Security Level: Huawei practice in E-waste management www.huawei.com HUAWEI TECHNOLOGIES CO., LTD. Catalog 1. Theory of circular economy 2. Huawei circular economy practice - ECO design 3. Huawei circular economy practice - Reverse supply chain Theory of circular economy HUAWEI TECHNOLOGIES CO., LTD. Huawei Confidential 3 Theory of circular economy Biological materials Technical materials Mining/materials manufacturing Farming/ collection1 Parts manufacurer Biochemical feedstock Restoration Product manufacturer Service provider Cascades Biogas Anaerobic digestion/ composting2 Extraction of biochemical feedstock2 Collection 再制造 再循环 再分发 Recycle Refurbish/ remanufacture Reuse/redistribute Maintenance 维修 Collection Energy recovery Landfill Leakage—to be minimized Source: EMF <Towards Circular Economy> report, 2012 HUAWEI TECHNOLOGIES CO., LTD. Huawei Confidential 4 Opportunities of ICT manufacture in circular economy ④recycling ③remanufacture ②Second life ①Life extension Recy cling Distrib ution Use Repair/ mainte nance / upgrad e ReManufacture Disposal HUAWEI TECHNOLOGIES CO., LTD. Huawei Confidential 5 Huawei circular economy practice - ECO design HUAWEI TECHNOLOGIES CO., LTD. Huawei Confidential 6 Eco-Design for Huawei Products Key metrics: Energy efficiency, material efficiency , carbon emission Eco-Design with Lifecycle thinking Raw Materials Extraction Production Transport Use End-of-Life Treatment Eco-design: the integration of environmental aspects into product design with the aim of improving the environmental performance of the product throughout its whole life cycle HUAWEI TECHNOLOGIES CO., LTD. Huawei Confidential 7 Eco-design implementation strategy in different products: Energy, Material, or Both Some lifecycle phases represent key environment impacts for different products Energy consumption in use phase for telecom network equipments -> “energy saving focus” Material & production for small NTE and CPE -> “new focus areas, material topics” Raw Material Extraction Central Office NW Equipment Remote Access NW Equipment Smart Phone HUAWEI TECHNOLOGIES CO., LTD. Production Transport Use Energy saving Material & Energy saving Material saving Huawei Confidential 8 End-of-Life Treatment Huawei circular economy practice - Reverse supply chain HUAWEI TECHNOLOGIES CO., LTD. Huawei Confidential 9 The road of huawei Reverse supply chain Circular Economy (2013 to now) Reverse Supply Chain (2010-2012) Reverse logistics (From inception To 2009) HUAWEI TECHNOLOGIES CO., LTD. Huawei Confidential 10 Huawei reverse management platform •Huawei reverse management platform integrates collection, storage, distribution, dismantling, testing, repair and recycling ability, serving globally reverse business. △ Reverse management △reverse warehouse •234 reverse warehouse in 129 countries •Function: collection storage Distribution △ Reverse center •6 reverse center(Hungary, Mexico, HK, Shenzhen, Brazil,Dubai) •Function Dismantling Repair Testing △ Recycling Platform •100% coverage recycling platform •Cooperate with TOP supplier, and reduce the effect to the environmental •Function Waste disposal Resell Supplier Mgmt △ Process and IT supporting △ KPI management HUAWEI TECHNOLOGIES CO., LTD. Huawei Confidential 11 Recycling Practice-Bangladesh buyback project 1. 2. Bengal buyback project refer to the 14K equipments, and about 724ton waste handing, and need move the equipment in 43 from Huawei warehouse, and finish the dismantling in 138 days according to the customer’s request. All the PCB will ship to Singapore. And other Non-PCB materials will dismantling to raw material resell in raw material market 1:inbound to supplier’s warehouse 2. Sort & Segregate 0.31% landfill 3.Demanufacturing 4:raw material extract HUAWEI TECHNOLOGIES CO., LTD. Huawei Confidential 5:raw material 12 Reuse Practice: Whole Equipments Testing and Repair Project Background: Reverse team need dismantle whole equipments as offset and system requirement, only sub items could be inbound to system. it will bring nearly 30% scrap in the dismantling process. Whole testing Solution: scrap ratio decreased to 15% (1) System optimize: System inbound by equipment level (2) Operation level: No need dismantle whole equipments, and store by whole equipment level; dismasting Before Whole equipment return CPU& memory Sub- HD item othes New model scrap >30% reuse <70% reuse >70% reuse >15% scrap <15% inbound Production Testing Have testing E9000 Whole equipment return Whole equipment inbound HUAWEI TECHNOLOGIES CO., LTD. Whole equipment Demand NO review Repair dismantlin g Huawei Confidential 13 Most people are thinking how to impact the world, but we are engaging to reduce the impact to the world! -From HUAWEI Reverse Team Thank you www.huawei.com Copyright© 2011 Huawei Technologies Co., Ltd. All Rights Reserved. The information in this document may contain predictive statements including, without limitation, statements regarding the future financial and operating results, future product portfolio, new technology, etc. There are a number of factors that could cause actual results and developments to differ materially from those expressed or implied in the predictive statements. Therefore, such information is provided for reference purpose only and constitutes neither an offer nor an acceptance. Huawei may change the information at any time without notice. Thank you www.huawei.com Copyright© 2011 Huawei Technologies Co., Ltd. All Rights Reserved. The information in this document may contain predictive statements including, without limitation, statements regarding the future financial and operating results, future product portfolio, new technology, etc. There are a number of factors that could cause actual results and developments to differ materially from those expressed or implied in the predictive statements. Therefore, such information is provided for reference purpose only and constitutes neither an offer nor an acceptance. Huawei may change the information at any time without notice.