance Reporting
Guide Index (Cont.)

General Disclosure

Policies on improving employees’ knowledge and skills for discharging duties at work. Description Giving Back to Society-Empowering Ourof training activities.
People-Talent Development

KPI B3.1

The percentage of employees trained by gender and employee category.(e.g. senior management,
Appendix I: Key Performance Indicators
middle management).

KPI B3.2

The average training hours completed per employee by gender and employee category.

Appendix I: Key Performance Indicators

General Disclosure

Information on:(a)the policies; and(b)compliance with relevant laws and regulations that have a significant impact on the issuer
relating to preventing child and forced labour.

Giving Back to Society-Empowering Our
People-Employment Compliance

KPI B4.1

Description of measures to review employment practices to avoid child and forced labour.

Giving Back to Society-Empowering Our
People-Employment Compliance

KPI B4.2

Description of steps taken to eliminate such practices when discovered.

Giving Back to Society-Empowering Our
People-Employment Compliance

Aspect B4: Labour Standards

Aspect B5: Supply Chain Management
General Disclosure

KPI B5.1

Policies on managing environmental and social risks of the supply chain.

Number of suppliers by geographical region.

Enhancing Governance-Supply Chain
Management
Enhancing Governance-Supply Chain
Management-Sustainable Supply Chain
Appendix I: Key Performance Indicators

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KPI B5.2

Description of practices relating to engaging suppliers, number of suppliers where the practices
are being implemented, and how they are implemented and monitored.

Enhancing Governance-Supply Chain
Management

KPI B5.3

Description of practices used to identify environmental and social risks along the supply chain,and how they are implemented and monitored.

Enhancing Governance-Supply Chain
Management

KPI B5.4

Description of practices used to promote environmentally preferable products and services whenselecting suppliers, and how they are implemented and monitored.

Enhancing Governance-Supply Chain
Management

CONTENTS

Appendix II

ENHANCING
GOVERNANCE

Subject Areas, Aspects, General Disclosures and KPIs

GIVING BACK TO
SOCIETY

GREENING OUR
BUSINESSAPPENDIX

Index

Aspect B6: Product Responsibility

HKEX
Environmental, Social andGovernance Reporting
Guide Index (Cont.)

General Disclosure

Information on:
Enhancing Governance–Operational(a)the policies; and(b)compliance with relevant laws and regulations that have a significant impact on the issuer Governancerelating to health and safety, advertising, labelling and privacy matters relating to products Giving Back to Society-Enabling Clientsand services provided and methods of redress.

KPI B6.1

Percentage of total products sold or shipped subject to recalls for safety and health reasons.

Giving Back to Society-Enabling Clients-Client
Engagement

KPI B6.2

Number of products and service related complaints received and how they are dealt with.

Giving Back to Society-Enabling Clients-Client
Engagement

KPI B6.3

Description of practices relating to observing and protecting intellectual property rights.

Enhancing Governance-Operational
Governance-Intellectual Property and Trade
Secret Management

KPI B6.4

Description of quality assurance process and recall procedures.

Giving Back to Society-Enabling Clients

KPI B6.5

Description of consumer data protection and privacy policies, and how they are implemented and Enhancing Governance-Operational
Governance-Information Security
monitored.

Aspect B7: Anti-corruption

General Disclosure

Information on:(a)the policies; and(b)compliance with relevant laws and regulations that have a significant impact on theissuer relating to bribery, extortion, fraud and money laundering.

KPI B7.1

Number of concluded legal cases regarding corrupt practices brought against the issuer or its Enhancing Governance-Operational
employees during the reporting period and the outcomes of the cases.
Governance-Business Ethics

KPI B7.2

Description of preventive measures and whistle-blowing procedures, and how they are
implemented and monitored.

Enhancing Governance-Operational
Governance-Business Ethics

KPI B7.3

Description of anti-corruption training provided to directors and staff.

Enhancing Governance-Operational
Governance-Business Ethics

Enhancing Governance-Operational
Governance-Business Ethics

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Appendix II

ENHANCING
GOVERNANCE

GIVING BACK TO
SOCIETY

Subject Areas, Aspects, General Disclosures and KPIs

GREENING OUR
BUSINESSAPPENDIX

Index

Community

HKEX
Environmental, Social andGovernance Reporting
Guide Index (Cont.)

Aspect B8: Community Investment
General Disclosure

Policies on community engagement to understand the needs of the communities where theissuer operates and to ensure its activities take into consideration the communities’ interests.

Giving Back to Society-Fostering
Communities-Community Engagement

KPI B8.1

Focus areas of contribution (e.g. education, environmental concerns, labour needs, health,culture, sport).

Giving Back to Society-Fostering
Communities-Community Engagement

KPI B8.2

Resources contributed (e.g. money or time) to the focus area.

Giving Back to Society-Fostering
Communities-Community Engagement
Appendix I: Key Performance Indicators

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CONTENTS

Appendix III
GRI Standard Index

ENHANCING
GOVERNANCE

GIVING BACK TO
SOCIETY

GREENING OUR
BUSINESSAPPENDIX

Statement of use

WuXi Biologics has reported the information cited in this GRI content index for the period January 1, 2023 to December 31, 2023
with reference to the GRI Standards.

GRI 1 used

GRI 1: Foundation 2021

GRI Standard

Disclosure

Index

2–1

Organizational details

Company Overview-Introduction

2–2

Entities included in the organization’s sustainability reporting

About the Report

2–3

Reporting period, frequency and contact point

About the Report

2–4

Restatements of information

No

2–5

External assurance

Appendix IX: External Assurance Report

Activities, value chain and other business relationships

Company Overview-Introduction

GRI 2: General Disclosures 2021
The organization and its reporting practices

Activities and works
2–6

Enhancing Governance-Supply Chain Management
2–7

Employees

Giving Back to Society-Empowering Our People

2–8

Workers who are not employees

Giving Back to Society-Empowering Our People

2–9

Governance structure and composition

Enhancing Governance-Corporate Governance

2–10

Nomination and selection of the highest governance body

Enhancing Governance-Corporate Governance

2–11

Chair of the highest governance body

See Annual Report

2–12

Role of the highest governance body in overseeing themanagement of impacts

Enhancing Governance-Corporate Governance

2–13

Delegation of responsibility for managing impacts

Enhancing Governance-Corporate Governance

2–14

Role of the highest governance body in sustainability reporting

Enhancing Governance–Corporate Governance-Board Statement

2–15

Conflicts of interest

See Annual Report

2–16

Communication of critical concerns

Enhancing Governance–Corporate Governance-Board Statement

2–17

Collective knowledge of the highest governance body

Enhancing Governance–Corporate Governance-Board Statement

Governance

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Appendix III
GRI Standard Index(Cont.)

ENHANCING
GOVERNANCE

GIVING BACK TO
SOCIETY

GREENING OUR
BUSINESSAPPENDIX

2–18

Evaluation of the performance of the highest governance body

Enhancing Governance-Corporate Governance-ESG Governance

2–19

Remuneration policies

See Annual Report

2–20

Process to determine remuneration

See Annual Report

2–21

Annual total compensation ratio

See Annual Report

2–22Statement on sustainable development strategy

ESG Strategy

2–23

Policy commitments

Enhancing Governance–Business Ethics

Strategy, policies and practices

Enhancing Governance-Sustainable Supply Chain
Giving Back to Society-Empowering Our People-Employment
Compliance
2–24

Embedding policy commitments

Enhancing Governance–Business Ethics
Enhancing Governance–Sustainable Supply Chain
Giving Back to Society–Empowering Our People-Employment
Compliance

2–25

Processes to remediate negative impacts

Enhancing Governance-Operational Governance-Business Ethics

2–26

Mechanisms for seeking advice and raising concerns

Enhancing Governance-Operational Governance-Business Ethics

2–27

Compliance with laws and regulations

Enhancing Governance-Operational Governance-Business Ethics

2–28

Membership associations

Company Overview-Public Recognition

2–29

Approach to stakeholder engagement

Enhancing Governance-Corporate Governance-Stakeholder
Engagement

2–30

Collective bargaining agreements

Giving Back to Society-Empowering Our People-Employment
Compliance

Stakeholder engagement

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CONTENTS

Appendix III
GRI Standard Index(Cont.)

ENHANCING
GOVERNANCE

GIVING BACK TO
SOCIETY

GREENING OUR
BUSINESSAPPENDIXGRI 3: Material Topics 2021
3–1

Process to determine material topics

Enhancing Governance-Corporate Governance-Stakeholder
Engagement

3–2

List of material topics

Enhancing Governance-Corporate Governance-Stakeholder
Engagement

Material Issues
GRI 202: Market Presence 2016
202–1

Ratios of standard entry level wage by gender compared to local Giving Back to Society–Empowering Our People-Employment
minimum wage
Compliance
Giving Back to Society–Empowering Our People–Diversity,
Equity, and Inclusion (DEI)
Appendix I: Key Performance Indicators

GRI 205: Anti-corruption 2016
205–1

Operations assessed for risks

Enhancing Governance-Operational Governance-Business Ethics

205–2

Communication and training about anti-corruption policies andprocedures

Enhancing Governance-Operational Governance-Business Ethics

205–3

Confirmed incidents of corruption and actions taken

Enhancing Governance-Operational Governance-Business Ethics
Appendix I: Key Performance Indicators

GRI 206: Anti-competitive Behavior 2016
206–1

Legal actions for anti-competitive behavior, anti-trust, andmonopoly practices

Enhancing Governance-Operational Governance-Business Ethics

Materials used by weight or volume

Greening Our Business-Environment Protection-Resource
Management

Environment
GRI301: Materials 2016
301–1

Appendix I: Key Performance Indicators

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Appendix III
GRI Standard Index(Cont.)

ENHANCING
GOVERNANCE

GIVING BACK TO
SOCIETY

GREENING OUR
BUSINESSAPPENDIXGRI 302: Energy 2016
302–1

Energy consumption within the organization

Appendix I: Key Performance Indicators

302–3

Energy intensity

Appendix I: Key Performance Indicators

302–4

Reduction of energy consumption

Greening Our Business-Climate Change and Energy Saving
Appendix I: Key Performance Indicators

303–1

Interactions with water as a shared resource

Greening Our Business-Environment Protection-Resource
Management

303–2

Management of water discharge-related impacts

Greening Our Business-Environment Protection-Resource
Management

303–4

Water discharge

Appendix I: Key Performance Indicators

303–5

Water consumption

Greening Our Business-Environment Protection-Resource
Management

GRI 303: Water and Effluents 2018

Appendix I: Key Performance Indicators
GRI 305: Emissions 2016

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305–1

Direct (Scope 1) GHG emissions

Appendix I: Key Performance Indicators

305–2

Energy indirect (Scope 2) GHG emissions

Appendix I: Key Performance Indicators

305–3

Other indirect (Scope 3) GHG emissions

Appendix I: Key Performance Indicators

305–4

GHG emissions intensity

Greening Our Business-Climate Change and Energy Saving
Appendix I: Key Performance Indicators

305–5

Reduction of GHG emissions

Greening Our Business-Climate Change and Energy Saving
Appendix I: Key Performance Indicators

305–7

Nitrogen oxides (NOx), sulfur oxides (SOx), and other significant Appendix I: Key Performance Indicators
air emissions

CONTENTS

ENHANCING
GOVERNANCE

GIVING BACK TO
SOCIETY

GREENING OUR
BUSINESSAPPENDIX

Appendix III

GRI 306: Effluents and Waste 2016
306–1

Waste generation and significant waste-related impacts

GRI Standard Index(Cont.)

Greening Our Business-Environment Protection-Waste andDischarge Control
Appendix I: Key Performance Indicators

306–2Management of significant waste-related impacts

Greening Our Business-Environment Protection-Waste andDischarge Control
Appendix I: Key Performance Indicators

306–3

Waste generated

Appendix I: Key Performance Indicators

306–4

Waste diverted from disposal

Appendix I: Key Performance Indicators

306–5

Waste directed to disposal

Appendix I: Key Performance Indicators

GRI 308: Supplier Environmental Assessment 2016
308–1

New suppliers that were screened using environmental criteria

Enhancing Governance-Supply Chain Management

308–2

Negative environmental impacts in the supply chain and actions
taken

Enhancing Governance-Supply Chain Management

401–1

New employee hires and employee turnoverAppendix I: Key Performance Indicators

401–3

Parental leave

Giving Back to Society-Empowering Our People-Employee
Engagement

403–1

Occupational health and safety management system

Giving Back to Society-Empowering Our People-Occupational
Health and Safety

403–2

Hazard identification, risk assessment, and incident investigation Giving Back to Society-Empowering Our People-Occupational
Health and Safety

403–3

Occupational health services

Giving Back to Society-Empowering Our People-Occupational
Health and Safety

403–4

Worker participation, consultation, and communication on
occupational health and safety

Giving Back to Society-Empowering Our People-Occupational
Health and Safety

403–5

Worker training on occupational health and safety

Giving Back to Society-Empowering Our People-Occupational
Health and Safety

Society
GRI 401: Employment 2016

GRI 403: Occupational Health and Safety 2018

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Appendix III
GRI Standard Index(Cont.)

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GOVERNANCE

GIVING BACK TO
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GREENING OUR
BUSINESSAPPENDIX

403–6

Promotion of worker health

Giving Back to Society-Empowering Our People-Occupational
Health and Safety

403–7

Prevention and mitigation of occupational health and safety
impacts directly linked by business relationships

Giving Back to Society-Empowering Our People-Occupational
Health and Safety

403–8

Workers covered by an occupational health and safety
management system

Giving Back to Society-Empowering Our People-Occupational
Health and Safety

403–9

Work-related injuries

Appendix I: Key Performance Indicators

404–1

Average hours of training per year per employee

Appendix I: Key Performance Indicators

404–2

Programs for upgrading employee skills and transition
assistance programs

Giving Back to Society-Empowering Our People-Talent
Development

404–3

Percentage of employees receiving regular performance andcareer development reviews

Giving Back to Society-Empowering Our People-Talent
Development

405–1

Diversity of governance bodies and employees

Giving Back to Society-Empowering Our People-Diversity,
Equity, and Inclusion

405–2

Ratio of basic salary and remuneration of women to men

Appendix I: Key Performance Indicators

Incidents of discrimination and corrective actions taken

Giving Back to Society-Empowering Our People

GRI 404: Training and Education 2016

GRI 405: Diversity and Equal Opportunity 2016

GRI 406: Non-discrimination 2016
406–1

GRI 407: Freedom of Association and Collective Bargaining 2016
GRI 408: Child Labor 2016
408–1

Operations and suppliers at significant risk for incidents of childlabor

Giving Back to Society-Empowering Our People-Employment
Compliance
Enhancing Governance-Supply Chain Management

GRI 409: Forced or Compulsory Labor 2016
409–1

Operations and suppliers at significant risk for incidents offorced or compulsory labor

Giving Back to Society-Empowering Our People-Employment
Compliance
Enhancing Governance-Supply Chain Management

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Appendix III
GRI Standard Index(Cont.)

ENHANCING
GOVERNANCE

GIVING BACK TO
SOCIETY

GREENING OUR
BUSINESSAPPENDIXGRI 413: Local Communities 2016
413–1

Operations with local community engagement, impact
assessments, and development programs

Giving Back to Society-Fostering Communities

413–2

Operations with significant actual and potential negative
impacts on local communities

Giving Back to Society-Fostering Communities

414–1

New suppliers that were screened using social criteria

Enhancing Governance-Supply Chain Management

414–2

Negative social impacts in the supply chain and actions taken

Enhancing Governance-Supply Chain Management

416–1

Assessment of the health and safety impacts of product andservice categories

Giving Back to Society-Enabling Clients-Quality Management

416–2

Incidents of non-compliance concerning the health and safety
impacts of products and services

Giving Back to Society-Enabling Clients-Quality Management

417–1

Requirements for product and service information and labeling

Enhancing Governance-Operational Governance-Responsible
Marketing

417–2

Incidents of non-compliance concerning product and service
information and labeling

Enhancing Governance-Operational Governance-Responsible
Marketing

417–3

Incidents of non-compliance concerning marketing
communications

Enhancing Governance-Operational Governance-Responsible
Marketing

Substantiated complaints concerning breaches of customer
privacy and losses of customer data

Enhancing Governance-Operational Governance-Information
Security

GRI 414: Supplier Social Assessment 2016

GRI 416: Customer Health and Safety 2016

GRI 417: Marketing and Labeling 2016

GRI 418: Customer Privacy 2016
418–1

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Appendix IV
SASB Index

APPENDIX

General Health Care

Description of actions and initiatives for inclusive health care forpriority diseases in developing countries. Includes research and
HC-BP-240a.1
development, pricing, public policy development and market
impact, manufacturing and distribution, patents and licensing,product donations, and philanthropic activities.

Giving Back to Society-Fostering Communities

Number of recalls, total number of recalled products.

Employee recruitment,
development and retention

Business Ethics

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GREENING OUR
BUSINESS

Accounting Standards

Ethical Marketing

132

GIVING BACK TO
SOCIETY

IssuesDrug Safety

Encoding

ENHANCING
GOVERNANCE

Index

HC-BP-250a.3

Giving Back to Society-Enabling Clients

Number and type of enforcement actions taken against
breaches of good manufacturing practices (cGMP) by the FDA or HC-BP-250a.5
equivalent institutions in other regions.

Giving Back to Society-Enabling Clients

Total monetary losses incurred by the Company due to legal
proceedings related to false marketing claims.

HC-BP-270a.1

Enhancing Governance-Operational GovernanceBusiness strategies for recruiting and retaining scientists andR&D talent.

HC-BP-330a.1

Giving Back to Society-Empowering Our People(1) Voluntary and (2) Non-voluntary turnover rates:(a) Supervisors/Senior Management (b) Middle Management,(c) Professionals, and (d) All other employees.

HC-BP-330a.2

Total monetary losses incurred due to legal proceedings related
to corruption and bribery.

HC-BP-510a.1

Giving Back to Society-Empowering Our People
Appendix I: Key Performance Indicators
Enhancing Governance-Operational GovernanceCONTENTS

Appendix V

ENHANCING
GOVERNANCE

GIVING BACK TO
SOCIETY

GREENING OUR
BUSINESSAPPENDIXTCFD Pillar

Recommended Disclosures

Index

Governancea)

Greening Our Business–Climate Change and Energy SavingGovernance

TCFD Recommendation Index
Strategy

Risk Management

Metrics and Targets

Describe the board’s oversight of climate-related risks andopportunities.

b) Describe management’s role in assessing and managing
climate-related risks and opportunities.

Greening Our Business–Climate Change and Energy SavingGovernance

Describe the climate-related risks and opportunities theorganization has identified over the short, medium, andlong term.

Greening Our Business–Climate Change and Energy SavingStrategyb) Describe the impact of climate-related risks andopportunities on the organization’s businesses, strategy,
and financial planning.

Greening Our Business–Climate Change and Energy SavingStrategyc)Describe the resilience of the organization’s strategy,
taking into consideration different climate-related
scenarios, including a 2°C or lower scenario.

Greening Our Business–Climate Change and Energy SavingStrategya)Describe the organization’s processes for identifying andassessing climate-related risks.

Greening Our Business–Climate Change and Energy Saving–Risk
Managementa)b) Describe the organization’s processes for managing
climate-related risks.

Greening Our Business–Climate Change and Energy Saving–Risk
Managementc)

Describe how processes for identifying, assessing, andmanaging climate-related risks are integrated into theorganization’s overall risk management.

Greening Our Business–Climate Change and Energy Saving–Risk
Managementa)Disclose the metrics used by the organization to assessclimate-related risks and opportunities in line with its
strategy and risk management process.

Greening Our Business–Climate Change and Energy Saving–
Metrics and Targetsb) Disclose Scope 1, Scope 2, and, if appropriate, Scope 3
greenhouse gas (GHG) emissions, and the related risks.

Greening Our Business–Climate Change and Energy Saving–
Metrics and Targetsc)Describe the targets used by the organization to manage
climate-related risks and opportunities and performanceagainst targets.

Greening Our Business–Climate Change and Energy Saving–
Metrics and Targets

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Appendix VI
Activities Aligned withUN Global Compact

Areas

Human Rights

ENHANCING
GOVERNANCE

Principles

GREENING OUR
BUSINESSAPPENDIX

Index

Principle 1: Businesses should support and respect theprotection of internationally proclaimed human rights; andPrinciple 2: make sure that they are not complicit in humanrights abuses.
Principle 3: Businesses should uphold the freedom of
association and the effective recognition of the right tocollective bargaining;

LabourGIVING BACK TO
SOCIETY

Giving Back to Society — Empowering Our People —Employment Compliance

Principle 4: the elimination of all forms of forced andcompulsory labour;
Principle 5: the effective abolition of child labour; andPrinciple 6: the elimination of discrimination in respect of
employment and occupation.

Giving Back to Society — Empowering Our People — Diversity,
Equity and Inclusion (DEI)

Principle 7: Businesses should support a precautionary
approach to environmental challenges;
Environment

Principle 8: undertake initiatives to promote greater
environmental responsibility; andGreening Our Business

Principle 9: encourage the development and diffusion ofenvironmentally friendly technologies.
Anti-Corruption

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Principle 10: Businesses should work against corruption in allits forms, including extortion and bribery.

Enhancing Governance — Operational Governance — Business
EthicsCONTENTS

Appendix VII

1.

2.
3.
4.

List of Notes

5.
6.
7.
8.
9.
10.
11.
12.
13.
14.
15.
16.
17.
18.

19.

20.
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37.

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BUSINESSAPPENDIX

Water Excellence Stewardship (WES) is an internal water management plan at site specific to manage the water quality, provide employees with safe drinking-water, sanitation and hygiene (WASH), reduce ourwater use and etc., based on the principles of Measure, Avoid, Reduce and Recycle. This plan will also refer to GB/T 38966, International Water Stewardship Standard and other industry standards.
The violations encompass, but are not limited to, corruption and bribery, anti-competition/antitrust, money laundering/insider trading, conflicts of interest, and fraud.
COSO refers to The Committee of Sponsoring Organizations of the Treadway Commission.
The latest coverage of ISO certification can refer to our company website. (https://www.wuxibiologics.com/iso-certification-status/)
Pharmaceutical Supply Chain Initiative.
Suppliers in Tier 1 denotes suppliers that directly supply goods, materials or services (including intellectual property/patents) to the Company.
This includes but not limited to discrimination, human trafficking, child labor, slavery, DEI, health and safety, etc.
The potential risks include human trafficking, discrimination, child labor, slavery and impact on environment as well as local communities.
This refers to women, children, persons with disability, third-party contracted labor, and local communities and students.
PROUD stands for Passion, Reward, Ownership, Unity and Determination.
This includes people in minority groups and people with disabilities.
This refers to WuXi Biologics median gender pay gap in China.
This includes part-time employees and contractors.
This includes DDI, CEIBS Business Online, and LinkedIn.
This includes Business indicators and PROUD Competence indicators.
Talent retention rate = 1 — Voluntary employee turnover rate. Voluntary employee turnover rate = Total number of voluntary turnovers/Total number of employees by year-end.
The Company offers assistance with children’s education by providing information on local schooling through third-party vendors.
The Company partners with insurance institutions to offer discounted commercial insurance packages. Employees can choose to purchase these packages, which include an employee plan as well as a plan for
their spouse and children.
Under the 2015 Paris Agreement , nearly 200 countries agreed to limit global warming to no more than 2℃ by 2100, and to aim for a no more than 1.5℃ increase. 2℃ or below 2℃ scenarios are the global
community’s accepted limitation of temperature growth to avoid significant and potentially catastrophic changes to the planet, which can also be referred to as ‘Paris Aligned ’. Above 2℃ scenarios show apotential situation where this agreement is not met.
The RCP scenarios are pathways that the IPCC (Intergovernmental Panel on Climate Change) used in the Sixth Assessment Report (AR6).
NOAA. (2013). Climate Model: Temperature Change (RCP 8.5) — 2006–2100.
The IEA (International Energy Agency) scenarios are used in its flagship publication — World Energy Outlook (WEO) on the global energy system every year.
IEA. (2022). Understanding GEC Model scenarios.
Follow Operational control approach.
Direct greenhouse gas emissions (such as from natural gas and gasoline). The natural gas emission factor is calculated based on GB/T 2589-2020 and IPCC 2006.
Indirect greenhouse gas emissions (from purchased electricity and steam). The electricity emission factor is calculated based on the average carbon dioxide emission factor of China’s provincial power grids in2010. The steam emission factor is calculated based on the default value from Guidelines for Accounting and Reporting of Greenhouse Gas Emissions for Enterprises in Other Industrial Sectors (Trial) .
Emissions from activities like upstream transportation and distribution, downstream transportation and distribution, waste generated in operations, fuel and energy-related activities, business travel, andemployee commuting-collectively known as Scope 3 emissions — also contribute to our GHG emissions.
Refer to GB/T 2589–2020 General Principles for Calculation of Comprehensive Energy Consumption, and the GHG Protocol released by the World Resources Institute (WRI) and the World Business Council for
Sustainable Development (WBCSD).
In 2023, total renewable energy consumption is 2,797MWh, total non-renewable energy consumption is 329,394 MWh.
Applies location-based approach.
This includes 3,364.3 tonnes of waste liquids collected by a qualified third party and discharged off-site as wastewater.
Water we use for operations comes from municipal water systems and a small amount for irrigation and road cleaning comes from harvested rainwater, we do not take water from water stressed areas.
This includes employees in the Health Care Team.
The project contractors are excluded.
This refers to the actual locations where employees work.
Total employee turnover = Total number of turnovers (retirement included)/Total number of employees by year-end
All operational sites refer to all the sites put into operation before June 30, 2023, so that comprehensive and valid data can be measured. This includes the Wuxi Mashan site, Shanghai Waigaoqiao site, Shanghai
Fengxian site (Phase I), Suzhou Biologics site, Zhejiang site, Suzhou Biosafety Testing site, Hangzhou site (MFG14), WuXi XDC Shanghai site, and WuXi XDC Wuxi site.

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Appendix VIII
External Assurance Report

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BUSINESSAPPENDIXCONTENTS

About theReportReporting Scope and Limits
The Scope of the Environmental, Social and Governance Report (thepresent report) is consistent with the Company’s annual report. In viewof the importance of our business’ impact on the environment, the scopeof our environmental data includes all operational sites owned andmanaged by WuXi Biologics (Cayman) Inc.37

Reporting Period
This report covers the period from January 1, 2023 to December 31,
2023 (the Reporting Period). To complete the comprehensive suite ofdata contained in this report, some content considers previous years or
extends to the first quarter of 2024.

Reporting Standards
This report is compiled based on the Environmental, Social andGovernance Reporting Guide, Appendix C2 of the Rules Governing
the Listing of Securities on the Stock Exchange of Hong Kong Limited(HKEX); with reference to the Global Sustainability Standards Board(GSSB) GRI Standards; the Task Force on Climate-Related Financial
Disclosures (TCFD) Recommendations of The Financial Stability Board(FSB); and the Sustainable Development Accounting Standards Board
Foundation (SASB) Accounting Standards for Sustainable Development— Biotechnology and Pharmaceutical Industries ; The Ten Principles of theUnited Nations Global Compact.

Indicators Selection
The indicators in the report were selected and elaborated on following
the principles of “materiality, quantitative measurement, balance, andconsistency” as described further below, to disclose performance of thematerial issues. Continuous updates and optimization of the disclosure
indicators will be provided in subsequent reports.

ENHANCING
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SOCIETY

GREENING OUR
BUSINESSAPPENDIX

Materiality: WuXi Biologics uses the stakeholder engagement mechanismand materiality assessment matrix to identify corporate and social
responsibility issues that are material or relevant to the Company and its
stakeholders.
Quantitative Measurement: WuXi Biologics embodies the quantitative
principle by disclosing measurable key performance indicators.
Balance: WuXi Biologics presents its work in the environmental, socialand governance aspects in a fair and objective manner in this report.
Consistency: WuXi Biologics has adopted a consistent approach todata disclosure and data comparison across time periods covered by
the report, and has noted the changes in statistical methods and key
performance indicators.

Explanation of Terms
For clarity of presentation and ease of reading, “WuXi Biologics(Cayman) Inc.” is also referred to in this Report as “WuXi Biologics”, “theCompany” or “we”.

Sources and Reliability
The qualitative and quantitative information used in this report comesfrom WuXi Biologics’ publicly available information, internal documents
and related statistical data. The Company’s Board of Directors
guarantees that this report is free from any misrepresentation or
misleading statements, and is responsible for the truthfulness, accuracy
and completeness of its contents.

Confirmation and Approval
This report was approved by the Board of Directors on March 26, 2024,
following confirmation by management.

Report Access
The online version of this report is available for download on the websiteof Hong Kong Exchanges and Clearing Limited (www.hkexnews.hk) andthat of WuXi Biologics (www.wuxibiologics.com).
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WuXi Biologics (Cayman) Inc.
www.wuxibiologics.com
ESG@wuxibiologics.com