Midea Group Human Rights Statement

1. Our Commitment to Human Rights Protection
1.1 Identification of Significant Human Rights Risks
1.2 Human Rights Practices in Our Operations
1.2.1 Employees
1.2.2 Direct Activities
1.2.3 Products or Services
1.3 Expectations for Suppliers

2. Human Rights Risk Assessment and Mitigation
2.1 Risk Assessment Methodology
2.1.1 Scope of Identification
2.1.2 Assessment Criteria and Methods
2.2 Mitigation Measures

3. Grievance Mechanism
3.1 Reporting Channels
3.2 Handling Procedures

4. Oversight and Review
4.1 Internal Monitoring
4.2 External Review

5. Continuous Improvement
5.1 Periodic Evaluations
5.2 Corrective Actions

Preamble

Midea Group (hereinafter referred to as “we” or “the Group”) firmly upholds the principle of respecting and safeguarding human rights, a principle embedded in our corporate values and reflected across our global operations. We believe that every individual is entitled to equal dignity and rights. Respect for human rights is not only a moral obligation but also a fundamental pillar of sustainable development and long-term business success.

This Statement outlines the Group’s commitments, policies, and practices in relation to human rights. It sets forth our stance on key human rights issues and details the specific expectations we impose within our own operations, supply chain management, and collaborations with business partners.

1. Our Commitment to Human Rights Protection

Midea Group is firmly committed to respecting and promoting human rights, adhering to internationally recognised human rights standards and principles, including the Ten Principles of the United Nations Global Compact, the UN Guiding Principles on Business and Human Rights, and relevant international human rights conventions. We integrate human rights into our strategic decision-making, daily operations, and corporate culture to ensure our actions have a positive impact on employees, suppliers, partners, and broader society.

1.1 Identification of Significant Human Rights Risks

1.1.1 Human Trafficking and Forced Labour
We firmly oppose human trafficking and forced labour, considering these to be serious violations of human rights. In all Midea Group operations and throughout our supply chain, we strictly comply with relevant laws and regulations to ensure all labour relationships are based on principles of voluntariness and equality. We explicitly prohibit any form of human trafficking or forced labour.

1.1.2 Child Labour
We strictly adhere to international and local laws and regulations on child labour and prohibit the employment of any individual below the minimum legal working age. We take active measures to prevent the use of child labour in our business activities and ensure that the rights of young workers are fully protected.

1.1.3 Freedom of Association and Collective Bargaining
We respect employees’ rights to freedom of association and fully recognise and support their right to engage in collective bargaining. We are committed to addressing employment-related concerns through constructive dialogue to safeguard employees’ lawful rights and interests.

1.1.4 Equal Pay for Equal Work
We uphold the principle of equal pay for equal work and ensure that all employees receive equal compensation for equal work regardless of gender, race, religion, or other factors. We are committed to eliminating pay discrimination and establishing a fair and equitable remuneration system, while providing equal opportunities for career advancement.

1.1.5 Non-Discrimination
We oppose all forms of discrimination, including but not limited to discrimination based on race, colour, gender, religion, age, nationality, sexual orientation, or disability. We strive to foster an inclusive and diverse working environment in which every employee feels respected and empowered to reach their full potential.

1.1.6 Other Rights
We respect employees' rights to privacy and freedom of expression and are committed to safeguarding their health and safety by providing a safe and healthy working environment. In addition, we prioritise the protection of consumer rights by ensuring the quality and safety of our products and services.

1.2 Human Rights Practices in Our Operations

1.2.1 Employees

1.2.1.1 Our recruitment processes adhere to the principles of fairness, impartiality, and transparency, and exclude any form of human trafficking, forced labour, or child labour. We conduct strict due diligence on recruitment channels and avoid cooperation with any unlawful labour intermediaries to ensure equal employment opportunities.

1.2.1.2 We provide a safe and hygienic working environment that complies with applicable international and local occupational health and safety standards. We conduct regular workplace safety assessments to identify and eliminate potential hazards, thereby protecting employees’ physical health.

1.2.1.3 We maintain a fair remuneration system to ensure equal pay for equal work. Periodic reviews are conducted to eliminate pay gaps and foster a culture of motivation and recognition.

1.2.1.4 We respect employees’ rights to freedom of association and collective bargaining, and engage in active communication and consultation with employee representatives to address issues in the workplace and foster harmonious labour relations.

1.2.1.5 We offer equal career development opportunities and do not discriminate on the basis of race, gender, religion, or other characteristics. We implement inclusive and diverse talent development programmes that provide training and promotion opportunities to support employees’ all-round growth.

1.2.2 Direct Business Activities

1.2.2.1 Our business activities fully comply with applicable human rights laws and regulations, and we refrain from engaging in any activities that may infringe on human rights. Human rights impact assessments are conducted during project investments and business expansion to avoid adverse impacts on local communities or individuals.

1.2.2.2 We actively support sustainable development by minimising the environmental impact of our operations and contributing to the well-being of society and the environment.

1.2.3 Products and Services

1.2.3.1 We ensure that all products and services meet quality and safety standards under applicable domestic and international regulations. We do not manufacture products that pose health or safety risks to consumers. A robust quality control system is in place to monitor products and services throughout their life cycle to ensure reliability.

1.2.3.2 Human rights considerations, such as product accessibility and ease of use, are incorporated into our product design and development processes to meet the needs of diverse consumer groups and enhance the overall customer experience.

1.3 Supplier Requirements

1.3.1 We require all suppliers to comply with applicable human rights laws and regulations, particularly with respect to the prohibition of human trafficking, forced labour, and child labour. Midea values suppliers’ environmental and labour management practices. Where reasonably notified, we reserve the right to conduct on-site audits to evaluate compliance with these principles, which will be reflected in the supplier’s overall performance evaluation.

1.3.2 Midea reserves the right to withhold new business or terminate existing agreements with suppliers that violate human rights standards. Furthermore, suppliers are responsible for ensuring that their own supply chains also adhere to the same human rights requirements.

Definition of "Suppliers":
This includes, but is not limited to, agents, consultants, contractors, distributors, franchisees or licensees, home-based workers, independent contractors, manufacturers, primary producers, subcontractors, and wholesalers.

2. Human Rights Risk Assessment and Mitigation

We adopt a risk-based approach to human rights due diligence in order to identify and assess potential human rights risks. Periodic evaluations are conducted to assess human rights issues that may exist within our operations, supply chain, and partnerships, with corresponding risk mitigation plans developed accordingly.

2.1 Risk Assessment Methodology

2.1.1 Scope of Identification

2.1.1.1 Issues Covered:

Includes, but is not limited to, forced labour, human trafficking, child labour, freedom of association, collective bargaining rights, equal pay, and non-discrimination.

2.1.1.2 Vulnerable Groups:

Includes employees, women and girls, indigenous peoples, migrant workers, outsourced personnel, and members of local communities.

2.1.2 Assessment Criteria and Methods

2.1.2.1 We conduct risk assessments by referencing international guidelines and industry standards such as the OECD Guidelines for Multinational Enterprises on Responsible Business Conduct. We analyse the nature, scale, and geographical distribution of our business activities to identify potential human rights risk hotspots.

2.1.2.2 We gather feedback and insights from stakeholders including employees, suppliers, and community organisations to obtain a comprehensive understanding of human rights risks. Techniques such as data analysis and case studies are employed to assess the likelihood and impact of identified risks in depth.

2.2 Mitigation Measures

2.2.1 Internal Management Mechanisms
We have established internal policies that define responsibilities and procedures for managing human rights risks. Each business unit’s HRBP department is responsible for coordinating and advancing human rights initiatives. These teams work collaboratively with human resources professionals, legal experts, and operational managers to monitor and provide early warnings of potential human rights issues based on established human rights policies.

2.2.2 External Engagement and Collaboration
We actively strengthen communication and collaboration with external stakeholders to jointly address human rights risks. Long-term and stable partnerships are maintained with suppliers, partners, and community organisations to promote the protection of human rights.

2.2.3 Risk Monitoring and Adjustment
We monitor risk indicators through the collection and analysis of various data sources, such as employee satisfaction surveys, to enable timely detection and early warning of potential human rights risks.

2.2.4 Scope of Human Rights Mitigation Plans
Our human rights mitigation plans apply to all of our operational locations, including but not limited to our headquarters, subsidiaries, manufacturing facilities, and sales outlets. Whether in domestic or international markets, we are committed to ensuring consistency in human rights standards and the effective implementation of such standards. In different regions, our mitigation plans are adapted and optimised in accordance with local laws, regulations, and cultural contexts to ensure they are appropriately aligned with on-the-ground realities.

3. Complaints Mechanism

We have established an effective complaints mechanism to encourage employees, suppliers, partners, and other stakeholders to report any suspected violations of the human rights policy.

3.1 Complaint Channels

3.1.1 Dedicated complaint hotlines and email addresses have been established to ensure unobstructed access to reporting mechanisms. These contact details are published on both internal and external company websites to facilitate stakeholder reporting.

3.1.2 All complaint channels support anonymous submissions and protect whistleblowers from retaliation. A strict confidentiality policy is in place to ensure that the identity of the complainant is not disclosed.

3.2 Handling Procedures

3.2.1 All complaints are subject to prompt and impartial investigation following a rigorous investigative procedure. The HRBP department is responsible for handling and resolving such complaints.

3.2.2 Based on the investigation findings, appropriate corrective and preventive measures are taken, and results are communicated in a timely manner. Violations of human rights policies are dealt with seriously, and relevant personnel are subject to training and education to prevent recurrence.

4. Monitoring and Review

We conduct internal assessments to evaluate the effectiveness of our human rights policies and practices.

4.1 Internal Monitoring

4.1.1 The HRBP department is responsible for overseeing the implementation of the company’s human rights policies.

4.1.2 Internal audits are conducted to assess the enforcement of the human rights risk management system. Identified issues are promptly rectified to support the continuous improvement of the human rights management framework.

4.2 External Review

4.2.1 External experts and institutions are invited to evaluate our human rights practices, providing objective feedback and recommendations. We actively participate in industry human rights initiatives and standard-setting efforts, and we welcome external oversight and guidance to enhance our human rights management capabilities.

5. Continuous Improvement

We are committed to the continuous enhancement of our human rights policies and practices, with the aim of improving our performance in the protection of human rights.

5.1 Periodic Evaluations

Comprehensive evaluations of human rights policies and practices are conducted periodically to summarise lessons learned and identify areas for improvement. Assessment information is collected through data analysis, employee feedback, and stakeholder engagement surveys.

5.2 Improvement Measures

5.2.1 Based on evaluation results, targeted improvement actions are formulated, with clear assignment of responsibilities and deadlines. Human rights policies are revised and refined, and management processes are optimised accordingly.

5.2.2 Implementation of improvement measures is closely monitored to ensure tangible results. Irregular reviews are conducted to assess implementation status, and adjustments are made as necessary.

Midea Group will continue to monitor developments in the field of human rights, proactively address emerging challenges, and enhance our policies and practices to better protect human rights. We firmly believe that through our ongoing efforts, we can embed the values of human rights in all business operations and contribute to the creation of a more equitable, harmonious, and sustainable world.

Midea Group Co., Ltd.

March 2025