Compliance Commitment Letter
Compliance is essential to enterprise management, and integrity is the cornerstone of a successful business. LAPLACE Renewable Energy Technology Co., Ltd and its subsidiaries and related or associated corporations (collectively referred as the “LAPLACE” or “We”) sincerely and firmly believes that integrity and compliance are the sectors worth investing in, as they will yield significant returns. The investment will not only help gain the trust and respect of our employees, customers, partners, and the government authorities in the host countries but also contribute to establishing long-term commercial value and a strong industry reputation.
Therefore, we aim to establish and maintain a responsible and sustainable compliance system and to establish a stable and continuous compliance mechanism to manage the entire production process. We hope that this mechanism will be recognized and accepted by our suppliers and customers. However, we also acknowledge that suppliers’ responsibilities and capabilities might vary in different areas due to regulatory and policy differences across various jurisdictions. In light of this, we outline the essential requirement of LAPLACE’s compliance mechanism below. While these are the fundamental criteria, LAPLACE and its suppliers will strive to meet the higher standards to the best of our ability. We sincerely hope to work together with our suppliers to build a high-standard supply chain compliance mechanism.
Professional Team
Establish a Compliance Commission responsible for implementing the Compliance Mechanism. All employees and suppliers must consistently adhere to the compliance mechanism throughout the entire process and at all stages of the supply chain.
Basic Principles
The Compliance Guideline is based on the spirit of conventions, including but not limited to the essential conventions of the International Labour Organization (ILO) and the Universal Declaration of Human Rights. It will also align with the laws and regulations of the jurisdiction where the business operates, with the aim of respecting and safeguarding workers’ rights within the production.
Labor protection and human rights
We will provide equal employment opportunities for all job applicants and offer competitive wages and benefits to all employees. We will also establish and adhere to standard working hours and respect the workforce’s diversity and freedom of speech. Any form of discrimination, harassment, or retaliation in the workplace is prohibited, as is the use of child labor, forced labor, debt bondage, indentured labor, involuntary prison labor, slave labor, human trafficking, corporal punishment, or the detention of employees’ identification documents.
Health and Safety
Provide a safe and healthy workplace for each employee to prevent accidents, injuries, and work-related illnesses. Offer safety and health education and training to all employees to enhance their awareness and ability to respond to such issues. Initiate manufacturing processes in a responsible and environmentally beneficial manner, making every effort to minimize negative environmental impacts during production.
Anti-Harassment and Anti-Discrimination
We firmly prohibit any form of workplace harassment and discrimination. The company has established a clear code of conduct that strictly prohibits workplace discrimination or sexual harassment based on race, gender, age, religion or other factors. In order to ensure the effective implementation of these policies, we have set up dedicated complaint channels and established fair handling mechanisms to protect the legitimate rights and interests of every employee.
Data Protection and Privacy
We place great importance to information security and privacy protection, strictly abide by relevant laws and regulations, and ensure the legality and security of information processing. We only collect necessary information and use advanced encryption technology and strict access control measures to prevent data leakage or abuse. At the same time, we regularly conduct information security training and risk assessments, continuously optimize protection mechanisms, ensure comprehensive protection of all information, and fully respect personal privacy.
Intellectual Property Protection
Our company always adheres to strict compliance with national and international intellectual property laws and regulations, respects and protects the intellectual property rights of others, and actively takes measures to safeguard our own intellectual property rights from infringement. In addition, we continue to strengthen the intellectual property awareness training of our employees, improve our internal intellectual property management system, and work with industry partners to explore the best practices for intellectual property protection, contributing to the sustainable development of the global innovation ecosystem.
Anti-Bribery
All employees and suppliers shall comply with applicable laws and regulations regarding anti-bribery and anti-corruption, as well as customary international law on these issues. They shall not directly or indirectly offer, give, or receive anything of value from the supplier, nor engage in any improper actions to influence government authorities’ decisions or to gain or retain improper business advantages.
Anti-Money Laundering and Transparency of Funds
We strictly abide by national and international laws and regulations related to anti money laundering and fund transparency, and resolutely crack down on any illegal activities such as money laundering and terrorist financing. We have established a comprehensive fund monitoring system and regularly conduct employee training to enhance compliance awareness, ensuring that all transactions are legal, transparent, and traceable.
Antitrust and Anti Unfair Competition
We always strictly abide by national and international anti-monopoly and competition laws and regulations, and resolutely maintain a fair and just market competition order. Eliminate any form of price manipulation, market segmentation agreements, or exclusive agreements in business activities, ensure that all commercial activities comply with laws and regulations, and contribute to the healthy development of the industry. We will continue to strive to create a transparent and open business environment, protect consumer rights, and achieve a harmonious and win-win situation between enterprises and society.
Conflict of Interest
We require all employees and suppliers to strictly avoid any form of conflict of interest and be vigilant of any behavior that may affect their objective judgment. By actively identifying and promptly reporting potential conflicts, ensure fairness, transparency, and compliance in business activities. To this end, we have established a comprehensive conflict of interest management mechanism, regularly conducted relevant training and reviews, and encouraged employees to report issues through anonymous channels, in order to build a highly trusted and responsible corporate culture.
Export Control and Trade Compliance
We promise to strictly comply with the sanctions and export control laws and regulations applicable to the production and sales locations of our products, ensuring that all business activities are legal and compliant. We firmly refuse to engage in any form of transaction or cooperation with any country, organization or individual listed on the sanctions list. We have established a strict monitoring list screening system and regularly update relevant regulatory information to ensure that all business activities comply with relevant compliance standards.
Responsible Management of Mineral Resources
We promise to strictly comply with relevant laws and regulations to ensure that the mineral resources used in the supply chain do not involve armed conflicts or human rights violations. By establishing a transparent supply chain management system, we conduct thorough due diligence on mineral sources and sign ethical procurement agreements with suppliers as needed. At the same time, we regularly review and evaluate supply chain compliance to ensure that all mineral sources are legal and comply with international social responsibility standards.
Environment and Governance
We are committed to reducing carbon emissions, conserving resources, and controlling pollution to minimize negative impacts to the environment. To achieve this goal, we have implemented a series of environmental measures, including optimizing energy efficiency and promoting sustainable development practices. At the same time, we enhance the transparency of corporate governance, ensure effective supervision of company operations by management, and promote the long-term sustainable development of the company.
Quality Assurance
We are committed to providing high-quality products and services to ensure customer satisfaction. To achieve this goal, we strictly implement a quality management system and monitor every link from raw material procurement to production processes. In addition, we continuously improve our processes, enhance employee skills, and work closely with suppliers to ensure consistent quality throughout the entire supply chain, providing customers with a reliable product experience.
Due Diligence
We will conduct due diligence and evaluations of suppliers through both direct and indirect methods, including on-site visits, document verification, and process confirmation. We will not engage in any form of business cooperation with suppliers found to be involved in illegal, unethical practices or in violation of the laws and regulations of the destination country. Suppliers must collect and maintain documents and records related to the entire supply chain and daily compliance management, and they are also obligated to cooperate with third-party audits when necessary.
Monitoring and Remedies
Establish a corresponding complaint mechanism and remedy measures to collect employees’ feedback and continuously improve the compliance mechanism. Publicize the contact information of the Compliance Commission (shenji@laplace-tech.com), allowing employees, suppliers, and other stakeholders to report issues within the production processes anonymously.
The Commission will promptly initiate investigations and take actions to mitigate and correct any adverse impacts. LAPLACE will not tolerate any retaliation against employees for making good-faith complaints, reporting potential violations to management, or participating in or assisting with investigations.