ZTE Strives for Sustainable, Digital Future and Joins SBTi

As digital transformation enabler, ZTE has made a strong commitment to working with partners and customers in building a sustainable, resilient future. In a newly released report, the global ICT solutions provider highlights recent accomplishments in the areas of digital innovation, decarbonization and social responsibility.

The “2022 Sustainability Report” highlights both the company’s internal efforts and work with third parties toward sustainability and resilience. ZTE says it is taking a green approach to corporate operations, supply chain, digital infrastructure, and industry empowerment.

The company develops green technology “from multiple perspectives and stages, implementing it across various levels of the company,” as it drives toward zero emissions by 2050. The strategy has led to a number of achievements, including a year-to-year reduction of 7.5% in total greenhouse gas (GHG) emissions.

“Sticking to the low-carbon strategy, ZTE keeps moving forward on a green path to digital economy. With our established carbon neutrality target, we have set up a corporate-level team and systematically advanced 10 major carbon reduction initiatives,” said Xie Junshi, Executive Vice President and COO of ZTE.

ZTE in 2022 reduced the annual carbon emissions of sold products by more than 14.72%. The company also cut its power consumption by 6.4% from the previous year. In the area of value chain development, consumption dropped by about 7% and overall air freight ratio by 61%, the report says.

“To expedite the journey toward carbon neutrality,” ZTE currently is developing digital energy solutions that leverage artificial intelligence (AI) and cloud technologies, green power generation, and intelligent energy storage. The company says it has worked with more than 500 partners across multiple fields on innovative practices for sustainable digital transformation.

ZTE sells many of its products in developing countries, where the progress of emission reduction efforts is slower. This means the company faces greater technology and cost challenges in driving down carbon emissions throughout the product lifecycle.

STBi Participation

Reaffirming its commitment to green strategies, ZTE recently the Science Based Targets initiative (SBTi. A partnership between CDP, the UN, the World Resources Institute (WRI) and the World Wide Fund for Nature (WWF), SBTi aims to set science-based targets for companies working toward Net Zero.

ZTE’s main production and R&D base is in China, where the availability of green electricity lags behind that of other developed countries. As such, ZTE has to put more effort and expense into achieving its SBTi commitment.

Joining the initiative shows ZTE is serious about achieving science-based emission reduction targets in the near term and striving for long-term Net Zero emissions, the company says. In five to 10 years, ZTE aims to cut emissions to meet the UN’s goal of limiting the global temperature increase to 1.5°C.

Patents for Advancement

ZTE has released its annual sustainability report for 15 consecutive years to showcase “outstanding achievements” and future plans in executing its strategy as the “Driver of Digital Economy.”

To that end, the report says, ZTE has made significant strides in digital innovation and technology advancements to fulfill social responsibilities, support digital transformation, advocate sustainable development, and advance corporate governance. The company has accumulated 85,000 global patent applications, about 43,000 of which have been authorized. A current area of focus involves research and the development of global standards for 5G technology.

“ZTE will stick to its role as a driver of digital economy and strive for excellence while tackling the hardest challenges. With greater determination, we will join hands with partners across the industry to break new ground, and ultimately contribute to high-quality economic growth and make the planet a better place for all,” said Xu Ziyang, Executive Director and CEO of ZTE.

Resilience and Responsibility

As organizations around the world adopt digital technologies, they may face new risks to the supply chain and digital connections. To help partners, suppliers and customers build resilience, ZTE strives to provide secure, trustworthy products and share safe practices, the company says.

For instance, ZTE was the first company worldwide to obtain the German Federal Office for Information Security’s (BSI) NESAS CCS-GI security certification. The company also has earned certifications and audits for various management systems, including ISO 9001, TL 9000, QC 080000, ESD, ISO 45001, ISO 14001, and ISO 22301. These certifications cover multiple R&D centers and manufacturing facilities, the report says.

In the area of corporate social responsibility (CSR), ZTE actively encourages suppliers and partners to earn CSR certifications and operate management and supply systems that conform with CSR principles. In 2022, ZTE performed dual-carbon audits for 109 suppliers.

Third-party Recognition

In recognition of its sustainability efforts, responsible corporate practices, and philanthropic endeavors in the areas of education, healthcare and poverty alleviation, ZTE has received numerous awards, including:

“As a global enterprise, ZTE has long upheld the principles of sustainable development and actively fulfilled its corporate social responsibility,” the company said in publishing its sustainability report. “It has helped people around the globe achieve sustainable development, demonstrating its commitment and dedication as a multinational corporation.”