To keep pace with new market changes, drive the green and low-carbon transformation of businesses, guide high-quality development, and establish ESG guidelines suited to China's national conditions, it is both necessary and urgent. As a major financial hub in China and globally, Shanghai is responsible for leading the development of ESG standards in China, creating an internationally recognized ESG framework that is tailored to China's unique context while aligning with global best practices.

Guided by Xi Jinping's Thought on Ecological Civilization and the spirit of the "Opinions of the Central Committee of the Communist Party of China and the State Council on Fully Promoting the Construction of a Beautiful China," and in accordance with the "Three-Year Action Plan (2024-2026) to Accelerate the Enhancement of Environmental, Social, and Governance (ESG) Capabilities of Foreign-Related Enterprises in Shanghai," this initiative aims to assist companies in standardizing the preparation of ESG reports that meet the requirements of key stakeholders, including the State-owned Assets Supervision and Administration Commission, the Ministry of Finance, listed companies, regulatory authorities, and investors. To this end, the Legal Affairs Special Committee of the Shanghai Federation of Industrial Economics (Shanghai Federation of Economic Organizations) led the development of the "ESG Environmental, Social, and Governance Reporting Guidelines for Enterprises." The Shanghai Federation of Industrial Economics invited numerous experts in social responsibility and sustainable development from various industries, professions, and fields to participate in the creation of the guidelines. A comprehensive survey was conducted, and the results of this research were thoroughly incorporated into the final version of the guidelines.

Hoping that this standard guide can help businesses improve their sustainability level and enhance communication and trust with stakeholders.

1. Regulate and Guide the Preparation of Corporate ESG Reports: This guide is based on China's national conditions and characteristics, while integrating internationally recognized ESG standards, providing businesses with a basic framework, content, and methods for preparing high-quality ESG reports.

2. Promote Corporate Sustainable Development: By preparing and publishing ESG reports in accordance with this guide, businesses can regularly assess and improve their performance in these areas, while managing ESG risks and opportunities.

3. Provide a Basis for Evaluation and Decision-making: ESG reports can help investors gain a comprehensive understanding of a company's operations and risks, serving as a basis for investment decisions.   Additionally, this guide can serve as a reference for relevant stakeholders such as government bodies, the State-owned Assets Supervision and Administration Commission, the Ministry of Finance, federations, regulatory agencies, etc., to assess the content and quality of corporate ESG reports, facilitating verification and rating processes.