Apeloa Pharmaceutical releases first ESG

Apeloa Pharmaceutical, a global pharmaceutical company and subsidiary of Hengdian Group, has released its first sustainability report. Apeloa’s 2024 Environmental, Social and Governance (ESG) report marks the start of continuous and responsible disclosure into the future.

The report covers Apeloa’s key achievements and strategies relating to its treatment of the environment, social and governance issues across its business areas: API, CDMO, FDF and Aesthetics and Care Ingredients. It deeply considers the effects of Apeloa’s corporate activities on the world, as well as the impacts of external factors on the company.

In line with Apeloa’s mission “Technology for Health,” the company is “dedicated to strengthening R&D innovation, deepening international collaborations, enhancing operational efficiency, and implementing rigorous risk management,” said Apeloa Pharmaceutical Chairman & CEO Brian Zhu in the report.

Apeloa ensures transparent and responsible disclosure of sustainability data in this ESG report. An ESG office has been established under Apeloa‘s Board of Directors to fully address ESG issues in its business operations and management, as well as all aspects of supply chain management. 

ENVIRONMENT 

Resource & energy consumption | Emissions monitoring & reduction | Renewable tech

Apeloa adopts measures across all its operations to minimize resource and energy consumption per product unit, as well as reduce the use of toxic and hazardous raw materials. To achieve this, Apeloa employs precise formula based on reaction data, and develops flow chemistry and biocatalysis alternatives to traditional synthesis methods.

By 2030, Apeloa aims to reduce carbon emissions intensity by 15% compared to a 2024 baseline across R&D, manufacturing, logistics and waste management. To do so, Apeloa continuously increases green tech investment and upgrades production equipment. Apeloa has enhanced its rooftop photovoltaic power projects to boost renewable energy use. This year, it purchased 20GWh of green electricity, further reducing fossil fuel dependence.

In 2024, Apeloa implemented 15 key environmental projects. It has an Environment, Health and Safety (EHS) department implementing environmental and safety measures. Proving excellence in environmental protection, Apeloa’s subsidiaries — Apeloa Jiayuan Pharmaceutical and Zhejiang Apeloa Biotechnology — were recognized as a “National-level Green Plant” and municipal-level green plant in Jinhua city, respectively.

SOCIAL AND GOVERNANCE

Employee rights & well-being | Quality management | Corporate governance structures

Apeloa places great value in providing a safe, healthy and eco-friendly workplace. It emphasizes open communication, has established private and effective grievance channels for employees and contractors. Apeloa also continuously refines career development for its staff, establishing robust training systems to help its workforce achieve their professional goals.

Apeloa's Labor Union Care & Support System is designed to address workplace challenges for both active and retired employees. The program includes targeted well-being initiatives to assist disadvantaged groups and accommodate colleagues with special needs. Apeloa actively protects the rights of female employees, providing cervical and breast cancer insurance coverage, while also conducting awareness campaigns on disease prevention and risk reduction. Currently, women hold 25% of Apeloa's managerial positions.

To protect consumers, Apeloa has strengthened quality management standards throughout its operations, improving its pharmacovigilance management and recall systems to prevent quality and safety risks. Apeloa uses third-party quality management system certifications, and conducts both internal and external audits, to uphold product quality and promote effective management. This year, Apeloa did not experience any product recall incidents.

Apeloa has established corporate governance structures and operating procedures in accordance with Chinese laws. These structures enable effective management within the company based on clear roles and checks and balances. They enhance compliance and transparency in business operations through training and daily supervision, requiring management to lead by example and ensure all employees adhere to a strict code of business ethics and integrity.

See the full text of Apeloa’s 2024 Sustainability Report here: https://apeloa.com/esg.html