ESG Overview - ATRenew

We aspire to integrate our operations into the circular economy through a C2B+B2B+B2C closed loop across the entire pre-owned consumer electronics recycling industrial chain. ATRenew is committed to integrating ESG into our business model and corporate management. As we strengthen our stakeholder communications and enhance our economic, social and environmental impact, we remain committed to our business and development values and actively seek sustainability opportunities as we grow and strive to become the first “ESG-related, technology-driven China Concept Stock”.

Since 2023, ATRenew has been committed to the UN Global Compact corporate responsibility initiative and its principles in the areas of human rights, labor, environment, and anti-corruption.

ATRenew has achieved an ESG Risk Rating from Sustainalytics in the “Low Risk” category (17.6/100, lower score is better), ranking 4th of all companies in the Online and Direct Marketing Retail sector (4/85).

ATRenew’s 2021 ESG Report incorporates the Task Force on Climate-related Financial Disclosures (TCFD) recommendations, a framework set by the G20’s Financial Stability Board, for the first time. It explores the climate-change-related opportunities and challenges it faces in its operation and reuse of pre-owned electronic devices through the perspectives of governance, strategy, risk management, and metrics and targets. In addition, on the front of scope 3 emission, ATRenew added four indicators to improve the comprehensiveness of disclosure when measuring the climate impacts of its value chain. These indicators are capital goods, waste generated in operation, employee commuting and end-disposal emissions of sold products.

Download ATRenew 2023 ESG Report

Download ATRenew 2022 ESG Report

Download ATRenew 2021 ESG Report

Download ATRenew 2020 ESG Report

Our ESG Management Framework

ATRenew established a three-tier structure for ESG management. Under the Board of Directors, the ESG Committee ("ESGC") was founded to promote the construction of our ESG framework, make top-level decisions, and supervise ESG strategy implementation and optimization efforts.

Based on the current state of our operation and management, strategic development goals, and third-party best practices, we have identified three ESG management priorities:

1. Environmental: Climate change management, recycling and reuse

2. Social: Industry leadership, product governance, employee development and social welfare

3. Governance: Top-level governance, information security and privacy protection

ATRenew is aware of the environmental impacts related to its operations and is committed to building a sustainable market environment by managing its operations and influencing participants in the industrial chain, contributing to the path of accomplishing “carbon peaking and carbon neutrality” goals of China. To this end, ATRenew has formulated the “Environmental Policy”. The Policy took effect after being approved by the Company’s board of directors on November 21, 2022.

Complying with the Anti-Unfair Competition Law of the People’s Republic of China, Prevention of Bribery Ordinance, and the laws and regulations of the localities where our business is operated or based, ATRenew has formulated ATRenew Integrity and Self-discipline Guideline and ATRenew Whistleblower Protection and Reward System to standardize and institutionalize its operation process. ATRenew has adopted a zero-tolerance attitude towards bribery and corruption to ensure the Company’s compliance and healthy development.

Communication with Stakeholders

We are deeply committed to stakeholder communication. We have established diverse engagement channels to strengthen dialogues with consumers, merchants, employees, shareholders/investors, governments and regulators, communities and the general public, suppliers, and partners. By integrating these mechanisms into our operation and governance, we promote shared and sustainable involvement from all of our stakeholders.

Identification and Determination of Focus Areas

ATRenew incorporates the GRI Standards, recommendations of the Task Force on Climate-related Financial Disclosures (TCFD) as well as priority ESG topics of MSCI and Sustainalytics in its 2021 ESG report. The report also provides updates on 20 material ESG issues covering governance, operations, research and development, supply chain management, customer service and human resource management while including “product governance” and “corporate governance” in its portfolio of high materiality ESG issues to further address sustainable development.