#Sustainability #Singapore #Green Bonds #Giti Tire

Giti Tire's Green Initiative

In a significant step towards sustainable finance, Giti Tire has successfully completed the issuance of S$150 million in five-year sustainability bonds. Arranged collectively by DBS Bank Ltd, Deutsche Bank, and HSBC, these bonds are inscribed in Singapore dollars and carry a nominal interest rate of 5.75%. Aiming to advance ecological and social projects directly, this financing initiative illustrates Giti Tire's dedication to incorporating sustainability into its core operations.

The funds raised will be directed towards projects categorized as eligible under Giti's sustainability financing framework. This comprehensive framework delineates the company's mission of continuous business growth with an emphasis on sustainable practices. By integrating environmental aspects with its business strategies, Giti aims to achieve net-zero emissions while simultaneously maintaining a strong financial foundation.

"As we pursue our objectives, we also consider the implementation costs," remarked Dr. Pang Chong Hau, Giti’s Chief Sustainability Officer. His assertion underlines the importance of balancing sustainability efforts with financial viability, a principle that is becoming increasingly critical in the corporate landscape. Through agreements and collaborative endeavors, Giti is striving to redefine value, ensuring that the benefits and savings from sustainable practices outweigh their implementation costs. This strategic approach confirms that sustainability and profitability can coexist harmoniously.

Innovations Driving Sustainability

Throughout the year, Giti Tire has undertaken various innovative projects aimed at achieving its sustainability objectives. One noteworthy achievement was the partnership with a prominent electric vehicle manufacturer to develop the GitiSport e.GTR2 Pro tire, which was designed for the world's fastest production car that recorded an impressive speed of 496.22 km/h. This iteration of ultra-high-performance tires showcases Giti's technical prowess in steering towards a zero-emissions future.

Additionally, the electric vehicle currently attempting the world record for the most countries visited by an electric vehicle is outfitted with GitiSynergy H2 tires. This vehicle has already traveled over 80,000 km across 70 countries, serving as a testament to the durability and longevity of Giti's products, which are essential for minimizing waste and enhancing the efficiency of electric vehicles.

On the manufacturing front, Giti's newly established factory in Anhui is pioneering sustainable production methods. Equipped with advanced automation and a vast array of solar panels spanning 35,000 square meters, the facility aims to achieve a 20 to 30% reduction in emissions annually. Notably, it hosts the first Giti tire production line operating on a zero-consumption basis, paving the path for operations that entirely eliminate consumption.

The strides Giti Tire has made in sustainability have not gone unnoticed. The company has received commendations such as the CDP Disclosure badge and the EcoVadis Platinum Award. Furthermore, Giti has introduced a concept tire that is composed of 93% sustainable materials, leveraging renewable and recycled components, thereby signifying its commitment to circular innovation.

A Bold Commitment to Sustainability

Dr. Enki Tan, Giti's Executive Chairman, emphasized that sustainability at Giti is not merely a regulatory response but a proactive responsibility embraced well before global frameworks emerged. The issuance of these sustainability bonds symbolizes a commitment to accelerating projects that mitigate emissions and support the communities in which Giti operates.

Through its ongoing initiative "Trusted by Many, Built for Success," Giti continues to win the confidence of investors while spearheading sustainable transformations. This commitment not only bolsters Giti's reputation as a trusted global leader in sustainable mobility but also reinforces its role as a forward-thinking entity embracing the challenges of modern-day environmental concerns.

Conclusion

Giti Tire’s recent S$150 million sustainability bond issuance not only marks a notable success in its financial endeavors but also reinforces its unwavering commitment to sustainable practices. As more companies recognize the importance of sustainability in their operations, Giti stands as an inspiring example of the potential for green finance to drive meaningful environmental change.