Xiaomi's seventh annual ESG (Environmental, Social, and Governance) sustainability report for 2024 showcases a firm commitment to driving sustainable development through core technological innovation. The report details Xiaomi's concrete achievements in core technological innovation, climate change mitigation, and the promotion of a circular economy, highlighting its proactive role in sustainable development.
A New Era of Sustainable Development: Xiaomi's Vision for the Future
At the 29th Conference of the Parties (COP29) to the United Nations Framework Convention on Climate Change (UNFCCC) in November 2024, Xiaomi unveiled its new sustainable development strategy. This strategy centers on promoting product inclusivity and technological equity, leveraging its industry-leading "people × car × home" smart ecosystem strategy to build a sustainable and intelligent future lifestyle for global consumers. This holistic approach addresses not only environmental concerns but also social responsibility, ensuring that technological advancements benefit all members of society.
Massive Investment in R&D: Fueling Innovation for a Sustainable Tomorrow
In 2024, Xiaomi invested a staggering 24.1 billion RMB in research and development (R&D). This commitment resulted in over 42,000 global patent applications and a dedicated R&D team of 21,190 individuals, comprising 48.5% of the company's total workforce. Looking ahead, Xiaomi projects cumulative R&D investment exceeding 100 billion RMB between 2020 and 2030, demonstrating its unwavering dedication to long-term technological innovation and its crucial role in shaping a sustainable future. This substantial investment underscores Xiaomi's belief that innovation is not just about creating new products, but also about developing sustainable solutions for a better world.
Technological Advancements in Manufacturing: Driving Sustainable Production
The launch of Xiaomi's smart factory and Xiaomi's automobile factory in 2024 marks a significant step towards sustainable manufacturing. Both facilities utilize cutting-edge industrial internet and artificial intelligence (AI) technologies to create a highly efficient, environmentally friendly, and sustainable production model. This commitment extends beyond simple efficiency gains; it represents a fundamental shift towards responsible production practices.
Xiaomi's Smart Factory: A Showcase of Sustainable Manufacturing Excellence
Xiaomi's smart factory, a testament to its technological prowess, utilizes self-developed hardware and software technologies to create a flexible production line, automated logistics system, and automated control system for cloud-edge devices. With an automation rate of 81%, significantly exceeding the industry average, the factory epitomizes Xiaomi's commitment to using technology to drive sustainable manufacturing. This advanced infrastructure significantly reduces waste, optimizes resource utilization, and minimizes the factory's environmental footprint. Specific examples of these technological advancements should be included, such as the types of robotics used, energy-efficient machinery, and data analytics systems employed for real-time process optimization.
Fostering Digital Inclusivity: Empowering Individuals Through Technology
Xiaomi is dedicated to creating an equal and inclusive digital experience for all users, paying particular attention to the needs of visually impaired, hearing-impaired, and physically challenged individuals. The company's commitment to inclusivity extends beyond simply meeting accessibility standards; it actively seeks to design technology that empowers marginalized groups.
Enhancing Accessibility Features: Bridging the Gap Through Innovation
In 2024, Xiaomi continued to refine its accessibility features, introducing new functionalities such as text extraction, real-time subtitles, and gesture control. The enhanced TalkBack feature, integrated with the AI subsystem of Xiaomi HyperOS and incorporating Optical Character Recognition (OCR) technology, significantly improves the accuracy of image text recognition and real-time reading for blind and visually impaired users, creating a more seamless and natural reading experience. This commitment to technological advancement for accessibility showcases Xiaomi's dedication to social responsibility.
HyperOS 2: Redefining Accessibility with AI-Powered Features
Further enhancing accessibility, Xiaomi integrated the AI assistant's real-time subtitle function and voice recognition technology into HyperOS 2. Achieving a transcription accuracy rate of 93%, this integration optimizes communication and interaction experiences across diverse usage scenarios. The focus on high accuracy ensures reliable access to information for all users, further emphasizing Xiaomi's commitment to inclusivity.
Silver-Friendly Technology: Empowering Older Generations
Xiaomi's commitment to inclusivity extends to older generations, launching the "Elderly Health and Safety Care and Age-Friendly Transformation Promotion" project in 2024 in collaboration with multiple organizations. This initiative aims to comprehensively improve the convenience and safety of elderly individuals' lives through standard setting, product development, and application design, making technology a supportive force for every generation. The project's specific initiatives should be detailed, including examples of product adaptations or services created to meet the needs of older users.
Climate Change Mitigation: A Holistic Approach to Sustainability
Xiaomi actively sets greenhouse gas emission reduction targets for its own operations and extends its sustainability philosophy to its entire supply chain, promoting green transformation across the industry. This commitment indicates that Xiaomi understands its role in mitigating climate change extends far beyond its internal operations.
Supply Chain Sustainability: Driving Industry-Wide Change
Xiaomi requires its smartphone supply chain partners to establish greenhouse gas emission reduction targets and renewable energy usage plans. The company has set ambitious targets: a minimum average annual carbon reduction of 5% by 2030 (based on 2024 as the base year) and renewable electricity usage rate of no less than 25%. Furthermore, Xiaomi plans for all its smartphone business suppliers to achieve 100% renewable electricity usage by 2050. These targets are not only aspirational but also demonstrate a proactive commitment to industry-wide change.
Measuring and Reducing Carbon Footprint: A Commitment to Transparency
By the end of 2024, Xiaomi completed lifecycle carbon footprint measurements for 18 representative products, including 13 smartphones and tablets, one wearable device, and four smart home products. Collaborating with independent third-party organizations, Xiaomi established a comprehensive carbon footprint assessment process for smartphones. The company implemented climate change mitigation measures across all business segments, including office operations, manufacturing, logistics, retail operations, and the supply chain, and obtained ISO 50001 energy management system certification and annual supervisory audits in 2024.
Reducing Transportation Emissions: Choosing Sustainable Logistics
Xiaomi actively promotes the use of low-carbon transportation methods such as sea and rail freight to replace air freight. In 2024 alone, this initiative reduced Xiaomi's carbon emissions by 3,378 tons, demonstrating tangible progress in carbon reduction efforts. The specific types of measures implemented, such as improved logistics routing and increased utilization of sea and rail transport, should be detailed to showcase their effectiveness.
Promoting a Circular Economy: Minimizing Waste and Maximizing Resource Utilization
Xiaomi's dedication to sustainability extends to promoting a circular economy through a comprehensive global e-waste recycling program. This multi-layered recycling system encompasses trade-in programs, product refurbishment, device and component disposal, and internal prototype procurement. The details of the multi-layered recycling system must be explained thoroughly.
E-Waste Recycling: Achieving Ambitious Targets
The program aims to recycle a cumulative 38,000 tons of e-waste between 2022 and 2026. By the end of 2024, Xiaomi achieved 95.94% of this target. In the Chinese market alone, the trade-in program recycled over 1.3 million old devices. The program expanded to nine overseas markets, processing 23,353 trade-in orders. The company's detailed achievements regarding recycling goals and progress toward them should be presented with supporting figures.
Product Refurbishment: Extending Product Lifecycles and Reducing Waste
Xiaomi actively expands its refurbishment business, including laptops, projectors, and monitors. In 2024, the company refurbished over 130,000 devices, a 4.7% increase compared to 2023. Recovered materials are extensively used in the design and production of smartphones, smart electric vehicles, and smart home products. The specifics of how recycled materials are used should be described in detail.
Sustainable Materials: Integrating Bio-Based and Recycled Components
Examples of Xiaomi's use of sustainable materials include the Xiaomi 14T's back cover, which utilizes bio-based materials derived from lemon residue. Half of the polyurethane component is sourced from bio-based raw materials. The frame uses recycled aluminum, and acoustic components extensively employ recycled aluminum, gold, and copper. These examples highlight Xiaomi's commitment to utilizing recycled and sustainable materials in its products, minimizing its environmental impact.
Zero Waste Landfill Management: A Commitment to Green Manufacturing
Xiaomi's smart factory implemented a "zero waste to landfill" management system, integrating recycling and efficient disposal measures to minimize landfill waste. In 2024, the factory achieved a waste diversion rate (WDR) of 99.35% and received the TÜV Rheinland "zero waste to landfill management system" three-star certification, demonstrating its leadership in green manufacturing. The specific methods employed in achieving this high WDR must be presented in the report.
In conclusion, Xiaomi's 2024 ESG sustainability report demonstrates a comprehensive commitment to sustainable development, driven by technological innovation and a holistic approach encompassing environmental protection, social responsibility, and good governance. The company's ambitious targets, detailed strategies, and tangible achievements position it as a leader in promoting a sustainable future for the technology industry and beyond. Further research into specific initiatives and their impacts will enrich the report and enhance its credibility.