This month, Hong Kong-listed Chinese menswear brand group Lilanz (China Lilang Limited, stock code: HK1234) released its 2025 ESG Report — “CREATE A BETTER LIFE TOGETHER.” This marks the Group’s tenth consecutive Environmental, Social and Governance report. Centered around four strategic pillars — “Protecting the Planet, Sustainable Supply Chain, Caring for People and Society, Responsible Business Conduct” — Lilanz has delivered an impressive set of results.
Lilanz began disclosing ESG (Environmental, Social and Governance) information in its 2016 annual report, and this year marks the tenth year of such disclosure. In 2024, the Group established an ESG Management Committee, and in 2025 further strengthened the Board’s supervisory role, building a multi-level governance framework from decision-making to execution. As reflected in the report’s theme, Lilanz is taking concrete actions to “create a better life together,” generating long-term positive value for the environment and society while pursuing commercial success.
Through its four strategic pillars and a series of detailed data points, this article examines how a listed apparel company comprehensively and meticulously fulfills its corporate social responsibility.
I. Protecting the Planet: Energy Conservation and Emissions Reduction
In addressing climate change, Lilanz has continued to optimise its energy structure and further improve energy conservation and emissions reduction performance:
- Expanding green energy deployment: Photovoltaic power generation increased from 1,435 MWh to 2,312 MWh, representing a growth of 61.11%; gasoline and natural gas consumption both declined by approximately 10% year-on-year;
- Significant water-saving achievements: Total water consumption decreased by 13.68% year-on-year, with notable improvements in water efficiency; water intensity fell to 74.48 tonnes per RMB 1 million revenue [approximately USD 0.14 million], down 22.55% year-on-year;
- Continued decline in carbon emission intensity: Greenhouse gas emission intensity decreased by 3.12% year-on-year to 3.42 tonnes per RMB 1 million revenue [approximately USD 0.14 million];
- Tangible results in packaging lightweighting: Despite business order growth, packaging material consumption intensity declined by 4%, with logistics carton usage decreasing by 12% year-on-year.
In 2025, while optimising energy management at its production bases, the Group extended its energy-saving and emissions-reduction philosophy to its downstream retail network and office areas. Retail stores widely adopted high-efficiency energy-saving equipment and prioritised premises certified as green buildings; office campuses fully implemented LED lighting and BA remote intelligent control systems, applying time-based energy-saving strategies. In terms of green mobility, approximately 80% of company vehicles have been replaced with hybrid models. In addition, the Group fully implemented paperless operations, reducing A4 paper printing by approximately 480,000 sheets throughout the year, equivalent to saving 58 mature trees.
II. Building a Green Supply Chain
(1) Green Production
On the production side, Lilanz manufactured 7.3195 million garments using eco-friendly fabrics during the year, accounting for 58.39% of total output, a steady increase from 54.24% in 2024. Several benchmark products achieved new breakthroughs:
The Group collaborated with Chinese designer brand PRONOUNCE to launch the “Voyage to the Sea” co-branded collection. Inspired by Quanzhou’s maritime culture and Song Dynasty stone carvings of ocean wave motifs, the collection incorporates low-carbon materials such as TENCEL™ and bamboo fibre, combined with embroidery and digital printing techniques to innovatively merge traditional culture with modern eco-conscious aesthetics. This initiative not only demonstrates Lilanz’s forward-looking vision in ESG and product innovation but also marks an important milestone in driving brand rejuvenation and engaging younger-generation consumers.
The benchmark product “Water-Repellent Down” was upgraded to version 4.0. Lilanz partnered with leading global down supplier Honlong Down to jointly establish the DownTek® water-repellent down standard, with selected products adopting eVent® eco-functional fabrics to achieve green production across the entire value chain. The Group has also actively promoted industry ecosystem development by leading the drafting and release of two association standards: “Water-Repellent Down Garments” and “Testing and Evaluation of Damp-Cold Resistance Performance of Down Garments,” filling gaps in industry standards.
In addition, next-generation products such as the “Wash-Resistant Polo Shirt” and the “Long-Lasting White Non-Iron Shirt” extend product life cycles, fundamentally reducing garment disposal and energy consumption.
(2) Upstream Management
In 2025, the Group further optimised its supplier admission mechanism, strictly reviewing new suppliers’ basic qualifications, product quality, delivery capabilities and management performance, and conducting on-site inspections to ensure compliance with international production standards.
During the reporting period, the Group conducted 786 assessments covering 263 suppliers, achieving 100% coverage. Through dynamic rating adjustments, it encouraged suppliers to continuously improve their management practices. Compliance was established as the primary selection criterion, with priority given to partners excelling in environmental governance, labour protection, and health and safety.
In addition, Lilanz is working with suppliers to build traceable and transparent systems for key raw materials such as cotton, leather and wool. By leveraging digital tools to enhance supply chain transparency, the Group is gradually transitioning towards low-carbon materials, including organic cotton and recycled cotton.
III. Caring for Employees and Society
(1) Workplace Safety and People-Centred Management
In 2025, Lilanz strictly complied with all relevant laws and regulations, placing workplace safety at the core of corporate development. By providing personal protective equipment, conducting regular safety inspections, and organising emergency drills such as “On-Site Emergency Response Training for Accidental Injuries,” the Group comprehensively enhanced employees’ safety awareness and protective capabilities. Throughout the year, it maintained a record of zero fatal workplace accidents and zero lost workdays due to work-related injuries.
In terms of employee development, the Group built a highly skilled and professional workforce through systematic training. In 2025, total employee training hours reached 53,436 hours, with average annual training hours for non-management staff increasing from 12 hours in 2024 to 20 hours. The Group also strengthened ESG awareness among management, with nearly 45 mid- to senior-level managers receiving specialised ESG training during the year, totalling more than 135 hours.
As of the end of 2025, the Group employed 5,847 staff members, of whom 3,166 were women, accounting for 54.15%. The Group provides female employees with one day of paid menstrual leave per month and offers dedicated care during pregnancy and breastfeeding periods. Through health seminars and other initiatives, it supports female employees in strengthening health management awareness.
The Group has also provided educational assistance to approximately 80 employees’ children, covering all stages from kindergarten to senior high school, helping families reunite and fundamentally preventing the issue of left-behind children.
(2) Giving Back to Society
In 2025, Lilanz Group and its charitable foundation donated a total of RMB 45.6379 million [approximately USD 6.39 million], primarily directed towards education (RMB 37.4254 million [approximately USD 5.24 million]) and healthcare (RMB 5.1407 million [approximately USD 0.72 million]).
In the field of educational philanthropy, the flagship programme “Youth Aesthetic Education Initiative” entered its fourth year. This year, the programme continued to fund and construct “Dream Centres” in places such as Xinmi City, Henan Province, and innovatively extended classrooms to Lilanz’s offline stores through a study tour titled “The Journey of a Garment,” allowing children to experience apparel design and the industry chain up close.
By year-end, the “Youth Aesthetic Education Initiative” had covered 25 provinces, municipalities and autonomous regions nationwide, established 25 “Dream Centres,” benefited more than 46,000 children, and provided systematic aesthetic education training to 132 rural teachers.
In healthcare, the Group donated ophthalmic surgical equipment worth RMB 1.5 million [approximately USD 0.21 million] to Jinjiang Municipal Hospital; contributed RMB 1.34 million [approximately USD 0.19 million] to the Jinjiang Community Xiaocong Charity Foundation, designated for pension and medical insurance support for residents affected by land requisition. In addition, through the Jinjiang Charity Federation, the Group donated RMB 20 million [approximately USD 2.80 million] to the “Da Xiansheng” Public Welfare Fund, continuing to support the high-quality development of local education and healthcare.
IV. Responsible Business Conduct
Lilanz Group consistently adheres to high standards of business ethics and firmly rejects any form of improper conduct. During the reporting period, the Group recorded zero litigation cases related to corruption or fraud, and received zero employee complaints involving suspected corruption or fraud. Participation in annual anti-corruption training reached 100%. Upon receiving reports, the Audit Committee initiates investigations within one week and maintains a strict whistleblower protection mechanism.
Regarding data security and privacy protection, Lilanz strictly complies with the Data Security Law and the Personal Information Protection Law, establishing a comprehensive information protection framework. The Vice Chairman of the Board serves as the highest responsible officer, with the Information Management Centre acting as the executing department. In 2025, the Group recorded zero violations related to information security and privacy protection, and no fines arising from information security vulnerabilities or other cybersecurity incidents, building a robust safeguard for partners’ and customers’ data security.
During the reporting period, global rating agency MSCI upgraded Lilanz’s ESG rating to BB.
｜Information source: Lilanz 2025 ESG Report
｜Image Credit: Lilanz official social media accounts
｜Editor: Maier
