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BMW SUSTAINABILITY & CSR FORUM

Take Our Responsibility, Share BMW Joy

BMW Holds 2019 BMW Corporate Social Responsibility Forum
Delivers CSR innovations for sustainable social development in China

(Beijing) On May 15th, BMW’s “Take Our Responsibility, Share BMW Joy – 2019 BMW Corporate Social Responsibility Forum” was successfully held in Beijing. In conjunction with the 10th anniversary of the China Charity Federation BMW Warm Heart Fund and the 15th anniversary of BMW Children’s Traffic Safety Education, BMW took the opportunity to reflect on the past to enlighten the future at the forum, releasing a series of corporate social responsibility (CSR) innovations that included:
? The launch of the “Children’s Traffic Safety Education Guide” in collaboration with the China Children’s Press and Publication Group, which is guided by the Traffic Management Bureau of the Ministry of Public Security and funded by the China Charity Federation BMW Warm Heart Fund;
? The start of the writing process for the “Joyful Sports Guidebook”, which focuses on the capacity building of rural teachers and social volunteers to promote the healthy development of left-behind children and migrant children, also funded by the China Charity Federation BMW Warm Heart Fund

These two guidebooks provide volunteers, teachers, philanthropists and charity organizations with lesson plans and educational resources to address the lack of curriculum for children’s traffic safety education and physical education for left-behind children respectively, realizing the BMW CSR philosophy of enabling.

Mr. Goller, President and CEO of BMW Group Region China, said: “The BMW Group, as a responsible company and a pioneer of future mobility, has been innovating excellent products and pursuing sustainable development. We want to contribute to a better life for everyone, just as what the Chinese government has pledged to its people – better jobs, better environment, and better materials for living. CSR is part of BMW Group’s sustainable development. It is an extension of our business success. BMW Children’s Traffic Safety Education is a fine example of our CSR programs that demonstrates BMW Group’s business ethics and commitment to the society.”

Dr. Wieland, President and CEO of BMW Brilliance Automotive Ltd., said: “At BMW Brilliance we believe that for a company to grow from Good to Great, it must stand for more than just the sales performance and profitability. A Great company should also be a responsible company, which engages with society and social issue. The development of China Charity Federation BMW Warm Heart Fund in the past 10 years and its contributions fully demonstrate our long-term commitment to contributing to the Chinese society, and how we are engaging our stakeholders and inspire them to contribute to a better and brighter China.”

Mr. Bian Zhiwei, Secretary-General of the China Charity Federation, said: “Enterprises grow by creating wealth, and develop by taking responsibility. As BMW grows and develops, it is also creating opportunities for members of the society to participate in social welfare by leveraging its own extensive resources and the China Charity Federation BMW Warm Heart Fund. This is precisely the perfect example of sustainable CSR development. All enterprises are doing their best to grow in support of our national plans for poverty alleviation, but we have to also remember our responsibility - help those that need help to contribute to a better society.”

Responds to real social development needs, realizes long-term commitment to Chinese society

In 2005, BMW launched BMW Children’s Traffic Safety Education, kicking off BMW Corporate Social Responsibility in China. This year marks the 15th anniversary of the project; moving forward, BMW Children’s Traffic Safety Education will be producing the Children’s Traffic Safety Education Guide in collaboration with the China Children’s Press and Publication Group, guided by the Traffic Management Bureau of the Ministry of Public Security and funded by the China Charity Federation BMW Warm Heart Fund. This guidebook will provide practical children’s traffic safety education lesson plans and samples of volunteer activities for teachers and volunteers. This publication of this guidebook will promote the standardization of volunteer services and the development of children’s traffic safety education delivered by volunteers. At the same time, BMW will collaborate with local traffic police and authorized BMW dealers and BMW Warm Heart Customer Clubs to establish BMW Children’s Traffic Safety Ambassador training bases nationwide. The training bases will serve as a public platform to train volunteers to deliver children’s traffic safety education knowledge in schools and local communities.

Engages dealers, customers, associates and other stakeholders to create shared value for Chinese society

In 2008, BMW China and BMW Brilliance joined hands with the China Charity Federation to set up the China Charity Federation BMW Warm Heart Fund, marking a new phase for BMW Corporate Social Responsibility with broad stakeholder engagement. Funded by the China Charity Federation BMW Warm Heart Fund, BMW JOY Home is a BMW exclusive stakeholder engagement program. Since its launch in 2011, it has engaged nearly 10,000 BMW customers, authorized dealers and associates to participate in CSR activities. In 2017, BMW JOY Home completed its upgrade from charitable donations to the empowerment of its beneficiaries. Moving forward, the China Charity Federation BMW Warm Heart Fund is funding the “Joyful Sports Guide”, which is aimed at rural teachers and social volunteers, and contains 30 demonstration videos of joyful sports lessons to effectively help them develop appropriate sports games for children. At the same time, the guidebook will also be widely used by public volunteers as a guide for relevant social welfare activities.

While actively participating in BMWs CSR activities, BMW’s stakeholders also contribute to society and create shared value. Over the years, BMW warm-hearted customers have on their own initiative established 19 Warm Heart Customer Clubs in 18 cities nationwide. Motivated by BMW CSR, the Xi’an Xiyuehui BMW Warm Heart Customer Club transformed from a social organization into a non-profit organization and became officially registered as Xi’an Xiyuehui Student Charity Association this year – this is another successful example of BMW CSR stakeholder practice’s social outcome. BMW associates, as important stakeholders of BMW, are also very active in social welfare. BMW Shenyang Associate Social Responsibility program, for example, has been running for 10 years and made significant contributions to local communities. In order to guide associates to carry out corporate volunteer activities in a more systematic and standardized manner, BMW set up a BMW Corporate Volunteer Association to encourage more employees to become volunteers and contribute to the community, and work towards the sustainable development of the Chinese society with BMW.

First Comprehensive Response to UN Sustainable Development Goals (SDGs)

BMW Brilliance Publishes Sustainability Report 2018
Promotes Sustainable Development Throughout Value Chain with Enhanced Responsibility

? BMW Brilliance gave a comprehensive response to the United Nations Sustainable Development Goals (SDGs) for the first time, aligning its business with the goals
? BMW Brilliance’s electric vehicles sales volume totaled 21,438, increasing ninefold from 2017
? In 2018, BMW Brilliances Corporate Average Fuel Consumption reached 5.84L/100km (a 5.3% decrease from 2017), maintaining top ranking among automobile joint ventures in China

Shenyang: On September 9th, the BMW Brilliance Automotive Ltd. Sustainability Report 2018 (hereinafter referred to as the Sustainability Report) was officially launched. According to the Sustainability Report, BMW Brilliances Corporate Average Fuel Consumption reached 5.84L/100km (a 5.3% decrease from 2017), maintaining top ranking among automobile joint ventures in China.

As a member of the United Nations Global Compact, BMW Brilliance integrated the United Nations Sustainable Development Goals (SDGs) into its business for the first time and actively fulfilled its social responsibilities to achieve the SDGs. The contents of the Sustainability Report corresponded to the SDGs. To reinforce the disclosure of responsibilities, BMW Brilliance invited an authoritative third-party audit agency to conduct data assurance on 18 prioritized Key Performance Indicators for the first time on the basis of compiling the report in accordance with the latest GRI Standards.

Dr. Johann Wieland, President and CEO of BMW Brilliance Automotive Ltd., said, “The United Nations Sustainable Development Goals (SDGs) are part of a global action plan to shape economic progress in an environmentally compatible manner and in accordance with social equity, and at BMW Brilliance, we are convinced that companies can make a positive contribution to achieving these goals. BMW Brilliance has a proven track record of delivering on our sustainability commitments. Our aspiration to be the leading sustainable provider of premium individual mobility across the entire value chain of China’s automotive industry is in full stride with our latest products and innovations. We are producing technology-leading BMW vehicles, engines, and high voltage batteries, and pioneering E-Mobility in China.”

Upholding the vision to be the leading sustainable provider of premium individual mobility across the entire value chain of China’s automotive industry, BMW Brilliance has achieved significant results across its three main pillars: Products and Services, Production and Value Creation, and Employees and Society.

Leading Future Mobility With Sustainable Products and Services

BMW Brilliance strives to provide responsible and sustainable products and services that reduce emissions and keep our customers safer and healthier. BMW Brilliance’s Corporate Average Fuel Consumption reached 5.84L/100km in 2018, a 5.3% decrease from 2017, and remains the top-ranked joint venture in China in terms of corporate average fuel consumption achievement rate. This achievement not only benefited from the application of efficient dynamics technology, but also significant growth of electric vehicle production volume. In 2018, BMW Brilliance’s electric vehicles sales volume reached 21,438, a ninefold increase from 2017.

In terms of CO2 emissions reduction, BMW Brilliance’s average fleet CO2 emissions fell 5.4% in 2018, from 146.9g/km to 139g/km. Meanwhile, BMW Brilliance is creating an E-Mobility ecosystem. With innovative technology and superior R&D capabilities, BMW Brilliance is constantly promoting the development of new energy products and services, and has launched 5 electric vehicle models in the past 5 years. In 2018, BMW Brilliance laid the foundation for the Phase 2 extension of the High Voltage Battery Centre in Shenyang, which will support the production of the all-electric BMW iX3 in 2020. BMW Brilliance is also actively supporting for the infrastructure and service providers that enable electric vehicle mobility. By the end of 2018, BMW’s public charging network had expanded to more than 150 cities in China with over 80,000 charging pillars.

Setting an Example for Green and Smart Manufacturing

BMW Brilliance is a role model for green and smart manufacturing. All vehicles are manufactured using Industry 4.0 technologies and eco-efficient production processes - efforts that won BMW Brilliance the National Green Plant Award. BMW Brilliance is also a role model for “Intelligent Manufacturing in China”. Both Dadong and Tiexi have developed highly flexible production lines capable of producing traditional combustion engine vehicles and electric vehicles on the same assembly line.

By increasing its own renewable power generation capacity and purchasing wind power, BMW Brilliance’s CO2 emission free electricity consumption reached 43% in 2018, and forecast to reach 90% in 2019. At the same time, the continuous increase of logistics efficiency is also an important representation of its green production. By continuously optimizing the multimodal transport scheme and increasing the use of shipping and railway transportation, BMW Brilliance has reduced CO2 emissions per car in finished vehicle logistics by 43% since 2014.

While promoting its own sustainable development, BMW Brilliance also actively engages suppliers to implement responsible and sustainable production. In 2018, BMW Brilliance intensified the risk management of Environment, Health, and Safety (EHS). By implementing the new EHS Protection Agency (EPA) initiative, BMW Brilliance extended its risk management of the supply chain to N-tier suppliers, expanded the depth and breadth of supplier management, assisted the sustainable development of suppliers, and realized a win-win strategy across the value chain.

Rooted in China, Creating Shared Value for the Industry and Society

BMW Brilliance celebrated its 15th anniversary as a joint venture between BMW Group and Brilliance Group in 2018, and its emphasis on talent is key to its successful development for the past 15 years. In 2018, BMW Brilliance won six employer awards, including “Best Employer in China”, which are a testament to its outstanding performance in the field of human resources management.

As an advocate and practitioner of strategic Corporate Social Responsibility, BMW Corporate Social Responsibility is committed to creating shared value and implementing its long-term commitment to Chinese society with practical actions. The year 2018 was marked with a series of milestones. BMW China Culture Journey debuted the Yushu Impression series, which aims to achieve cultural poverty alleviation by creating shared value. The BMW Children’s Traffic Safety Education program launched "BMW Children’s Traffic Safety Ambassador" in school for the first time, engaging volunteers to go into nearly 200 schools across the country to promote children’s road safety education, benefiting more than 70,000 teachers and students. The program also set a new GUINNESS WORLD RECORDS? title - "Largest traffic conducting lesson". BMW held the first BMW JOY Home Football Tournament Summer Camp, and 100 primary school students between the ages of 9 to 12 and 20 physical education teachers received football skills training in Shenyang. In addition to continuous innovation in its corporate social responsibility projects, BMW officially established the BMW Corporate Volunteer Association to encourage more employees to participate in voluntary service. At the same time, BMW first used the scientific and comprehensive Corporate Social Responsibility evaluation system - the IOOI (Input, Output, Outcome, Impact) model - to evaluate Corporate Social Responsibility projects both quantitatively and qualitatively throughout its implementation process to achieve transparent and measurable social benefits.

BMW BRILLIANCE LAUNCHED SUSTAINABILITY REPORT FOR THE FIFTH CONSECUTIVE YEAR

BMW Brilliance Sustainability Strategy Leads The Way To Victory Across The Entire Value Chain

? BMW Brilliance upgrade its sustainability strategy ? BMW Brilliance retained position as top-ranked joint venture in China in standard rate of corporate average fuel consumption in 2017. ? BMW Brilliance among the first to be recognized as National Green Plant award in 2017

(Shenyang) Today, the BMW Brilliance Automotive Ltd. Sustainability Report 2017 (hereinafter referred to as the Sustainability Report) is officially launched. Within the Sustainability Report, BMW Brilliance upgraded its sustainability strategy. According to the data jointly released by the Ministry of Industry and Information Technology and three other ministries, BMW Brilliance cut its corporate average fuel consumption to 6.17 liters/100 kilometers in 2017 (compared to 6.69 liters/100 kilometers in 2016), remaining the top-ranked joint venture in China in standard rate. In the meantime, BMW Brilliance is actively contributing to the implementation of China’s green manufacturing strategy, receiving the National Green Plant award as one of the first companies in the green manufacturing demonstration list published by the Ministry of Industry and Information Technology in September 2017.

Dr. Johann Wieland, President and CEO of BMW Brilliance Automotive Ltd., remarked, “At BMW Brilliance, sustainability is one of the cornerstones of our corporate strategy. As we launch our fifth consecutive Sustainability Report, we updated our sustainability strategy, with our aspiration to be the leading sustainable provider of premium individual mobility across the Chinese automotive industry and industrial chain. The strategy joins hands with stakeholders to promote transformation and upgrading of Chinas automotive industry and drive the green development of the whole value chain. Our strategy reflects our ongoing support for China’s National Plan for a Beautiful China. It also reflects our commitment as a participant of the United Nations Global Compact and to the realization of the 2030 Agenda for Sustainable Development.”

Following the 3P (people, planet and prosperity) principles of the sustainability theory, BMW Brilliance established a clear goal of “delivering innovative and sustainable mobility products and services to serve changing customer needs and enhance the quality of life of all stakeholders”. Under the guidance, BMW Brilliance has achieved tangible results in all three aspects of products and services, production and value creation, and employees and society.

MAKING COMPREHENSIVE PLAN FOR FUTURE MOBILITY, PROMOTING SUSTAINABILITY ACROSS THE ENTIRE VALUE CHAIN

BMW Brilliance cut its corporate average fuel consumption to 6.17 liters/100 kilometers in 2017 (compared to 6.69 liters/100 kilometers in 2016), remaining the top-ranked joint venture in China in standard rate. To implement BMW Group’s Efficient Dynamics Strategy, BMW Brilliance has made continuous efforts to reduce the fuel requirement of vehicles through innovative technologies such as lightweight design, efficient engines and gearboxes, and optimized aerodynamics. Meanwhile, as a pioneer in the field of new energy, BMW Brilliance is increasing the new energy vehicles offerings in product portfolio. In the past five years, BMW Brilliance has launched five new energy vehicles. In 2017, BMW Brilliance announced the world debut of the all-new BMW 530Le iPerformance, showcasing BMW Brilliance as the pioneer in the field of new energy vehicles. In the future, BMW Brilliance will also produce the fully-electric BMW iX3 model in China and export to the global market, delivering on its vision of “In China, For China and the World".

Currently, the two complete vehicle plants in Tiexi and Dadong are both capable of producing vehicles with combustion engines and plug-in hybrid vehicles on the same assembly line. With the completion of the new Tiexi Plant and the upgrade of the Dadong Plant, the production system of BMW Brilliance will become more flexible, being able to produce fully-electric, plug-in hybrid and vehicles with combustion engines on one line, and even 100% produce the fully-electric vehicles according to market demand.

BMW Brilliance is also making constant efforts to improve the new energy vehicle ecosystem. In 2017, BMW Brilliance opened its High Voltage Battery Center. The HVB Center makes BMW Brilliance the first Chinese premium automobile manufacturer to launch its own battery assembly line.

In addition, BMW Brilliance is actively expanding its local supplier network and building a mutually beneficial partnership. By the end of 2017, BMW Brilliance was working with 359 auto components suppliers in 17 Chinese provinces, an increase of 4% than last year.

IMPROVING ENERGY AND RESOURCES EFFICIENCY, CONSTRUCTING A GREEN MANUFACTURING SYSTEM

BMW Brilliance aims to be the most resource-efficient premium mobility provider in China. In September 2017, BMW Brilliance was among the first to win the National Green Plant award, in recognition of its contribution to the implementation of China green manufacturing strategy and support for the green development of the automotive industry.

BMW Brilliance’s energy consumption and carbon footprint for production decreased in 2017, to 0.70 ton of CO2 per unit, 38% lower over the same period last year.

In the future, BMW Brilliance will continue to expand energy efficiency measures to increase the proportion of clean energy sources such as wind and solar energy. BMW Brilliance plans to install 17.1 MWh capacity of solar panels. In 2018, the solar power project will become operational at Tiexi and Powertrain plants. Within the effective sun lighting period, it will contribute about 15 MW of our plants energy consumption. Surplus power will be channelled into Shenyangs local energy grid. While increasing the utilization rate of renewable energy, it also enhances the energy efficiency of the whole community.

BUILDING THE BEST EMPLOYER BRAND, PROMOTING SUSTAINABLE DEVELOPMENT WITH STRATEGIC CORPORATE SOCIAL RESPONSIBILITY

With its outstanding performance in human resources management, BMW Brilliance was recognized by Zhaopin.com as the “No. 1 Best Employer in China” in 2017, retaining its leading position as one of the most attractive employers in China’s automotive industry. BMW Brilliance attaches equal importance to the improvement of female leadership. In 2017, 30% of the management team were held by women.

BMW Brilliance sees corporate social responsibility (CSR) as an indispensable part of its sustainability strategy. As an advocate and practitioner of strategic CSR, BMW Brilliance attaches great importance to combining its own resources and core competitiveness, proceeding from the actual needs of Chinese society, developing innovative and sustainable modes of operation, and creating shared values through long-term participation of all stakeholders.

BMW Brilliance Sustainability Report 2016 released

2017 BMW Sustainability and CSR Forum Held Successfully
2016 BMW Brilliance CAFC compliance rate again ranks No.1 among automobile joint ventures in China

Shenyang: On November 2, the Driving into New Era as Responsibility Pioneer - 2017 BMW Sustainability and Corporate Social Responsibility Forum, hosted by BMW, was held successfully in Shenyang. During the forum, BMW Brilliance officially released the BMW Brilliance Sustainability Report 2016. According to the report, BMW Brilliance’s Corporate Average Fuel Consumption (CAFC) in 2016 was 6.69 liters of petrol per 100 kilometers (2014: 7.06 and 2015: 6.95 liters per 100 kilometers), positioning it again as number one in the national ranking of fleet fuel consumption achievement rates among automobile joint ventures, according to the 2016 Corporate Average Fuel Consumption report published by Chinese authorities.

Mr. Olaf Kastner, President & CEO, BMW Group Region China, said: “BMW Group has integrated sustainability values and measures along the entire value chain, from products, services, production to employee and social care. It has become an integral part of our thinking and actions. As the largest single market for BMW Group, China will be actively involved in our shift towards sustainability. In the future, we will continue to make further progress and contribute more to the sustainable development in China.”

Dr. Johann Wieland, President and CEO of BMW Brilliance Automotive Ltd., said: "BMW Brilliance views sustainable development as a key element in achieving long-term success in the Chinese market. We have released the BMW Brilliance Sustainability Report for four consecutive years, and this report reveals our achievements in the field of sustainability comprehensively and transparently. In China, For China. Sustainability is not only an investment in the future of our company, but also our long-term commitment to localized development in China, and for China.”

Mr. Ren Liu, Vice Chairman of the Investment Association of China (IAC), NDRC, said: “This forum demonstrates BMW Brilliances realization of the 19th National Congress ideals - a pursuit of higher quality, greater efficiency, fairer and more sustainable development. We are pleased to see that BMW Brilliance, as the corporate role model of Industry 4.0 strategy implementation and Made in China 2025 participation, continues to persevere in its sustainable development approach in China, contributing towards the Chinese economys transformation and upgrade as well as the Northeastern region’s revitalization.

BMW Brilliance prepared the BMW Brilliance Sustainability Report 2016 in line with the newly-released GRI standards, becoming the first company to apply these standards in its sustainability communication. Major highlights from the BMW Brilliance Sustainability Report 2016 include:

Contributing to “Made in China 2025” with intelligent manufacturing

Following a national assessment, BMW Brilliance Plant Tiexi was officially recognized as a National AAAA Tourism Attraction this year, the same level as the Mukden Palace. As the first automobile joint venture in China to join the United Nations Global Compact, BMW Brilliance takes the lead in combining technological innovation and green production with the environmental protection, forging a new path for the sustainable development of Chinese automobile manufacturers. As the first and only domestic automobile manufacturer to be selected as a National AAAA Tourism Attraction, BMW Brilliance Plant Tiexi now represents a new landmark of domestic industrial tourism, and acts as a role model of the integration of Made in China 2025 and Germany’s Industry 4.0 strategies with its intelligent technology and sustainable production concept. In 2016, BMW Brilliance became the first Chinese company to join the European Foundation for Quality Management (EFQM) in Brussels. This demonstrates that BMW Brilliance challenges itself with the rigorous quality management system and pursues greater achievements sustainably, thereby realizing sustainable growth for the company. For a long time, BMW Brilliance has contributed to the sustainable development of the local economy. Having paid taxes of more than RMB 21 billion in 2016, BMW Brilliance has now been the largest taxpayer in Shenyang for 11 consecutive years. Moreover, BMW Brilliance also continues to develop local talent. By the end of 2016, Chinese employees accounted for 82% of our management, an increase of 5% from the previous year. With its intelligent manufacturing and local talent development strategy, BMW Brilliance will persist in its efforts to support the rejuvenation of the Northeast Industrial Base and contribute to the realization of "Made in China 2025".

Looking forward by implementing sustainability throughout the value chain

As a pioneer in the field of new energy vehicle, BMW Brilliance is making great progress in developing the new energy vehicle ecosystem in China, stimulating the innovative development of sustainable mobility in the future. BMW Brilliance has just completed its High Voltage Center at Plant Tiexi in October this year, becoming the first premium automobile manufacturer to launch its own battery assembly line in China. At the same time, BMW Brilliance is actively developing its local high voltage battery supply chain and continuing to push public charging infrastructure construction.

In addition, BMW Brilliance adheres to the concept of low carbon production management and supply chain. Internally, BMW Brilliance creates a healthier work environment for its employees by employing digital innovations and technologies. At the same time, BMW Brilliance also increases its operating efficiency to minimize environmental impacts. From the aspect of supply chain management, BMW Brilliance has set up a cross-functional team to continuously review its suppliers’ sustainability performance to ensure the sustainable development of its supply chain. As of 2016, the number of BMW Brilliance’s local suppliers continued to grow steadily, with an increase of more than 8% compared to 2015; the number of suppliers in Liaoning province have also increased to 79. Due to the increase of local suppliers, there has been a significant reduction in carbon emissions resulting from transport, enhancing the sustainability of the value chain and also stimulating the sustainable development of the local economy.

Fulfilling strategic Corporate Social Responsibility by creating more shared value

In 2017, as an advocate and practitioner of strategic Corporate Social Responsibility (CSR), BMW upgraded its three key CSR programs, creating more shared value for society. BMW China Culture Journey, BMW’s iconic CSR program, revitalized its communication approach to promote Intangible Cultural Heritage (ICH) safeguarding and facilitate the use and consumption of ICH works in a creative way BMW Children’s Traffic Safety Education, BMW’s expert CSR program, expanded focus to adult drivers in 2017, with the launch of the new “BMW Good Driver” initiative that engaged BMW dealers, associates, customers and employees. Also in 2017, BMW JOY Home, BMW’s exclusive stakeholder engagement CSR program, upgraded its current strategy from donating to enabling. The program was officially relaunched with the brand-new concept of “Joyful Football”, an innovative model that aims to improve left-behind childrens physical and mental health through inventive education concepts and varied sports activities to create a better future for the children.

2016 BMW Sustainability and CSR Forum Held Successfully

BMW Brilliance 2015 CAFC compliance rate again ranks no.1 among automakers in China
GRI G4 Standard-Compliant “BMW Brilliance Sustainability Report 2015" Released

December 13, 2016 (Shenyang, China): BMW is proud to announce that the "Shape a Joyful Future with Responsibility - 2016 BMW Sustainability and Corporate Social Responsibility Forum” was held successfully in Shenyang, China earlier this month and provided an opportunity to highlight the company’s achievements in protecting the environment and ensuring a sustainable future. This commitment was illustrated in the "BMW Brilliance Sustainability Report 2015" that was officially launched at the forum and showed that corporate average fuel consumption (CAFC) at BMW Brilliance in 2015 was further reduced to 6.95L/100km (2014: 7.06 L/100km), according to data released by the Chinese Ministry of Industry and Information Technology (MIIT). The company’s efforts were also acknowledged with BMW Brilliance topping the CAFC ranking among 90 passenger car manufacturers nationwide -- the second consecutive No.1 ranking since 2014.

Dr. Johann Wieland, President and CEO of BMW Brilliance Automotive Ltd., said: "BMW Brilliance upholds the sustainability strategy of the BMW Group, implementing sustainability throughout the whole value chain and viewing it as the key to long-term success in the Chinese market. As the first joint-venture automobile company to join the United Nations Global Compact in China, we have released the ‘BMW Brilliance Sustainability Report’ for three consecutive years. We adhere to strict standards and maintain a high-level of transparency in the disclosure of our company’s achievements in the field of sustainability - not only in support of the BMW Group’s sustainability strategy, but also to show our long-term commitment to China’s sustainable development as a member of Chinese society.”

Mr. Shi Jianhua, Deputy Secretary-General of the China Association of Automobile Manufacturers, said: "BMW Brilliance has published a high-standard and transparent sustainability report for three consecutive years, disclosing the company’s performance in operational management, product responsibility, environmental protection, supply chain management, talent cultivation and CSR strategies.

BMW Brilliance integrates sustainability across its operations’ entire value chain and local development strategy, setting the standard and becoming the model for sustainability in China’s automotive industry."

For the second year in a row, BMW Brilliance prepared the "BMW Brilliance Sustainability Report 2015" in accordance with the worlds most stringent GRI G4 standards. This is indicative of how BMW Brilliance adopts the BMW Group’s approach towards sustainability. In the newly released “2016 Dow Jones Sustainability Index”, the BMW Group again topped the global ranking and was named the “Most Sustainable Automotive Corporation in the World” of 2016. Among the three major German automotive corporations, BMW Group is the one and only that has been listed in the Dow Jones Sustainability Index since 1999.

Major highlights from the “BMW Brilliance Sustainability Report 2015” include:

In regards to the economy, BMW Brilliance has made outstanding contributions to the sustainability of Chinas social economy. As of the end of 2015, BMW Brilliance had been ranked as the largest taxpayer in the city of Shenyang for 10 consecutive years, paying over RMB13 billion in taxes in that year alone. In the same year, BMW Brilliance provided 16,000 high-quality jobs to the local community, a 8.6% increase from the previous year. This growth is due to BMW Brilliance’s growing investment in China. Looking ahead, the results of BMW Brilliance’s localization are expected to become even more obvious, including its High-Voltage Battery Center and R&D Center Phase II that are currently under construction, as well as the Plant Dadong expansion project that is nearing completion. These investments not only show BMW Brilliance’s confidence in local development, they are also proof of the company’s contribution towards upgrading and transforming the local economy.

On the environmental front, BMW Brilliance’s CAFC fell further to 6.95L/100km in 2015 (2014: 7.06 L/100km), topping the national CAFC ranking of passenger car manufacturers for the second year in a row. BMW Brilliance’s energy consumption also hit a new low of 1.66 MWh per product unit - this is the most detailed and transparent product unit energy consumption data disclosed by a Chinese automaker, reflecting BMW Brilliances responsible attitude towards production. In 2016, BMW Brilliance’s kick started its new engine plant. The state-of-the-art plant was designed and constructed based on the concept of sustainability. It not only monitors energy consumption around the clock, but also lowers heat consumption by 80% through technological innovations, significantly reducing carbon emissions during the production process.

BMW Brilliances contribution to environmental protection also includes the relentless exploration and promotion of future mobility. In the new energy vehicles (NEV) industry, BMW Brilliance is both the pioneer and the leader: following the launch of the first premium e-drive, ZINORO 1E, back in 2013, the second model in the line, ZINORO 60H, has also been introduced this year. The BMW 5 Series of the plug-in-hybrid premium business sedan rolled out last year is also the first of its kind to appear in the market. In addition, BMW Brilliance’s R&D center in Shenyang has now expanded to a 500-man team, providing unparalleled technical support for the development and testing of NEVs. And very soon, BMW Brilliance will be the first luxury car manufacturer to set up a high-voltage battery production line in China.

In terms of social contributions, as an outstanding corporate citizen in Chinese society, BMW again upgraded its corporate social responsibility (CSR) strategy in China on the 100th anniversary of BWM Group’s establishment - instead of one-off charitable donations, the emphasis is now on corporate social innovation. The upgraded CSR strategy focuses on two major areas: 1) promotion of social mobility and 2) safe and sustainable mobility, supporting Chinas innovative social governance with practical action. Under the guidance of this brand-new CSR strategy, BMW transformed BMW Chinese Culture Journey in conjunction with its 10th anniversary celebrations with a perfect interpretation of its new CSR strategy - "it is better to teach one to fish than to give them fish.” Through the “Tsinghua University Academy of Arts & Design – BMW Intangible Heritage Protection and Innovation Base”, established in collaboration with Tsinghua University Academy of Arts & Design, BMW funds intangible cultural heritage inheritors that have the willingness to learn as well as develop potential for study at the center, helping them fuse intangible heritage into modern life. In another CSR milestone, BMW Childrens Traffic Safety Education celebrated its 12th anniversary this year with a greater focus on childrens traffic safety, establishing the first BMW-branded indoor fixed center in Shenyang, which is open to the public free of charge throughout the year, benefiting the local community more extensively and sustainably. The new project, BMW Next Mobility Youth Camp, provides a platform for young people to explore the responsibility and innovation of future mobility. In addition to the CSR programs, through BMW Warm Heart Fund, BMW is also working towards building a platform where various parties can participate in charitable activities in the long term, contributing to the sustainable development of Chinese society.

2015 BMW Sustainability and CSR Forum Successfully Held

2014 BMW Brilliance Fleet Ranked Number One in China for Fleet Fuel Consumption

BMW Brilliance Sustainability Report2014 is officially launched globally.

BMW Brilliance becomes an automotive industry joint venture in China to meet GRI G4, the world’s most authoritative standard for sustainability reporting.

In 2014, BMW Brilliance’s Corporate Average Fuel Consumption (CAFC) was 7.06 liters of petrol per 100 kilometers (2013: 7.3 liters per 100 kilometers), positioning it as number one in the national ranking of fleet fuel consumption achievement rates among 88 local manufacturers, according to the 2014 Corporate Average Fuel Consumption report by Chinese authorities.

(SHENYANG) December 9, 2015: Under the theme of “Innovation +, Joyful Future Powered by Responsibility”, the 2015 BMW Sustainability and CSR Forum was successfully held on December 9, 2015. BMW VIPs and representatives from government, academia, and media gathered at Plant Tiexi in Shenyang to explore how to push forward the sustainable development of companies and society through innovation. The BMW Brilliance Sustainability Report 2014 was also officially released at the forum. Highlights of the report included significant reductions in BMW Brilliance’s Corporate Average Fuel Consumption (CAFC), which was 7.06 liters of petrol per 100 kilometers in 2014 (compared with 7.3 liters per 100 kilometers in 2013). This positions it as number one in the national ranking of fleet fuel consumption achievement rates among 88 local manufacturers, according to the Chinese authorities’ 2014 Corporate Average Fuel Consumption report.

This is the 3rd BMW Sustainability and CSR Forum, an annual event launched in 2013, and was attended by Mr. Olaf Kastner, President and CEO of BMW Group, Region China, Dr. Anton Heiss, President and CEO of BMW Brilliance Automotive Ltd., along with senior experts in the corporate social responsibility (CSR) area, leading journalists, and BMW customers and employees. Participants shared their philosophies and practices in the use of technological and social innovation to promote sustainability and CSR, and explored ideas to push forward the sustainable development of companies and communities in China’s New Normal stage of development.

Mr. Kastner highlighted: “At BMW, we believe innovation is the driver of our sustainability. We have implemented a clear and comprehensive strategy on sustainability throughout our products, production, and CSR for decades, with innovative ideas and practices.”He said, “We have created BMW i, a ‘born electric’ line of cars that will further reshape individual mobility. And we are dedicated to innovative sustainability throughout the production network. Furthermore, we approach our CSR activities innovatively in an effort to contribute to the long-term, balanced, and sustainable development of society.”

Dr. Heiss stressed: “Our vision is to deliver a premium customer experience through desirable products and service, passionate associates, and committed partners. We see our commitment to sustainability as an investment in the future of our company and a contribution to social innovation at the same time.”He said, “Our 2014 Sustainability Report, as an example of openness and transparency, upholds this commitment and provides our stakeholders with an overview of the progress we have achieved in 2014.Through its practical strategy and initiatives, BMW Brilliance sets a benchmark in sustainability for the automotive industry.”

BMW Brilliance joined the United Nations Global Compact in 2014as part of its ongoing commitment to CSR and sustainability. This makes BMW Brilliance the first auto joint venture in China to join what is the world’s largest corporate citizenship and sustainability initiative. The BMW Brilliance Sustainability Report 2014 follows the GRI G4 guideline, the latest version of the world’s most trusted and widely used standard for sustainability reporting. BMW Brilliance remains the only auto joint venture in China reporting in accordance with this standard.

The BMW Brilliance Sustainability Report 2014 offers a complete picture of what the company has achieved in the areas of economic development, environmental protection, and social contribution.

BMW Brilliance is a major contributor to local development. It paid taxes of more than RMB 16 billion in 2014, making it the biggest taxpayer in Shenyang – the ninth consecutive year it has held that position. And by the end of that year, the company had provided over 15,000 high-quality job opportunities. It expects to create further jobs through a planned plant expansion and the construction of a new engine plant.

BMW Brilliance has also successfully integrated sustainability throughout its entire value chain, which is important to a company that places a high priority on creating values. From product to production, BMW Brilliance is doing its best to minimize the company’s impact on the environment.

BMW Brilliance continues to advance and locally produce a range of efficient automotive products that support its strategy of sustainable mobility. The electric vehicle ZINORO was launched as one of the premium zero-emissions sports activity vehicle in China. Meanwhile, the new BMW 530Le plug-in hybrid (PHEV) sets the benchmark in its segment for fuel efficiency and low emissions. It has the lowest fuel consumption (2.0 liters per 100 kilometers) and lowest CO2 emissions (49 grams per kilometer) in its class of BMW cars.

In 2014, BMW Brilliance recorded a CAFC of 7.06 liters of petrol per 100 kilometers, making a significant improvement on its 2013 CAFC of7.3 liters per 100 kilometers. This positioned it as number one in the national ranking of fleet fuel consumption achievement rates among 88 local manufacturers, according to the 2014 Corporate Average Fuel Consumption report jointly released by five ministries, including the Ministry of Industry and Information Technology.

Moreover, BMW Brilliance’s Plant Tiexi, one of the advanced and sustainable automobile plants in China and the world, defines sustainability for modern automobile production through the use of world-class production technology that ensures low-energy consumption and low emissions.

Improved energy efficiency and the use of cleaner energy sources have enabled the company to reduce its carbon footprint for every vehicle it produces. In 2014, BMW Brilliance achieved a CO2 efficiency of 0.97 tonnes of CO2 per unit produced, an 11.8% reduction over 2013; and 1.67 MWh energy consumption per vehicle produced, a year-on-year decrease of 18.9%.

In addition to promoting economic development and protecting the environment, BMW Brilliance is also committed to being an outstanding corporate citizen that contributes to a healthy society. The company has dedicated itself not only to CSR programs like the nine-year BMW China Culture Journey and the 11-year BMW Children’s Traffic Safety Education, but also to vocational education projects that promote local employment.

Leading the Way to a Sustainable and Responsible Future

2014 BMW Sustainability and Corporate Social Responsibility Forum Successfully Held

“Lead the Way to a Sustainable and Responsible Future - 2014 BMW Sustainability and Corporate Social Responsibility Forum” was held at the BMW Plant Tiexi. Senior BMW officials, Mr. Olaf Kastner, President and CEO of BMW Brilliance Automotive Ltd., Ms. Ursula Mathar, Vice President Sustainability and Environmental Protection of BMW Group, Mr. Kai Zoebelein, BMW Group Sustainability Spokesperson, leading domestic and foreign experts in the field of sustainability and corporate social responsibility (CSR), and media gathered to discuss the journey to a more sustainable society under the “New Normal” conditions in China.

BMW Brilliance also announced at the forum that the company had joined the United Nations Global Compact (“Global Compact”), making it the first auto joint venture in China to join what is the world’s largest corporate citizenship and sustainability initiative. This is another strong representation of its Corporate Citizenship strategy. It not only reflects the leadership of BMW Brilliance in sustainability, but serves as a good model for Chinese auto companies, encouraging more of them to bear social responsibility and promote harmonious sustainability of the entire industry and society.

In 2014, the Chinese economy and social development have entered a new stage that can be termed the “New Normal”. “Speed” is no longer the only criterion for social and economic development. “Quality” has now become a key indicator of the healthy development of society. Under the “New Normal” conditions, how to address challenges, seize opportunities and make new contributions to China’s social economy while achieving benign development are important questions confronting companies’ decision-makers and progressive forces in society.

“A new era has begun. A good corporate citizen not only has to possess excellent business capabilities, but also should be responsible to its stakeholders, lead the common development of the industry, proactively undertake its social responsibilities, and drive the progress of social development. We are committed to realize sustainable mobility with technology innovation, promoting the sustainable development of the industry with value chain innovation, and contributing to the sustainable development of the society with CSR projects. We want to encourage more companies to follow us and join us in our efforts towards a sustainable future," Mr. Olaf Kastner said at the forum.

Starting a new era of sustainable mobility with innovation

As leader of the global high-end auto market, BMW has always been forward-looking in its product portfolio, and transformed social responsibility into a driver of corporate innovation. It released BMW EfficientDynamics, which combines both technical upgrading and innovation to address the energy and environment challenge of the new situation. Through BMW eDrive, BMW ActiveHybrid, intelligent lightweight construction and consistently optimized drivetrains, BMW is fulfilling its commitment to conserve global resources and reduce hazardous emissions.

BMW‘s pursuit of sustainable mobility not only continues improvement of product performance, but changes the existing product genes with unprecedented revolutionary technologies, opening a new era of generational products. Based on this forward-thinking approach, BMW i has emerged. With the exclusive gene of “Born for electric cars”, the all new brand has released the all-electric BMW i3 and the most progressive sports car BMW i8. BMW Brilliance also launched the new joint venture brand “ZINORO” electric cars, specifically designed to meet the needs of the Chinese market and turning customers’ dreams of sustainable mobility into reality.

Advocating a sustainable industry chain

BMW is one of the world’s first auto makers to combine sustainability and its core business throughout the entire value chain and all decision-making processes. To BMW, an overall sustainability strategy is necessary to remain competitive and take a huge lead in the social and economic transition. It sees it as the key to current and future success.

BMW has long employed a sustainability index in production to ensure less energy consumption and impact on the environment. In China, BMW has the world’s most sustainable production base –BMW Brilliance Plant Tiexi. Perfectly combining the state-of-the-art technologies and the idea of sustainability, the factory has been designed from the beginning to maximize resource utilization in every part of its operation, and reduce energy consumption and waste from production.

Besides attention to production sustainability, BMW also extends the strategy to the entire value chain and leads stakeholders in building a future of industry sustainability. It was the first to incorporate the sustainability index into management of suppliers and dealer partners, and introduced the concept of the “5S dealer” to the industry, providing a new way of creating more common values, both upstream and downstream, and ultimately realizing industry sustainability.

“Corporate citizenship is a new business ecosystem. Companies and stakeholders influence each other. Companies need to build a good and constructive relationship with stakeholders in the system so they can coexist in harmony,”Mr. Bofan Wu, a well-known expert on corporate citizenship, said during the forum’s roundtable discussion.

Fulfillinga commitment, leading the new direction

BMW believes that responsibility can drive an excellent company to become a great one. It has played an active role in corporate citizenship since it entered the Chinese market, and regards itself as a trustworthy partner of Chinese society.

As China’s first auto joint venture to join the Global Compact, BMW Brilliance is determined to fulfill its long-term commitment to environmental, economic and social sustainability, and advocates values similar to the Global Compact’s 10 principles by carrying out innovative and leading CSR programs in Resources, Intercultural Innovation and Social Inclusion as well as Education.

From the BMW Children’s Traffic Safety Education program and BMW China Culture Journey to the innovative BMW Brilliance Quality Education Open Course, the company’s CSR programs reflect the idea of being “people-oriented” and having concern for different communities. BMW has also carried out Yushu Ecological Environment Protection program, “BMW JOY Home” children’s care program, “BMW Joy Future” students grant program and the Yushu Care Initiative Program through the BMW Warm Heart Fund, which amasses the strength of the warm heart family and fulfills its commitment through practical actions. These programs are in line with the spirit of the Global Compact and recognized by experts.

Initiated by BMW, the sustainability and CSR forum aims to build a platform for a collision of ideas from experts and opinion leaders. They can discuss the latest trends and cutting-edge developments in sustainability, and exchange experience in sustainability and CSR innovation practice. In the future, BMW will continue to fulfill its long-term commitment and contribute to the harmony and sustainability of Chinese society with the support of people who share this dream through the forum.

Unite for a More Innovative and Responsible Future

2013 BMW Sustainability and CSR Forum was Successfully Held

Unite for a More Innovative and Responsible Future – 2013 BMW Sustainability and CSR Forum was held in Beijing on July 18, 2013. Mr. Olaf Kastner, President & CEO of BMW Brilliance Automotive Ltd., Mr. Niu Wenyuan, State Department counselor, Mr. An Qingheng, President of Beijing Association of Automobile Manufacturers, Prof. Bill Valentino, Vice Director of Beijing Normal University, and other experts and senior automotive industry media have participated into the forum, discussing corporate social responsibility and sustainable development of auto industry. Mr. Wu Bofan and Mr. Liang Dong, keynote speakers of Dong-Wu Talk-show, have also joined in the roundtable sessions as moderators, sharing the BMW corporate social responsibility practices and experiences with representatives from different parties relevant to BMW CSR practice.

How to carry out sustainable development with all stakeholders has become a hot public issue besides achieving business success. As one of the pioneers and leaders in sustainable development, BMW does not only entrench sustainable development throughout the whole value chain, but also calls upon other corporates as well as extensive public to practice social responsibility, promoting the sustainable development of the society. Ever since entered China, BMW has started all around and systematic industry-leading CSR programs, showcasing its long-term commitment to China.

Insisting on Innovation, and entrenching sustainable development throughout the entire value chain

BMW is one the first auto manufacturers entrenching sustainable development throughout the entire value chain in the world, emphasizing on practicing the social responsibility as a corporate citizen with its core competitiveness to deal with new social challenge. BMW has been ranked industry leader in the Dow Jones Sustainability Indexes for the last eight years.

In China, BMW continues ever-growing investment and carries out sustainability and localization strategy. Up to now, BMW owns 2 plants and one engine plant in China. Also, BMW demonstrates sustainable development strategy through advanced technology and world-leading environment friendly measures. In 2011, BMW further extended sustainability strategy to sales field, and firstly established the 5S dealership concept in auto industry, calling upon dealers to fulfill their corporate responsibilities to environment and society.

Rooted in China, BMW Fulfills All-round and Systematic CSR

BMW is one of the first auto manufactures conducting systematic corporate social responsibility. With the Corporate Citizenship strategy launched in 2013, BMW strengthens its leadership in auto industry CSR. BMW has conducted a series of CSR programs in areas of Resources, Intercultural Innovation and Social Inclusion, and Education Support. The representative programs include BMW China Culture Journey, BMW Children’s Traffic Safety Education. And BMW Warm Heart Fund has become a comprehensive corporate citizenship platform.

Through the Forum, BMW has established a communication platform for experts and key opinion leaders in related fields to discuss hot issues in fields of corporate social responsibility and sustainable development. In the future, BMW will continue to stick to its long-term commitment to China and make contributions to local society.

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