Sinotrans

Sinotrans has no clear strategy, promotional initiatives, or financial incentives to influence customer demand for low-carbon transport alternatives. As an agency that arranges the transport of goods to thousands of customers worldwide, customer engagement is important to transition to a low-carbon economy. Sinotrans’ activities include rail, road, aviation and marine transport. The company could use its influence to encourage customers to use a low-carbon alternative. For example, it could encourage customers to ship goods by sea rather than by air .

Sinotrans has set a target to reach net zero by 2060 to align with the Chinese government’s goals. It is unclear if its target includes carbon offsets. The company has not set intermediate targets that cover all business activities. Setting regularly spaced intermediate targets will incentivise near-term actions on longer-term goals. Sinotrans’ transition plan focuses on the company’s road transport activities only. It is unclear if the targets include the scope 3 emissions that result from subcontracted road, rail, aviation and marine activities.

A large portion of the company’s activities is carried out by subcontractors. The emissions from these activities should be reported as scope 3 emissions but Sinotrans does not report them. It is unclear if Sinotrans collects emissions data from these subcontractors. To achieve its target of net zero by 2060, the company should collect and analyse this data which can be used to set science-based targets for its subcontractors. At present, there is no evidence that the company is working with subcontractors to reduce scope 3 emissions.

Sinotrans has set a target to reach net zero by 2060. However, it is unclear if it will use offsets to achieve the targets. The company has not set significant short to medium-term emission reduction targets. It commits to increasing the use of non-fossil fuel energy by 10% by 2030 .

Sinotrans plans to replace all light trucks with electric vehicles and increase the use of electric forklifts to 90% by 2035 . The company does not have a plan to reduce emissions in its subcontracted activities.

Sinotrans purchased 44 electric panel vans and 6 electric forklifts. It does not disclose its current spending on research & development in carbon removal and reduction technologies. The company uses digitalisation solutions to improve efficiency during loading but there is no evidence that the company is working to reduce emissions of its subcontracted activities.

Sinotrans does not disclose sufficient activity data to assess its past emissions intensity trend. The company does not report activity data about its subcontracted activities.

Sinotrans’ transition plan is focused on its own operated road transport services. A significant portion of the company’s activities is the coordination and shipment of goods through subcontractors. Sinotrans does not have a plan for the decarbonisation of these activities.

No evidence was found of the company’s commitment to social dialogue or of the categories of stakeholders the company engages with on a just transition. Furthermore, no evidence was found to demonstrate the company’s ongoing social dialogue and meaningful engagement with affected stakeholders.
No evidence was found of the company undertaking low-carbon transition planning to mitigate the social impacts of the transition on workers, affected stakeholders and its business relationships. Additionally, no evidence was found to demonstrate the company’s engagement in social dialogue or engagement with stakeholders in its just transition planning.

No public commitment by the company was found stating its intention to create and support access to green and decent jobs as part of the low-carbon transition. Moreover, no evidence was found of the company’s action to promote these jobs in a way that ensures gender balance and inclusion of vulnerable groups. Additionally, no relevant disclosure was found of the company’s assessment of employment dislocation risks.
No public commitment by the company was found stating its intention to reskill and upskill workers displaced by the transition to a low-carbon economy. Additionally, no evidence was found that the company reskills and upskills workers in a way that ensures gender balance and inclusion of vulnerable groups.

No relevant disclosure was found to show if the company identifies impacts of the low-carbon transition on social protection for workers and affected stakeholders, nor how it contributes to social protection. Additionally, no evidence was found that the company expects its business relationships to contribute to the social protection of their workers and affected stakeholders.
No relevant disclosure was found to show how the company identifies any misalignment of its lobbying activities with policies and regulations that support the just transition, nor of the measures it takes to address misalignment. Furthermore, no evidence was found that the company lobbies for policies and regulations for green and decent job creation; retention, education and reskilling; and social protection for workers.

The company can strengthen its commitments to respecting human rights and the ILO fundamental rights at work. Furthermore, the company can increase disclosure on its human rights due diligence process, engagement with affected stakeholders and grievance mechanisms available to workers and external stakeholders.

The company discloses some indicators of workforce diversity, including the age and gender of its workforce by employee category. However, it can increase disclosure on this subject, as well as on its living wage, working hours and collective bargaining practices. Furthermore, no evidence in policy documents was found regarding a company commitment to respecting worker health and safety, nor was evidence found of a company commitment to gender equality and women’s empowerment.

No evidence in policy documents was found regarding the company’s anti-bribery and anti-corruption policy, lobbying and political engagement policy or global tax strategy. Additionally, the company can strengthen disclosure regarding its protection of employees’ and customers’ personal data.