Sustainable Procurement Policy

Sustainable procurement policy

In order to comply with our code of conduct and human rights policies, Tongyu Communication Inc. (short for "Tongyu Company") will clearly pass on sustainable procurement requirements to suppliers by contract. To evaluate supplier performance, we will take rating system and sustainability of on-site audit, promoting and supporting supplier who fall below the rating to make improvement.

Tongyu’s sustainable procurement policy is as below:

1. To comply with the EICC (electronic industry civil unions) and international human rights standards, require suppliers make self-commitment to follow the global compact principles, comply with environmental, health and safety requirements .Require purchasing department clearly and sustainably pass on to suppliers by means of contract and agreement, confirm the purchase contract documents all suppliers sign the , are conform to the regulations of tongyu communication ‘s supplier purchase agreement .

2. By the way of rating system, questionnaire survey, on-site audit to evaluate supplier's sustainability performance.

3. Sustainable procurement performance is necessary for selecting and managing supplier .For those who don’t meet the supply substandard, they need to make improvement, and they will be into the qualified supplier list after they are qualified.

4. Be sure that we need to sign with all suppliers concerning "don't use conflict minerals procurement pledge", each year take conflict minerals survey of all suppliers which to ensure that the products contained in the tin, tantalum, tungsten and gold do not directly or indirectly provide money or interest for armed team abusing human rights from democratic republic of Congo and surrounding countries/regions ;meanwhile, use conflict minerals reporting template (CMRT report)to transfer information of mineral origin and corresponding information of smelter and refinery of supply chain, making ensure that complying with the EICC and sustainable development of the global electronic initiative (GeSI).

5. Tongyu company requires suppliers to comply with the sustainable procurement requirements, including not limited to: labor standards, safety and health, environmental protection, business ethics and the management system ,abide by the laws of the countries/regions where laws and regulations, encourage enterprises to adopt international standards, commit social and environmental responsibility, at the same time, abide by business ethics, respect for intellectual property, protection of customer information ,and take  responsible procure strategy, etc.

This policy applies to all suppliers and all staff and employees interfacing with suppliers, we all have the responsibility to fully comply with and improve the awareness of sustainability of our suppliers. This policy may be changed according to international standards, laws and regulations make appropriate updating.