Strengthen Confidence in Development and Accelerate the Journey Toward Becoming a World-Class Enterprise with Dreams, Responsibilities, and Contributions

As the sun and moon move forward, the year renews with hope. The year 2024 marks the 75th anniversary of the founding of the People’s Republic of China, a pivotal year for implementing key guiding principles, and the 25th anniversary of GDRH. With a steadfast commitment to being “an industrial powerhouse for the nation and a pioneer for social well-being,” we have deeply implemented the FAITH business philosophy. With a new outlook of “pursuing dreams with the courage to act, compete, and innovate,” we have ushered in a new era of high-quality development characterized by improvements in sustained growth in production and operations, and a reinvigorated workforce. We have firmly promoted a positive outlook of the Chinese economy and Guangdong’s economy, contributing to Guangdong’s leading and exemplary role in pursuing Chinese modernization.

A Year of Shaping the Collective Mind, Honoring Commitment, and Taking Practical Actions

We have reaffirmed the “Soul of GDRH” by drawing wisdom, confidence, strength, and courage from key guiding principles. With modernized concepts, international perspectives, and market-oriented thinking, we have refined and integrated the FAITH business philosophy into all aspects of our decision-making, management, production, and overseas operations. We have ensured a work system with full motivation, participation, and coverage at home and abroad, forging alignment between corporate values and employee actions toward shared goals.

A Year of Promoting Stability Through Progress and Achieving Quality-Efficiency Synergy

By prioritizing the real economy and manufacturing, we have established a presence in 11 strategic industrial clusters and 13 specialized sectors, strengthening our role in Guangdong’s modern industrial system. We have vigorously implemented the business management “Ascend Plan,” under which everyone from the chairman to front-line staff takes on tasks, while each department and subsidiary develops specific plans, sparking internal motivation for improving quality and efficiency. This has enabled the Group to achieve “stabilized revenue, optimized structure, increased profitability, and enhanced quality.” We ranked 203rd on the “2024 China Top 500 Enterprises” list, rising steadily for four consecutive years, further solidifying our high-quality growth momentum. We have actively participated in the Belt and Road Initiative, strengthening control over key resources by expanding our global reach in non-ferrous metal reserves, operating 8 mines at home and abroad, and contributing to national mineral resource security. We have supported the “High-quality Development Project for Hundreds of Counties, Thousands of Towns, and Tens of Thousands of Villages” with 43 investments in Guangdong’s eastern, western, and northern regions, and established a dedicated fund to promote balanced urban-rural development.

A Year of Forging Ahead with Reform and Proactively Seeking Changes

We have persisted in further deepening reform comprehensively by implementing mechanisms for vertical and horizontal coordination, enhancing synergy among key initiatives such as the Initiative to Deepen and Upgrade SOE Reform, the “Double-Hundred Action”, and the “Science and Technology Reform Demonstration Action.” We have achieved over 75% of our reform targets. We have substantially driven transformation in corporate governance, the construction of the headquarters with “Six Advanced Features,” precise business performance evaluation, the Three Key Systems reform, term-based appointment and contractual management for management teams, salary distribution mechanism reform, and medium and long-term incentive mechanisms, unleashing strong momentum empowered by reform and innovation while boosting the long-term potential for high-quality development.

A Year of Achieving Success Through Innovation While Dedicating to Self-Improvement in Technology

We have committed to becoming an innovative state-owned leading enterprise in smart manufacturing, persisted in self-reliance efforts in technological innovation, and fostering new quality productive forces. Over the past three years, we have invested an average of 2 billion yuan annually in R&D. We have steadily implemented the Innovation Expansion Project and the new quality productive forces “Leap and Upgrade Plan,” constantly improved the institutions and mechanisms that are more compatible with new quality productive forces, built technological innovation talent hubs, and advanced both independent and collaborative innovation. We have endeavored to move our industries to the higher-value ends of the “smiling curve,” with our products to the medium-high end of the value chain and encouraged our manufacturing subsidiaries to develop specialization in new sectors.

A Year of Adhering to People-Centered Development and Igniting Vitality

We have always put people first and valued talent as a cornerstone of success, upheld the principle of “pooling worldwide talents, enlightening the future,” and strived to activate, unite, motivate, and develop our employees. We intensified the efforts in strengthening our leadership teams and talent pool. We have organized open talent recruitment, including competitive selections for all positions at the headquarters, as well as leadership positions at direct subsidiaries with the mechanism of “individuals sign up with proposals, and decisions made based on open competitive selections.” We have stepped up the efforts to recruit high-caliber talents, urgently needed talents, and core key talents while promoting normalized vertical and horizontal exchanges of young management talents. With the establishment of the Group’s Learning and Innovation Center and Professional Skills Evaluation Center, GDRH has become a land of opportunities for talents of all kinds.

In 2024, we have journeyed together, from the icy landscapes of the North to the deep seas of the South, from the depths of mines to the nanoscale precision of technology, on the “GDRH” energy-efficient cruise ship sailing along the Pearl River, under the GDRH logos illuminating buildings with constantly increasing brand value. GDRH employees, united as one, have striven to ascend, aspired to greatness, and searched into the depths. The “light of technology” has illuminated countless households and brightened the nation. Honors such as “China’s First,” “Domestic Substitution,” and “Global Leadership” have been awarded in succession. Mines have rejuvenated with green vegetation through successful ecological restoration and intelligent upgrades. The 60,000 GDRH employees have forged ahead with resilience, embodying the dynamic spirit of being the “pillar that holds firm.” Each contribution has carried its own challenges, and every step forward has been immeasurably precious.

The New Year’s bells of 2025 are about to ring. Witnessing and participating in this great new era, we are filled with confidence, anticipation, and determination. We will remain aligned in thought, will, and action, with strong determination and confidence that “SOEs of Guangdong should and will succeed.” We will press forward with resolve and strive ahead vigorously, embarking on the new journey with GDRH’s entirely new posture.

Only with deep roots can a tree yield rich fruit; only filled with oil can a lamp burn brightly. We will continue to anchor ourselves in guiding principles, fostering a unified, forward-looking workforce striving side by side with each other with shared values and goals.

The wind rises as a gentle breeze, and waves form amid subtle ripples. With beautiful dreams in our hearts, we will accurately grasp the trends of the times, courageously shoulder our responsibilities, and daringly act, compete, and innovate in the new journey, empowering GDRH to forge a new path amid transformation while aiming for excellence with a long-term vision.

Chasing the wind and the moon, we must not linger, for beyond the vast plains lie the spring mountains. We will ensure the effective implementation of our tasks by taking on a new look and making greater progress. Our historical journey of building a world-class enterprise will be filled with fruitful results from GDRH’s efforts in applying guiding principles and implementing government directives, as well as the collective wisdom of our employees. Together, we will drive further achievements in reform and development.

In the year ahead, let us unite more closely, conscientiously implement the government’s decisions, and practice the FAITH business philosophy. With enterprising spirit, embracing new ideas and responsibilities, we shall continue to chart a new path for the high-quality development of GDRH, advancing boldly toward becoming a world-class enterprise with dreams, responsibilities, and contributions!

Lv Yongzhong
Chairman, GDRH