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1、 Greening Chinas Economy Contributions by German Companies 1 Advocacy PaperGreening Chinas Economy Contributions byGerman CompaniesJune 2024 Greening Chinas Economy Contributions by German Companies 3 2 Greening Chinas Economy Contributions by German CompaniesThe German Chamber of Commerce is the of

2、ficial membership organization for German companies in China and currently has around 2,100 members in China.The German Chamber helps its members to succeed in China by providing up-to-date market information and practical advice.It offers a platform for the German business community and represents

3、its members interests towards stakeholders including government bodies and the public.German Chamber of Commerce in China-East ChinaPingan Riverfront Financial Center,29F 757 Mengzi RoadHuangpu District,200023 ShanghaiT+86-21-5081 2266chamber-eastchina.ahk.deGerman Chamber of Commerce in China-South

4、&Southwest China 1903 Leatop Plaza,No.32 Zhu Jiang East RoadTianhe District,510620 GuangzhouT+86-20-8755 2353chamber-sswchina.ahk.deGerman Chamber of Commerce in China-North China DRC Liangmaqiao Diplomatic Office Building,Unit 0601B 19 Dongfang East RoadChaoyang District,100600 BeijingT+86-10-6539

5、6688chamber-northchina.ahk.deContact for Government AffairsDr.Constanze WangHead of Government Affairs&AdvocacyT+86-21-3858 5010 wang.constanzechina.ahk.deContact for Press InquiriesCarina MingleHead of Media Relations&Corporate CommunicationsT+86-10-6039 6670mingle.carinachina.ahk.dehttps:/china.ah

6、k.de/government-affairs-advocacyWays to Accelerate Chinas Green TransformationGerman companies have a lot to offer when it comes to solutions for a green industry transformation.What it takes,however,is a reliable and transparent regulatory environment in which German companies can fully unfold thei

7、r innovative potential to the benefit of both sides Chinas decarbonization goals and the success of German businesses.The cases of German companies selected for this paper reveal the following main advocacy points:In addition to the points above,several cases highlight(1)the importance of an increas

8、ed awareness for energy saving in product design and production processes,(2)the need for sufficient access to green energy in China,and(3)the potential of energy saving sensitive education such as vocational education and training(VET).1.The Case of an Automatic Inspection Solution Provider display

9、s the need for an Environmental Evaluation Factor in Tendering Processes.With this,regulators would have a strong instrument to encourage more investment in carbon neutral technologies and to incentivize companies to improve their carbon footprint.2.The Case of a Supplier of High-Quality Window&Slid

10、ing Systems highlights the need for more Ambitious Environmental Building Standards.This could be achieved by including embodied carbon in addition to operational carbon in existing standard schemes.3.The Case of a Plastic Recycling and Chemical Company emphasizes the need for Laws and Regulations f

11、or Food-Grade recycled PET.Enhancing the regulatory framework for food-grade recycled PET materials can be achieved by formulating regulations that explicitly permit the use of recycled plastics in food packaging including harmonization with international standards.4.The Case of a Waste Treatment Co

12、mpany highlights the need for Equal Access and Transparency in Tendering Processes.More specific steps need to be undertaken to promote an efficient,standardized,and open tendering market.5.The Case of a globally operating Life Science Company illustrates the need for Incentives for Sustainable Supp

13、ly Chain Management.The establishment of an industry-wide data sharing platform,allowing companies at all levels of the supply chain to share data in an equal and transparent manner would provide such an incentive.Greening Chinas Economy Contributions by German Companies 5 4 Greening Chinas Economy

14、Contributions by German CompaniesContentsIntroduction Energy Saving Through Optimized Production Line The Case of an Automatic Inspection Solution ProviderA Toolkit for Controlling Carbon Emission The Case of a Supplier of High-Quality Window&Sliding SystemsRecycled PET-Material The Case of a Plasti

15、c Recycling and Chemical CompanyA High Waste Recycling Rate The Case of a Waste Treatment CompanySustainable Supply Chain Management The Case of a Life Science CompanyMethodology 561014192225Greening todays economy presents an enormous challenge to countries around the globe.Also,China is strongly c

16、ommitted to the green transformation.By now the country has become the worlds largest investor and producer of renewable energy and is well positioned to be a front runner in the race to sustainability.Especially this year,the Chinese government has again prioritized this transformation,as evidenced

17、 by recent policy initiatives and discussions during the Two Sessions and in various policy documents in recent months(see also the Deep Dive on Green Tech from April 2024).However,regulatory framework conditions matter so that companies can fully unfold the potential of their green technology.Among

18、 others,this includes ensuring equal conditions for market access,transparent compliance procedures and governmental financial support for future products and innovations.While our previous Advocacy Paper on Decarbonization from June 2022 highlights the regulatory challenges of German companies when

19、 offering their green solutions in a more general way,we now collected five concrete industry cases of selected German companies.The intention of using specific cases is tow fold:(1)to use these examples to show the contributions of German German companies,with their extensive expertise in environme

20、ntal technologies and green solutions,are well-equipped to support Chinas green transformation.They have a proven record of accomplishment of contributing to Chinas economic development and innovation through their rich expertise in advanced technologies and high-quality solutions.According to the l

21、atest Business Confidence Survey 2023/2024 of German Chamber of Commerce in China,decarbonization continues to present new opportunities for German companies active in this filed(compare Figure 1).companies for Chinas green transformation more in-depths and(2)to propose regulatory action items to Ch

22、inese central and local governments.If these were properly implemented,German companies could unfold their green potential even better.This would accelerate Chinas green transformation even more.After a brief introduction of the company and its posi-tioning in China,we will introduce its solutions a

23、nd impact in China.Subsequently,we highlight regulatory to-dos for Chinese policy makers,which would enable German companies to unfold their potential to Chinas green transformation even better.Introduction30%26%26%26%25%25%25%25%202320%19%30%25%20%21%17%20%202237%28%51%39%39%37%29%42%202145%39%73%4

24、5%49%51%58%202010%7%-3%1%6%4%8%5%2023-2022Internationalization of Chinese companiesProduction of goods and services to be exported Growth in domestic consumptionSourcing/procurementParticipation in digital technologiesGrowth due to decarbonization-related opportunitiesParticipation in domestic innov

25、ationIncreasing demand for foreign brands and quality Figure 1:Opportunities for German companys China businessPlease rate the following opportunities for your companys China business.Only one answer possible per row,choosing from:significant,neutral,insignificant,and I dont know.Note:Only percentag

26、es of respondents displayed that rated opportunities as“significant”Source:Business Confidence Survey 2023/24 Greening Chinas Economy Contributions by German Companies 7 6 Greening Chinas Economy Contributions by German CompaniesEnergy Saving Through Optimized Production Line The Case of an Automati

27、c Inspection Solution ProviderThe company case presents a German provider of checking and inspecting technology for the beverage,food,and pharmaceutical industries.The companys product portfolio includes unique camera,X-ray and image processing technologies for a precise empty and full container ins

28、pection and trendsetting labelling technology.Moreover,the company provides smart tools In todays industry,to achieve top-notch production volumes per day,many plant manufacturers invest in large conveyor belt-based buffer systems to compensate for malfunctions of individual machines.Buffers are rar

29、ely seen as a costly operating factor,consuming enormous amounts of resources and energy.External factors,such as CO2 emissions,are left economically unconsidered.However,the buffers will remain unused if all machines run smoothly.This means most of the time they would operate for no reason,which ca

30、uses higher energy demand.This technologically outdated approach is highly inefficient and costly from the point of view of material and energy consumption.However,this is due to insufficient experience with modern control technology for plants.Highly efficient control engineering to the line design

31、 of filling plants is already available today.Optimized control engineering contributes not only to energy saving and CO2 reduction as it needs less motors and conveyor belts but also SOLUTIONS&IMPACTCOMPANY PROFILEensures the highest degrees of reliability and minimizes maintenance needs.Incidences

32、 which require maintenance are serviced by a first-class service network.With this,the company addresses a potential not sufficiently recognized by the industry and by policy makers.A modern line design brings the same bottle output with higher efficiency and reliability with significantly lower CO2

33、 emissions at the same time.In addition,due to intelligent controlling,a significant reduction in noise levels in a glass bottle filling line can be achieved.A comparison between the two design approaches shows that(1)half of the material can be saved,(2)only a third of the space is needed,(3)dozens

34、 of drive motors are required,and(4)more than 67 kilowatts of connected load can be saved.Theoretically speaking,if this result is applied to the more than 680 Chinese breweries with around 1,500 bottling lines are projected,potential energy savings of more than 250,000 megawatt hours per year.Over

35、52,000 tons of CO2 emissions would be saved.for container flow optimization as well as production data acquisition and performance analysis to safeguard product quality and line efficiency in a sustainable way.Following a modular design principle with a cross-system control unit in combination with

36、high-quality components thereby ensures a first-class automation solution for every application.Greening Chinas Economy Contributions by German Companies 9 8 Greening Chinas Economy Contributions by German CompaniesREGULATORY ACTION ITEMSCurrently,regulatory measures to promote a green transition of

37、 the industry are conducted without sufficiently standardized indicators.Therefore,energy consumption indices should be introduced in the machinery engineering industry,also in other sectors that have relevant benchmarks and standards to specify CO2 output per unit produced.These indicators could se

38、rve designers of plants as a guide.To provide engineers with a unified foundation,the implementation of a nationwide energy consumption index for different industries should be promoted.Currently the methodology applied in bidding processes focuses on pricing,leaving ecological factors unconsidered.

39、Therefore,an additional and clearly quantifiable environmental assessment factor should be added to the existing state of the tendering system.By this,regulators have a strong instrument to encourage more investment in carbon neutral technologies and to incentivize companies to improve their carbon

40、footprint.To advance energy efficiency in industrial production,it is essential to develop a specialized job profile for production line technicians with a focus on vocational education and training(VET).These technicians play a pivotal role in managing and maintaining production lines,where they ca

41、n significantly influence energy savings and emission reductions.Therefore,the VET curriculum should emphasize energy efficiency,equipping workers with the requisite knowledge and skills to optimize processes.To overcome this,energy efficiency awareness must be integrated into all stages of talent d

42、evelopment,from educational curricula to practical applications in the industry.This comprehensive approach will not only prepare a new generation of technicians with the expertise to implement energy-efficient practices but also encourage a cultural shift towards more sustainable industrial operati

43、ons.By promoting energy efficiency from the ground up,we can drive meaningful change towards a greener and more sustainable industrial sector.Chinas environmental management system already has comprehensive regulatory mechanisms in place.However,in addition to regulatory measures,industry practices

44、are conducted without sufficiently standardized indicators.Consequently,where possible,a rating system on environmentally friendly and environmentally harmful behaviors should be introduced to the industry to create incentives for CO2-reduction.Implement a nationwide energy consumption index for dif

45、ferent industries.Advance vocational education curriculum and awareness on energy efficiency.Introduce a scoring system for goods and practices considering the environmental impacts.Update bidding regulations by an environmental evaluation factor.Greening Chinas Economy Contributions by German Compa

46、nies 11 10 Greening Chinas Economy Contributions by German CompaniesA Toolkit for Controlling Carbon Emission The Case of a Supplier of High-Quality Window&Sliding SystemsThe company case presents a German system supplier for high-quality window,door and facade systems made from aluminum,meeting the

47、 highest requirements of design,comfort,security,and energy efficiency.As one of the technological leaders for the entire building envelope,the company stands for continuous innovation and is a competent partner for investors,architects,and fabricators worldwide.It achieves excellence through certif

48、ied quality and award-winning design and is committed to conserve To better understand the companys solutions and their contribution to Chinas green transformation,the distinction between(1)Operational and(2)Embodied Carbon emissions should be introduced in the following.(1)Operational Carbon Emissi

49、ons are emissions generated during the operational phase of the product.Integrated high-quality solutions for windows,doors and facades help to achieve optimized thermal barrier,water and air tightness and thus reduce energy consumption overall in the building,moreover they provide effective protect

50、ion against more extreme weather effects caused by climate change.With the electricity mix continuedly becoming greener,operational Carbon emissions of buildings are likely to consequently decrease over time.Against this backdrop it is increasingly important to think SOLUTIONS&IMPACTCOMPANY PROFILEa

51、bout buildings more holistically and to focus on its(2)Embodied Carbon Emissions,meaning emissions being generated during the sourcing production and recycling of the product.With its solution the company provides a tailored toolbox for all stakeholders in the construction industry to track and miti

52、gate those emissions.Starting with the design stage of a building,it supports planners and architects to choose the most adapted solution for the building and calculates the embodied carbon emissions in real time.Moreover,for the entire lifetime of a building,upgrading and retrofitting options are o

53、ffered to keep its efficiency.Lastly,with most products being C2C(Cradle to Cradle)certified,they can be dismantled,and raw materials being put back into their respective material cycles.resources with sustainable products.In China,the company finds an environment where the local competition is quic

54、kly catching up on technological benchmarks.With the growing emphasis on a green transformation in China,it argues that sustainability will be a key differentiator in future competition.Therefore,it is in regulators interest to create a market environment promoting sustainable innovations and awardi

55、ng green innovators.Greening Chinas Economy Contributions by German Companies 13 12 Greening Chinas Economy Contributions by German CompaniesREGULATORY ACTION ITEMSAs of now,there is only limited awareness for carbon emissions of a product over its entire lifetime,influencing both regulatory require

56、ments and buyers decisions.For this reason,it is important to create an environment which puts stronger emphasis on this issue.Regulators should explore instruments to increase awareness for embodied carbons among policy makers and buyers.Due to the longevity of buildings,the implementation of stric

57、ter environmental standards for newly constructed buildings presents an important policy instrument for a green transition.Therefore,regulators should also explore ways to promote upgrades in the current building stock.Currently many international building standards do not include embodied carbon In

58、crease awareness for embodied carbons among policy makers and buyers.Include embodied carbon emissions in environmental building standards.The companys solutions are particularly relevant to China as the country is the worlds largest producer and consumer of aluminum by far.A significant share of up

59、stream value chain for aluminum production and respective CO2 emissions is generated in China.With 50%of the global alumina refining capacity and as the top producer of primary aluminum,the countrys aluminum sector significantly contributes to climate change,accounting for 2%of all human-made emissi

60、ons.Notably,the construction sector,which demands 25%of aluminum,plays a pivotal role in this impact.In China,the aluminum sector accounts for 60%of overall emissions.Accordingly,the companys solutions do not only increase profitability and ensure they retain their value in the long term but also ma

61、ke buildings fit for future climate policy changes.Moreover,the companys solutions are especially relevant to China due to the countrys large building and construction sector.Especially the large and old housing stock will need to undergo renovations in the future since currently lots of energy is b

62、eing wasted due to inefficient insulation.In addition,the Chinese countryside still offers lots of space for new buildings and construction sites.This presents the opportunity to adopt holistic,sustainable thinking in property development and construction right from the start of the planning phase.T

63、he companys toolbox offers a way of holistically addressing sustainability in the building industry.From the planning to the construction,and its deconstruction at the end of the lifecycle,it makes emissions visible and controllable by choosing the right products with the right materials supporting

64、the green transformation of the construction sector.emissions yet.By including embodied carbon emissions Chinese regulators have the chance to become frontrunners in building standards setting.With the introduction of the 3-star green building rating important steps in the right direction have alrea

65、dy been undertaken.Therefore,efforts to include embodied carbon in addition to operational carbon should be continued and intensified.The gradual introduction of stricter standards,e.g.,for selected buildings such as public invested buildings,can help to bridge the transition period and pave the way

66、 for a widespread roll-out.Including targets for embodied carbon into tendering&bidding processes as well as into the 14th and 15th 5-year-plans can help to further increase regulatory predictability and a long-term perspective for business operations for companies.A considerable portion of emission

67、s in aluminum production is attributed to the smelting process,which relies on non-renewable energy sources,particularly coal.The extensive use of coal in smelters leads to high CO2 emissions.Although emissions occur both up-and downstream of the production chain,smelters alone contribute to 80%of t

68、he total emissions.Transitioning to clean energy sources could significantly reduce this environmental impact.To address this,promoting energy certificates can play a pivotal role.These certificates,issued by electricity companies,provide transparent information about the proportion of renewable ene

69、rgy in the electricity mix.This transparency enables companies to make informed decisions regarding their energy consumption,allowing them to manage and reduce their emissions effectively.Furthermore,incorporating captive coal usage into the national Emissions Trading Scheme(ETS)could accelerate the

70、 phase-out of this non-renewable energy source.By integrating these measures,we can encourage a shift towards more sustainable practices in the aluminum industry,contributing to a reduction in overall emissions and a more environmentally responsible sector.Promote energy certificates to manage emiss

71、ions from upstream suppliers in the aluminum industry.Greening Chinas Economy Contributions by German Companies 15 14 Greening Chinas Economy Contributions by German CompaniesRecycled PET-Material The Case of a Plastic Recycling and Chemical CompanyThe company is a leading environmental service prov

72、ider and raw materials supplier with the primary objective of promoting sustainable development.The company operates in the areas of recycling,environmental services,China stands as the worlds largest producer and consumer of plastics.The pollution from discarded plastics poses a significant threat

73、to marine ecosystem and human health.Discarding these plastics represents a substantial waste of resources.The plastic recycling industry in China remains fragmented and manual,indicating a nascent stage that has yet to achieve a scaled and circular system,with room for improvement in the constructi

74、on of a comprehensive recycling ecosystem.By having some of its major business segments in the Chinese market,the company is at the forefront of the green transformation.This includes(1)plastics SOLUTIONS&IMPACTCOMPANY PROFILErecycling and recycled PET for food-grade packaging and(2)advancing green

75、gas technology with biogas innovations.The companys solution in plastics recycling can significantly contribute to China by reducing landfill waste and promoting a circular economy.By implementing advanced recycling technologies,the company can help convert discarded plastics into valuable resources

76、,thereby reducing pollution and conserving natural resources.Additionally,this approach supports the Chinese governments environmental protection initiatives and contributes to the countrys sustainable development goals.and the supply of raw materials such as plastics pellets with over 50 years of e

77、xperience in Europe and over 20 years in China.Greening Chinas Economy Contributions by German Companies 17 16 Greening Chinas Economy Contributions by German CompaniesPlastics Recycling and Recycled PET for Food-Grade Packaging:In plastic recycling,the company is committed to transforming waste pla

78、stics into premium recycled materials.By integrating innovative German sorting and processing technologies with innovative research in plastic modification,the company is not only mitigating plastic pollution but also significantly reducing carbon emissions.The expertise of the company is particular

79、ly evident in the recycling of PET(polyethylene terephthalate),especially with recycled PET for food-grade packaging,where the company is one of the industry leaders.For instance,it specializes in the conversion of bottle bricks into food-grade recycled PET pellets,setting a precedent for sustainabi

80、lity and quality in the market.Since 2023,the company has been at the forefront of the initiative of establishing the first recycled PET facility in China.This pioneering project is designed to significantly reduce plastic pollution and conserve valuable fossil resources.Advancing Green Gas Technolo

81、gy with Biogas Innovations:In terms of green gas technology,the company has invested in a groundbreaking project in Hainan Province,that capitalizes on organic waste resources.Building upon three decades of expertise in biogas plant operations from Germany and employing sophisticated anaerobic ferme

82、ntation techniques,the company converts biomass waste into a sustainable energy source of biogas.The project has been customized to address specific characteristics of organic waste in China,processing an impressive 1,500 tons of solid organic waste and 600-800 tons of leachate daily.The project has

83、 not only contributed to bio-natural gas and green electricity production but also greatly impacted carbon reduction.This materializes in a record of accomplishment of producing 34.87 million cubic meters of bio-natural gas,31,377 tons of biodiesel,and 14.42 million kilowatt-hours of clean electrici

84、ty,which can reduce carbon emissions by 81,644 tons.The contributions to sustainable practices have been recognized with prestigious innovation awards from various governmental bodies,including the Ministry of Science and Technology(MOST),and the National Development and Reform Commission(NDRC).REGU

85、LATORY ACTION ITEMSChinas current legal and regulatory landscape presents a significant barrier to the use of recycled plastics in the production of food-contact materials.To unlock the potential of recycled plastics and promote their use in the food packaging industry,a comprehensive and strategic

86、approach to regulatory reform is necessary:Raising public consciousness about the importance of plastic recycling and promoting waste segregation and recycling practices are crucial for increasing the uptake of recycled plastic materials and the industrial utilization.Integrate sustainable practices

87、 and the science of recycling into school curricula to instill a sense of responsibility and knowledge in young people from an early age.This includes understanding the carbon footprint of different materials and the importance of CO2 reduction.Collaboration with foreign institutions in vocational t

88、raining,industry stakeholders,and education institutes would advance more systematic dual Vocational Education and Training(VET).Enhance the regulatory framework for food-grade recycled PET materials.Increase public awareness and advance educational programs.Food-grade rPET(recycled PET)has garnered

89、 widespread acceptance in regions like US,EU,and Japan.Major corporations,including Fortune 500 companies like Coca-Cola,have pledged to increase the utilization of recycled materials.Despite China boasting a recycling rate for waste of plastic bottles surpassing 95%,there is a significant gap in th

90、eir full utilization.In China,the regulations and policies for food contactable recycled plastics are still under discussion.rPET bottles cannot be used for beverage and liquid food industries,mainly because of a mix of standardization and regulatory issues.To unlock the full potential of the recycl

91、ed PET industry in China and foster a more sustainable and economically viable future for rPET materials production and utilization,we advocate for the following initiatives:Introduction of enabling regulations:Introduce regulations that explicitly permit the use of recycled plastics in the producti

92、on of food packaging,containers,and other related products.Harmonization with International Standards:Develop national food safety standards for recycled PET materials that are aligned with or exceed international benchmarks,such as those set by the FDA in the United States and the European Food Saf

93、ety Authority(EFSA).Certification and Quality Assurance:Establish a robust certification system for recycled PET materials to ensure they meet the highest safety and quality standards.Greening Chinas Economy Contributions by German Companies 19 18 Greening Chinas Economy Contributions by German Comp

94、aniesThe imposition of anti-dumping duties by the US,EU,and Japan on Chinese plastic products presents a significant barrier to the growth of the recycled plastics industry.These duties,which range up to about 24%,affect Chinas plastics products including both virgin plastics and recycled plastics,t

95、hereby hindering the development and competitiveness of the recycled sector.To address this challenge,it is crucial that proactive measures are taken to distinguish recycled plastics from those produced from virgin materials in the context of trade regulations.We encourage that the Chinese governmen

96、t take measures and efforts for the exclusion of recycled plastics from the list of anti-dumping duties.The current market dynamics,where recycled plastics often command higher prices than virgin materials,pose a considerable challenge to the widespread adoption of recycled plastics.This price discr

97、epancy can make it less attractive for industries to switch to more sustainable options,despite the environmental benefits they offer.To bridge this gap,we recommend governments and regulatory bodies to consider incentive measures,such as offering targeted incentives and subsidies to manufacturers t

98、hat utilize recycled plastics,and providing tax breaks or reductions for companies that incorporate recycled plastics into their products can offset the higher costs and promote the use of these materials.Strengthen efforts to exclude recycled plastics from anti-dumping duties.Provide policy incenti

99、ves for recycled plastics.A High Waste Recycling Rate The Case of a Waste Treatment Company Greening Chinas Economy Contributions by German Companies 21 20 Greening Chinas Economy Contributions by German CompaniesThe case presents a German waste treatment company,providing sorting and recycling of l

100、iquid and solid waste.As one of the worlds largest disposals contractors,it is committed to the development of the circular economy in China.Its business areas include high-quality recycling,The regulation for environmental services and waste treatment businesses has already undergone important step

101、s towards a green transition.Strengthening solid waste and waste disposal to increase the reuse of resources became part of Chinas national strategy.In addition,In China,the companys focus is on hazardous waste treatment.To this end,it provides standardized,highly integrated,and detailed solutions f

102、or hazardous waste treatment in a transparent process,delivering a particularly high recycling rate for hazardous waste.With this,it is creating numerous benefits for business,society,and the environment.Among others,those include resource saving,energy optimization,contributing to the establishment

103、 of a circular economy.SOLUTIONS&IMPACTCOMPANY PROFILEREGULATORY ACTION ITEMSIts solutions are particularly relevant to China as the countrys economy is yet about to transform from a period of rapid growth to steady,mature development.Because of this,the amount of total waste is likely to increase.A

104、s a result,the development and implementation of a sustainable waste treatment regime,relying on a high recycling rate,high energy-efficiency,and leaving as little unrecyclable waste back as possible is of utmost importance.water management and environmental services.The company brings high-tech and

105、 operational expertise.The business model includes cooperation with private waste producers and contracting with municipalities to recycle waste.concrete policies and laws like the Solid Wate Disposal Act are enhanced through a series of approaches like supervision and inspection system.Nevertheless

106、,further steps need to be taken.Foreign investments,especially from Germany,are extremely welcomed by China.However,they continue to face the downturn of the Chinas hazardous waste market,in which the quantity of the hazardous waste decreased and the disposal price falls.In view of this,German envir

107、onmental protection company plans to introduce the model of the comprehensive recycling ecological industrial park from German to build a low-carbon and zero-pollution benchmark ecological industrial park in China,actively responding to Chinas green energy transformation strategy.The project impleme

108、ntation in China requires the German expert team,an experienced management team and a long-term investment and construction,which results in a long investment return cycle and low profit margins in short term.Therefore,the granting of subsidies to hazardous waste companies should be continued.Hazard

109、ous waste treatment requires companies to get a license as well as winning public tenders.The Provincial level thereby oversees the issuing of hazardous waste treatment licenses.In addition,companies reported an overissuing of hazardous waste treatment licenses,making it difficult for them to acquir

110、e a critical mass of waste for their operations.The licenses for hazardous waste treatment far exceed the available amount of hazardous waste,leading to a saturated market for hazardous waste disposal.As a result,disposal companies are facing strong competitive pressure.In these circumstances,the te

111、chnological and experience advantages of foreign-funded companies cannot withstand the dilemma of the quantity decreasing and the disposal price falling,as well as high operating costs.Therefore,it is called on municipal authorities to coordinate the issuance of hazardous waste licenses,strengthen e

112、xchanges with foreign-funded companies,learn from foreign experiences,avoid detours,and build a standardized,fair competition,harmonious,and sustainable market environment.Social responsibility in the hazardous waste disposal market outweighs economic benefits.The government should consider more exp

113、erienced,knowledgeable,and long-term professional investors in this field,rather than short-term players who make easy money.Continue granting subsidies to the hazardous waste market.Call for rational overall planning and a strengthening of exchanges with foreign companies.Strengthen Corporate Socia

114、l Responsibility among waste treatment companies.Greening Chinas Economy Contributions by German Companies 23 22 Greening Chinas Economy Contributions by German CompaniesSustainable Supply Chain Management The Case of a Life Science CompanyThis case presents a German life science company and a globa

115、l leader in healthcare and nutrition.The companys product portfolio ranges from pharmaceuticals,consumer health to crop sciences.Due to its longstanding The company can contribute to Chinas green trans-formation by offering its rich experience in sustainable supply chain management.This experience i

116、ncludes a detailed sustainability strategy and concrete action guidelines,which provide recommendations for future policy making.At the core of the companys efforts are comprehensive supplier check-ups in its upstream value chain including a monitoring,evaluation,and assistance system.The companys s

117、ystem has undergone extensive validation over the years.Thereby,the monitoring is conducted through channels such as EcoVadis,PSCI(which is highly relevant to sustainability indicators like EHS),on-site inspections,CDP questionnaires,and sustainability dialogues.Additionally,the company maintains gr

118、een production facilities in China,fueled by green energy and dedicated to energy and waste optimized production processes,particularly packaging.The company has long-standing experience of greening upstream supply chains.Its sustainable supply chain management strategy touches the various aspects o

119、f a green transformation,including green energy,energy saving,energy efficiency,and circular economy.Therefore,SOLUTIONS&IMPACTCOMPANY PROFILEit provides comprehensive insights for Chinese policy makers.In terms of promoting green production,the company reduced 868 tons of carbon emissions since 202

120、1,by replacing diesel boilers with natural gas boilers.Furthermore,the company recycles condensate water for irrigation of plants and optimizes air conditioning usage to further reduce energy consumption.The company has increased its green energy proportion from 85.3%to 89.61%in 2020-2023.Its carbon

121、 footprint ranks the lowest within corporate globally,with carbon emissions per unit in 2023 being only 36%of the industry level in terms of output value(45%in terms of capacity).Besides,it plans to further purchase green electricity transaction certificates to increase the proportion of green energ

122、y to 100%,contributing to global sustainable development.Additionally,the company optimizes its product packaging,such as reducing the weight of the product manuals by 25%.In the future,the company plans to print manual content on the inside of packaging boxes,saving materials,and improving consumer

123、 convenience.To encourage consumers to recycle,recycling labels will also be prominently displayed on new mitment to China,the company is invested with several production sites as well as multiple business operation units on-site.Greening Chinas Economy Contributions by German Companies 25 24 Greeni

124、ng Chinas Economy Contributions by German CompaniesREGULATORY ACTION ITEMSIn promoting sustainable development in the supply chain,data acquisition and sharing remain a challenge.Many companies,especially small and medium-sized ones,lack the necessary capabilities and resources to collect,analyze,an

125、d share critical environmental data,which limits the overall sustainability progress of the industry.This includes data on scope 1 and 3 emissions,the share of green energy and materials used in production.To address this issue,it is necessary to establish a data sharing platform that allows compani

126、es at all levels of the supply chain to benefit from equal and transparent data sharing.Such a platform can not only promote cooperation and communication between upstream and downstream companies in the supply chain but also help companies better monitor and manage their environmental impacts,there

127、by driving the entire industry towards a more sustainable direction.Replacing industry equipment with state-of-the-art machinery offers not only an increase in output productivity and efficiency but also a significant decrease in energy consumption.However,specialized industry equipment comes with h

128、igh investment costs for operators.Therefore,government incentive policies play a vital role in promoting innovation.Because of this,government incentives present crucial policy support to encourage companies to upgrade equipment.However,at this point most incentives to promote sustainable investmen

129、ts are granted by the central government.Provincial governments efforts to provide incentives for sustainable products and solutions should be streamlined and a knowledge-sharing-mechanism should be established.Establish an industry-wide data sharing platform.Provide government incentives to encoura

130、ge industry equipment upgrading.A sufficient supply of green energy presents an important prerequisite for companies to deliver on their commitment to sustainability.To make credible statements concerning the utilization of green energy,it is important for companies to have detailed information on t

131、he composition of their energy mix.What percentage of this could be entitled for the company,and what types of energy are they.What is needed however is more transparency during the recognition process for green companies so that they can benchmark themselves and improve the fairness and credibility

132、 of certification.This would also help increase the acceptance of green energy certificates(GEC).Ensure sufficient access and transparency concerning green energy sources.MethodologyInitial desk research helped to identify key areas of action for a green industry transformation.With a call for cases

133、 among all German Chamber member companies,project cases from a variety of industries were collected.As a second step of the data collection process,strategic sampling was applied to conduct interviews with in-dustry experts from selected companies,identified during the initial desk research and the

134、 call for cases.The data was then reviewed and synthesized into case summaries highlighting each cases solution and regulatory challenges.The summaries were sent to the interviewees for feedback before the entire paper underwent another review by the authors.Greening Chinas Economy Contributions by

135、German Companies 27 26 Greening Chinas Economy Contributions by German CompaniesNotes:Greening Chinas Economy Contributions by German Companies28 Greening Chinas Economy Contributions by German CompaniesDisclaimer:2024 German Chamber of Commerce in China(GCC).No part of this publication may be repro

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