On 15 April 2026, Xtep International Holdings Limited released its 2025 Environmental, Social and Governance (ESG) Report, detailing progress against the group’s 2030 sustainability framework and disclosing new climate-related governance, targets and achievements.
Governance and Strategy • The Board remains ultimately responsible for ESG oversight, supported by a four-director Sustainability Committee and an executive-level Sustainability Working Group. • Xtep’s 2030 ESG Strategy Framework centres on “Protect the Planet, Create a Sustainable Value Chain and Put People First”, anchored by a 42% absolute reduction in Scope 1 and location-based Scope 2 greenhouse-gas (GHG) emissions from a 2020 baseline and a commitment to reach carbon neutrality no later than 2050. • An internal carbon-pricing mechanism was introduced, starting at RMB 80–120 per tonne of CO₂-equivalent, to guide investment decisions and fund decarbonisation projects.
Environmental Performance • Solar photovoltaic installations at four self-owned factories generated 9.10 million kWh in 2025, supplying 17% of the sites’ total electricity needs. • Total energy use reached 49.80 million kWh; associated GHG emissions (Scope 1 + location-based Scope 2) were 23,793 tCO₂e, or 1.58 tCO₂e per RMB million of revenue. • Water consumption totalled 549,876 m³. • A textile-waste recycling programme diverted 51.30 tonnes of production offcuts for yarn regeneration. • The group formally joined the Zero Discharge of Hazardous Chemicals (ZDHC) foundation, adopted the ZDHC Manufacturing Restricted Substances List and helped formulators secure Level 3 certification for 61 chemical products.
Supply-Chain Responsibility • All 144 Tier 1 and Tier 2 suppliers completed annual social-responsibility audits with no zero-tolerance breaches; 1% were placed on corrective-action plans for minor issues. • Updated supplier manual integrates living-wage requirements and a target for 50% renewable-energy use at Tier 1 and Tier 2 sites by 2030.
Human Capital and Social Impact • Employees and retail partners received 671,777 training hours in 2025; formal staff averaged 18.3 hours each and retail employees 27.7 hours. • Women accounted for 37% of management following the rollout of a company-wide Female Employees Protection System. • The group recorded zero work-related fatalities and a lost-workday rate of 4.58. • Community support totalled RMB 64 million in cash and in-kind sportswear, and the company backed 74 marathons and running events nationwide.
Recognition • Xtep received an ‘A’ MSCI ESG rating and an ‘A–’ score in S&P Global’s Corporate Sustainability Assessment, outperforming 78% of industry peers.
Looking Ahead The group will continue to link executive remuneration to ESG milestones, expand supplier decarbonisation programmes and pursue its 2030 targets, including absolute GHG reductions, 50% sustainable-material usage in products and zero waste to landfill.
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