On March 18, 2025, Chinese menswear brand LILANZ, listed in Hong Kong, released its financial results for the fiscal year 2024 ([click here for the full report]) and simultaneously published its first standalone Environmental, Social, and Governance (ESG) report titled CREATE A BETTER LIFE TOGETHER.
This ESG report highlights LILANZ’s 2024 achievements and exemplary cases in areas such as green manufacturing, energy conservation and emissions reduction, R&D of innovative eco-friendly products, public welfare initiatives, and corporate operations management. Key highlights include:
- 54.24% of LILANZ’s total garment production utilized eco-friendly fabrics, with continued exploration into innovative sustainable techniques.
- The company’s self-owned factory in the Wuli Science and Technology Park in Jinjiang underwent multiple infrastructure upgrades, expected to reduce carbon emissions by 988.94 tons annually and cut steam usage by 30%.
- The flagship philanthropic program “Youth Aesthetic Education Charity Plan” entered its third year, reaching a total of 30,881 children over the three years.
- LILANZ has created a safe working environment and established a clean, transparent corporate governance system, achieving “zero work-related fatalities” and “zero fraud-related lawsuits.”
Since 2016, LILANZ has disclosed ESG information in its annual reports. In December 2024, the company formally established an ESG Management Committee, which is now responsible for ESG goal setting, progress monitoring, and proposal development, with a clearly defined role within the company’s governance structure.
During the reporting period, nearly 100 mid-to-senior-level managers at LILANZ received over 200 hours of specialized ESG training. Meanwhile, the company conducted comprehensive sustainability assessments on 825 suppliers, achieving 100% coverage. This initiative aims to support suppliers’ healthy development and ensure ESG principles are implemented across all stakeholder groups.
The establishment of the ESG Management Committee and the release of the brand’s first standalone ESG report mark a strategic shift for LILANZ, elevating ESG from “regulatory compliance” to “corporate strategy.” As the report title suggests, LILANZ is committed to “creating a better life together” with all stakeholders, striving for a win-win outcome of both commercial and social value.
Over Half of Garments Made with Eco-Friendly Fabrics, with Continued Innovation in Sustainable Techniques
LILANZ actively explores green alternative materials to enhance product recyclability and biodegradability. As previously reported by Luxe.CO, in 2022, the brand’s “Chinese White Dolphin” eco-friendly series featured denim jackets and jeans made with recycled indigo yarn that required no re-dyeing in the finishing process, reducing raw cotton usage by 50% and nearly 90% of chemical dyes and water. LILANZ’s zero-dyeing suit collection used no water during the dyeing process, cutting carbon emissions by approximately 30% and water consumption by over 70% per meter of fabric. These products have been certified by the Forest Stewardship Council (FSC), OEKO-TEX, and the Global Recycled Standard (GRS).
In 2024, LILANZ produced 6.4067 million garments using eco-friendly fabrics, accounting for 54.24% of its total apparel output. These eco-friendly fabrics include: bio-based nylon rainwear materials derived from hemp seeds; recycled rainwear materials made from reclaimed yarn and plastic bottles; renewable polyester; recycled nylon; and recycled elastic fibers.
In terms of production processes, LILANZ is committed to developing green and eco-conscious manufacturing technologies. For example, by adopting the latest washing techniques, the water usage during denim production was reduced by 20%, along with labor and energy savings.
Upstream in the supply chain, LILANZ is collaborating with suppliers to establish a traceable and transparent system for key raw materials such as cotton, leather, and wool. The company is also gradually transitioning to low-carbon materials such as organic and recycled cotton.
From Factory to Store: Comprehensive Energy Efficiency Enhancements
LILANZ’s self-owned production base is located in the Wuli Science and Technology Park in Jinjiang, covering an area of 160 mu. In 2024, the Wuli factory underwent extensive infrastructure upgrades to make its manufacturing system greener and more sustainable. Notable improvements include:
- Completion and commissioning of a 1,900-kilowatt distributed photovoltaic power generation system on the factory rooftop, projected to generate an additional 2.4 million kilowatt-hours of electricity annually and reduce carbon emissions by 988.94 tons per year.
- Implementation of energy-saving equipment with dual-use steam functionality, enabling a 30% reduction in steam consumption for ironing and shaping production lines.
- Automation at the smart factory reached 70% overall and over 90% in sewing operations, enabling unmanned processes that cut energy use and waste emissions.
- Adoption of an intelligent energy management system for real-time monitoring and optimized regulation of energy usage.
As of the end of December 2024, LILANZ operated 2,773 stores across the Chinese Mainland, including 382 directly operated stores. The company plans to include all directly operated stores in an energy efficiency optimization plan by 2028. This initiative will promote the installation of intelligent Energy Management Systems (EMS), optimize lighting, air conditioning, and heating systems in stores, and enable real-time monitoring and dynamic regulation of energy consumption to effectively reduce overall usage.
Conveying Brand Warmth Through Aesthetic Education Philanthropy
In 2024, LILANZ Group and the LILANZ Foundation made external donations totaling RMB 26.91 million [approx. USD 3.74 million], including RMB 16.02 million [approx. USD 2.22 million] for education, RMB 7.70 million [approx. USD 1.07 million] for healthcare, and RMB 180,000 [approx. USD 25,000] for cultural initiatives.
Education represents the company’s largest area of philanthropic investment. Beyond material donations, LILANZ has combined its years of experience in fashion aesthetics with aesthetic education. In 2022, it launched a five-year flagship public welfare program—the “Youth Aesthetic Education Charity Plan.” This initiative aims to address the lack of arts education resources for children in underdeveloped regions of the Chinese Mainland through artistic courses, “aesthetic education boxes,” and arts-related events.
As of December 2024, in partnership with the Shanghai Adream Foundation, LILANZ had donated over RMB 6.58 million [approx. USD 914,000] to establish 23 Adream Centers across eight provinces—Fujian, Henan, Anhui, Heilongjiang, Gansu, Jiangxi, and others—benefiting a total of 30,881 children.
On November 26, 2024, LILANZ held the Jinjiang launch ceremony for the “Youth Aesthetic Education Charity Plan” at Jinjiang Second Experimental Primary School. Wang Junhong, Executive Director and Vice President of LILANZ (pictured third from the left), attended the event and gave an aesthetic education-themed talk to the children titled There’s a Trophy in Every Child’s Backpack.
People-Oriented Approach to a Healthy Work Environment
LILANZ is committed to creating a safe working environment for its employees. In addition to establishing safety responsibility systems, equipping protective facilities, and providing protective gear, the company actively communicates with frontline workers to understand their needs and fully mobilize their participation in workplace safety.
In 2024, LILANZ Group reported zero work-related fatalities and zero lost workdays due to occupational injury.
Beyond ensuring physical safety in the workplace, LILANZ emphasizes the importance of a business ethics-based work system. It monitors all sensitive links in its business chain to prevent non-compliance and upholds a zero-tolerance policy toward corruption. In 2024, the group had zero fraud litigation cases and received zero internal fraud complaints.
| Source: LILANZ ESG Report CREATE A BETTER LIFE TOGETHER
| Editor: Maier
