Leading the Way: LiuGong's Global Sustainability Milestones for 2024 and Beyond

As 2024 unfolds, LiuGong, a leading player in the machinery industry, continues to make significant strides in sustainability. In December 2023, the company took a pivotal step by establishing the Green Alliance—a collaborative initiative designed to enhance its commitment to social responsibility through philanthropy. This alliance involves partnerships with key customers, dealers, and several nonprofit organizations, with an emphasis on dedicating a portion of annual sales from its electric products towards charitable projects in Africa.

In May 2024, LiuGong reached a major milestone with the launch of a philanthropic project aimed at providing clean water in South Africa. This project represents the introduction of the first electric earthmoving machines in Africa, with an innovative approach to local water supply. By August, the first phase of this water well project in Mabeskraal was completed successfully. A 150-meter deep well, equipped with a solar-powered pump, now supplies over 25,000 households with access to clean water—a true testament to LiuGong’s mission of sustainable development.

Beyond the Green Alliance, LiuGong continues to innovate towards a future that prioritizes eco-friendly manufacturing practices. The company has been at the forefront of electrification initiatives, with dedicated research and development efforts focusing on electric machinery. Their specially established research institute supports the industrialization of components that contribute to an eco-friendly ecosystem. To date, LiuGong has developed an impressive product range of electric machinery across 11 categories. With over 6,500 electric units sold globally, the company has successfully reduced carbon emissions by approximately 330,000 tons—equivalent to planting over 18 million trees. LiuGong’s global sales priorities underscore their commitment, with more than 10% of monthly international sales coming from electric products that effectively reduce CO2 footprints.

In addition to product development, LiuGong is committed to advancing independence in key component manufacturing by completing the first phase of a battery pack factory and launching various energy supply facilities. Noteworthy achievements in intelligent technology include the implementation of autonomous loaders and rollers in mines and highways, resulting in enhanced operational efficiency and cost reductions.

LiuGong also aims for a zero-waste production model with maximum resource recycling. In 2023, they invested 41.61 million Yuan into lifecycle product management, emphasizing energy conservation and emission reduction. All wastewater and exhaust emissions have met regulatory standards, and hazardous waste management has been effective, minimizing pollution incidents. Throughout the year, they executed 27 projects aimed at reducing volatile organic compounds (VOCs) and other pollutants. Additionally, energy consumption has been optimized through strict policies and photovoltaic initiatives, with local solar energy production expected to generate 52 million kWh annually, thus decreasing emissions.

The development of a green supply chain is another crucial focus for LiuGong, involving efficient systems through strategic collaboration. Environmentally-friendly sourcing practices span the entire procurement process—from needs analysis to product acceptance—favoring energy-efficient products and transitioning to reusable packaging options over traditional materials. LiuGong’s supplier management system is robust, incorporating audits on financial viability, capacity, quality, and ESG factors to facilitate lasting partnerships. Their digital SRM platform has resulted in significant reductions in paper usage—saving approximately 4.3 tons annually.

Moving forward into the next year, LiuGong remains steadfast in its commitment to integrating sustainability within its business practices. The Green Alliance will also spearhead initiatives to construct a second water well in Gambia, furthering its dedication to global sustainability efforts. LiuGong's future promises continued advancements in cultivating a greener planet, ensuring their operations contribute positively to the communities and environments where they work.

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