On behalf of the Board of Directors, I am pleased to present the Sustainability Report of China Sunsine Chemical Holdings Ltd. (“China Sunsine”, together with its subsidiaries, collectively the “Group”) for the financial year ended 31 December 2025 (“FY2025”).
The year 2025 has been another challenging period for businesses worldwide. Persistent geopolitical tensions, rising trade protectionism, and volatile energy prices introduced significant uncertainties to global supply chains and international trade. At the same time, the impact of climate change has intensified, with stakeholders increasingly expecting companies to demonstrate strong performance in environmental stewardship, social responsibility, and governance. Sustainability is no longer peripheral — it has become a core component of long-term corporate competitiveness.
Amid overcapacity and intense competition in the rubber chemicals industry, consolidation is gradually reshaping the market. Enterprises with scale, technological strength, robust compliance systems and sustainability management capabilities are better positioned to lead the next phase of industry development. As the world’s largest rubber accelerator producer, China Sunsine integrates sustainability into its core operations to reinforce long-term competitive advantages.
Against this backdrop, China Sunsine delivered a commendable performance. The Group achieved a net profit of RMB 404.9 million and another recordhigh sales volume of 222,243 tonnes in FY2025. More importantly, we made great strides in advancing our green transformation and sustainability agenda, laying a stronger foundation for future high-quality development.
Green Production: From Commitment to Action
For Sunsine, green production is not merely a slogan — it is a guiding principle embedded into our daily operations. In 2025, the Group continued to increase investment in environmental protection, steadily advancing cleaner production and energy conservation initiatives.
We made significant strides in continuous, automated, and environmentally friendly production.
- The Phase 2 Continuous Production Insoluble Sulphur Project, with an annual capacity of 30,000 tonnes, commenced commercial production in the second half of 2025. The project was accorded the “Science and Technology Progress Award” by the China Petroleum and Chemical Industry Federation (“CPCIF”),
- The Phase 2 40,000-tonne per annum Continuous Production of High-Quality Solvent MBT project began its trial runs,
- The 20,000-tonne MBT project (Weifang Plant) and CBS workshop conversion project is progressing well on track.
These process innovation initiatives not only enhanced production efficiency and reduced costs but also significantly lowered energy consumption and waste emissions.
With the completion of new MBT projects, our total MBT capacity reached 125,000 tonnes per annum, achieving full self-sufficiency in this key intermediate while concurrently promoting cleaner and more efficient industry practices through technological upgrades.
In environmental management, we continue refining our energy management systems and enhancing data monitoring and analysis of greenhouse gas emissions. The Group further strengthened its identification and scenario assessment of climate-related risks and opportunities. We will continue aligning our disclosures with the recommendations of the Task Force on Climaterelated Financial Disclosures (“TCFD”), and reinforcing Board’s oversight of climate-related matters.
Innovation-Driven: Partnering with Scientific Excellence
Technological innovation is the core driver of Sunsine’s sustainable development. Our collaboration with leading research institutions, including Tsinghua University, continues to deepen. The jointly developed continuous solvent-based production process was successfully implemented in our MBT projects, setting a new benchmark for technological advancement in the rubber chemicals industry.
Our commitment to R&D extends beyond breakthrough innovations to the continuous optimisation of existing production lines. Through technological upgrades, we achieved notable improvements in product yield and reductions in energy consumption per unit — providing strong support for the Group’s green and low-carbon transformation.
Responsibility: Growing Together with Employees, Customers, and Society.
In 2025, in conjunction with business growth, the Group also prioritises employee well-being. We ensured steady income growth, continuously improved working conditions and safety protections, and enhanced career development pathways. Employees’ sense of belonging and cohesion strengthened further — this is Sunsine’s most valuable asset.
Customer trust drives us forward. In 2025, the Sunsine brand continued to gain recognition, with more tire manufacturers choosing Sunsine products as their preferred option. Domestic sales remained stable, while international sales grew by 5% year-on-year, driven by increased orders from Southeast Asia as several Chinese tire companies established production facilities overseas — a testament to our customers’ long-standing confidence in our products and services.
Giving back to society remains an unwavering commitment for Sunsine. Over the years, we have consistently participated in educational sponsorships, poverty alleviation, and community development initiatives. In 2025, the Group and its subsidiaries continued to support local communities surrounding our facilities, fulfilling our responsibilities as a corporate citizen through tangible actions.
Looking Ahead: Committed to Green and Sustainable Development
Looking ahead to 2026, the rubber chemicals industry will continue to face pressures from oversupply and market competition. However, we also foresee that downstream demand for high-performance, environmentally friendly products is steadily increasing — green transformation is becoming a defining factor in industry consolidation.
China Sunsine will continue to adhere to its “Sales- Production Equilibrium” strategy, consolidating and expanding market share through agile market responses. On the sustainability front, we will further increase environmental investments, advance energysaving and carbon-reduction technological upgrades, enhance resource efficiency, and minimise our environmental footprint. We will continue to improve our EESG governance framework, strengthen our capacity to identify and manage climate-related risks and opportunities, and actively respond to stakeholder expectations.
With over four decades of experience in the industry, Sunsine has built comprehensive competitive advantages across brand, scale, technology, financial strength, and environmental stewardship. These advantages form the foundation of our resilience against market volatility and our ability to seize green opportunities. Going forward, we will continue to uphold the principles of “green, low-carbon, and sustainable development”, creating economic value while contributing positively to society and the environment.
On behalf of the Board of Directors, I would like to extend my deepest gratitude to all our employees, customers, business partners, and shareholders for your unwavering support and trust. Let us continue to move forward together on the path of sustainable development, building a greener and more prosperous future for all!
