Annual Report 2025

ENVIRONMENTAL, SOCIAL AND GOVERNANCE REPORT (CONTINUED) China Merchants China Direct Investments Limited Annual Report 2025 85 ENVIRONMENTAL PROTECTION The Company has always cared a great amount for the environment. The main objective to our environmental management approach is to comply with all the relevant environmental laws in the market regions that the Company operates in, which includes the implementation of a sound monitoring system to manage environmental risks, accurately reporting the Company’s environmental impacts and performance in our ESG report, and most importantly, establishing achievable environmental targets and making efforts to reach these goals. During the Reporting Period, there were no cases of non-compliance noted in relation to relevant environmental laws and regulations, including the air and greenhouse gas emissions, discharges into water and land, and generation of hazardous and non-hazardous waste, including but not limited to the Laws of Hong Kong: Air Pollution Control Ordinance (Cap. 311) and the Noise Control Ordinance (Cap. 400). Climate-related Disclosure Climate-related Governance Climate change has gradually become a global concern in recent years. In response, the Company has established a two-tier governance structure to oversee climate-related issues, with the Board bearing ultimate responsibility, supported by the ESG Taskforce. Authorised by the Board, the ESG Taskforce, comprising officers from different functional departments of CMCIM, implements controls and procedures integrated with existing internal functions to identify and assess climate- related risks and opportunities, monitor key metrics and progress against targets, and ensure the completeness and consistency of climate-related reporting. For further details, please refer to the Section of ESG Governance Structure of this Report. Climate-related Strategy The Company recognises that climate-related matters may impact its investment returns. Such risks should be identified promptly, and measures should be established in order to mitigate the risks posed by extreme weather conditions. The Company has established a climate change policy to provide guidelines for itself and the Investment Manager to identify and mitigate these risks and their potential impact on the Company and its shareholders. Moreover, the climate change policy also provides guidance on identifying, mitigating and adapting to climate-related risks to help build resilience to potential climate events and assist management in preventing and coping with the impacts of extreme weather.