Rio Grande, ’25 years of commitment to leading role in sustainable development reaffirmed
LIUZHOU, China, Jan. 4, 2025 / — From pioneering practices to socially and environmentally impactful collaborations, LiuGong (000528.SZ) [ https://www.liugong.com/en/ ] has consistently demonstrated its commitment to a sustainable future. LiuGong recently reaffirmed its commitment to sustainable development as it celebrated the first anniversary of the formation of the “Green Alliance.”
Improving sustainability through the formation of a ‘green alliance’
Riogong took a significant step towards sustainability in late 2023 by forming the ‘Green Alliance’ in partnership with key customers, distributors and a number of non-profit organizations (NGOs). The ‘Green Alliance’ aims to strengthen Riogong’s commitment to social responsibility by allocating a portion of its annual sales revenue from electrical products to charity projects in Africa.
The Green Alliance has reached a milestone of launching a charity well project in South Africa in May 2024. The project has introduced the first electric earthmoving equipment in Africa. Riogong completed the first phase of the project in Maveskreel, South Africa, by August. As a result of these efforts, the 150-meter deep well with solar pumps is now providing clean water to 25,000 households.
Rio’s commitment to sustainability is evident in efforts beyond the ‘Green Alliance’.
Pioneering Green, Intelligent Manufacturing through Electrification Initiatives
Liugong has been advancing research and development (R&D) on electrical equipment technology and product electrification. The dedicated research institute provides technical support, promotes the industrialization of components, and builds an industrial ecosystem. Up to now, Liugong’s electrical product line consists of 11 categories with various power options, contributing to the creation of a green ecosystem. Liugong’s electrical products have sold more than 6,500 units worldwide, reducing carbon emissions by 330,000 tons. This is equivalent to planting more than 18 million trees. In 2023, Liugong has been leading the global electrification. By selling more than 10% of its overseas sales each month as electrical products, it has significantly reduced its carbon footprint and supported its investment in a sustainable future.
Liu Gong also completed the first phase of the battery pack factory and introduced various energy supplement facilities, accelerating the independent development of core components. In terms of intelligent technology, autonomous loaders and rollers have been deployed in mines and highways to achieve precise scheduling and management, effectively reduce costs, and improve efficiency, achieving significant results.
Strengthening environmental management through proactive action
Liu Gong is pursuing zero pollution and maximizing resource recycling as its goal. In 2023, it invested 41.61 million yuan in product life cycle management to conserve energy and reduce emissions. Wastewater and exhaust gas meet regulatory standards, and hazardous waste is effectively managed, with no pollution accidents reported.
In addition, a total of 27 projects were carried out for one year targeting pollutants such as volatile organic compounds (VOCs) and welding smoke, reducing various emissions and pollution. In addition, energy use was optimized through policies and solar power initiatives, and it is expected that 52 million kWh of electricity will be generated annually through local solar power generation, reducing emissions. In addition, Liu Gong is promoting employee education and an eco-friendly culture to transform into a more eco-friendly company.
Building a Green Supply Chain through Strategic Collaboration
Liu Gong aims to build an efficient system through various initiatives, focusing in particular on green procurement, prioritizing energy-efficient products and services, and integrating green practices from demand analysis to product approval, such as replacing wood and cardboard packaging with reusable tools.
Liu Gong strongly manages suppliers through audits and evaluations of financial, production capacity, quality, and ESG aspects, while also promoting long-term cooperation with suppliers. Through digitalization through the SRM platform, 4.3 tons of paper is saved every year. In addition, through the collaboration cloud platform, real-time interaction with more than 1,500 suppliers is being achieved, improving the efficiency of the industrial chain and developing the supply chain.
In 2025, Rio will continue its efforts to integrate sustainability into its business practices, while the Green Alliance will further strengthen its commitment to global sustainability by building a second well in Gambia.
