(September 28, 2023) China Mengniu Dairy Company Limited (“Mengniu”, the “Company”, or the “Group”, HKEX: 2319), a leading dairy product manufacturer in China, is proud to announce that it has recently received an upgraded rating of "AA" for its ESG (Environmental, Social and Governance) efforts, conferred by Morgan Stanley Capital International (MSCI), an international provider of indices. The Company has become the only comprehensive dairy manufacturer in China to receive such an award, the highest level in the industry and hence marking its role as an ESG leader among 77 companies worldwide that had also contested for the same award. The achievement is a testament to the capital market's recognition of Mengniu's accelerating development in its green and low-carbon efforts and its promise to fulfilling its corporate social responsibilities.

Notably, Mengniu has achieved MSCI rating upgrades for three consecutive years since 2021. In 2021, it formulated its GREEN sustainable development strategy covering the aspects of environment, society, and governance, as well as a climate change strategy to achieve carbon neutrality across the entire industrial chain by 2050. In 2023, the Group proposed its overarching "Green Leadership" goal with the following sub-goals by 2030:reducing carbon emissions in cooperative farms by 1 million tons and being the most optimal emitter industrywide, achieving 100% green recycling in all farms and improving soil health in 1 million mu (or 666 square kilometers) of land, transforming all of its existing factories into green factories and achieving a 50% utilization rate of clean or renewable energy, and finally achieving a net zero deforestation across its entire supply chain by protecting, restoring, and planting 1 trillion trees globally and continuously serving as an industry leader in its transformation to increasing sustainability.

For a long time, Mengniu has underscored sustainable development by actively taking on social and environmental responsibilities. For example, the Company has effectively reduced carbon emissions at its ranches through innovative measures such as manure recycling management systems and clean energy technologies. Using digital intelligence, it has achieved higher efficiency and lower carbon consumption. Through supply chain management, Mengniu has reduced deforestation losses and carbon emissions caused by commodity procurement.

In recent years, Mengniu has continuously strengthened its management and made achievements in the field of sustainable development, as well as recognized by various renowned institutions domestically and internationally. In 2023, the Company has been selected as a constituent stock of the Hang Seng Corporate Sustainability Index Series for a third consecutive year, and ranked third in the "ESG-Pioneer 100 Index of Listed State-owned Enterprises" list issued by the State-owned Assets Supervision and Administration Commission of the State Council. In addition, it was also included in the inaugural edition of the "Sustainability Yearbook (China Edition)" released by S&P Global, and recognized as the latter's "Industry's Best Progress Enterprise".

In the future, Mengniu will continue to push forward its GREEN sustainable development strategy by striving to achieve its holistic goal of comprehensive green leadership and joining hands with the industrial chain ecosystem to "Promising a Healthier World", thereby maximizing the value that it could possibly create for society.