REG - Air China Ld - 2024 Sustainability & ESG Report
24/04/2025 08:00
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RNS Number : 0262G Air China Ld 24 April 2025
Air China Limited
2024 Sustainability & ESG Report
Contents
About this Report (#_Toc196319137)
........................................................................................................
(#_Toc196319137) (#_Toc196319137) 4 (#_Toc196319137)
Chairman's Statement (#_Toc196319138)
.................................................................................................
(#_Toc196319138) (#_Toc196319138) 6 (#_Toc196319138)
ESG Statement from Board of Directors (#_Toc196319139)
....................................................................
(#_Toc196319139) (#_Toc196319139) 9 (#_Toc196319139)
Milestones in Air China's C919 Introduction (#_Toc196319140)
........................................................... (#_Toc196319140)
(#_Toc196319140) 10 (#_Toc196319140)
About Air China (#_Toc196319141)
........................................................................................................
(#_Toc196319141) (#_Toc196319141) 10 (#_Toc196319141)
Highlights of ESG Performance in 2024 (#_Toc196319142)
...................................................................
(#_Toc196319142) (#_Toc196319142) 15 (#_Toc196319142)
Honors and Awards (#_Toc196319143)
...................................................................................................
(#_Toc196319143) (#_Toc196319143) 16 (#_Toc196319143)
Response to UN 2030 Sustainable Development Goals (SDGs) (#_Toc196319144)
................................ (#_Toc196319144) (#_Toc196319144) 17
(#_Toc196319144)
1. (#_Toc196319145) (#_Toc196319145) (#_Toc196319145) Sustainable
Development Management (#_Toc196319145)
..............................................................
(#_Toc196319145) (#_Toc196319145) 22 (#_Toc196319145)
1.1 (#_Toc196319146) (#_Toc196319146) ESG Governance System (#_Toc196319146)
.............................................................................
(#_Toc196319146) (#_Toc196319146) 22 (#_Toc196319146)
1.2 (#_Toc196319147) (#_Toc196319147) Stakeholder Communication
(#_Toc196319147)
........................................................................
(#_Toc196319147) (#_Toc196319147) 24 (#_Toc196319147)
1.3 (#_Toc196319148) (#_Toc196319148) Materiality Determination
(#_Toc196319148)
...........................................................................
(#_Toc196319148) (#_Toc196319148) 27 (#_Toc196319148)
1.4 (#_Toc196319149) (#_Toc196319149) Corporate Governance (#_Toc196319149)
................................................................................
(#_Toc196319149) (#_Toc196319149) 28 (#_Toc196319149)
1.5 (#_Toc196319150) (#_Toc196319150) Risk Management (#_Toc196319150)
........................................................................................
(#_Toc196319150) (#_Toc196319150) 31 (#_Toc196319150)
1.6 (#_Toc196319151) (#_Toc196319151) Anti-Corruption and Business Ethics
(#_Toc196319151) ..........................................................
(#_Toc196319151) (#_Toc196319151) 35 (#_Toc196319151)
1.7 (#_Toc196319152) (#_Toc196319152) Responsible Supply Chain
(#_Toc196319152)
............................................................................
(#_Toc196319152) (#_Toc196319152) 38 (#_Toc196319152)
1.8 (#_Toc196319153) (#_Toc196319153) Innovation-driven (#_Toc196319153)
(#_Toc196319153) Development (#_Toc196319153)
..................................................................
(#_Toc196319153) (#_Toc196319153) 40 (#_Toc196319153)
1.9 (#_Toc196319154) (#_Toc196319154) Intellectual Property Rights Protection
(#_Toc196319154) ......................................................
(#_Toc196319154) (#_Toc196319154) 41 (#_Toc196319154)
1.10 (#_Toc196319155) (#_Toc196319155) (#_Toc196319155) Equal Treatment
of Small and Medium Enterprises (#_Toc196319155)
.............................. (#_Toc196319155) (#_Toc196319155) 41
(#_Toc196319155)
1.11 (#_Toc196319156) (#_Toc196319156) (#_Toc196319156) Digital
Transformation (#_Toc196319156)
...........................................................................
(#_Toc196319156) (#_Toc196319156) 41 (#_Toc196319156)
2. (#_Toc196319157) (#_Toc196319157) (#_Toc196319157) Safety Operations
(#_Toc196319157)
...............................................................................................
(#_Toc196319157) (#_Toc196319157) 44 (#_Toc196319157)
2.1 (#_Toc196319158) (#_Toc196319158) Safety Management (#_Toc196319158)
.....................................................................................
(#_Toc196319158) (#_Toc196319158) 44 (#_Toc196319158)
2.2 (#_Toc196319159) (#_Toc196319159) Safeguarding Passenger Safety
(#_Toc196319159)
...................................................................
(#_Toc196319159) (#_Toc196319159) 49 (#_Toc196319159)
2.3 (#_Toc196319160) (#_Toc196319160) Safety Culture (#_Toc196319160)
..............................................................................................
(#_Toc196319160) (#_Toc196319160) 51 (#_Toc196319160)
3. (#_Toc196319161) (#_Toc196319161) (#_Toc196319161) Low-carbon
Development (#_Toc196319161)
...................................................................................
(#_Toc196319161) (#_Toc196319161) 52 (#_Toc196319161)
3.1 (#_Toc196319162) (#_Toc196319162) Environmental Management and Ecological
Protection (#_Toc196319162) ............................ (#_Toc196319162)
(#_Toc196319162) 52 (#_Toc196319162)
3.2 (#_Toc196319163) (#_Toc196319163) Addressing Climate Change
(#_Toc196319163)
........................................................................
(#_Toc196319163) (#_Toc196319163) 54 (#_Toc196319163)
3.3 (#_Toc196319164) (#_Toc196319164) Resource Utilization (#_Toc196319164)
.....................................................................................
(#_Toc196319164) (#_Toc196319164) 64 (#_Toc196319164)
3.4 (#_Toc196319165) (#_Toc196319165) Pollution Prevention (#_Toc196319165)
.....................................................................................
(#_Toc196319165) (#_Toc196319165) 66 (#_Toc196319165)
4. (#_Toc196319166) (#_Toc196319166) (#_Toc196319166) Quality Service
(#_Toc196319166)
....................................................................................................
(#_Toc196319166) (#_Toc196319166) 71 (#_Toc196319166)
4.1 (#_Toc196319167) (#_Toc196319167) Service Quality Management
(#_Toc196319167)
......................................................................
(#_Toc196319167) (#_Toc196319167) 71 (#_Toc196319167)
4.2 (#_Toc196319168) (#_Toc196319168) Customer Experience Enhancement
(#_Toc196319168) ............................................................
(#_Toc196319168) (#_Toc196319168) 72 (#_Toc196319168)
4.3 (#_Toc196319169) (#_Toc196319169) Quality Enhancement (#_Toc196319169)
...................................................................................
(#_Toc196319169) (#_Toc196319169) 76 (#_Toc196319169)
5. (#_Toc196319170) (#_Toc196319170) (#_Toc196319170) Employee
Development (#_Toc196319170)
.......................................................................................
(#_Toc196319170) (#_Toc196319170) 80 (#_Toc196319170)
5.1 (#_Toc196319172) (#_Toc196319172) Employment and Employees' Rights and
Interests (#_Toc196319172) .....................................
(#_Toc196319172) (#_Toc196319172) 80 (#_Toc196319172)
5.2 (#_Toc196319173) (#_Toc196319173) Employee Training and Development
(#_Toc196319173) .........................................................
(#_Toc196319173) (#_Toc196319173) 82 (#_Toc196319173)
5.3 (#_Toc196319174) (#_Toc196319174) Occupational Health and Safety
(#_Toc196319174)
..................................................................
(#_Toc196319174) (#_Toc196319174) 86 (#_Toc196319174)
5.4 (#_Toc196319175) (#_Toc196319175) Incentives and Care (#_Toc196319175)
.....................................................................................
(#_Toc196319175) (#_Toc196319175) 88 (#_Toc196319175)
6 (#_Toc196319176) (#_Toc196319176) (#_Toc196319176) Social
Contribution (#_Toc196319176)
.............................................................................................
(#_Toc196319176) (#_Toc196319176) 92 (#_Toc196319176)
6.1 (#_Toc196319177) (#_Toc196319177) Rural Revitalization (#_Toc196319177)
.....................................................................................
(#_Toc196319177) (#_Toc196319177) 92 (#_Toc196319177)
6.2 (#_Toc196319178) (#_Toc196319178) The Belt and Road Initiative and
Industry-wide Co-building (#_Toc196319178) .....................
(#_Toc196319178) (#_Toc196319178) 96 (#_Toc196319178)
The route network layout statistics cover Air China, Beijing Airlines, Dalian
Airlines, and Inner Mongolia Airlines. (#_Toc196319179)
.....................................................................................................
(#_Toc196319179) (#_Toc196319179) 96 (#_Toc196319179)
6.2.1 Jointly Promoting Industry Development (#_Toc196319180)
................................................ (#_Toc196319180)
(#_Toc196319180) 96 (#_Toc196319180)
6.3 (#_Toc196319181) (#_Toc196319181) Supporting the Community
(#_Toc196319181)
..........................................................................
(#_Toc196319181) (#_Toc196319181) 99 (#_Toc196319181)
Outlook for 2025 (#_Toc196319182)
.....................................................................................................
(#_Toc196319182) (#_Toc196319182) 104 (#_Toc196319182)
Table of Major Indicators* (#_Toc196319183)
.............................................................................
(#_Toc196319183) (#_Toc196319183) 105 (#_Toc196319183)
HKEX ESG Indicator Index (#_Toc196319184)
............................................................................
(#_Toc196319184) (#_Toc196319184) 107 (#_Toc196319184)
GRI Index (#_Toc196319185)
.........................................................................................................
(#_Toc196319185) (#_Toc196319185) 111 (#_Toc196319185)
Shanghai Stock Exchange (#_Toc196319186) (#_Toc196319186) Index
(#_Toc196319186)
......................................................................
(#_Toc196319186) (#_Toc196319186) 115 (#_Toc196319186)
Major Laws, Regulations and Corporate Policies (#_Toc196319187)
.......................................... (#_Toc196319187) (#_Toc196319187)
117 (#_Toc196319187)
Third-Party Assurance (#_Toc196319188)
....................................................................................
(#_Toc196319188) (#_Toc196319188) 127 (#_Toc196319188)
Feedback Collection (#_Toc196319189)
.........................................................................................
(#_Toc196319189) (#_Toc196319189) 129 (#_Toc196319189)
About this Report
This Report highlights Air China's significant achievements in implementing
the strategic directives of the Party Central Committee, embodying the spirit
of the 20th National Congress of the Communist Party, and fulfilling the
social responsibility requirements set by the State-owned Assets Supervision
and Administration Commission. It demonstrates that the Company fully
leverages the advantages of the core aviation business, continuously
strengthens sustainable development management, and takes on responsibilities
and actions in key areas such as aligning with national strategies, ensuring
safe development, responding to climate change, practicing low-carbon
development, improving product accountability, emphasizing on digital
transformation and innovation, paying attention to employee development, and
focusing on community welfare.
§ Reporting Period
This report covers the period from 1 January to 31 December in 2024. To
enhance the comparability and completeness of the report, some content in this
Report appropriately reflects the achievements of the 2025 work.
§ Scope of the Report
This report is primarily about Air China Limited, but also involves its
branches, operating units, supporting units, and main subsidiaries such as
Aircraft Maintenance and Engineering Corporation (Ameco), Shenzhen Airlines
Company Limited (Shenzhen Airlines), Shandong Aviation Group Company Limited
(Shandong Aviation Group Corporation), Beijing Airlines Co., Ltd. (Beijing
Airlines), Dalian Airlines Co., Ltd. (Dalian Airlines), and Air China Inner
Mongolia Co., Ltd. (Inner Mongolia Airlines).
§ Basis of Preparation
This Report is prepared in accordance with relevant requirements, including
the Guiding Opinions on Central Enterprises' High Standards in Fulfilling
Social Responsibilities in the New Era and the Research on the Preparation of
ESG Special Reports for Central Enterprises Holding Listed Companies issued by
the State-owned Assets Supervision and Administration Commission, the
Guidelines No. 14 of Shanghai Stock Exchange for Self-Regulation of Listed
Companies-Sustainability Report (Trial) and the Appendix C2 Environmental,
Social, and Governance Reporting Guide of the Main Board Listing Rules of the
Hong Kong Exchanges and Clearing Limited (HKEX), with reference to standards
and requirements such as the Global Reporting Initiative Sustainability
Reporting Standards (GRI Standards) of the Global Sustainability Standards
Board (GSSB), GB/T36001 Guidance on Social Responsibility Reporting and other
supplementary guidelines for the aviation service industry.
§ Release Cycle
This is our 17th annual social responsibility and sustainability report. The
Chinese version of the previous year's report is released in March each year,
and the English version is released in April.
§ Sources of Data
All the financial data referred to in this report, applying to China
Accounting Standards for Business Enterprises, is extracted from the audited
annual reports of Air China Limited, while the other data comes from official
internal documents and relevant statistics of Air China Limited.
§ Abbreviations
In this Report, "the Company", "Air China" or "we" refers to Air China
Limited, while "the Group" refers to Air China Limited and its holding
subsidiaries, and "CNAHC" refers to China National Aviation Holding
Corporation Limited.
§ Report Principles
Quantitativeness: We have established standardized ESG indicator management
tools, encompassing support departments at headquarters, business management
units, branches, and key subsidiaries. We conduct regular statistics and
disclosures on quantitative key indicators, including all "Environmental" and
"Social" areas specified in the reporting guidelines. For the "Environmental"
data presented in this report, we provide detailed calculation methods and
reference standards in the corresponding sections.
Consistency: There is no significant adjustment in the disclosure scope of
this Report compared with previous years' reports, and a consistent disclosure
statistical method is used.
Materiality: To prepare this Report, an issue materiality assessment process
was carried out to determine the disclosure content of the report and the
level of detail of the content of each issue.
§ Accessibility of the Report
This report is prepared in both Chinese and English and should there be any
discrepancy in meaning between the two versions, the Chinese version shall
prevail. Electronic copies of this report in both Chinese and English are also
available for downloading from the Company's website. If you wish to acquire a
printed version or raise suggestions and/or comments on this report, please
contact us at:
Website: www.airchina.com.cn
Address: No. 30, Tianzhu Road, Airport Industrial Zone, Shunyi District,
Beijing, China
Contact unit: Office of the Board
Tel: 86-10-61462152
Email: baixiao@airchina.com
Chairman's Statement
The year 2024 marks the 75th anniversary of the People's Republic of China and
is a pivotal year for achieving the objectives of the 14th Five-Year Plan.
Under the guidance of Xi Jinping's Thoughts on Socialism with Chinese
Characteristics for a New Era, our Group has resolutely implemented the
principles of the 20th National Congress of the Communist Party of China
(CPC), as well as the directives from the Second and Third Plenary Sessions of
the 20th CPC Central Committee. In alignment with the strategic decisions of
the CPC Central Committee and the State Council, we have focused on enhancing
core functions and competitiveness, upheld the Party's comprehensive
leadership, deepened reforms, and pursued high-quality development. By
conscientiously fulfilling our economic, political, and social
responsibilities as a flag carrier, we have achieved new milestones. These
accomplishments represent significant strides toward building a world-class
enterprise.
Upholding the flag carrier's mission and ensuring "two absolute safeties". We
have rigorously implemented President Xi Jinping's directives on production
safety and civil aviation, ensuring the Company's safe and stable operations
through concrete actions. A dedicated plan to enhance production safety has
been formulated, launching a three-year initiative for fundamental
improvements. We have conducted thorough self-examinations to identify and
rectify major safety risks, striving to eliminate hazards proactively.
Continuous advancements have been made in five key areas: safety management,
flight training, aircraft maintenance, operational oversight, risk
identification, and hidden hazard investigation. These efforts have reinforced
our safety foundation and enhanced our overall safety capabilities. We have
strengthened operational coordination and maintained strict control over
safety processes to ensure seamless alignment between flight operations and
support capabilities. In 2024, our Group achieved 2.95 million hours of safe
flight, a 17% year-on-year increase, successfully executing critical charter
missions and major aviation transport tasks, including those for the Paris
Olympics, the Forum on China-Africa Cooperation, and the evacuation of Chinese
nationals from Lebanon.
Driving efficiency up and elevating operational performance. With a concerted
focus on efficiency, our Group has achieved both quantitative growth and
qualitative improvements in operations. By leveraging existing resources while
expanding new opportunities, we have increased effective investment, reaching
356.1 billion available seat kilometers for the year, a 22% year-on-year
growth. A new aircraft resource management mechanism has been established to
maximize fleet utilization, leading to improved daily aircraft usage rates. We
have intensified marketing innovations, introduced a quarterly product release
mechanism, refined inbound tourism offerings, and organized a series of
events, including the 30th anniversary of "Phoenix Miles", further expanding
our brand influence. Amid intensifying industry competition, we have
reinforced revenue management, maintaining a leading revenue position.
Comprehensive profit management and cost control initiatives have been
implemented, financing channels have been expanded, and refined financial
management has yielded notable results.
Enhancing service quality and offering world-class services. Anchored in the
service philosophy of "Customer Orientation, Problem Orientation, Value
Orientation", we have concentrated resources on establishing a dedicated
customer service center, further refining a professional service management
system. Key systems, including real-time passenger service notifications and
in-flight meal pre-ordering, have been launched, steadily advancing digital
service capabilities. A robust customer service mechanism has been developed
to better understand customer needs, design and deliver tailored products and
enhance customer value. Additionally, we have prioritized employee well-being,
fostering professional growth and career development through enhanced training
programs and expanded promotion pathways, creating a dynamic platform for
employees to showcase their talents and contribute to the long-term growth of
both the Company and its workforce.
Advancing green development and fostering new quality productive forces. We
remain committed to green development and ecological sustainability, actively
implementing a comprehensive green development action plan. Recognizing the
risks and opportunities posed by climate change, we have strategically planned
our greenhouse gas emission reduction efforts in line with national carbon
neutrality goals. We have deepened green operations, fulfilled our
environmental responsibilities, and safeguarded biodiversity. Focused on
energy conservation and waste reduction, we have launched initiatives to
reduce plastic usage and minimize waste, adopting a low-carbon and
eco-friendly resource management strategy. These efforts are steering us
toward becoming a resource-efficient and environmentally friendly green
aviation enterprise.
Fulfilling the responsibilities of a central enterprise and serving the "major
national cause". We firmly support the development of domestically produced
commercial aircraft, achieving new milestones in the large-scale operation of
China's homegrown airliners. The C909 and C919 aircraft, proudly flying the
national flag, now soar through the skies, and we aspire to be the world's
first operator of the C929. International route expansion has also progressed
steadily, with a particular emphasis on restoring and developing routes
related to the "Belt and Road Initiative", having connections to 29 countries
along the "Belt and Road Initiative" through 65 routes. Additionally, we have
actively implemented the CPC Central Committee's rural revitalization
strategy, optimizing the "aviation+" assistance model. Our efforts have
focused on five key revitalization areas-industry, talent, culture, ecology,
and organization - providing dedicated support to Zhaoping County in Guangxi
and Sonid Right Banner in Inner Mongolia. Our targeted poverty alleviation
efforts have earned the highest rating from the State-owned Assets Supervision
and Administration Commission (SASAC) for seven consecutive years.
Strengthening the guidance of Party building and boosting the effectiveness of
corporate governance. We have upheld high-quality guidance of Party building
as a cornerstone for ensuring high-quality development, steadfastly embracing
our responsibilities as a flag carrier. By implementing the "Two
Consistencies" principle, we have reinforced Party leadership throughout our
corporate governance structure. Organizational optimization in key areas has
been systematically advanced, strengthening leadership pipelines and
invigorating our workforce. We remain unwavering in our commitment to rigorous
Party governance, fostering a transparent and upright corporate environment
that provides a strong foundation for high-quality development and our journey
toward becoming a world-class enterprise.
As 2025 marks the concluding year of the 14th Five-Year Plan and a pivotal
transition to the 15th Five-Year Plan, our Group will adhere to the principle
of steady progress and continuously advance sustainable development. Through
concrete actions, we will fulfill corporate responsibilities and meet public
expectations. By advancing high-quality development and accelerating our
journey toward becoming a world-class enterprise, we are dedicated to
contributing even more to national strength and the rejuvenation of the
Chinese nation.
Ma Chongxian
Chairman
Air China Limited
ESG Statement from Board of Directors
Air China's Board of Directors is the highest responsible and decision-making
body for ESG affairs. It integrates the concept of sustainable development
into the decision-making process for the Company's major issues, listens to
reports from ESG implementation units during regular communication meetings,
and supervises ESG-related matters that may impact the Company's operations,
shareholders, and other stakeholders. This ensures alignment between ESG
principles and corporate strategies. The Board is responsible for approving
the outcomes of stakeholder communications and significant agenda
deliberations, as well as for reviewing and approving the Company's
Sustainability and ESG reports.
The Board of Directors has incorporated material ESG risks into the Company's
overall risk assessment and management framework, formulating response plans
for major ESG risks, their likelihood, impact, and risk trends. The Board of
Directors has also reviewed and approved the results of the ESG risk
assessment and the response plans, providing guidance and recommendations.
The Board has established a Corporate Social Responsibility (CSR) Leadership
Panel, which is responsible for formulating and reviewing the Company's social
responsibility (ESG) strategy, goals, and annual work plan, and for reporting
to the Board of Directors. The Office of the CSR Leadership Panel, as the
primary executing body of Air China's CSR work, is responsible for
implementing and executing social responsibility work plans.
In 2024, the Company continued to enhance its ESG work mechanism in compliance
with the Regulatory Requirements of the SASAC of the State Council on
Improving the Quality of Listed Companies Held by State-owned Enterprises, the
Shanghai Stock Exchange's Guidelines No. 14 for Self-Regulation of Listed
Companies-Sustainability Report (Trial), and other relevant regulations. The
Company actively explored the establishment of a scientific and systematic ESG
management system, comprehensively improving ESG governance capabilities and
risk management levels to promote harmonious development in the economy,
environment, and society.
This report fully disclosed the progress and outcomes of Air China's ESG work
in 2024, which was reviewed and approved by the Board of Directors on March
27, 2025.
Milestones in Air China's C919 Introduction
The C919 is China's first mainline jetliner independently developed under
internationally recognized airworthiness standards and equipped with
proprietary intellectual property rights. As a world-class narrow-body
commercial aircraft, it meets the latest certification requirements,
incorporates cutting-edge manufacturing technologies, and boasts a completely
new design.
Since signing the Customer Agreement on the C919 Launch with Commercial
Aircraft Corporation of China Ltd. (COMAC) in November 2010, Air China has
fulfilled its responsibilities by actively participating in preparations for
the C919's commercial operations. The Company has witnessed the aircraft's
evolution from concept to reality. To ensure a successful commercial debut,
Air China ordered 100 C919 aircraft, established a dedicated fleet, and
provided specialized training for staff in all relevant positions. Following
the C919's official delivery and launch, Air China has earned widespread
passenger recognition and trust through its professional flight crews,
exceptional service, and efficient operational management.
With the future delivery and operation of more C919 aircraft, Air China will
further strengthen its competitiveness in the air transportation market. The
C919 has not only diversified Air China's fleet but also enhanced the coverage
and efficiency of its route network. Moreover, the aircraft will enable Air
China to achieve significant progress in energy conservation, emissions
reduction, and green aviation practices.
Date Milestone
November 2010 Air China signed an agreement with COMAC for the C919 launch, becoming one of
the aircraft's early users.
May 5, 2017 The C919 successfully completed its maiden flight.
April 26, 2024 Air China ordered 100 C919 aircraft.
May 21, 2024 Air China established the C919 Fleet under the Seventh Flight Squadron of the
Flight Crew Department for C919 operations.
July 2024 Air China staff completed COMAC's training, laying a solid foundation for the
official launch of C919 operations.
August 9, 2024 Air China's first C919 aircraft conducted a test flight in Shanghai, signaling
its upcoming introduction to commercial service.
August 28, 2024 COMAC officially delivered Air China's first C919 aircraft.
August 29, 2024 Air China's first C919 aircraft arrived in Beijing, gearing up for subsequent
route operations.
September 5, 2024 Air China's first C919 aircraft underwent local flight training in Datong and
successfully validated emergency evacuation procedures, thereby enhancing
the crew's emergency response skills.
September 10, 2024 Air China's C919 aircraft embarked on its first commercial flight from Beijing
to Shanghai, marking its official entry into commercial operations.
About Air China
1. Company Profile
Air China Limited was established in 1988, originally known as Air China
International Corporation. In October 2002, Air China International
Corporation merged the air transportation resources of China Southwest
Airlines and China National Aviation Company, forming a new entity. On
September 30, 2004, Air China Limited was founded in Beijing. The company was
then listed on both the Hong Kong and London stock exchanges on December 15 of
the same year, followed by its listing on the domestic A-shares market on
August 18, 2006.
Air China is the only flag-carrier civil aviation company in China, and a
member of the world's largest airline alliance Star Alliance, and the official
aviation transportation partner of the 2008 Beijing Olympics and Paralympics
and the 2022 Beijing Winter Olympics and Paralympics. Air China takes the lead
among domestic airlines in passenger transportation and other related
services, providing important international and domestic transportation
services such as emergency flights, and charter flights for VIPs and leaders
of foreign countries. In 2024, according to the assessment of the World Brand
Lab, Air China achieved a brand value of RMB 259.695 billion, the highest in
the domestic aviation service industry.
2. Structure
In 2024, Air China initiated a comprehensive organizational reform, focusing
on key areas essential for high-quality development. By prioritizing the
reform of its organizational structure and leadership management system, Air
China aimed to foster a new production relationship, thereby strengthening its
efforts to achieve the strategic goal of becoming a world-class airline.
Air China Limited
Branches
Southwest Branch
Zhejiang Branch
Chongqing Branch
Tianjin Branch
Shanghai Branch
Xinjiang Branch
Hubei Branch
Guangdong Branch
Guizhou Branch
Tibet Branch
Wenzhou Branch
Stations Management Department
Operation Control Centre
Flight Crew Department
Commercial Committee
Ground Service Department
Cabin Service Department
Training & Development Department
Logistics & Support Department / Retiree Service Office /Leading Group
Office of Epidemic Prevention & Control
Information Management Department
Air Marshall Department
Centralized Procurement Department
Special Flight Office
Hub Development Department
Engineering Maintenance Department
Digital Transformation Office
Customer Service Centre
Management Support Division
Administration Office/Policy Research Office
Strategy and Development Department / Leading Group Office for Comprehensively
Deepening Reforms
Human Resources Department
Finance Department
Safety Supervision Department
Flight Technology Management Department
Assets Management Department
Operation Standards Department
Brand and Quality Management Department
Stations Management Department
Legal Department
Audit Department
Aviation Security Department
Office of the Board
Labor Union Office
Party Affairs Department / Corporate Culture Department
Office of the Party Committee's Anti-Corruption Leading Group
Discipline Inspection Office
Key Subsidiary Companies
Aircraft Maintenance and Engineering Corporation
Shenzhen Airlines Company Limited
Shandong Aviation Group Company Limited
Beijing Airlines Co., Ltd.
Dalian Airlines Co., Ltd.
Air China Inner Mongolia Co., Ltd.
Air Macau Company Limited
China National Aviation Finance Co., Ltd.
Beijing Golden Phoenix Human Resources Co., Ltd.
Air China Shantou Industrial Development Company
Adhering to the "Comprehensive Safety" Approach and Advancing the Development
of Safety Supervision Structures
We have renamed the Safety Management Department to the Safety Supervision
Department and strengthened the work safety management system under the
principle of "comprehensive horizontal and vertical coverage". Safety areas
such as flight, air defense, traffic, fire, network, data, confidentiality,
and engineering have been integrated into the full cycle of production and
operations. These measures aim to eliminate major safety risks at the root and
establish a sustainable safety framework.
Embracing Innovation-driven Development and Advancing the Transformation of
Our Digital Organizational System
We have established a Digital Transformation Office with a clear mandate to
integrate management and operations, bridge existing and new systems, and
separate construction from utilization processes. Additionally, we have
reinforced project-based and market-driven mechanisms and implemented a
top-down accountability framework. Through a series of reform initiatives, we
have concentrated resources to accelerate the successful implementation of
digital transformation.
Putting People at the Centre and Propelling Reforms in the Customer Service
System
We have established a top-tier Customer Service Centre to consolidate service
resources, centralize service channels and product offerings, and enhance the
end-to-end customer experience.
we have refocused the Commercial Committee on marketing management to
accelerate the transformation of our marketing model, strengthen collaboration
between marketing and service teams, and reinforce comprehensive revenue
accountability.
Staying Committed to Brand Value Leadership and Propelling Reforms in the
Brand Management System
We have consolidated brand, quality, and product service management under the
Brand and Quality Management Department. Embracing a quality-centric
philosophy, we have established a brand management system characterized by
"unified governance, horizontal collaboration, and vertical coordination".
This integration has strengthened alignment between branding and
production/operations, enhanced global brand communication and influence, and
propelled the Company's high-quality development.
Precisely Identifying the "National Priorities" and Promoting Optimization of
the Policy Research System
We have consolidated policy research functions under the Administration
Office, strengthened our policy analysis capabilities, and provided robust
support for the Company's critical decision-making.
The Strategy and Development Department has overseen strategic planning and
reform initiatives, streamlining the process from planning to execution to
ensure seamless coordination and sustained progress in reform and development.
3. Fleet Structure
As of the end of 2024, the Group had a total of 930 aircraft, the average age
of which was 9.90 years.
Aircraft type Model Quantity
Airbus A320 349
A330 54
A350 30
Boeing B737 405
B747 10
B777 28
B787 14
COMAC C909 33
C919 3
Business jets Business jets 4
Total 930
4. Route Network
As of the end of 2024, the Group operated 657 domestic routes, 190
international and regional routes, and served 45 countries and regions.
5. Philosophy of Responsibility
Vision:
A leading airline in the world
Mission:
Putting safety at the forefront
Delivering 4C-based services
Achieving steady growth
Helping our employees pursue a successful career
Fulfilling our responsibilities
Values:
People orientation
Assumption of responsibility
Resolve to get ahead
Loving to fly
Brand Positioning:
A professional trusted airline with world-class standards and a unique Chinese
flair
6. The 14th Five-Year Plan
Advancing high-quality development, and accelerating the construction of a
world-class aviation enterprise
Hub network strategy Continuously enhanced political capability Promoting safety management and construction to a new height
Passenger and cargo fights linkage strategy Stable and steady profiting capability Gaining a new advantage in the optimization of market layout
Cost advantage strategy Large-scale production organization capability Presenting a new look at the structural adjustment of resources
Brand building strategy Standardized basic management capability Reaching a new level of upgraded products and service
Value-driven brand capability Achieving a breakthrough in the aviation cargo logistics development
Entering a new stage of innovation-driven digital development
Demonstrating a new achievement in green and low-carbon development
Making new results in integrated industrial development
Major Development Goals during the "14th Five-Year Plan" Period
Annual Targets
Passenger carried: 167 million person-times
Passengers' overall satisfaction (points): 83.5
Accountable incidents rate of air transportation per 10,000 flight hours <
0.11
Maintaining strategic resolve and strengthening confidence and determination
to overcome difficulties
Ø We have completed the equity restructuring of Shandong Aviation Group
Corporation, with the fleet size now ranking among the top globally.
Ø We have focused on five key areas: route network, revenue management,
customer resources, marketing organization, and ground support. Further
efforts were made to enhance intensive control, deepen coordinated
development, and optimize refined management, resulting in significant
improvements in development quality and efficiency.
Upholding the bottom line of safety production and ensuring high-quality
development with high-level safety
Ø We tracked and assessed phased safety risks during the rapid recovery
period of flight operations, comprehensively strengthened flight operation
monitoring, and ensured a safe and orderly resumption of flights.
Ø We have maintained a "zero tolerance" stance toward investigating and
rectifying safety hazards. All PW1100G engines were immediately grounded and
inspected to eliminate risks at the earliest stage.
Ø We have established a long-term safety culture mechanism centered on the
"Three Respects" principle. Additionally, we achieved a "double decrease" in
both the incident rate per 10,000 flight hours attributable to responsibility
factors and the incident rate per 10,000 flight hours due to human factors
compared to 2019.
Establishing correct views on performance and implementing relevant tasks
based on "fact"
Ø We have focused on addressing development needs, passenger concerns, and
employee expectations to resolve problems at all levels.
Ø We made every effort to increase the airport gate docking rate and optimize
standards for ticket refunds, changes, and rescheduling.
Promoting the spirit of self-reform and deepening the comprehensive and strict
governance of the Party
Ø We have thoroughly implemented General Secretary Xi Jinping's important
thoughts on Party building, fostered a pragmatic and performance-oriented work
style, and optimized the age, professional, and capability structure of the
management and cadre teams to enhance their vitality.
Ø We have vigorously promoted the "One Tradition and Six Spirits" initiative
and established strongholds on the front lines of tackling tough challenges.
We also extended the comprehensive and strict governance of the Party to the
grassroots level, ensuring that officials do not dare to, are unable to, and
have no desire to engage in corruption ("Three Non-Corruptions").
Major Tasks in 2024 during the "14th Five-Year Plan" Period
Highlights of ESG Performance in 2024
Indicator 2022 2023 2024
ASK (million) 110,736 292,513 356,104
RPK (million) 69,967 214,173 284,350
ATK (million) 18,482 36,002 44,726
RTK (million) 9,688 21,887 29,743
Passenger carried (1,000 person-times) 45,086.7 125,454.5 155,315.5
Cargo and mail carried (1,000 tonnes) 902.8 1,070.4 1,480.1
Safe flight hours (1,000 hours) 1,166.9 2,529.5 2,950.9
Accountable incidents rate of air transportation per 10,000 flight hours 0 0.007 0
Flight on-time performance (%) 95.45 87.94 88.07
Number of registered aircraft (unit) 762 905 930
Total assets (RMB million) 295,011 335,303 345,769
Year-end market value (RMB million) 151,691 105,916 122,452
Fuel consumption per tonne-km (kg/tonne-km) 0.358 0.336 0.301
Total energy consumption (10,000 tonnes standard coal) 463.1 1,060.8 1,298.1
Environmental protection investment (RMB million) 244 385 542
Honors and Awards
Award Presented by
Aircraft Ground Fuel Transfer System (ACFS) was awarded the Second Prize of China Air Transport Association (CATA)
Civil Aviation Science and Technology Award
Safety Risk Monitoring for RNP AR Operations at High-Altitude Airports was CATA
awarded the Second Prize of Civil Aviation Science and Technology Award
ACFS was awarded the First Prize of National Equipment Management and China Association of Plant Engineering (CAPE)
Technology Innovation Achievement Award
Rated as Outstanding in "Central SOEs ESG · Pioneer 100 Index (2024)" SASAC of the State Council
Rated as "A" for five consecutive years in the Assessment of CPC Party SASAC of the State Council
Building Responsibility among Central SOEs; Ranked among the top 10 Central
SOEs in the 2023 Annual Performance Assessment
Rated as "Excellent" (the Highest Rating) for Seven Consecutive Years in the Central Rural Work Leading Group
Performance Evaluation of Paired-up Poverty Alleviation Efforts by Central
Units
The industrial assistance project Wings of China Empowering A Single Leaf for SASAC of the State Council
Industrial Prosperity and Public Welfare was selected as an excellent case in
the Blue Book of Central Enterprises Contributing to Rural Revitalization
(2023)
The Company has received the highest "A" rating in the Annual Information Shanghai Stock Exchange (SSE)
Disclosure Evaluation by the Shanghai Stock Exchange for 11 consecutive years
"Golden Disclosure Award" of the Golden Bull Awards for Listed Companies China Securities Journal
China's 500 Most Valuable Brands World Brand Lab
The World's 500 Most Influential Brands World Brand Lab
Gold Prize in the 7th China Youth Volunteer Service Project Competition Communist Youth League of China Central Committee, Central Social Work
Department, etc.
China Environmental Protection Foundation
Typical Innovative Case of Green Consumption
2024 Best Practice Case of Board of Directors of Listed Companies China Association for Public Companies
Air China Flight Operations Division and Beijing Airlines were honored as Ministry of Human Resources and Social Security & SASAC of the State
"Advanced Collective of Central Enterprises" Council
Response to UN 2030 Sustainable Development Goals (SDGs)
SDGs Our Actions in 2024 SDGs Our Actions in 2024
SDG 1: NO POVERTY Relevant content: SDG 3: GOOD HEALTH ANG WELL-BEING Relevant content:
SDG 2: ZERO HUNGER We strictly adhere to General Secretary Xi Jinping's core guiding principles We prioritize the protection of our employees' physical and mental health and
on the 'Three Rural Issues' (agriculture, rural areas, and farmers), safety as the foundation of corporate development. We rigorously implement
thoroughly implement the spirit of the 20th National Congress of the Communist occupational health and safety management regulations, ensure the legitimate
Party of China, and fully leverage our strengths. Based on the actual needs of rights and interests of employees in a safe and healthy work environment, and
the regions supported by Air China, we advance high-quality rural continuously enhance the comprehensive development of our employee health and
revitalization through various approaches, thereby contributing to the safety system. These efforts are integral to safeguarding the well-being of
consolidation and expansion of poverty alleviation achievements in the all employees.
supported areas.
Corresponding chapter: Occupational Health and Safety
Corresponding chapter: Rural Revitalization
SDG 4: QUALITY EDUCATION Relevant content: SDG 5: GENDER EQUALITY Relevant content:
We have built a robust training management framework and institutional system, We strictly prohibit all forms of forced labor and child labor. And we are
delivering a wide array of training programs meticulously designed to meet the firmly opposed to any workplace discrimination based on ethnicity,
development needs of employees at all levels. We continuously refine career nationality, gender, or other factors, and stand resolutely against workplace
development pathways and actively encourage employees to advance their harassment and bullying. Our commitment is to ensure that the legitimate
educational qualifications and professional competencies, fostering the mutual rights and interests of every employee are fully protected and respected.
growth of both talent and the Company.
Corresponding chapter: Employee Training and Development
Corresponding chapter: Employment and Employees' Rights and Interests
SDG 6: CLEAN WATER AND SANITATION Relevant content: SDG 7: AFFORDABLE AND CLEAN ENERGY Relevant content:
We are committed to the conservation and recycling of water resources, as well We actively champion energy conservation, emission reduction, and resource
as the research, development, and application of water-saving and eco-friendly recycling, while pioneering the adoption of Sustainable Aviation Fuel (SAF) as
technologies. In our daily operations, we rigorously implement a range of part of our commitment to becoming an eco-friendly aviation. Our mission is to
water conservation measures to significantly enhance the overall efficiency of responsibly mitigate environmental impacts, optimize the sustainable use of
water resource utilization. Through these concrete actions, we actively embody resources, and drive the transformation toward a greener, more sustainable
the principles of green development and contribute to a more sustainable aviation industry.
future.
Corresponding chapter: Resource Utilization
Corresponding chapter: Resource Utilization
SDG 8: DECENT WORK AND ECONOMIC GROWTH Relevant content: SDG 9: INDUSTRY INNOVATION Relevant content:
We consistently implement employee incentive policies and have developed a AND INFRASTRUCTURE We actively engage in industry collaboration, driving the coordinated
diverse, comprehensive remuneration and benefits system designed to offer development of the aviation sector through resource sharing and technical
well-rounded and competitive packages. We deeply care about our employees' exchanges. Our goal is to build a robust industry ecosystem rooted in mutually
needs, organizing a wide range of activities to foster a positive and engaging beneficial partnerships, fostering continuous progress and innovation across
workplace culture. By doing so, we aim to maximize their enthusiasm, the entire aviation landscape.
creativity, and overall job satisfaction.
Corresponding chapter: Incentives and Care
Corresponding chapter: Jointly Promoting Industry Development
SDG 10: REDUCED INEQUALITIES Relevant content: SDG 11: SUSTAINABLE CITIES AND COMMUNITIES Relevant content:
We strictly prohibit any form of forced labor or child labor. And we are We improve our ESG governance system to promote high-quality sustainable
firmly opposed to workplace discrimination based on ethnicity, nationality, development.
gender, or any other factor, and stand against all forms of workplace
harassment and bullying. Our commitment ensures that the legitimate rights and
interests of every employee are fully protected and respected.
Corresponding chapter: Employment and Employees' Rights and Interests
Corresponding chapter: ESG Governance System
SDG 12: RESPONSIBLE CONSUMPTION AND PRODUCTION Relevant content: SDG 13: CLIMATE ACTION Relevant content:
We have established a new benchmark for exceptional flight experiences by We are committed to enhancing our climate management capabilities and actively
enhancing service quality management, deepening the optimization of customer supporting the national goals of achieving carbon peaking and carbon
experiences, and continuously improving our service standards. In 2024, three neutrality. Addressing climate change is a priority embedded in our strategic
of Air China's branches, six business management units, and three management planning, integrated into comprehensive risk management, and incorporated into
support departments with audit qualifications successfully underwent our daily operations. We strive to contribute Air China's expertise and
comprehensive document reviews and on-site audits. resources to global climate action efforts.
Corresponding chapter: Service Quality Management Corresponding chapter: Addressing Climate Change
SDG 14: LIFE BELOW WATER Relevant content: SDG 15: LIFE ON LAND Relevant content:
We actively engage in biodiversity conservation monitoring and have developed We uphold the philosophy of respecting, protecting, and harmonizing with
targeted strategies to address identified risks that may impact biodiversity, nature, and are dedicated to advancing ecological civilization. Through
ensuring the balance and stability of the ecological environment. proactive biodiversity monitoring, awareness campaigns, and a series of public
welfare initiatives, we strive to enhance public environmental awareness and
drive progress in ecological protection.
Corresponding chapter: Environmental Management and Ecological Protection
Corresponding chapter: Environmental Management and Ecological Protection
SDG 16: PEACE, JUSTICE AND STRONG INSTITUTIONS Relevant content: SDG 17: PARTNERSHIPS FOR THE GOALS Relevant content:
We have implemented a range of measures-including enhancing our social We have intensified our efforts to serve as an air bridge connecting countries
responsibility management system and governance structure, strengthening risk along the 'Belt and Road,' fostering connectivity, enhancing economic and
management, cultivating a robust culture of integrity, promoting responsible trade cooperation, and facilitating people-to-people exchanges. These
procurement, and driving digital transformation-to establish a strong initiatives fully reflect our commitment as a state-owned enterprise to drive
foundation for a fair, transparent, and sustainable corporate operating mutual development and shared prosperity.
environment.
Corresponding chapter: he Belt and Road Initiative and Industry-wide
Corresponding chapter: Corporate Governance Co-building
1. Sustainable Development Management
SDG 11: SUSTAINABLE CITIES AND COMMUNITIES
SDG 16: PEACE, JUSTICE AND STRONG INSTITUTIONS
Air China is unwavering in its commitment to President Xi Jinping's key
directives and the CPC Central Committee's strategic decisions, which guide
all its operations. Aligned with the national agenda, the Company focuses on
driving high-quality and sustainable growth, establishing itself as a
world-class aviation enterprise, and partnering with stakeholders to advance a
greener, more harmonious, and prosperous aviation industry.
1.1 ESG Governance System
Air China is deeply committed to advancing its ESG (Environmental, Social, and
Governance) agenda. The company rigorously complies with regulatory standards
to develop a comprehensive ESG governance structure. The roles and
responsibilities for ESG oversight and management are explicitly articulated
in the Work Rules of the Board of Directors' Strategic and Investment
Committee and the Audit and Risk Control Committee (Supervision Committee).
This institutionalization of ESG responsibilities ensures their integration
into the board's regular operations. Guided by the CNAHC Implementation
Measures for High Standard Fulfillment of Social Responsibility in the New
Era, Air China has identified critical priorities to drive high-quality
development and its aspiration. These strategic measures provide a strong
foundation for the consistent and effective execution of ESG initiatives.
Governance Framework
Management Layer Work Content
1 Board of Directors l Comprehensively supervised and approved ESG short, medium, and long-term
plans, along with the formulation and implementation of ESG-related policies.
The Board of Directors holds the highest responsibility and decision-making
authority for ESG matters, overseeing the overall planning and coordination of
ESG initiatives.
l Reviewed the Company's performance and progress in key material ESG issues,
including aviation safety and risk control in 2024.
1.1Audit and Risk Control Committee (Supervision Committee) l Held seven meetings to review the 2023 Internal Audit Work Report, the 2024
Work Plan, and the 2023 Internal Control Evaluation Report. Listened to
reports on standardized operations in the second half of 2023 and provided
feedback on internal controls, the digitization of audit processes, and the
implementation of corrective actions and accountability measures for issues
identified during inspections by the Central Inspection Group and audits.
l Reviewed and approved the 2023 Performance Report of the Audit and Risk
Control Committee (Supervision Committee) and submitted it to the Board of
Directors for review and approval.
l Listened to a report from the Audit and Risk Control Committee (Supervision
Committee) regarding whistleblowing cases received via email.
1.2Strategic and Investment Committee l Held seven meetings to research and deploy the Company's strategies, promote
key projects for 2024, and review the 2024 investment plans and ESG report.
l Listened to a report on the Company's strategy decoding meetings.
1.3Remuneration and Assessment Committee Held three meetings to review the 2023 business performance assessment plans,
the total salary budget, and the settlement schemes for the management.
1.4Nomination Committee Held three meetings to nominate candidates for the positions of Vice
President, Secretary of the Board of Directors, and Joint Company Secretaries.
1.5Aviation Safety Committee Held three meetings to implement the Board of Directors' "Safety First"
proposal, ensuring safety responsibilities effectively fulfilled .
2 CSR Leadership Panel l Developed the Highlights of ESG Work in 2024, clearly defined the
responsible departments for key tasks, and promoted the implementation of
The Chairman leads the ESG panel, tasked with formulating and reviewing the related work.
Company's ESG strategies, goals, and annual work plans, as well as reporting
on the execution progress and outcomes to the Board of Directors. l Developed the 2023 ESG report, and disclosed it to the public after being
reviewed and approved by the Board of Directors.
l Participated in the training related to the latest information disclosure
guidelines released by the Shanghai Stock Exchange and the Hong Kong Stock
Exchange in 2024, and conducted benchmarking against new regulations to
continuously raise the report production level.
l Organized ESG-themed training for Board members to get informed about the
latest domestic and international ESG development trends and regulatory
requirements.
l Issued the Implementation Measures for High-Standard Fulfillment of Social
Responsibility in the New Era.
l Developed and reported the Summary of 2024 ESG Work and Planning of 2025 ESG
Work.
2.1 Office of CSR Leadership Panel
The ESG working group, composed of representatives from various functional
departments, is responsible for implementing ESG work plans in alignment with
the Company's ESG management system, overall framework, and objectives.
1.2 Stakeholder Communication
Air China places great importance on the opinions and suggestions of
regulators, shareholders, passengers, employees, partners, and other
stakeholders. The company continuously expands and optimizes communication
channels, accurately identifies key issues, and actively addresses the
concerns of all stakeholders.
1.2.1 Information Disclosure
l Air China is committed to transparent, truthful, accurate, complete, and
timely disclosure of information related to production, operations, and any
matters that may significantly impact stock prices. This ensures that all
shareholders have equal access to company information and protects investors'
rights and interests. In 2024, Air China successfully compiled and disclosed
high-quality periodic reports, interim announcements, and circulars to
shareholders in compliance with listing rules, tailored for the Shanghai, Hong
Kong, and Japan markets, respectively.
l We disclosed 57 interim domestic announcements, 65 interim overseas
announcements, and four circulars.
1.2.2 Investor Relations
Establishing a sound investor relations management system
We enhanced, reviewed, and approved our Investor Relations Management System
to better adapt to evolving market dynamics and ensure the comprehensive
protection of investors' rights and interests.
High-quality performance release work
l We actively engage with investors through annual, semi-annual, and quarterly
performance telephone communication meetings and briefings.
l For the first time, we implemented recorded broadcasts and online text
interactions via the SSE Roadshow Center platform, significantly expanding our
communication channels with investors and enhancing accessibility.
Establishing a multi-level mechanism for virtuous interaction with investors
l We successfully conducted our 2023 annual performance roadshow and 2024
semi-annual performance roadshow in Hong Kong and Shanghai, engaging directly
with major institutional investors.
l We actively participated in institutional summits and strategy meetings,
organizing or attending over 30 investment conferences and telephone research
meetings throughout the year.
l We place great emphasis on addressing the needs of small and medium-sized
investors, strengthening communication with them through diverse channels to
ensure inclusivity and transparency.
Summer Travel Press Conference
On June 26, 2024, Air China successfully held its Summer Travel Press
Conference under the theme "Viewing a Better World". The event focused on
showcasing Air China's strategic capacity deployment and innovative service
products tailored for the summer travel season. To meet the heightened demand
during this peak period, Air China expanded its route network, enhanced its
flight capacity, and elevated service quality to ensure a seamless travel
experience. The press conference welcomed over 120 distinguished guests,
including leaders from the Beijing Municipal Bureau of Culture and Tourism,
Capital Airports Holdings Co., Ltd., and other key stakeholders.
Representatives from travel agencies, industry partners, and news media also
attended, making it a comprehensive and impactful event.
The 30th Anniversary of the "Phoenix Miles" Frequent Flyer Program
On November 27, 2024, Air China celebrated the 30th anniversary of the
"Phoenix Miles" Frequent Flyer Program with a grand event in Beijing, themed
"Life's Journey, Companion of a Lifetime." The event focused on introducing
new service offerings related to "Phoenix Miles" and highlighted the program's
30-year development journey. Additionally, Air China unveiled the Phoenix
Miles VIP Member Incentive Program. The anniversary event was attended by over
300 guests, including representatives from the Civil Aviation Administration
of China (CAAC), Phoenix Miles members, partners, and media representatives.
1.2.3 Response to Stakeholders
We identify critical issues and address the needs of all stakeholders by
analyzing the Company's characteristics and external environmental changes.
Stakeholders Communication channels Expectations and appeals Response from Air China
Government/ Domestic Ÿ Work meetings and briefings Ÿ Integrity, compliance, and orderly operations Ÿ Participating in the planning, research, and formulation of policies and
reports on special topics
and overseas regulatory Ÿ Information disclosure Ÿ Support for important and major events
Ÿ Following regulatory requirements
authorities Ÿ Cooperation with governments Ÿ Zero accidents relating to safety operations
Ÿ Acceptance of supervision and assessment
Ÿ Release of blue books Ÿ Good corporate image
Ÿ Participating in specialized training programs
Ÿ Energy saving, emission reduction, and environmental protection
Shareholders Ÿ Information disclosure Ÿ Realizing standardized corporate governance Ÿ Improving corporate governance and internal control system
Ÿ General Meetings of Shareholders Ÿ Protection of investors'/shareholders' interests Ÿ Working on investor relations
Ÿ Investors' meetings Ÿ Sustainable development ability Ÿ Strengthening the core competitiveness
Ÿ Official website of the Company Ÿ Regular result announcements
Customers Ÿ Customer satisfaction surveys Ÿ Flight safety and on-time performance Ÿ Establishing branded lounges
Ÿ Compliant handling Ÿ Provision of all-round and high-quality service Ÿ Certification of food safety management
Ÿ New media Ÿ Protection of personal privacy Ÿ Provision of intelligent service
Ÿ Improving the release mechanism for information on irregular flights
Ÿ Protecting passenger information
Employees Ÿ Employee satisfaction surveys Ÿ Protection of rights and interests Ÿ Building a multi-level developing channel and learning path for talents
Ÿ Internal BBS, magazines, emails, and WeChat Ÿ Focus on the Company's development strategy Ÿ Facilitating the work of the Staff Service Centre
Ÿ Employee representatives' meetings Ÿ Participation in the Company's management and operation Ÿ Providing psychological counseling, etc.
Ÿ Activities of the trade union Ÿ Smooth career pathways Ÿ Innovation studios for advanced model and craftsmen
Ÿ Establishment of teams Ÿ Compensation and benefits Ÿ Cultural and sports activities
Ÿ Skill contests
Ÿ Helping employees with difficulty
Partners/ Suppliers Ÿ Financial, insurance, procurement, and other businesses Ÿ Honesty and integrity in business operation Ÿ Strengthening communication and cooperation
Ÿ Daily business interactions Ÿ Enhanced solvency Ÿ Strengthening supplier management
Ÿ Partners' meetings Ÿ Reduction of the operational risks Ÿ Revising and improving procurement policy
Ÿ Transparency in procurement Ÿ Strengthening suppliers' capability and awareness of environmental
protection
Ÿ Mutual development
Peers Ÿ Industry forums Ÿ Attention to industry development and trends Ÿ Strengthening alliance cooperation
Ÿ Industry conferences Ÿ Maintenance of a fair and orderly market Ÿ Carrying out industrial cooperation
Ÿ Signing Memorandum of Understanding
Community Ÿ Public welfare and charity activities Ÿ Promoting economic growth of the communities Ÿ Promoting rural revitalization
Ÿ Volunteer service Ÿ Supporting public welfare events Ÿ Engaging in public welfare and charity activities
Ÿ Completing important transportation tasks
Media Ÿ Press releases Ÿ Responding to important events of the Company Ÿ Publication of Sustainability & ESG reports and regular performance
reports
Ÿ Media calls and visits Ÿ Public image and influence
Ÿ Timely updates of new developments via Weibo, WeChat and TikTok
Ÿ Official new media platforms Ÿ Future planning
Ÿ Organizing open day activities
Ÿ Product launch events and other activities
1.3 Materiality Determination
Air China regularly conducts assessments of material sustainable development
issues to identify key focus areas and effectively respond to stakeholder
expectations. This process also drives continuous improvement in its ESG
management. In 2024, the Company reviewed its list of material issues from
both internal and stakeholder perspectives, which remains largely unchanged
compared to 2023.
Issues of High Materiality Issues of Medium Materiality
Flight safety Communication with employees and Protection of employees' rights and interests Service for special passengers
Passenger health and safety Rural revitalization Work conditions and social security
Supporting special flight missions Integrity management Pollution Prevention and Waste Management
On-time performance Innovation of products and service Contributions to industry development
Protection of customer privacy Risk management and compliant operations Employee training and development
Occupational health and safety Sustainable value chain Charity and Community
Engagement
Employee care, Remuneration, and Benefits Internationalized development Diversity and equality
Improvement of customer experience Sustainable use of resources
Climate Change Response
and Carbon Reduction
1.4 Corporate Governance
Air China has established a robust governance framework, prioritizing
integrity and compliance in business operations. The Company consistently
improves governance efficiency and strengthens risk resilience, maintaining a
clean and ethical workplace. It is committed to building a supply chain
management system that combines quality, compliance, and sustainability while
actively advancing technological innovation to drive high-quality corporate
development.
1.4.1 Corporate Governance System
Air China strictly adheres to relevant laws and regulations, including the
Company Law, Securities Law, and the Code of Corporate Governance for Listed
Companies. The Company has established a transparent, balanced, and legally
compliant governance mechanism. Its optimized "1+3+N" governance system,
centered on the Articles of Association, and updated Material Issues
Responsibility Matrix clarify the roles and decision-making processes of the
Party Committee, Board of Directors, and Management.
Guidance of Party Building
In 2024, guided by Xi Jinping's Thought on Socialism with Chinese
Characteristics for a New Era, Air China implemented the principles of the
20th CPC National Congress and the Second and Third Plenums of the 20th
Central Committee. The Company integrates Party leadership into governance,
leveraging high-quality Party building to drive corporate excellence.
In 2024, the Standing Committee of the Party Committee held 54 meetings,
undertaking preliminary review on 21 key issues.
High-Level Deployment for In-depth Party Discipline Education
On April 12, 2024, Air China formally launched the Party Discipline Education
Campaign. Guided by General Secretary Xi Jinping's directives on strengthening
Party discipline and in line with the SASAC Party Committee's deployment, the
Company treats this initiative as a top political priority. Air China has
advanced key measures, including studying the Party's disciplinary
regulations, implementing warning education activities, and conducting
training and awareness campaigns. These efforts ensure that all Party members
fully understand and uphold discipline, laying a solid foundation for
high-quality development and accelerating the Company's transformation into a
world-class enterprise.
Uphold the Party's Leadership
Air China has advanced the "Two Upholds" system, improving the "First Agenda"
full-chain mechanism and institutionalizing oversight of the Party Central
Committee's major decisions. Upholding the "Two Consistencies" principle, the
Company has optimized the Party Committee's decision-making processes. The
Standing Committee has revised its meeting rules and innovatively strengthened
the "Four Whether" pre-research political review mechanism. Subordinate
enterprises have been guided to update their decision-making systems. These
measures ensure Party leadership is fully integrated into corporate
governance, translating its advantages into effective governance.
Strengthen Political Construction Enhance Ideological Development
Air China is implementing corrective measures from the 20th Central The Company facilitates in-depth learning of the Third Plenary Session of the
Committee's second-round inspections, leveraging these improvements to align 20th Central Committee, empowering Party members and executives to uphold
with national strategic priorities and achieve its vision of becoming a principles, overcome challenges, and take responsibility. This effort aims to
world-class enterprise. translate learning outcomes into tangible progress in comprehensive reforms
and sustainable high-quality development.
Improve Organizational Development Uphold the Party's Leadership in Talent Management
Air China is steadily progressing its "Seven-Focus" grassroots Party building Through systematically optimizing the talent structure and role classification
initiative, bolstering grassroots Party organizations, Party affairs teams, system, the Company bolsters talent selection, utilization, and incentive
and Party member development, while drawing on exemplary models for strategic mechanisms, thereby cultivating a highly competent cadre of leaders.
guidance.
Advance Comprehensive and Rigorous Party Governance Consolidate the United Front
By fully implementing the new-era Party-building requirements, Air China Through actively fostering relationships and friendships with non-Party
reinforces primary and supervisory responsibilities for strict Party individuals, Air China ensures that United Front members contribute meaningful
governance. Moreover, the Company extends comprehensive and rigorous Party insights and suggestions.
self-discipline to grassroots levels, driving deeper implementation.
General Meetings of Shareholders
The General Meeting of Shareholders represents the highest authority within
the Company. It is tasked with resolving critical corporate matters, including
business policies, investment plans, personnel appointments, financial
reviews, and performance evaluations. This ensures alignment with legal and
regulatory standards while protecting shareholders' interests. In 2024, the
number of General Meetings of Shareholders was four..
Board of Directors
Air China's Board of Directors functions as the executive decision-making
body, overseeing the Company's comprehensive strategy, asset management,
internal supervision, and risk management. The Board is responsible for
defining strategic direction, formulating policies, and exercising its
statutory powers in accordance with legal procedures and the Company's
articles of association. It is accountable to the General Meetings of
Shareholders, supervises executive management, and steers the Company's steady
growth.
Diversity of Board of Directors
Air China remains committed to building a diverse and professional Board of
Directors. On February 25, 2025, the Company successfully re-elected its
seventh Board of Directors, comprising nine members, including four
independent directors and one female director. The board members bring
expertise in fields such as civil aviation, finance, auditing, business
management, law, and risk control, ensuring comprehensive and scientifically
rigorous decision-making.
Directors in Air China
No. Name Gender Position Expert Type
1 Ma Chongxian Male Chairman Industry Expert
Executive Director
2 Wang Mingyuan Male Vice Chairman Industry Expert
Executive Director
President
3 Cui Xiaofeng Male Non-executive Director Industry Expert
4 Patrick Healy Male Non-executive Director Industry Expert
5 Xiao Peng Male Employee Director Industry Expert
6 Xu Niansha Male Independent Non-executive Director Finance Expert
7 He Yun Male Independent Non-executive Director Auditing Expert
8 Winnie Tam Wan-chi Female Independent Non-executive Director Legal Expert
9 Gao Chunlei Male Independent Non-executive Director Business Management Expert
Director's Remuneration
Air China has established robust remuneration systems, including the
Managerial Team Performance Evaluation and Remuneration Management Measures
and the Company Business Performance Evaluation Management Measures, in
compliance with SASAC and other regulatory requirements. Directors' and senior
management's remuneration is performance-based, incorporating Sustainability
and ESG metrics. Total remuneration includes pre-tax salaries and
contributions to benefits such as social insurance, housing provident funds,
and enterprise annuities. Independent directors' compensation aligns with
national policies. In 2024, the Company integrated Sustainability and ESG
performance evaluations into business leaders' annual compensation, including
clawback and malus provisions.
Performance of Board of Directors
In 2024, Air China strengthened the Board of Directors' role by optimizing its
operational mechanisms and enhancing its decision-making authority. A
pre-decision reporting mechanism was introduced to ensure independent
directors receive timely information and provide input for scientifically
sound decisions. The Company implemented 69 independent directors'
recommendations across eight key areas, including strategy, marketing, digital
transformation, risk management, and aviation safety, fostering high-quality
development. Independent directors remain aligned with the Company's strategy,
conduct frontline investigations, and participate in training programs
organized by SASAC, the China Securities Regulatory Commission(CSRC) Beijing
Bureau, and the Shanghai Stock Exchange to enhance their governance
capabilities.
l In 2024, the Board of Directors held nine meetings, approving 37 proposals
while reviewing 20 special reports.
l The number of independent directors researches was four and the number of
research reports submitted was four.
Professional Committees of the Board of Directors
Air China's Board of Directors is supported by five Professional Committees,
which play a critical role in ensuring efficient and professional
decision-making. Prior to formal deliberation and voting by the Board, each
committee conducts in-depth analysis of proposals under review, incorporating
expert insights and recommendations from independent directors. Additionally,
joint working groups within each committee provide comprehensive support to
enhance the decision-making process.
Subsidiary Boards
To strengthen corporate governance at the subsidiary level, Air China has
established a robust institutional framework by formulating and issuing the
Guidelines on Articles of Association for Subsidiaries and the Management
Measures for the Performance of Duties by Directors in Investment Enterprises
Without a Board of Directors. These measures reinforce governance foundations
and promote standardized operations across subsidiary boards. The Company
ensures that all necessary boards are established with clearly defined roles
and responsibilities, supported by structural optimizations and the creation
of Professional Committees within subsidiary boards. Air China also
prioritizes the development of a qualified pool of external directors and
continuously refines board composition. Through targeted initiatives, such as
the 2024 specialized training program for external directors and the study of
the Company Law of the People's Republic of China, the Company has
significantly enhanced directors' expertise and ability to fulfill their
duties effectively.
Supervisory Committee
The Supervisory Committee oversees the Company's financial affairs and
monitors the conduct of directors and senior management to ensure compliance
with laws and regulations while safeguarding the legitimate rights and
interests of the Company and its shareholders. In 2024, the number of
Supervisory Committee meetings was five.
Management
The management is responsible for implementing Board resolutions and regularly
reporting progress to the Board, while overseeing the Company's day-to-day
operations and management. Air China has established the Administration
Office's Rules of Procedure, authorized by the Board of Directors, to ensure
effective governance. In 2024, the number of President's Executive Office
meetings was 27.
1.5 Risk Management
Air China has deepened its mechanism of "focusing on the rule of law,
strengthening internal control, preventing risks, and promoting compliance".
The Company implements full-chain risk prevention and control measures,
comprehensively strengthening the management of operational and safety risks.
By establishing a robust risk management system and elevating its compliance
standards, Air China ensures its stable and sustainable development.
Risk Management System
Air China's risk control and compliance management system is led by the Board
of Directors, pre-monitored by the Company's Party Committee, deployed by the
management, and supervised by the Board of Supervisors. Additionally, the Air
China Legal Matters Leading Group coordinates the development of risk,
internal control, compliance, and legal affairs. The Company adheres to a
prudent risk preference, with "zero tolerance for safety hazards,
uninterrupted financial security, and reasonable risk exposure" as the core.
These principles form the foundation of Air China's three lines of defense for
risk control and compliance management, ensuring a comprehensive and proactive
approach to risk mitigation.
"Three Lines of Defense" for Comprehensive Risk Management
Discipline Inspection and Comprehensive Supervision Board of Directors/Audit and Risk Control Committee (Supervision Committee) Discipline Inspection and Comprehensive Supervision
Seni
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Chin i
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Lega d
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Lead e
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First Line of Defence Second Line of Defence
Business Activity Internal Control Processes, Financial Control, Risk Management, Internal Audit
Risk Assessment, Safety Supervision, Compliance Management,
Control Measures Quality Control, Internal Control Management
Legal Management
Business Departments Support Departments Assurance Departments
As the first line of defense for corporate risks, business departments are Support departments like Legal, Compliance, Financial, Quality, Safety, and As the third line of defense, the Internal Audit Department conducts an
responsible for the effective identification and control of risks, and bear Human Resources serve as the second line of defense to provide risk management independent assessment of Air China's risk management and control results and
the main responsibility for risks during business and operation processes. and control policies, methodologies, and tools, and organize risk monitoring performs risk assessment and supervision responsibilities.
and internal control compliance management.
Risk Identification and Control
In 2024, Air China formulated the Implementation Rules for Risk Assessment and
Reporting and refined its risk framework based on external regulatory policies
and the Company's operational realities. The Company identified nine major
primary risk categories, which are further subdivided into over a hundred
secondary risks aligned with its business operations. This structured approach
ensures the effective execution of Air China's risk identification and control
responsibilities, safeguarding the Company's resilience and stability.
Nine Primary Risk Categories
Ÿ Strategic Risk
Ÿ Safety Risk
Ÿ Integrity Risk
Ÿ Public Opinion Risk
Ÿ Legal Risk
Ÿ Market Risk
Ÿ Operational Risk
Ÿ Financial Risk
Ÿ Investment Risk
Risk Control and Tracking
l Ensure a Solid Risk Research and Judgment Mechanism
Adhere to governance and decision-making processes by conducting in-depth
research and specialized diagnostics to assess annual material risks. Apply
comprehensive measures to address these risks and enhance the precision of
risk quantification by quantifying key risk indicators. Categorize and grade
significant risk issues for rolling monitoring and closed-loop management.
Strengthen the risk reporting mechanism, focusing on annual, quarterly, and
monthly reports, supplemented by emergency and special reports, with
particular emphasis on controlling foreign legal compliance risks.
l Extend the Risk Assessment Mechanism for Decision-Making
Prioritize compliance to ensure comprehensive evaluation of all significant
decision-making risks, proactively preventing and mitigating potential
threats. Deeply integrate risk assessment into reform and development
initiatives, core tasks, and major project management to ensure alignment with
strategic objectives.
l Develop a Robust Risk Prevention and Control Coordination Mechanism
Management should oversee the progress of key tasks, evaluate challenges in
risk and control management, and promote the sharing of best practices.
Continuously strengthen the information-sharing mechanism among risk control,
compliance, discipline inspection, and audit functions to build the "three
lines of defense" in risk prevention through collaborative management.
l Comprehensively Consolidate the Risk Prevention and Control Responsibility
Mechanism
Implement strict risk classification and layered management, ensuring
responsibility for risk reduction is assigned to specific positions and
individuals. Enhance the ability to manage risk throughout the entire process,
fostering accountability and resilience across the organization.
Corporate Compliance
l Establishing a sound compliance management mechanism. We promote compliance
and internal control improvement projects, formulate comprehensive
institutional documents and compile "three lists" for compliance management.
These measures ensure the effective implementation of compliance management
across the organization.
l Strengthening research in key areas of compliance. In terms of data
protection, we actively engage in the development of the "negative list" for
data export within the Beijing Pilot Free Trade Zone, providing expert
insights and actionable recommendations to ensure robust data governance. In
terms of export control and sanctions, we conduct targeted research to enhance
risk prevention measures, ensuring compliance with both international and
domestic regulatory frameworks. In terms of competition law, we perform
in-depth analysis of regulatory requirements, including the Guide to the
Anti-Monopoly Compliance of Undertakings and the Regulations on Fair
Competition Review.
l Managing the entire cycle of rules and regulations effectively. We develop
comprehensive guidelines for evaluating regulations and systems
post-implementation to ensure their effective execution and continuous
improvement.
Organizing compliance promotion activities
l Encouraging leading cadres to take the initiative in respecting, learning,
abiding by, and applying the law. We have distilled key learning points from
the list of national laws essential for cadres and integrated them into
training programs. These are further reinforced through the "One Law per
Period" series on the "Legal Awareness" publicity platform.
l Leveraging the "Legal Awareness"platform. We consolidate legal publicity
resources across the company to create a synergistic effect through
coordinated efforts at all organizational levels. We have published over 60
legal education articles and developed legal popularization case studies
addressing prominent public security issues, achieving nearly 400,000
cumulative views.
l Building a compliance culture. We conduct themed activities during
"Compliance Awareness Month," including organizing all staff to sign
compliance commitment letters, collecting compliance promotion works,
publishing multi-lingual compliance codes of conduct, and delivering the
"first lesson of compliance." These initiatives embed compliance concepts
deeply within the organization.
l Carrying out legal training in multiple areas. Following the principles of
being targeted and effective, we organize tailored training sessions for
various teams: the training on export control and sanctions for compliance
personnel ; the training on the Civil Code of the People's Republic of China
and the contract management systems for contract personnel; and the
intellectual property training for technology innovation personnel.
Internal Audit
Air China has established a robust three-tier internal audit system framework,
including 18 audit systems issued by Air China's headquarters and 62 audit
systems implemented by audit institutions at all levels. In 2024, to further
improve the quality of internal audits, the Company revised the Audit
Rectification Tracking Management Measures and compiled the Work Manual for
Internal Control, Supervision, and Evaluation.
Air China's Three-Tier Internal Audit System
First-tier rules The Internal Audit Work Regulations of Air China Limited
Second-tier rules The Economic Responsibility Audit Regulations of China National Aviation
Holding Corporation Limited and Air China Limited
The Internal Control Evaluation Management Measures of Air China Limited among
other specific audit regulations and management methods.
Third-tier rules The Audit Rectification Tracking Management Measures of China National
Aviation Holding Corporation Limited and Air China Limited
The Internal Audit Work Manual of Air China Limited among other detailed audit
implementation rules and operation manuals.
Under the leadership of the Board of Directors and the Audit and Risk Control
Committee (Supervision Committee), the Company's internal audit work has been
robustly executed, fulfilling its supervisory responsibilities with diligence
and precision. In 2024, audit institutions at all levels carried out 120 audit
projects across four key categories: economic responsibility audits, special
audits, engineering project audits and internal control supervision and
evaluations, that could enhance the Company's institutional framework,
identify and address management loopholes, improve the quality and efficiency
of business operations, and regulate the exercise of power. Collectively,
these contributions have laid a solid foundation for the Company's stable
operation and sustainable development, ensuring long-term resilience and
growth.
1.6 Anti-Corruption and Business Ethics
Air China is steadfast in its commitment to adhering to domestic and
international laws and regulations, ensuring all business activities are
conducted in a legal and compliant manner. Guided by key legislative
frameworks such as-the Supervision Law of the People's Republic of China, the
Anti-Money Laundering Law of the People's Republic of China, the Anti-Monopoly
Law of the People's Republic of China, and the Anti-Unfair Competition Law of
the People's Republic of China-the Company has developed and issued critical
compliance documents, including the Compilation of Antitrust Cases in the
Aviation Industry, the Anti-Commercial Bribery Compliance Manual (2022
Edition), and the Compliance Manual for Data in Various Jurisdictions. Air
China maintains a "zero tolerance" stance towards bribery, corruption, fraud,
money laundering, and unfair competition, reinforcing its dedication to
ethical business practices. In 2024, the Company was not involved in any
lawsuits related to corruption, bribery, fraud, or money laundering.
Anti-Corruption
l We enhanced the application of disciplinary inspection and supervision
recommendations to address issues identified through supervision, inspection,
review, and investigation, continuously deepening reform and governance
through case-based approaches.
l We submitted an analysis report on cases of violations, disciplinary
breaches, and illegal activities in 2023, proposing targeted preventive
measures and ensuring their effective implementation.
l We issued the List of Enterprises Prohibited from Transactions (2024),
strictly preventing relatives of leaders from engaging in unauthorized
business transactions with the Company.
l We conducted special inspections on the prevention and control of integrity
risks within the headquarters' management support divisions, establishing a
robust "integrity risk" firewall.
Inspections and Oversights
1.Organizing two rounds of inspections. We conducted two rounds of
inspections, including routine checks on the Party committees of organizations
such as Shandong Aviation Group Corporation. Simultaneously, we carried out
special inspections to prevent and control integrity risks in bidding,
procurement, and construction projects, addressing misconduct and corruption
issues affecting employees and the public.
2.Coordinating and carrying out special governance targeting violations of the
Party's eight-point frugality code. We established and improved a promotion
mechanism involving "clarifying task arrangements, conducting regular
supervision and advancement, enforcing strict accountability, and promoting
case-based rectification and governance". Additionally, we issued the
Compilation of Excerpts from Relevant Documents for Special Governance and
formulated the Negative List for Implementing the Party's Eight-Point
Frugality Code, urging subordinate units at all levels to engage in learning,
publicity, self-examination, and self-correction.
3.Coordinating and deepening the "1+4" special governance initiative for
integrity risk prevention and control. We issued a Work Plan to jointly launch
one special governance program and four targeted rectification campaigns in
procurement, engineering construction, passenger sales, and cargo sales,
prompting subordinate units at all levels to conduct self-assessment and
correction. Furthermore, we compiled the Summary of Integrity Risk Prevention
and Control Measures in Key Areas, which outlines 11 key sectors, 77 critical
integrity risk points, and 308 preventive and control measures, with ongoing
supervision to ensure their implementation and rectification.
4.Intensifying the rectification of issues identified during the "look-back"
review. We formulated a Work Plan centered on five issues highlighted during
the "look-back" review of the 19th Central Inspection rectification efforts,
including "normalizing and sustaining work style improvements, tackling the
four forms of decadence (formalism, bureaucratism, hedonism, and
extravagance), official misconduct in dining and entertainment, accepting
gifts and cash, and mountains of documents and endless meetings" .The plan
detailed 11 tasks across four key areas, which were seamlessly integrated and
executed alongside our broader work style enhancement initiatives.
Whistleblowing Mechanism
Air China strictly adheres to relevant regulations, including the Rules for
Handling Accusations and Complaints by Discipline Inspection and Supervision
Organs and the Regulations of the Supreme People's Procuratorate on Protecting
Citizens' Rights to Report. To ensure compliance, the Company has developed
the Implementation Rules for the Handling of Letters and Visits (for Trial
Implementation) and established a multi-channel complaint system that
facilitates public reporting through mail, telephone, and internet platforms.
Furthermore, all forms of threatening, attacking, or retaliating against
whistleblowers are strictly prohibited, safeguarding their legitimate rights
and ensuring they are protected from any form of infringement.
Whistleblower Protection Initiatives
l The whistleblower's name, employer, address, the content of the public
complaint, and other relevant details must be strictly kept confidential.
l It is strictly prohibited to disclose the public complaint materials or
whistleblower information to the reported organization or individuals.
l All efforts to receive or verify public complaints must be carried out
without revealing the whistleblower's identity.
l The whistleblower's personal information, such as their name or employer,
may only be publicized with their explicit consent.
Building an Integrity Team
l Strengthening overall planning. We have issued the Education and Training
Plan for Inspection and Oversight Leaders (2023-2027) and formulated the
Implementation Measures for the Construction of the Inspection Leader Team and
the Management Measures for the Key Inspection Talent Pool. These initiatives
aim to enhance the selection, nurturing, appointment, and management of key
inspection personnel. Additionally, we have revised the Management Measures
for Inspection Staff and established a list of 14 types of "negative
behaviors", while comprehensively conducting a post-assessment on work style
and discipline.
l Enhancing personnel exchanges. In 2024, we transferred four leaders and
selected four new ones, ensuring a dynamic and refreshed leadership structure.
l Strengthening guidance for subordinate units. We developed two specialized
courses focusing on the integration and coordination of "two responsibilities"
and the strengthening of work style construction. Furthermore, we conducted 12
sessions of "delivering courses" to grassroots units, providing instructional
guidance during inspections to ensure effective implementation.
Building an Integrity Culture
Air China has intensified its anti-corruption education efforts to foster a
culture of integrity and cleanliness. We formulated the 2024 Clean Education
Work Plan and issued four editions of the Clean Education Work Progress List.
By organizing warning education conferences and a series of activities during
the fifth Party Conduct and Integrity Education Month, the airline effectively
enhanced the anti-corruption awareness of all employees, cultivating a clean
and upright organizational atmosphere. These initiatives achieved a 100%
coverage rate for clean education among the Board of Directors and staff.
Anti-corruption Training and Publicity Activities
Ÿ Hubei Branch's Activity Room for Integrity Culture and Discipline Education
Ÿ A Special In-flight Event on Confucius' Birthday Was Organized by
Shandong Aviation Group Corporation' Cabin Department with Passengers Invited
to Explore the Idea of "Integrity" in Traditional Culture Together
Ÿ The Cabin Department of Shandong Aviation Group Corporation organized a
special in-flight event to celebrate Confucius' Birthday, inviting assengers
to join in exploring the concept of "Integrity" in traditional Chinese
culture.
Ÿ Chongqing Branch's Integrity Culture Course
Ÿ The Competition to Identify Outstanding Courses and Lecturers for Integrity
Education Organized by the Cabin Service Department during the Party Conduct
and Integrity Education Month
Ÿ Selection of Exemplary Cases in Integrity Culture Organized by Shenzhen
Airlines
1.7 Responsible Supply Chain
Air China is dedicated to integrating sustainable development principles into
its collaborations with upstream and downstream partners across the supply
chain. By working closely with suppliers, we strive to build a transparent,
mutually beneficial, and responsible supply chain, collectively driving
sustainable growth in the air transport industry.
Supply Chain Management
Air China is committed to establishing a stable, efficient, high-quality, and
responsible supply chain. We achieve this by strictly adhering to relevant
laws, regulations, and internal policies on bidding and procurement, while
continuously refining our procurement management system. Leveraging our
advanced procurement management platform, we implement classified and
life-cycle-based management for all suppliers. During the supplier admission
process, we rigorously screen and evaluate candidates to ensure their
qualifications, reputation, and product quality meet our stringent standards.
Additionally, we assess their environmental and social responsibility
performance to align with our sustainability goals. In the management phase,
we enhance risk control measures to ensure the supply chain's stability and
reliability. Through ongoing quality monitoring and improvement initiatives,
we collaborate with suppliers to continuously elevate the overall quality and
sustainability of our supply chain.
Supplier Management System
Access Management:
In alignment with the Supplier Management Regulations, we have established
unified management requirements, audit standards, and work processes,
supported by a centralized management system. To ensure compliance, we
thoroughly review suppliers' qualifications, including their operational
compliance, credential validity, service capability, business ethics, and
environmental and social responsibility performance. Only suppliers that meet
our stringent requirements are qualified for partnership.
Categorization Management:
By categorizing materials, we enable classification management of supplier
access, performance assessments, and supplier databases. Suppliers involved in
misconduct, those on the blacklist, and those designated for elimination are
managed based on the type and extent of their violations, with appropriate
usage restrictions applied.
Tiered Management:
l We conduct comprehensive evaluations of our contracted suppliers across
multiple dimensions, including their basic profiles, costs, innovation
capabilities, customer satisfaction, product quality, supply reliability,
service capability, delivery performance, safety standards, and environmental
sustainability. Through a structured daily performance management system, we
establish a robust foundation for annual performance reviews, ensuring an
objective and accurate assessment of our partner suppliers' capabilities and
performance.
l In managing supplier selection and engagement, we promote healthy
competition while adhering to risk control and regulatory standards. To
achieve this, the Company has implemented a tiered supplier management
approach, classifying suppliers into five categories: strategic, preferred,
qualified, restricted, and disqualified. These classifications are accessible
on our procurement management platform, standardizing and streamlining
supplier management practices.
Exit Management:
We have established a supplier exit mechanism based on categorization and
tiered management outcomes. Suppliers with persistently poor performance
reviews, subpar contract fulfillment, or integrity concerns are subject to
exit and removal measures. This process optimizes the supplier database and
fosters a healthy and sustainable supply ecosystem.
As of December 31, 2024, Air China's procurement business included nine
domestic and eight overseas suppliers in the aircraft procurement sector,
alongside 10,942 domestic and 889 overseas suppliers across the broader
procurement business.
Incorruptible Procurement
Air China is dedicated to fostering collaboration with suppliers to jointly
build an incorruptible supply ecosystem and continuously enhance the
institutional mechanisms for supplier integrity management. During the
Reporting Period, all suppliers signed the Letter of Commitment against
Commercial Bribery, ensuring the cleanliness and efficiency of business
operations. Additionally, the Company strictly enforces measures to prevent
suppliers on the List of Enterprises Prohibited from Transactions from
participating in procurement activities in violation of policies, thereby
upholding the integrity and compliance of procurement processes.
Green Procurement
Air China has incorporated the "green and low-carbon" concept into its product
procurement framework, issuing the Notice on the Implementation of Green
Procurement as a guiding principle. This notice prioritizes the procurement of
raw materials, packaging, equipment, and office supplies with minimal
environmental impact. By doing so, the Company encourages suppliers to
consistently improve their environmental management practices and reduce the
ecological footprint of the supply chain.
Continuous Promotion of Sustainable Aviation Fuels (SAF)
Air China has embedded green principles into its flight operations,
demonstrating its commitment to sustainability. In 2024, the Company actively
advanced the regular commercial application of SAF, achieving an annual
consumption of 446.6 tons.
1.8 Innovation-driven Development
Air China places innovation at its core, striving to achieve the integrated
development of technological innovation and industrial innovation. By
fostering and empowering talented professionals with specialized skills,
practical experience, and forward-thinking innovative mindsets, the Company is
laying a solid foundation for progress. Through the implementation of
forward-looking projects, Air China is committed to advancing its
technological innovation into a new stage of development.
Ÿ In 2024, R&D investment reached RMB 497 million, accounting for 0.30%
of operating revenue.
Ÿ In 2024, Air China had 3,296 R&D personnel, representing 3.14% of the
Company's total workforce.
Undertaking major air transportation missions Air China remains committed to fulfilling its missions as a "flag carrier" by
achieving large-scale operations of the C909 aircraft and introducing the C919
into service. We continuously strengthen our capabilities in operating
domestically produced civil aircraft. With the aim of becoming the world's
first user of the C929, we actively participate in the design and R&D
phases. We also help make domestically produced aircraft more aligned with
passenger needs and more competitive in the global market.
Building an innovation hub for civil aviation Air China has optimized its "3+8" system of innovation laboratories and
engineering technology centers, and has restructured the "Digital Empowerment
Innovation Laboratory." We promote the application of emerging technologies,
such as artificial intelligence and big data, to empower business scenarios,
including marketing service, operational safety, and collaborative management.
Actively fostering an innovation ecosystem Air China is accelerating the cultivation and incentivization of technological
talents. We have cultivated a number of outstanding innovative talents,
including experts selected for national talent cultivation programs. We also
strengthen incentives for technological innovation. Through diversified reward
and support schemes, expanding the scope of recognition, and optimizing
performance evaluations, we strive to stimulate employees' innovation
vitality.
Ameco Completes A330 Passenger-to-Freighter Configuration
In 2024, Ameco officially delivered China's first A330 aircraft converted from
passenger-to-freighter configuration. This marks the first A330 conversion
project certified by the Civil Aviation Administration of China (CAAC) for
Chinese civil aviation. The freighter completed its maiden cargo flight on the
"Chengdu-Paris" route and began commercial operations later that year.
Falcon Obtains "Little Giant" Certification
In 2024, Chengdu Falcon Aircraft Engineering Service Co., Ltd., a subsidiary
of Air China, was set to be included in the sixth list of the national
Specialized, Precision, Distinctive, and Innovative (SRDI) "Little Giant"
Enterprises (a national recognition for specialized and innovative SMEs in
China), due to the company's outstanding strengths in aviation engineering and
retrofit solutions. This years, the company successfully retrofitted the
maritime satellite communication system on China's first B747-400 aircraft.
This achievement made it the only domestic company capable of providing such
solutions for both B737 and B747 aircraft.
"Maker Boot Camp": Cultivating Young Talent Through Technology Services
In November 2024, Air China was set to participate in the "Maker Boot Camp"
event organized by CNAHC. Young innovative talent representatives
systematically studied various courses, including advanced productive forces
and civil aviation's high-quality development. They also engaged in in-depth
discussions on topics such as Service Product Management in the Digital Era
for Airlines and the application of artificial intelligence in aircraft
maintenance, which led to final presentations.
The 2nd Innovation Awards Ceremony
In May 2024, Air China and its subsidiaries were set to be recognized at the
2nd Innovation Awards Ceremony held by CNAHC, receiving awards for six
technical projects, including R&D for Large Antenna Structure Modification
and Installation. These awards aim to motivate young employees to foster
innovation, improve technical skills, and engage in innovation-driven
initiatives.
1.9 Intellectual Property Rights Protection
Air China strictly adheres to relevant international conventions, laws, and
regulations, including the Trademark Law of the People's Republic of China;
the Regulations on the Implementation of the Trademark Law of the People's
Republic of China; the Patent Law of the People's Republic of China; the
Regulations on the Implementation of the Patent Law of the People's Republic
of China; the Copyright Law of the People's Republic of China; and the Madrid
Agreement Concerning the International Registration of Marks. Based on this,
Air China has developed the Legal Affairs Management Regulations and the
Intellectual Property Management Measures to strengthen its intellectual
property management framework and bolster the protection of intellectual
property rights such as trademarks, patents, and copyrights. By the end of
2024, Air China held over 310 domestic and international patents, 2,780
registered trademarks, and 15 copyrights.
1.10 Equal Treatment of Small and Medium Enterprises
Under the guidance of Xi Jinping Thought on Socialism with Chinese
Characteristics for a New Era, Air China actively implements the principles of
the 20th National Congress of the Communist Party of China (CPC), the Second
and Third Plenary Session of the 20th CPC Central Committee, as well as the
directives of the CPC Central Committee and the State Council. The Company
systematically incorporates the timely and full payment of corporate accounts
into its efforts to build a new development paradigm and achieve high-quality
development. As a central enterprise, Air China actively fulfills its
responsibilities by adhering to the principle of "ensuring timely and full
repayment of accounts payable." The Company continuously refines its
institutional framework, optimizes daily operations, and reinforces oversight
mechanisms to ensure the timely repayment of accounts payable and the
protection of the legitimate rights and interests of small and medium
enterprises (SMEs). In 2024, there were no cases of overdue payments to SMEs.
1.11 Digital Transformation
In 2024, Air China advanced its comprehensive digital transformation. The
Company streamlined its organizational structure for digital transformation
and enhanced its operational mechanisms, and prioritized three core areas:
safety operations, marketing services, and management coordination. By
continuously improving safety standards, marketing precision, the end-to-end
travel experience, and management efficiency, the Company facilitated the
integration of technology, business, and management. This approach maximized
the value of data assets and established a robust foundation for the Company's
digital transformation.
In 2024, Air China executed 28 key digital initiatives and 46 significant
digital projects, achieving 77 key milestones. The implementation rate for all
planned digital initiatives reached 100%.
Digital Transformation Achievements
Safety operations
l Air China has accelerated the implementation and expansion of the Global
Ground Flight Support System, featuring visualized flight monitoring,
intelligent scheduling, and mobile on-site operations. These advancements have
significantly strengthened flight ground support capabilities.
l The Company has expedited the development of the monitoring platform and
streamlined full-chain operational monitoring and special scenario management
processes.
Marketing service
l Air China adopts a customer-centric approach and utilizes digital
capabilities to drive innovation in marketing and business models while
improving service quality. The second phase of the business model innovation
project aims to enhance the user-friendliness, convenience, and efficiency of
the website's sales and service functions, develop a seamless digital air
travel platform, and strengthen capabilities in targeted marketing and
diversified product offerings.
l The onboard meal pre-order system has been launched to provide new services.
Since September, it has undergone pilot operations on six routes, including
Beijing-Sanya and Beijing-Chongqing, offering passengers personalized meal
customization and management options.
l The comprehensive passenger notification system is expanding into new
service areas. Further efforts are being made to introduce AI-powered customer
services and improve service efficiency.
Management coordination
l The Company is actively advancing digital transformation initiatives in key
management functions, including HR, finance, and internal control, to improve
operational efficiency.
Digital Talent Enhancement
Developing a digital training system
Ø We perform comprehensive assessments of the Company's digital learning
requirements and, based on the results, create tailored training strategies
and a comprehensive, scenario-based digital training framework.
Enhancing specialized digital training
Ø We conduct focused digital training programs for mid-to-senior leaders and
critical digital staff, integrating theory with practice to strengthen their
digital mindset.
Ø we develop and disseminate three instructional videos focusing on Digital
Research Deliverables, Business Process Optimization, and Digital Project
Development. These resources equip all staff with essential tools and
methodologies, ensuring effective execution of digital business strategies.
2. Safety Operations
SDG 3: GOOD HEALTH ANG WELL-BEING
SDG 9: INDUSTRY INNOVATION AND INFRASTRUCTURE
SDG 11: SUSTAINABLE CITIES AND COMMUNITIES
SDG 12: RESPONSIBLE AND PRODUCTION
Air China aligns its efforts with the "14th Five-Year Plan," embracing a
people-centered philosophy and a deep commitment to the unique
responsibilities of a flag-carrier airline. By integrating safety management,
operational safety, and safety culture development, the company solidifies its
achievements in safety innovation and steadfastly upholds the fundamental
principles of safety. This ensures the absolute safety of aviation operations
and the absolute safety of people's lives.
The "14th Five-Year Plan" in the Safety Scope
Advancing the flight training system
Optimizing the aircraft maintenance system
Fostering a collaborative work culture and enhancing vocational skills
training
Implementing the three-year action plan for special safety rectification
Refining the safety operation management system
Deepening the construction of the safety management system
2.1 Safety Management
Air China rigorously implements the holistic national security concept and the
political mandate of "two aspects of absolute safety", guided by the principle
of "safety first, prevention foremost, and comprehensive management". As part
of the three-year initiative for fundamental work safety improvements, the
Company is committed to fulfilling all tasks in the "Hazard Elimination Year."
It continuously strengthens the development of its five key safety operation
systems and fosters a long-term mechanism for enhancing safety practitioners'
professionalism. Additionally, Air China refines safety oversight roles and
responsibilities, establishes an integrated "comprehensive safety" framework,
and effectively translates persistent vigilance into confident action.
2.1.1 Safety Targets
In 2024, Air China further improved its safety performance, achieving a target
air transportation incident rate of 0.08 incidents per 10,000 flight
hours-surpassing the goal set in the "14th Five-Year Plan." Notably, no air
transportation incidents attributable to Air China occurred, underscoring a
successful and safe operational year.
2.1.2 Safety Governance Structure
Safety Management
l Air China strictly adheres to relevant laws and regulations, including the
Work Safety Law of the People's Republic of China, the Civil Aviation Law of
the People's Republic of China, the Supervision and Management Measures of
Work Safety at State-owned Enterprises, and the Civil Aviation
Administration's Regulations on the Management of Dual Prevention Mechanisms
of Graded Control and Hidden Danger Investigation and Governance of Civil
Aviation Safety Risks. These frameworks standardize safety management
practices and ensure the inspection and governance of significant risks and
hidden dangers across the Company and its operational units, effectively
preventing and mitigating safety risks.
l Air China has established a Safety Committee responsible for researching and
addressing major issues related to safety policies, resource allocation, and
safety performance. The committee organizes, coordinates, mobilizes, deploys,
and oversees the implementation of various safety management measures. Chaired
by the Company's top executive, the Aviation Safety Committee comprises
members such as the Chief Safety Officer, divisional leaders, and unit heads.
Through safety discussions in Party Committee meetings, safety briefings
conducted by the Safety Committee, and weekly safety planning meetings led by
Company executives, the committee conducts in-depth analyses of safety issues.
It emphasizes learning from specific cases to prevent recurrence, fostering a
culture of continuous improvement in safety management.
Safety Operation System Construction
Air China has established five core systems for safe operations, anchored by a
robust and exceptional safety management system. These systems integrate
rigorous flight training, efficient operational control, meticulous aircraft
maintenance, and proactive risk and hazard identification, collectively
forming a comprehensive air safety defense mechanism. This ensures that safety
principles are deeply embedded in every facet of aviation operations.
Safety Management System ● Based on the updated Requirements for the Development of a Safety
Management System (SMS) for Aviation Operators, we developed the Aviation
Safety Management Manual and associated work procedures, successfully passing
the SMS supplementary operational certification by the Beijing Regulatory
Bureau of the CAAC North China Regional Administration.
● We conducted a Flight Data Monitoring Big Data (QBD) research
project focused on Safety Risk Monitoring for RNP AR Operations at Plateau
Airports.
● We established a safety audit team to perform internal audits of
the Aviation SMS and safety audits of Higher Plateau flight operations.
Flight Training System ● We updated the Standard Operating Procedures (SOP) for all
aircraft types, along with recurrent training programs and instructor
materials, to provide pilots with standardized and effective procedural
guidance in compliance with CAAC regulations and our operational needs.
● In alignment with the introduction schedule and overall production
rollout of the new C919 aircraft, we consistently provided operational policy
support to personnel managing fleet transitions and aircraft type conversions.
● We conducted research on the evaluation of fresh cadet qualities,
strengthened collaboration between airlines and flight schools, and enhanced
the Company's management of flight school training quality.
● We focused on improving the professional conduct and mental
well-being of the flight crew, strengthened their three key competencies, and
ensured safe and seamless flight operations.
Operational Control System ● We actively promoted the development of an operational monitoring
platform, completing system tuning, function optimization, and deployment of
the cloud production environment to continuously enhance operational
efficiency.
● We conducted in-depth and systematic research on the CAAC's
policies regarding traffic flow and flight punctuality management, issuing
procedures such as the Flight Schedule Adjustment Procedure, the Collaborative
Mechanism for Domestic Flight Temporary Diversions, and the Workflow for
Flight Traffic Management Positions.
● We issued the Air China Flight Normality Management Measures to
improve flight support standards and operational quality in response to CAAC
requirements.
Aircraft Maintenance System ● We developed an Aircraft Maintenance Planning Data Sandbox
Simulation Platform to address challenges such as maintenance schedule
forecasting and resource allocation using digital technologies, while
promoting unified standards and centralized control.
● We refined our quality management system to enhance safety risk
control measures, formulated prioritized and tiered control checklists based
on business characteristics, and strengthened key risk prevention mechanisms.
● Through integration and innovation, we developed and established a
Dynamic Assessment and Monitoring Mechanism for Safety and Quality, conducting
big data quantitative analysis and modeling across 10 domains.
Risk Identification and Hidden Danger Investigation System ● We vigorously promoted voluntary reporting among all staff by
developing an incentive program and optimizing the reporting feature on the
Wing of Air China mobile App, ensuring real-time information reporting and
immediate processing without overnight delay. Timely rewards and recognitions
significantly increased employees' motivation to report voluntarily.
● We updated hazard source projects in line with the Company's
management practices, continuously monitored trends, and effectively managed
key risks. By closely overseeing daily safety operations, we issued 35
targeted risk warnings, including those for power bank fires/smoke and tail
strikes, and implemented closed-loop controls.
2.1.3 Emergency Management
Air China has revised its Emergency Response Manual and Aviation Security
Program in accordance with relevant regulations, including the Measures for
Reporting Information on Major and Extraordinarily Serious Civil Aviation
Emergencies, the Detailed Rules for Reporting Information on Major Emergencies
of China National Aviation Holding Corporation Limited and Air China Limited,
and the Notice on Further Clarifying the Centralized Reporting
Responsibilities for Major Group Emergencies. Additionally, the Company has
issued the AOC Major Emergency Information Reporting Process and the AOC
Emergency Management Procedures to clarify the emergency response
responsibilities of each position within the Airlines Operation Center (AOC),
as well as emergency classification and grading, and corresponding emergency
response procedures and measures, thereby enhancing the efficiency and
accuracy of emergency responses. We have thoroughly implemented a detailed
plan for hazard identification, investigation, and rectification to ensure
rapid and effective actions in the face of various emergencies. Furthermore,
we regularly undergo external audits, including the International Air
Transport Association (IATA) Operational Safety Audit (IOSA) and the IATA
Safety Audit for Ground Operations (ISAGO). These audits are completed item by
item according to the audit plans and checklists for each professional system,
and all issues identified in previous audits have been rectified. During the
reporting period, our IOSA and ISAGO registrations remained valid.
In 2024, Air China organized a company-wide emergency drill focused on
"Emergency Response to In-Flight Aircraft Threatened by Explosives" during the
"Safe Production Month," thoroughly assessing the Company's capabilities in
emergency response, decision-making, and coordination. During the reporting
period, the Company organized four AOC in-flight emergency drills, including
scenarios such as windshield damage and severe thunderstorms at Beijing
Capital International Airport, to continuously improve the AOC's emergency
management capabilities.
In 2024, leveraging the Air China, Shenzhen Airlines, and Shandong Airlines
Operations Control Department AOC Construction Communication Sharing
Mechanism, Air China collaborated with the operations control departments of
Shenzhen Airlines and Shandong Airlines to share and analyze case studies of
special incident management throughout the year. This collaboration
significantly improved the emergency response speed and flight-specific
incident handling capabilities of the operations control departments of all
three airlines.
2.1.4 Safety Management Priorities
Advancing the three-year action plan for work safety In alignment with the CNAHC Implementation Plan for the Three-Year Fundamental
Improvement Action of Work Safety (2024-2026), we have systematically
conducted self-inspections, self-corrections, and comprehensive risk and
hazard identification efforts. These initiatives ensure the dynamic
elimination of hidden dangers and effective control of major risks across our
operations.
Enforcing accountability for work safety across all employees We have fully aligned with the work safety measures of central enterprises,
continuously advancing our safety governance system and refining the
responsibility management framework to ensure individual accountability. In
daily operations, we strengthened the responsibility chain for work safety,
ensuring the effective implementation of the "three musts" principle (i.e.,
safety must be managed alongside industry, business, and production
operations).
Implementing the rectification for the central inspection tour We organized comprehensive learning sessions at all levels on General
Secretary Xi Jinping's important expositions on work safety and emergency
management, driving targeted rectification efforts to address weaknesses in
work safety management. Additionally, we completed specialized inspections of
the three critical safety assurance teams of the flight, operation control,
and aircraft maintenance, and successfully fulfilled all tasks during the
centralized rectification period.
Deepening the construction of long-term mechanisms for safety worker conduct We strengthened the collaborative efforts of the Party, government, labor
unions, youth leagues, and disciplinary bodies in joint management.
Furthermore, we reinforced institutional regulations and oversight in response
to unsafe incidents and recurring safety-related work style issues. By
intensifying the management of employees' off-duty conduct, we fostered a
heightened sense of responsibility and respect among all staff members.
Ensuring risk management for domestically produced aircraft In collaboration with the Commercial Aircraft Corporation of China Ltd.
(COMAC), we compiled the ARJ21-700 Aircraft Flight Safety Monitoring
Information Sharing Report, driving performance improvements for domestically
manufactured aircraft. We ensured high-quality introduction and operational
support for the C919 aircraft by formulating operation support plans and
dedicated risk management strategies, continually enhancing capabilities
across various professional support domains.
Enhancing digital applications in safety management We actively introduced advanced digital technologies to centrally manage and
analyze flight technical data. Utilizing our QBD system, we comprehensively
explored the value of flight data through multi-dimensional analysis and
conducted specialized analyses to facilitate intelligent decision-making.
These efforts enabled us to promptly identify, prevent, and address risks,
significantly enhancing the safety and reliability of our flights.
Case: Inspections of Major Safety Hazards
In 2024, Air China's top leaders took a proactive approach to safety
management by conducting quarterly on-site inspections to oversee the
identification, investigation, and rectification of major safety hazards.
These inspections were guided by a checklist-based management system, ensuring
immediate corrective actions were taken to address identified issues. By
maintaining a dynamic and responsive approach, Air China effectively
eliminated hazards in a timely manner, achieving significant results in safety
supervision and inspections. Throughout the year, all identified safety
hazards were rectified as scheduled.
2.2 Safeguarding Passenger Safety
Air China recognizes that aviation safety is the cornerstone of every
passenger's travel experience and a reflection of our corporate reputation and
responsibility. We are committed to building a comprehensive safety system
that ensures safe, and worry-free travel for all passengers. This commitment
extends across every aspect of our operations, including flight safety, ground
safety, cabin safety, and in-flight food safety.
2.2.1 Flight Safety
Flight safety management measures ● We developed a detailed checklist to systematically identify and
rectify aviation security risks and hazards, ensuring systematic mitigation
across all areas.
● We organized targeted training programs, implemented rigorous
inspection and assessment, and built a highly competent team of inspectors
and instructors to uphold and advance our safety practices.
● We leveraged the Flight Operation Quality Assurance monitoring
system, big data analytics tools, and QAR data to continuously assess the
flight performance of all aircraft models.
● We actively assisted in investigating potential safety incidents
to identify root causes and implement corrective actions. Through digital
transformation, we strengthened safety management systems, achieving
an intelligent upgrade in operational oversight.
● We upheld the spirit of fostering "Three Reverences" (the
reverence for life, for regulations, and for duties), and ensured the
simultaneous cultivation of work ethic and technical skills. We conduct
quarterly safety management seminars and share advanced cases of exemplary
work ethic.
2.2.2 Cabin Safety
Cabin safety management measures ● We have continuously enhanced the SMS and refined the SOP for
cabin safety. In addition, we strictly enforce special management requirements
for the "three excesses" of carry-on baggage (excess weight, size, and pieces)
to ensure more systematic and scientific cabin safety management and
effectively prevent safety incidents.
● We actively supported the campaign to "combat unruly passenger
behavior by law", conducting thorough inspections and rectifications of safety
hazards to ensure aviation safety.
● We issued risk warnings and refined cabin crew procedures for
equipment checks during boarding/deboarding, rescue operations, and passenger
headcounts. Additionally, we enhanced risk management for critical areas
including lithium battery safety, turbulence mitigation, cabin door
operations, and in-flight injuries.
● We have established the Cabin Department Aviation Safety Voluntary
Reporting and Incentive Program to standardize the safety information
reporting process and encourage staff to report potential risks and hidden
dangers voluntarily.
● We have refined the Cabin Service Department Safety Practitioner
Work Style Long-Term Mechanism Construction Implementation Plan and compiled
the Checklist of Typical Work Style Issues for Cabin Inspectors and Trainers,
the Quantified Assessment Criteria for Flight Operation Managers' Work Style,
and the Compendium of Typical Cabin Safety Incidents.
2.2.3 Ground Safety
Ground safety management measures ● We have reviewed and improved systems such as the Ground Services
Department Aviation Safety Management Manual and the Ground Services
Department Aviation Safety Management Procedures and established a sound
ground safety management system.
● We have developed the Ground Services Department Aviation Safety
Voluntary Reporting Incentive Program, refined reward criteria, and increased
incentives to fully motivate employees to proactively report potential safety
risks and hazards.
● We have performed aircraft testing and hazard identification for
cabin and ground support operations during the introduction of the new C919
aircraft model, issued safety risk alerts, and strengthened risk management,
to ensure smooth and stable ground support and ramp operations at Beijing
Capital International Airport.
● We implemented document reviews, comparisons between documents and
actual operations, and self-assessment audits in phases based on the 2024 SMS
audit requirements.
● We have fulfilled safety supervision responsibilities and primary
responsibilities and strengthened safety inspections in key areas and critical
links in accordance with the Supervision Scheme for BGS Ground Agent.
2.2.4 In-flight Food Safety
Air China proactively conducts safety assessments for in-flight meals by
implementing advanced risk assessment systems and adhering to rigorous food
safety management standards. We enhance oversight across critical stages,
including production, processing, storage, and transportation, to ensure all
meals comply with stringent safety standards. In 2024, the Company continued
its efforts to achieve certifications for ISO 9001 (Quality Management
System), FSSC 22000 (Food Safety Management System), and HACCP (Hazard
Analysis and Critical Control Points) to ensure the highest standards of food
safety for in-flight meals.
Case: Enhancing Supervision Effectiveness and Fortifying the Defense Line for
Catering Services during Flight Delays
On July 17, 2024, Air China conducted a targeted special supervision and
inspection of the catering services provided by suppliers during flight
delays. This inspection covered critical aspects, including raw material
procurement and storage, production and preparation processes, transportation
and delivery, as well as management practices. All inspected items were found
to meet industry standards.
2.3 Safety Culture
Building a safety culture is fundamental to ensuring safe operations. In
response to the current state of safety style development, as well
as publicity and education initiatives, Air China has formulated and issued
the 2024 Work Plan for Safety Culture and Style Development, Publicity,
Education, and Training, updated the list of typical work style issues, and
refined the long-term mechanisms for the work styles of safety practitioners.
In 2024, the Company organized various activities, such as warning education
on Shouldering Safety Production Responsibilities, live broadcasts to raise
safety awareness, collection of best practices, selection of safety culture
exemplars, and recognition of outstanding safety work styles. These efforts
have cultivated a safety-conscious culture and enhanced safety personnel's
awareness of the "Three Reverences" and their risk prevention capabilities.
3. Low-carbon Development
SDG 6: CLEAN WATER AND SANITATION
SDG 7: AFFORDABLE AND CLEAN ENERGY
SDG 12: RESPONSIBLE CONSUMPTION AND PRODUCTION
SDG 13: CLIMATE ACTION
SDG 15: LIFE ON LAND
Air China is firmly committed to the principles of "green operations and
sustainable development", actively aligning with national policies aimed at
low-carbon transformation. Recognizing the urgent challenges posed by climate
change, we are dedicated to optimizing and enhancing our environmental
management system. To achieve this, we have implemented robust measures to
strengthen energy and resource management, strictly control pollutant
emissions, and explore innovative green and low-carbon development pathways to
foster a harmonious balance and mutual benefit between economic growth and
ecological sustainability.
The "14th Five-Year Plan" in the Environmental Scope
Proactively support the "dual carbon" strategy of "carbon peaking and carbon
neutrality"
Improve the management system, and enhance management ability
Strengthen energy management to achieve low-carbon development
Fight the battle of pollution prevention and control, and defend the blue sky
continually
Shape an image of a green state-owned aviation enterprise and demonstrate our
corporate social responsibility
3.1 Environmental Management and Ecological Protection
Air China strictly implements laws and regulations related to environmental
protection and actively promotes the construction of energy-saving and
environmental management systems, ensuring the Company's environmental
management is comprehensive, holistic, and harmonious. We deeply integrate
environmental protection concepts into our operations to improve environmental
standards and management efficiency. In accordance with laws and regulations
such as the Energy Conservation Law of the People's Republic of China, the
Environmental Protection Law of the People's Republic of China, and the
Circular Economy Promotion Law of the People's Republic of China, as well as
the requirements of the SASAC, we have formulated the Measures for the
Management of Energy Conservation and Ecological Environmental Protection of
China National Aviation Holding Corporation Limited (CNAHC) and Air China
Limited. These measures standardize daily environmental management processes
across multiple dimensions, including special fund management, supervision and
implementation, assessment and rewards/penalties, education and training,
carbon emission management, and statistical monitoring.
3.1.1 Environmental Management Enhancement
l We have established a comprehensive management system that includes a
Leading Group for Ecological and Environmental Protection and its office, as
well as dedicated teams at subsidiary enterprises, operating under a
centralized planning and tiered management model. To ensure tailored
oversight, we implement a categorized dynamic management mechanism based on
unit characteristics, energy consumption, and pollutant emissions.
l In 2024, the Office of the Leading Group for Ecological and Environmental
Protection held a green development meeting to review progress on green
development initiatives outlined in the "14th Five-Year Plan" and specific
carbon peak projects, while also defining key priorities for future green
development efforts.
l To strengthen accountability, we have integrated energy conservation and
environmental protection into our performance assessment management system.
This includes promoting the signing of the 2024 Energy Conservation and
Environmental Protection Responsibility Letters by all branches and
subsidiaries, which clarify targets for energy conservation, environmental
protection, and carbon emission assessment indicators. Additionally,
environmental protection has been incorporated into the criteria for selecting
advanced employees and organizations, fostering greater environmental
awareness and engagement among staff and entities.
l We have also published the Environmental Management Implementation Plan to
identify significant environmental factors and formulated the List of
Environmental Laws, Regulations, and Other Requirements (2024 Edition).
Furthermore, we conducted internal audits in 2024 for 13 key departments and
11 branches in Beijing, issued internal audit reports, and continuously
monitored rectification progress. In the same year, Air China successfully
obtained recertification of the ISO 14001 Environmental Management System.
3.1.2 Biodiversity Conservation
Air China strictly adheres to the Environmental Protection Law of the People's
Republic of China the Law of the People's Republic of China on Environmental
Impact Assessment, the Water and Soil Conservation Law of the People's
Republic of China, and other relevant laws and regulations to protect the
quality of the environment and biodiversity.
l In our biodiversity conservation monitoring initiatives, we have proactively
identified potential risks to biodiversity and developed targeted strategies
to mitigate them.
l We have launched the "Low-Carbon Green Travel" Program on the Air China App,
offering passengers a range of public welfare activities that promote
sustainable travel and environmental awareness.
l For all new, renovated, and expanded projects, we conduct comprehensive
environmental impact assessments to embed ecological protection principles
from the planning and design phases. To address potential ecological
disruptions, we strictly enforce the "three simultaneities" principle-ensuring
the simultaneous design, construction, and operation of environmental
protection facilities alongside main projects. This approach minimizes the
potential impact of our operations on the surrounding natural environment and
biodiversity.
Case: Biodiversity and Habitat Conservation Initiative in Songjiang District,
Shanghai
In 2024, the Air China Yangtze River Ecological Protection Fund established a
public welfare platform dedicated to biodiversity and habitat conservation in
Songjiang District, Shanghai. With an investment of RMB 450,000, this
initiative aims to strengthen environmental and biological preservation
efforts. During the year, a total of 122 volunteers were mobilized to conduct
10 habitat security patrols, ensuring the protection of local ecosystems.
Additionally, 67 volunteers participated in five scientific monitoring events,
during which they observed five mammal species, including the Chinese water
deer, Amur hedgehog, and yellow-throated marten, documented 57 plant species,
and recorded 29 bird species. Furthermore, 54 volunteers contributed to five
habitat ecological construction activities, fostering public awareness and
enthusiasm for biodiversity conservation.
3.2 Addressing Climate Change
Air China is committed to advancing the national goals of "carbon peaking and
carbon neutrality". In alignment with relevant policies, including the 14th
Five-Year Plan and China's Policies and Actions for Addressing Climate Change
(2024) as well as the IFRS S2 Climate-related Disclosures issued by the
International Sustainability Standards Board (ISSB), and the framework and
recommendations of the Task Force on Climate-related Financial Disclosures
(TCFD)---IFRS S2 Climate-related Disclosures, Air China integrates climate
change response into its corporate strategic planning, risk management
framework, and daily operational management, contributing to the global
response to climate change.
3.2.1 Climate Governance
Ø Organizational Structure
We continuously optimize the governance structure for addressing climate
change. The Carbon Peak and Carbon Neutrality Leadership Group, supported by
the Leading Group for Ecological and Environmental Protection, is led by the
Chairman and the President, with group members including the heads of major
entities and key business personnel. The Leadership Group is responsible for
making decisions on climate change response, energy conservation and emission
reduction, ecological and environmental protection, as well as carbon peak and
carbon neutrality goals. To ensure effective implementation, we have improved
the environmental management reporting mechanism. Special working groups
report work ledgers to the Office of the Leading Group for Ecological and
Environmental Protection quarterly. Meetings are held as needed, and the
office regularly reports the previous year's work summary and the key tasks
for the current year.
Ø Action Plan
Air China, drawing on the 14th Five-Year Plan for the Green Development of
Civil Aviation, has formulated the 14th Five-Year Plan Blueprint for Green
Development to comprehensively promote the implementation of a green and
low-carbon strategy. We have also compiled the Action Plan for Carbon Peaking,
which focuses on six key areas of aviation fuel conservation, aviation carbon
reduction, energy-saving technology improvement on the ground, carbon asset
reserve, advanced green technology exploration, and green initiatives for all.
Through these efforts, we strive to build an intensive green enterprise and
achieve harmony between green development and high-quality operations.
The Principles of Action Plan for Carbon Peaking
Focus on a comprehensive and truthful principle
Focus on efficiency and reducing carbon emissions at the source
Focus on innovation-driven and technology-led development
Focus on openness and integration, taking multiple measures
3.2.2 Our Strategies
In alignment with national policy directives and industry development trends,
Air China conducts a comprehensive analysis of potential climate risks and
opportunities within its operations and across the upstream and downstream of
its value chain. Building on this analysis, we integrate our strategic layout
and long-term development goals to formulate contingency plans and action
strategies tailored to address climate change risks. Our proactive approach
aims to minimize the negative impact of these risks and tackle climate
challenges with resilience and determination, ensuring sustainable growth and
operational excellence.
Climate Change Risk Identification List and Response
Risk Type Specific Risk Risk Description Risk Response
Transition Risk Policy and Legal Risks New climate-related laws, regulations, and policies are imposing increasingly Continuously updated environmental laws and regulations by incorporating key
stringent requirements on the aviation industry. For instance, tighter provisions into the self-inspection checklist and conducting
emissions restrictions on civil airlines could lead to higher operational regular compliance evaluations to ensure adherence to legal requirements.
costs and influence public travel habits, potentially resulting in fewer
passengers and a decline in related revenue.
Explored and optimized greenhouse gas (GHG) emission reduction pathways,
establishing short-term, medium-term, and long-term goals for carbon
The introduction of China's "dual carbon" goals (carbon peak and carbon peaking and carbon neutrality. Regularly disclosed progress on GHG emission
neutrality) and the launch of the national carbon emission trading market are reduction to maintain transparency and accountability.
expected to heighten carbon emission requirements. Should the Company be
included in the carbon trading system in the future, it may face additional
costs due to insufficient carbon quotas, impacting financial performance.
Closely monitored national and local carbon emission policies and
strengthened communication with regulatory authorities. Provided industry
insights and practical experience to support the development of effective
policies and regulations.
Formulated carbon trading management strategies, including carbon price
monitoring and early warning mechanisms. Implemented centralized management
of carbon assets and optimized the carbon asset portfolio to maximize
efficiency and value.
Organized specialized training sessions on energy conservation and
environmental protection, covering topics such as the current landscape and
response strategies for carbon peaking and carbon neutrality in aviation,
as well as interpretations of national energy conservation and environmental
protection laws and regulations, supplemented by case studies for practical
understanding.
Technological Risk In response to China's "Dual Carbon" goals (carbon peaking and carbon Enhanced the electrification rate within the flight area, optimized the
neutrality), the Company is committed to accelerating the deployment of intelligent allocation of resources, and improved the efficiency of
energy-efficient and eco-friendly technologies and facilities. This includes operational support for new energy vehicles.
scaling up dedicated investments in energy conservation and emission reduction
initiatives to drive sustainable growth and align with national climate Implemented energy-saving and emission reduction practices, upgraded existing
objectives. technologies, and introduced and developed innovative new technologies.
Market Risk The "14th Five-Year Plan" for civil aviation explicitly sets targets for the Continuously expanded the application and effectiveness of Sustainable
use of sustainable aviation fuel (SAF). However, a mature domestic SAF Aviation Fuel (SAF 1 (#_ftn1) ). Collaborated with the Civil Aviation
industry chain has not yet been established, and the price of SAF remains Administration of China (CAAC) and the CATA to develop industry standards.
significantly higher than that of conventional fuels, creating additional cost Partnered with upstream and downstream enterprises in the SAF industry chain
pressures for the Company. as well as scientific research institutes to promote the application and
development of SAF in the aviation sector.
The Chinese civil aviation industry is still in its development phase, with
the per capita number of flights considerably lower than international levels. Focused on core aviation operations by strategically managing aircraft fleet
This indicates substantial future market demand and growth potential, which renewal and retirement, optimizing aircraft-route alignment, and implementing
will inevitably lead to increased energy consumption and carbon emissions. fuel-efficient measures. Drove energy conservation and carbon reduction across
multiple dimensions, including the consistent replacement of Auxiliary Power
Units (APU 2 (#_ftn2) ) with ground power to minimize ground emissions.
Reputational Risk In the context of climate change being a major global concern, the aviation Took the preferences and needs of stakeholders as a guide to improve the
industry's carbon emission reduction efforts are under close scrutiny by communication mechanism with them, and conducted regular evaluation and
various stakeholders. Failure to effectively and promptly implement these research to better understand stakeholder expectations and address emerging
efforts could lead to a negative impact on the Company's public image, brand concerns.
reputation, and revenue.
Established diverse communication channels, including the official website,
mobile App, and other public platforms, to facilitate transparent and
accessible dialogue and actively accept complaints, feedback, and suggestions
from stakeholders, fostering a culture of engagement, accountability, and
continuous improvement.
Physical Risk Acute Risk Extreme weather events, such as typhoons, torrential rainfall, and floods, Developed specialized emergency rescue plans to address extreme weather events
amplify the sudden physical risks to our daily operations, potentially causing such as flooding, lightning, cold weather, typhoons, and heatstroke, enhancing
flight delays, diversions, or cancellations. These disruptions can the speed and efficiency of emergency responses.
significantly reduce freight and passenger transportation capacity within the
supply chain and transportation network.
Promptly adjusted flight plans by continuously monitoring operations and
conducting timely assessments and pre-analyses of changing conditions.
Extreme weather conditions may compromise aircraft performance and damage Implemented measures to manage flight returns and diversions while providing
critical aviation infrastructure, thereby jeopardizing flight safety and comprehensive ground support to aircrews.
operational reliability.
Leveraged advanced models and adapted maintenance strategies in a timely
Prolonged periods of extreme heat can lead to increased fuel consumption, manner to ensure the smooth and uninterrupted operation of the fleet,
negatively impacting fuel efficiency. minimizing disruptions caused by extreme weather conditions.
Both extremely high and low temperatures elevate the likelihood of health and
safety risks for employees, necessitating proactive measures to mitigate these
challenges.
Chronic Risk Scenarios such as global warming, rising sea levels, and tidal intrusion pose Deployed a professional maintenance and troubleshooting team to ensure swift
significant risks to operations, potentially resulting in a higher frequency and effective resolution of operational issues, minimizing downtime and
and prolonged duration of temporary disruptions and maintenance activities. enhancing system reliability.
These environmental challenges may lead to increased operational costs.
Invested more funds in research and development (R&D) to innovate and
improve repair and maintenance processes, boosting overall efficiency.
3.2.3 Risk Management
Air China has established a comprehensive risk management process, seamlessly
integrating the identification, assessment, and management of climate risks
into the Company's broader risk management system. The Company implements
tiered control of climate risks, ensuring risks are addressed at appropriate
organizational levels, and conducts regular reviews of risks across all levels
to maintain proactive and effective risk mitigation.
Climate Risk Management Process
Climate Risk Identification
In alignment with national policies, industry characteristics, business
models, and other relevant factors, we systematically identify the physical
climate risks and transition risks that may impact our operations at different
stages.
Climate Risk Assessment
We conduct scientific assessments of climate risks, thoroughly analyzing key
factors such as the probability of occurrence and the extent of potential
impact for each identified risk type.
Climate Risk Management
We integrate climate risk identification and management into our existing risk
management system, ensuring a holistic approach to addressing climate-related
challenges. By developing comprehensive response plans, we proactively
mitigate the impact of climate risks on the Company.
3.2.4 Environmental Performance Data
In alignment with the Paris Agreement's goal of limiting global temperature
rise to below 2°C, Air China has established a scientifically rigorous carbon
reduction target based on its operational realities. To achieve this, we have
formulated the Air China Green Development and Dual-Carbon Key Task List and
the Action Plan for Carbon Peaking in accordance with the Opinions of the CPC
Central Committee and the State Council on fully, accurately, and
comprehensively implementing the new development concept and ensuring peak
carbon dioxide emissions and carbon neutrality, the State Council's Action
Plan for Carbon Dioxide Peaking Before 2030, and strict adherence to the
requirements of governments at all levels and industry regulators. The two
documents provide a clear blueprint for our dual-carbon efforts, guiding the
steady progress of greenhouse gas (GHG) emission reductions through scientific
planning. In 2024, Air China successfully achieved its year-on-year target of
reducing carbon emission intensity.
GHG Emissions Data in 2024 3 (#_ftn3)
GHG Emissions Category Unit 2024
Scope 1 CO(2) emissions (1,000 tonnes) 27,677
Scope 2 CO(2) emissions (1,000 tonnes) 204
Total GHG emissions CO(2) emissions (1,000 tonnes) 27,882
GHG emission intensity 4 (#_ftn4) CO(2) emissions intensity (g/tonne-km) 946.8
Indicator Unit 2024
Owned aircraft unit 930
Introduced new aircraft unit 36
Retired aircraft unit 11
Average age of the aircraft year 9.9
Fuel consumption intensity kg/tonne-km 0.301
3.2.5 Our Actions
Air China is fully committed to advancing the implementation of the Action
Plan for Carbon Peaking, actively exploring pathways for carbon reduction,
improving the carbon emission control system, enhancing carbon asset
management, and steadily progressing toward green and low-carbon development.
By doing so, we contribute significantly to the carbon peaking and carbon
neutrality goals, demonstrating our unwavering commitment and industry
leadership in fostering a sustainable future.
Ø Promoted carbon trading
In March 2024, Air China efficiently managed matters related to the EU
Emissions Trading System (ETS). By April, we completed and verified the report
on CO₂ emissions from civil aviation activities. In June, the Company
submitted and secured third-party verification for its carbon emissions report
in Beijing. By November, we had successfully fulfilled all carbon emission
compliance obligations.
Ø Launched green travel services
Since 2021, Air China's "Low-Carbon Green Travel Program", available on the
one-stop carbon offset platform, has provided passengers with carbon footprint
calculation and carbon offset services for nationally certified emission
reductions. Passengers can voluntarily participate in carbon emission
reduction projects, such as domestic reforestation, using flight miles or cash
payments. In 2024, about 9,895 individuals joined the program, collectively
offsetting 1,993 tonnes of carbon dioxide emissions.
Measures for fuel savings and carbon reduction in flight operations
Effective control of flight returning and diversions We prioritize safety and operational efficiency by implementing a
comprehensive pre-flight assessment process. Before departure, we evaluate
release conditions such as weather, flight routes, and aircraft status, while
also monitoring flights that are cleared but not yet departed in real time.
Any changes in operating conditions are pre-analyzed promptly, enabling us to
take appropriate actions to mitigate risks.
After takeoff, our ground monitoring team remains vigilant, providing
continuous support to the crew through air-ground communication. This
proactive approach assists the crew in managing emergencies effectively,
minimizing the need for diversions or alternate landings. In 2024, this
strategy successfully reduced flight returns and diversions by 237 flights.
Fuel optimization in computer flight plan Air China has implemented a data-driven approach to optimize fuel efficiency
through closed-loop adjustments of computer flight plan parameters. By
focusing on narrow-body aircraft flights, we refined flight plan altitudes to
better align with actual flight altitudes, enhancing operational precision and
reducing fuel consumption.
We conducted a thorough review of extra fuel policies in the backend
management system for flight operation control and approval across all routes.
Special attention was given to flights with less than 80 minutes of remaining
fuel upon landing, ensuring that 80% of flights maintain at least 115 minutes
of flyable fuel upon landing.
We updated fuel consumption tables for various aircraft models and reduced
extra fuel reserves for diversion segments. Through comprehensive screening,
we eliminated unnecessary fuel allocations on specific routes, achieving
significant fuel savings. In 2024, these initiatives resulted in a total fuel
saving of 5,215.8 tonnes.
Continuous management and control of aircraft weight We prioritize weight optimization as a key strategy to enhance fuel efficiency
and operational performance. In 2024, we conducted a detailed assessment and
calculation of the operating empty weight and center of gravity for 109
modified and regular aircraft, providing essential data for precise flight
load planning.
Following the reduction in the minimum flight weight limit for the C909
aircraft, we assigned dedicated personnel to closely monitor the use of
ballast on flights. This initiative eliminated any unnecessary added weight,
contributing to improved fuel efficiency.
To support the operational integration of the C919 aircraft, we established
special working groups to refine 32 preparatory tasks across six major
categories. During operations, we maintained close monitoring of flights and
restricted the use of ballast, ensuring comprehensive management and control
of flight weight. These efforts resulted in significant fuel savings, totaling
318 tonnes in 2024.
International route optimization We are committed to enhancing fuel efficiency and operational performance
through strategic route optimization. In 2024, we conducted an in-depth study
of the global flight route layout and optimized 87 international and regional
paths by factoring in meteorological conditions and airspace control dynamics.
By avoiding congested airspace and strategically leveraging high-altitude
winds, we achieved significant fuel savings. For instance, the optimized
Beijing Capital International Airport to Islamabad route resulted in
per-flight fuel savings equivalent to 431 kilometers of range.
We meticulously planned and adjusted key routes such as Jakarta to Beijing
Capital International Airport and Rome to Hangzhou, significantly shortening
flight distances. These optimized routes were flown 3,161 times in 2024,
collectively saving 2,072.9 tonnes of fuel.
Domestic route structure optimization In 2024, we implemented significant adjustments to enhance the air corridor
structure and flight procedures across key regions. We optimized 160 flight
routes within the Shanghai-Kunming major air corridor, covering 91 cities, 39
waypoints, and 12 airports. This initiative streamlined the air corridors
connecting the eastern and western regions, improving overall efficiency.
We adjusted the flight procedures of three Beijing-Tianjin routes,
implementing aircraft arrival diversions and utilizing temporary route
procedures. These changes enabled omnidirectional departures from the runways
of Beijing Capital International Airport and Beijing Daxing International
Airport, significantly shortening departure routes.
We optimized the utilization of temporary air routes, benefiting multiple
routes at Urumqi Tianshan International Airport by reducing flight distances.
These combined efforts resulted in substantial fuel savings, with a total of
1,308.9 tonnes of fuel conserved in 2024.
Case: Green and Low-Carbon Actions in 2024
Air China Headquarters
On June 5th, World Environment Day, Air China organized a green-themed flight
event titled "Beautiful China, Soaring with Heart" on its CA1935 flight from
Beijing to Nanning. At the Beijing departure gate, passengers boarding the
themed flight were gifted eco-friendly notebook sets made from stone paper and
recycled plastic bottles. They were also encouraged to use electronic boarding
passes for a paperless travel experience. All tableware and packaging on board
were made from degradable or recyclable materials. Upon landing, the flight's
carbon dioxide emissions were fully offset using China Certified Emission
Reductions (CCER), marking it as a carbon-neutral flight.
Shandong Aviation Group Corporation
On May 15th, National Low-Carbon Day, Shandong Aviation Group Corporation
actively promoted a "Green Flights, Beautiful China" themed flight campaign on
six outbound flights from Jinan, Qingdao, Yantai, Xiamen, Beijing, and Urumqi.
During the flights, the purser used the in-flight PA system to educate
passengers about the significance of Energy Conservation Week and Low-Carbon
Day. Interactive quizzes and energy-saving experience-sharing sessions engaged
passengers, inspiring them to adopt green and low-carbon practices in their
daily lives.
Air China Southwest Branch
On May 16, 2024, the "Blue Journey" cabin crew team from Air China Southwest
Branch successfully organized a green-themed flight event, "Green
Transformation, Energy Efficiency Push," on flight CA4503 from Chengdu
Shuangliu to Shanghai Pudong. The crew highlighted Air China's strides in
energy conservation and emissions reduction, organized engaging in-flight
activities to promote green development concepts, and successfully enhanced
passengers' environmental awareness.
Air China Guangdong Branch
During Energy Conservation Week, Air China Guangdong Branch initiated a poetry
event titled "Go Green Together", focusing on energy conservation and
environmental protection, and a campaign to collect green office practices
under the slogan "Lead by Example, Small Actions Matter". The activities
resulted in 15 poems from 14 employees and 22 practical green office ideas,
energizing the Company's sustainability efforts.
Air China Hubei Branch
On May 17, 2024, in response to the week-long national energy conservation
campaign, Air China Hubei Branch partnered with China Eastern Airlines Wuhan
Branch and the Hubei Supervision Bureau to co-organize a green and low-carbon
cycling event titled "City Cycling". Under the theme "Cycle for Leisure, Go
Green on Wheels", the event promoted green and low-carbon commuting by
encouraging staff to cycle, spreading awareness of energy conservation and
carbon reduction, and advocating for a green and healthy lifestyle.
Air China Zhejiang Branch
On May 16, 2024, Air China Zhejiang Branch hosted an environmental awareness
event at the staff cafeteria, centered on "Reducing Disposable Tableware." The
event featured interactive quizzes, and a signature pledge, allowing employees
to learn about sustainability in a fun and relaxed atmosphere while
reinforcing their commitment to eco-friendly practices.
Case: Hosting the SAF Technical Pathway Challenge for Chinese Students
From May to October 2024, Air China, in collaboration with Airbus China and
the Second Research Institute of CAAC, co-hosted the SAF Technical Pathway
Challenge for Chinese Students-an innovative initiative to advance sustainable
aviation solutions. The competition aimed to inspire innovation among
students, explore new Sustainable Aviation Fuel (SAF) technical pathways and
business models tailored to China's unique context, and promote collaboration
across industry, academia, and research to strengthen the SAF value chain.
3.3 Resource Utilization
Air China is committed to integrating energy conservation, consumption
reduction, and resource efficiency into every aspect of its operations.
Prioritizing sustainable practices, the Company actively promotes recycling,
explores innovative energy solutions, and strives to establish itself as a
leading resource-efficient aviation enterprise.
3.3.1 Energy Management
Air China rigorously complies with relevant laws and regulations, including
the Energy Conservation Law of the People's Republic of China and the Measures
for the Administration of Energy Conservation of Major Energy-Consuming
Entities. To advance systematic energy management, the Company has developed
the Action Plan for Carbon Peaking. Under the guidance of the Green and
Low-Carbon Transformation Group, part of the Special Task Force on Carbon
Peaking and Carbon Neutrality, Air China is driving low-carbon infrastructure
projects. These initiatives focus on biofuel applications, vehicle
electrification, photovoltaic and solar thermal utilization, clean electricity
adoption, building efficiency enhancement, aviation material recycling, and
energy recovery. In 2024, Air China achieved a 100% utilization rate of APU
alternatives.
Main Measures for Energy Management
We implemented green flight procedures by focusing on critical fuel-saving
operations, optimizing fuel-saving strategies, incentivizing flight crews to
proactively conserve fuel, and improving fuel efficiency during flights. As of
December 31, 2024, these efforts resulted in cumulative fuel savings of
approximately 315,800 tonnes.
We promoted the routine use of APU alternatives by enhancing incentive
mechanisms and strengthening operational training for personnel. This ensured
full utilization of APU alternative equipment during aircraft ground parking,
significantly minimizing energy consumption.
We updated the management model for production support vehicles by integrating
advanced intelligent technologies and establishing an intelligent vehicle
management platform. This enabled precise scheduling and real-time monitoring,
significantly improving operational efficiency. As of December 31, 2024, the
electrification rate of ground support vehicles reached 39%, reducing carbon
dioxide emissions by 27,479 tonnes and showcasing notable green benefits.
We continuously optimized energy metering capabilities by introducing
cutting-edge information technology and building an intelligent hub for
energy-saving management. This allowed for precise control of energy flow and
equipment energy consumption, effectively enhancing the overall resource
utilization rate.
We refined the management standards for No Fault Found (NFF) components,
minimizing unnecessary dismantling and focusing on aviation material
recycling. In 2024, six consumable parts were reclassified as repairable,
reducing the need for new part purchases and indirectly cutting down on
manufacturing-related carbon emissions.
Case: Air China Century Building Receives Authoritative Recognition
The Air China Century Building is committed to establishing a sustainable
operational and management model rooted in green, low-carbon, and zero-waste
principles. By actively implementing zero-waste office practices, the building
has achieved remarkable success in high-quality development, sustainable
progress, and industrial green transformation. It has become a prominent green
showcase for downtown Beijing and the CBD business district, setting a
benchmark for eco-friendly commercial spaces. In 2024, the building earned the
prestigious title of Zero-Carbon Operation Demonstration Project, recognizing
its adherence to stringent zero-carbon operational standards for commercial
buildings and its alignment with the WorldGBC Asia Pacific Net Zero Readiness
Framework. Additionally, it was awarded the highest level of
certification-Platinum-under the LEED-EB V4.1 O+M system.
Case: Continuously Promoting SAF
On September 19, 2024, Air China hosted a themed flight event titled "Green
Skies, SAF Flies" on its CA4043 flight from Chengdu to Wuhan. At Chengdu
Shuangliu International Airport, the airline set up interactive displays and
distributed informative brochures to promote SAF and raise passenger awareness
about its environmental benefits.
3.3.2 Water Management
Air China adheres strictly to relevant laws and regulations, including the
Water Law of the People's Republic of China, and has established comprehensive
Water Management Regulations to minimize water consumption. With a commitment
to promoting efficient water resource utilization, the Company consistently
refines its water management strategies. These efforts underscore Air China's
dedication to sustainable practices and environmental stewardship.
Main Measures for Water Management
To tighten control over building water usage, the Company conducts thorough
inspections of water supply lines through scheduled patrols and random spot
checks, promptly addressing leaks and drips to eliminate water waste at the
source.
Regular and comprehensive leak inspections are performed on fire water and
domestic water tanks, while the fire water discharge management process has
been streamlined, with rigorous assessments to minimize discharge frequency.
Improved the recycling efficiency of cooling water in the cooling system
through scientific control, ensuring the recycling rate remains steadily
within an economically viable range.
All 137 traditional faucets in the cafeteria have been upgraded to
energy-efficient models, allowing precise control of water flow and
significantly reducing daily consumption through hardware improvements.
Introduced reclaimed municipal water to meet the irrigation needs of the
park's green spaces, utilizing reclaimed water for plant nourishment and
expanding the use of non-traditional water sources.
Water Consumption
Indicator Unit 2024
Office water consumption 1,000 tonnes 5,424
Office water consumption density tonnes/person 51.7
3.4 Pollution Prevention
Air China is committed to rigorous management of pollutant emissions through
continuous refinement of processes and standards, strengthening of its
emission management system, and active advancement of key pollution control
initiatives. These efforts demonstrate the Company's dedication to
environmental protection and its steady progress toward winning the critical
battle against pollution.
3.4.1 Waste Gases Management
Air China adheres strictly to the Law of the People's Republic of China on the
Prevention and Control of Atmospheric Pollution, the Integrated Emission
Standard of Air Pollutants, the Standard for Pollution Control on the
Municipal Solid Waste Incineration, and other relevant laws and regulations.
In alignment with these standards, the Company has established the Waste Gas
Emission Management Procedures under the Air China Environmental Management
Manual. These measures ensure rigorous control and management of emissions
generated during operations. To further reduce emissions, Air China has
implemented effective initiatives, including the adoption of new energy
vehicles, which accounted for 80% of the production support fleet in 2024.
Main Measures for Waste Gas Emissions Reduction
Air China has established a regular monitoring mechanism for boiler waste
gases, canteen fumes, and industrial waste gases. The Company strictly adheres
to emission standards, conducting regular checks to ensure all types of
emissions meet regulatory requirements.
Air pollutant control devices and online monitoring facilities have been
installed across operations. These systems enable real-time tracking and
precise adjustments throughout the waste gas treatment process, ensuring
optimal efficiency and compliance.
To minimize emissions from APUs, Air China prioritizes the use of ground power
and air conditioners for all aircraft connected to air bridges. By December
31, 2024, the Company had signed APU substitution agreements with all eligible
domestic airports, significantly reducing aircraft ground waste gas emissions.
Air China focuses on reducing vehicle emissions within airport premises by
intensifying efforts in emission reduction retrofits. A special initiative for
self-inspections and rectifications of diesel vehicles has been launched to
ensure retrofitted vehicles comply with waste gas emission standards.
The Company accelerates the shift from oil to electricity by widely deploying
new energy models, aiming for full coverage. Air China adheres to the
principle of simultaneous promotion of vehicles and charging infrastructure,
achieving shared charging within the Company through self-built charging piles
to support the transition to green transportation.
As of December 31, 2024, we had upgraded emissions for 1,742 diesel vehicles,
maintained a fleet of 1,402 new energy vehicles, and installed 465 self-built
charging piles.
3.4.2 Wastewater Management
Air China strictly complies with the Water Pollution Prevention and Control
Law of the People's Republic of China, the Integrated Emission Standard of
Water Pollutants, and the Regulation on Urban Drainage and Sewage Treatment,
among other relevant laws and regulations. To ensure rigorous oversight of the
wastewater discharge process, the Company has established the Wastewater
Discharge Management Procedures in alignment with the standards and guidelines
outlined in the Air China Environmental Management Manual, ensuring that
wastewater management practices are both effective and sustainable.
Air China's Main Measures for Wastewater Reduction
Air China conducts regular monitoring of sanitary wastewater to ensure stable
compliance with discharge standards. The Company strictly upholds
environmental protection bottom lines, prioritizing sustainable practices in
operations.
The Company is equipped advanced wastewater treatment facilities and online
monitoring devices. These systems enable real-time data collection,
transmission, and analysis throughout the wastewater treatment process,
ensuring the efficient and stable operation of facilities.
In 2024, we treated 667,000 tonnes industrial wastewater with industrial
wastewater treatment rate of 100%.
3.4.3 Waste Management
Air China strictly complies with laws and regulations such as the Law of the
People's Republic of China on the Prevention and Control of Environmental
Pollution by Solid Waste, the Technical Policy on the Prevention and Control
of Pollution Caused by Hazardous Waste, and the Provisions on the
Administration of Urban Construction Garbage. To ensure rigorous waste
management, the Company has established internal systems, including the Solid
Waste Management Procedures and the Emergency Response Plan for Hazardous
Waste for the Ground Service Department. These systems enable strict control
over all types of waste. The Company has signed the Hazardous Waste Disposal
Agreement with qualified third parties to ensure that maintenance waste is
handled in full compliance with regulations throughout its lifecycle-from
collection, storage, and transfer to disposal. This achieves standardized
management and the goal of 100% compliance in waste discharge. Additionally,
Air China organizes regular emergency drills for hazardous waste leaks,
effectively enhancing employees' response speed and coordination levels in
handling environmental emergencies. In 2024, the Company experienced no
hazardous waste leakages and received no administrative penalties related to
pollution.
Disposed Hazardous Waste (tonne) 5 (#_ftn5)
Category 2024
Waste organic solvents and organic solvent-containing waste 156.71
Waste mineral oils and mineral oil-containing waste 291.50
Oil/water, hydrocarbon/water mixtures, or emulsions 1.18
Dye and paint waste 68.46
Organic resin waste 2.67
Photosensitive material waste 1.20
Surface treatment waste 269.64
Mercury-containing waste 2.07
Lead-containing waste 3.27
Spent acid 42.30
Spent alkali 30.00
Other wastes 631.45
Total wastes 1,500.45
Main Measures for Waste Reduction
• "Paperless" convenient travel: In 2024, Air China's paperless
travel service platform enabled 42.724 million passengers to book tickets,
select seats, check in, and self-check baggage without the need for physical
documents. This initiative not only improved travel efficiency but also
significantly enhanced eco-friendliness by reducing paper waste.
• Personalized meal options: Air China introduced a reward system
for passengers who opt out of meals on demand, effectively curbing food waste.
In 2024, about 8,828 passengers chose to decline meals as needed, contributing
to the Company's waste reduction efforts.
• Plastic reduction and waste minimization initiative: Since 2022,
Air China has completely phased out single-use plastic products on domestic
flights and in its self-operated lounges, replacing them with recyclable or
biodegradable materials. By 2024, this initiative was extended to
international flights, achieving the goal of replacing all cutlery, cups,
stirrers, and other products in both domestic and international flights, as
well as airport lounges, with eco-friendly alternatives.
• Green office practices: Air China has actively promoted a
culture of frugality, low-carbon living, and environmental awareness among
employees. The Company implemented standardized and green management
strategies for office equipment, such as air conditioning, lighting, and
printers. Employees were encouraged to adopt water and energy-saving habits,
embrace green commuting, and support sustainable consumption. These efforts
have fostered a new green and low-carbon office environment.
Ø Household waste 6 (#_ftn6) , kitchen waste, and other hazardous waste are
sorted out and transported to the designated waste storage area for unified
recycling and treatment by third parties. In 2024, Air China disposed of
5,065.84 tonnes of kitchen waste.
Ø In-flight waste is transported to the designated area of the airport and
handed over to the airport for unified recycling and treatment.
3.4.4 Noise Management
Air China prioritizes the prevention and control of noise pollution. When
selecting aircraft, models equipped with advanced noise-reduction technologies
are preferred. The Company conducts regular inspections and maintenance of
engines to ensure optimal performance, minimizing abnormal noise caused by
malfunctions or aging. Optimized takeoff and landing procedures are adopted
during flight operations, and close coordination with airports ensures
reasonable scheduling of flights and runway usage, reducing noise impacts on
nearby residential areas. During ground parking, ground power and air
conditioning units are used instead of the aircraft's APU, effectively cutting
down on ground noise.
4. Quality Service
SDG 2: ZERO HUNGER
SDG 17: PARTNERSHIPS FOR THE GOALS
Air China consistently provides sincere service, improves the management of
service quality, continuously innovates service products, promotes digital
services, enhances service capabilities, and actively establishes a new
benchmark for world-class airline service.
The "14th Five-Year Plan" in the Service Scope
Creating World-class Services and Products
Deepening the "Three Orientations"
Practicing the "Three Comprehensive Strategies"
Customer Orientation, Problem Orientation, Value Orientation
Global Benchmarking, Full-process Governance, Endeavour throughout Entire
Chain
Static Planning → Dynamic Management
Fragmented Scene → Full-process Connection
Passively Follow → Actively Lead
Excellent service, Comprehensive and smooth service guarantee, Win-win and
efficient collaboration, Timely and accurate service, Innovative and digital
support, The trustworthy and professional team
4.1 Service Quality Management
Air China focuses on quality control, establishing a comprehensive quality
management system that spans the entire service management lifecycle and the
full value chain of the Company. It has formulated regulations such as the
Service Quality Inspection Management Regulations, the Service Quality Risk
and Hazard Management Regulations, and the Service Quality Prevention and
Corrective Action Management Procedures. A graded management mechanism has
been implemented, clearly defining departmental roles and standards. Through
strict process management, as well as regular inspections and evaluations, we
promptly identify service weak links, correct potential issues, and further
service management improvement and quality enhancement.
4.1.1 Quality Management System
Quality Control
Air China has clearly defined service quality risks and hazards, establishing
a systematic prevention and corrective mechanism that covers everything from
"pre-event" risk prevention to "post-event" issue rectification. This
comprehensive approach ensures a robust closed-loop management system for
service quality. The Company's primary quality management department is
responsible for identifying and managing service risks and hazards discovered
in key areas, including risk identification, in-process quality monitoring,
and post-event issue investigation. The department oversees risk mitigation,
control measures, and service corrective actions through a closed-loop
process, with a clear definition of roles and workflows to ensure continuous
improvement and enhancement of service quality. In 2024, no major safety or
quality incidents related to production or services occurred, nor were there
any associated financial impacts or damages.
Audit
Air China invited the China Quality Certification Center (CQC) to conduct this
year's third-party quality audit. The audit was based on relevant laws and
regulations, including the CAAC's Guidelines for the Construction of Public
Air Transport Passenger Service Quality Systems, the ISO 9001:2015 quality
management system standard, the Company's service quality management system
documentation, and other applicable standards. Through interviews and
sampling, sufficient evidence was gathered to validate the compliance and
effectiveness of the Company's service quality management system. During the
Reporting Period, three qualified subsidiaries, six business management units,
and three management support divisions passed comprehensive document reviews
and on-site audits.
4.2 Customer Experience Enhancement
Air China takes passenger needs as its operational focus, striving to ensure
regular flight operations. We actively listen to passenger feedback, strictly
safeguard personal information, and continuously enhance service quality.
Guided by the principle of responsible marketing, we prioritize the protection
of passenger rights throughout our service processes.
4.2.1 Guaranteeing Flight Regularity
Flight regularity management ● We have released Regulations on Flight Regularity Management,
aiming to standardize organizational structures, clarify roles and
responsibilities, enhance management systems, optimize performance
evaluations, and strengthen training, thus improving efficiency in flight
regularity management.
● Collaborating with relevant departments, we conducted seasonal
flight schedule evaluations, analyzing segment times of flights operated
during the winter and spring seasons. This analysis provided data support for
planning the 2024 winter and spring flight schedule.
● We have standardized flight regularity reward and penalty measures
by issuing the Production Operation Reward and Punishment Form to relevant
support units based on actual operational conditions. We ensure to document
event details and regularly release bulletins on flight regularity rewards and
penalties.
Flight regularity assessment and statistics ● We complete the target value setting for flight regularity
assessment items.
● We establish monitoring procedures to continuously track
indicators such as flight regularity rate and delay rate, and issue relevant
notifications.
● We establish a data verification workflow to cross-check data
every day from the Civil Aviation Administration's flight operations
management system, enhancing the accuracy of our flight data.
Irregular flight analysis ● Focusing on issues such as return flights, six-hour advance
adjustments, aircraft malfunctions, and weather-related delays, we analyze the
irregular flight data based on Civil Aviation Administration statistics. By
the end of the Reporting Period, 41 briefings on irregular flights had been
developed.
Strengthening internal regularity management of the Operation Control Center ● We launched a special campaign in 2024 to improve flight
regularity during peak season, with recognition and rewards for participating
units and individuals to enhance performance on flight regularity.
Flight Regularity Performance 7 (#_ftn7) :
In 2024, the flight punctuality rate reached 88.07%
The flight execution rate was 99.0%
4.2.2 Response to Customer Demands
l We have developed internal management systems such as Management Regulations
for Service Remediation Authorization and Passenger Satisfaction Survey
Management Regulations, establishing a clear, organized, and efficient
customer service response system to ensure timely responsiveness to customer
demands.
l We have formulated the Service Reward and Punishment Management Regulations
and established a service rewards and punishment mechanism to ensure effective
response and resolution of customer concerns. Additionally, we designed an
online passenger survey questionnaire to build and continuously improve the
passenger satisfaction evaluation system, driving ongoing enhancement and
optimization of products and services.
l We value customer feedback and have put in place the Complaint Management
Regulations and other internal management systems to enhance the complaint
response and feedback mechanism. A three-tier customer complaint response and
feedback system has been set up to streamline the complaint channels and
ensure service reliability.
l We have established mechanisms for analyzing and reviewing typical service
cases and conducted specialized analyses on 9 issues including irregular
flights, complaint trends, diverted flight support, and in-flight meal
quality. Based on these analyses, we implemented and completed 10 dynamic
service improvement measures.
2024 Service Performance Statistics 8 (#_ftn8)
l International luggage loss rate: 1.38 pieces/thousand passengers; Domestic
luggage loss rate: 0.09 pieces/thousand passengers
l Total number of passenger complaint cases from all channels: 55,242 cases;
Passenger complaint handling rate: 100%
l Passengers' overall satisfaction: 87.9 points
l Premium passenger satisfaction: 88.3 points
l Ground service satisfaction: 86.9 points
l Ticket service satisfaction: 89.3 points
l Cabin service satisfaction: 88.2 points
4.2.3 Privacy and Data Security
Air China strictly complies with the Cybersecurity Law of the People's
Republic of China, Data Security Law of the People's Republic of China, and
Personal Information Protection Law of the People's Republic of China, among
other applicable laws and regulations in its operational regions. The Company
has developed and implemented internal policies such as Privacy Policy, Data
Management Regulations, Cybersecurity Management Measures, Data Security
Management Implementation Guidelines, and Passenger Personal Information
Management Regulations to ensure proper governance of privacy protection and
information security. These regulations cover all business lines,
subsidiaries, and suppliers. These measures are designed to prevent
unauthorized access, disclosure, usage, modification, damage, or loss of data.
Following Supplier Management Regulations, Air China incorporates customer
privacy and data security assessment requirements into all supplier onboarding
and evaluation processes. We are committed to not renting or selling users'
personal information to third parties, and user information is only shared
with third parties to complete transactions or services, provided explicit
consent has been obtained from the user.
Organizational Mechanism Development
Air China has released the Notice on Adjusting the Cybersecurity Management
Committee, aiming to establish unified standards for privacy and data security
management. The Cybersecurity Management Committee, the Company's highest
decision-making body on cybersecurity, is led by senior management and is
responsible for overseeing information security and data compliance. Under the
committee, a leadership group handles security-related decisions, while an
office under the group focuses on establishing security mechanisms. Individual
units oversee daily network security operations. Additionally, the Company
conducts annual passenger privacy risk assessments to ensure the effectiveness
of its cybersecurity management.
In 2024, the Company's cybersecurity/information security certification rate
reached 100%, achieving ISO/IEC 27001 re-certification, completing the PCI-DSS
certification review, and successfully passing Level 3 Classified Protection
evaluations for 11 systems, with no data breach incidents or related losses
reported.
Technical Support ● We have completed intranet access control, implemented
multi-layered internet defense mechanisms, conducted application and system
vulnerability scans, ensured WEB application protection, and established
centralized data storage and backup solutions.
● We leverage a centralized monitoring and management platform to
monitor various information security devices in real time, with focused
control over key information systems and devices used by personnel.
● Based on professional cybersecurity threat intelligence, we
promptly communicate and address various external security incidents and
vulnerability information.
● We conducted annual penetration testing on core business systems
containing sensitive data and promptly addressed application vulnerabilities
to gradually enhance the security capabilities of information systems.
Information Collection Procedures ● Through the Privacy Policy and related documents, users are
informed about the collection, use, deletion, retention, and protection of
personal information. Users are also guided on how to exercise their rights,
ensuring their right to be informed.
Secure Information Storage ● Following legal requirements regarding the location, method, and
duration of personal information storage, we employ technologies like
encryption and de-identification for data handling. Regarding the storage of
passenger information, we will store passenger information for the shortest
possible time, and upon exceeding the time limit, we will delete or anonymize
the personal information of passengers.
Emergency Response ● We have developed a contingency plan for personal information
security incidents, along with mechanisms for vulnerability reporting and
response, and other related emergency handling strategies. We define clear
processing procedures for information security incidents to actively mitigate
security risks.
● We conduct safety emergency drills and defense exercises to
prevent unexpected incidents.
Information Security Audit ● An external audit agency was engaged to assess the compliance and
security of the information system. During the Reporting Period, one internal
audit and one external audit were conducted on the Company's information
systems and policies. Additionally, audits such as the CAAC's aviation
security audit, cybersecurity level protection assessment, and the IATA IOSA
audit were carried out, achieving a 100% risk rectification rate.
Privacy Protection Training ● In 2024, Air China conducted data security training for all
employees. A series of specialized online training sessions were held,
covering topics such as cybersecurity policies and regulations, key
infrastructure cybersecurity protection, data security, personal information
protection, and prevention of telecommunication fraud.
● We conduct pre-employment data security training for all personnel
of system development contractors.
4.2.4 Responsible Marketing
Air China adheres to responsible marketing practices, strictly complying with
the Law of the People's Republic of China on the Protection of Consumer Rights
and Interests and the Advertising Law of the People's Republic of China, among
other regulations. The Company has formulated and issued internal policies,
such as the Announcement on Further Standardizing the Application of Marketing
and Promotional Materials to continuously optimize its internal systems and
strengthen management foundations. In product marketing, Air China avoids any
form of exaggerated or false advertising. While showcasing the Company, brand,
and services, we disclose legal risks, activity terms, and other relevant
information, clearly outlining existing project risks. This ensures customers'
right to know is fully respected, reducing potential conflicts, disputes, or
legal actions caused by insufficient communication.
4.3 Quality Enhancement
Air China is committed to providing comprehensive and meticulous services to
all passengers, ensuring that every traveler enjoys their flight experience.
Keeping pace with the times, we vigorously promote the upgrading and
application of digital services, offering more convenient and efficient travel
solutions.
Smart Travel Service ● We continued to promote the automatic check-in product, covering 5
airlines.
● We launched self-service check-in services at terminals in Hong
Kong and Singapore, now available at 8 international and regional locations.
● We developed a promotional plan to facilitate the electronic
boarding pass clearance service at Beijing Capital International Airport for
international and regional flights, launching the service on 10 airlines in
the Asia-Pacific region.
In-flight Entertainment ● Focusing on brand recognition, visual appeal, interactive
experience, and passenger navigation paths, we comprehensively upgraded the
in-flight online platform interface, providing passengers with a brand-new
in-flight entertainment experience.
● In line with current events, we launched themed activities such as
the Silk Road Journey, Beijing Central Axis City Walk, and the 75th
Anniversary of the Founding of the PRC.
● We developed our flagship product, Extraordinary Cinema, focusing
on curating exceptional foreign-language films in lesser-seen categories on
mainstream online platforms, creating a diverse and unique film library.
In-flight Meals ● We launched an in-flight meal pre-order management system to meet
passengers' personalized dining preferences.
● We introduced healthy meals with low calories, sugar, and
fat-Yunxiang Light Meals, along with several regional specialty dishes.
● We developed and launched our exclusive Fresh Caviar menu.
Ground Service ● Full-process baggage tracking has been implemented at 12 newly
launched overseas stations, covering a total of 65 destinations by the end of
the Reporting Period. Data sharing for baggage tracking has been achieved
among Air China, Shenzhen Airlines, and Shandong Airlines, along with query
functionalities made available on Air China's mobile platform.
● We have accelerated the expansion of centralized control
operations for international flight departures. By the end of the Reporting
Period, centralized control services had been extended to 129 domestic and 51
international flight destinations. The average daily number of centralized
control flights had reached 1,450, accounting for 93% of our total flights.
Services and Products ● We organized themed activities for the lounge during the Dragon
Boat Festival and National Day, established the "Fengtinghui" brand
collaboration management mechanism, and hosted two Fengtinghui cultural
exhibitions to enhance brand influence.
● We added the express airline from Chengdu to Shenzhen. As of the
end of the Reporting Period, a total of 8 express airlines had been
established, including 4 airlines jointly operated with Shenzhen Airlines and
Shandong Airlines.
● We provide comprehensive services for first-time passengers,
including travel guides, ground assistance, and in-flight guidance, while
offering customized products tailored to their needs.
● The C919 is equipped with exclusive Air China-designed business
class and economy class passenger seats, cabin interior designs, as well as
customized cabin announcements, onboard entertainment programs, and eight
types of in-flight supplies.
● We launched a series of distinctive products, including the Golden
Prosperity tableware for business and first-class dining on Beijing express
round-trip flights, as well as two Love On-the-Go items: a storage bag and a
children's puzzle coaster.
● We introduced the innovative baggage transfer countdown service
for the first time at Wuhan airport.
Ticket Refund Service ● We launched the original channel refund management system,
enabling a fully systematic and closed-loop management process for refund
operations via the original channel.
● On the Air China mobile platform, we significantly expanded the
applicability of the no-reason ticket refund coupon to include all tickets
sold through domestic channels. The two-hour free refund and discounted refund
service has been fully upgraded, with enhanced policies now covering all
domestic and international airlines. For instances where travelers purchase
Air China tickets separately and face irregularities such as flight
cancellations, a one-stop free refund service has been introduced,
streamlining the ticket refund process for passengers.
Unaccompanied Children Service Ÿ Air China App has launched a booking service for unaccompanied minors.
Ÿ We have optimized the meal selection criteria to ensure that non-spicy
meals suitable for children are included in the regular meal plan.
In-flight Wheelchair Ÿ Free in-flight wheelchair services are provided for passengers who are
physically fit to fly but do not have the ability to move independently. This
service assists passengers in moving to or from their seats on the plane,
going to and from the restroom, etc.
Baby Bassinets Ÿ Air China provides baby bassinets in business class, premium economy class,
and economy class on international routes operated by certain aircraft types.
Special Needs Services Ÿ We provide services such as handling check-in procedures and assisting with
luggage check-in/pick-up for passengers with hearing and visual impairments.
Small Animal Transportation Ÿ On the Air China App and the official website, you can book the service of
point-to-point transportation of small animals on flights operated by Air
China and bearing Air China flight numbers.
Support for Red Cross Medical Relief Operations
Air China actively supported the Red Cross Society of China's overseas medical
team in its Angel's Journey: Belt and Road Serious Illness Child Humanitarian
Rescue Initiative held in Ulaanbaatar, Mongolia. On November 17, 2024, Air
China facilitated the travel of 50 individuals, including patients, their
families, and team leaders, on flight CA902 to Beijing for surgical treatment,
demonstrating its commitment and responsibility.
Temporary Stretcher Service
On April 21, 2024, a young boy named Danzeng Suolang was involved in a car
accident and faced a risk of amputation if treated locally. To ensure his
safety and timely medical care, Air China prioritized the principle of saving
life first and arranged for temporary stretcher transportation on flight
CA2764 the same day, successfully bringing the child to Chengdu for treatment.
5. Employee Development
SDG 3: GOOD HEALTH ANG WELL-BEING
SDG 5: GENDER EQUALITY
SDG 8: DECENT WORK AND ECONOMIC GROWTH
SDG 10: REDUCED INEQUALITIES
The 14th Five-Year Plan for the Human Resources Scope
Strengthen organizational management, optimize the Company's management system
and organizational structure
Build a contingent of high-quality employees and strengthen the talent
development matching the Company's strategic development
Speed up the transformation of operating mechanisms and enhance the internal
motivation of the team
Improve the efficiency of human resource allocation systematically and promote
high-quality development
Air China is firmly rooted in a people-oriented philosophy, placing the rights
and interests of its employees at the forefront. The company is dedicated to
safeguarding the health and well-being of its workforce, creating a supportive
and inclusive environment. Through the continuous development of talent
training systems and strategic planning, Air China actively supports employees
in their career development, fostering a culture of growth and collaboration.
This approach ensures mutual progress, where both employees and the company
advance together, achieving shared success.
5.1 Employment and Employees' Rights and Interests
Air China strictly complies with the Labor Law of the People's Republic of
China, the Labor Contract Law of the People's Republic of China, the
Employment Promotion Law of the People's Republic of China, the Law of the
People's Republic of China on the Protection of Rights and Interests of Women,
and other national laws and regulations, based on which it is committed to
building a fair, compliant, and equal working environment. We take an explicit
stand against any form of forced labor or child labor and resolutely resist
workplace discrimination against employees due to race, nationality, gender,
or other factors. We resist workplace harassment and bullying and ensure that
the legitimate rights and interests of every employee are fully protected and
respected. During the Reporting Period, Air China had no violations of child
labor, forced labor, or discrimination.
5.1.1 Employment Management
Air China thoroughly explores, recruits, and applies human resources. It
carries out recruitment work by taking multiple measures simultaneously,
utilizing various recruitment channels such as campus recruitment,
market-oriented talent recruitment, general social recruitment, employment
probation, and internships. In 2024, the Company continued to improve its
market-oriented employment mechanism featuring the flexibility of entry and
exit, breaking down traditional barriers to talent mobility, and continuously
optimizing its talent structure.
Air China strives to establish long-term, harmonious, and stable labor
relations with its employees, fully respecting the rights of all employees to
freely associate and engage in collective bargaining. It has completed the
drafting, negotiation, and signing of the new Collective Contract, Labor
Safety and Hygiene Special Collective Contract, and Special Collective
Contract for the Protection of Female Employees' Rights and Interests, to
enhance the Company's law-based labor employment.
We have developed the Employee Code of Conduct, which establishes well-defined
ethical requirements for employee behavior. Any violation will be dealt with
in accordance with applicable national laws and regulations, as well as
relevant internal regulations such as the Punishment Regulations for Labor
Discipline Violation.
Ÿ In 2024, Air China had 104,909 employees
Ÿ The labor contract signing rate reached 100%
Ÿ Percentage of employees covered by collective bargaining agreements was
100%
Employees of Air China in 2024
Type Number of Employees Proportion
Number of employees by employment type Contracted 98,407 93.80%
Dispatched 6,121 5.83%
Others 381 0.37%
Number of employees by gender Male 64,464 61.45%
Female 40,445 38.55%
Number of employees by age ≤ 35 58,704 55.96%
36-45 31,514 30.04%
≥ 46 14,691 14.00%
Number of employees by region China 102,004 97.23%
Overseas 2,905 2.77%
Number of employees by profession Management 7,097 6.76%
Functional staff 5,676 5.42%
Marketing and sales 5,628 5.36%
Operation 5,789 5.52%
Ground handling 13,113 12.50%
Cabin service 27,271 25.99%
Logistics and support 6,720 6.41%
Flight crew 13,550 12.92%
Engineering and maintenance 17,006 16.21%
Information technology 1,215 1.16%
Others 1,844 1.15%
Number of employees by education Master's degree and above 4,980 4.75%
Undergraduate 62,803 59.86%
Junior college 27,259 25.98%
Technical secondary school and below 9,867 9.41%
Type Turnover Rate
Overall employee turnover of Air China 2.95%
Employee turnover by employment type Contracted 2.52%
Dispatched 0.38%
Others 0.05%
Employee turnover by gender Male 1.56%
Female 1.39%
Employee turnover by region China 2.82%
Overseas 0.13%
Employee turnover by age ≤ 35 1.96%
36-45 0.73%
≥ 46 0.26%
5.1.2 Democratic Management
Air China actively implements democratic management and upholds employees'
right to be informed, to participate, to be heard, and to oversee. The Company
has established a system of democratic management whose basic form is Workers'
Congresses and continuously improves the management system based on the
"1+M+N" system of Workers' Congresses. In 2024, Air China held three Workers'
Congresses. During the Workers' Congresses, the Company's work report, the
eighth Collective Agreement, the fourth Special Collective Contract for the
Protection of Female Employees' Rights and Interests, and the fourth Labor
Safety and Hygiene Special Collective Contract were reviewed and approved; the
Special Working Hour System Management Measures of China National Aviation
Holding Corporation Limited and Air China Limited was reviewed and some
suggestions were proposed; proposals were submitted by employee
representatives, all of which were all properly resolved during the Reporting
Period.
In 2024, 17 proposals were submitted by employee representatives during the
Workers' Congresses and the response rate was 100%.
5.2 Employee Training and Development
Talent resources provide powerful support for Air China to promote sustainable
development. We have established a comprehensive training management framework
and institutional system, providing a variety of training programs to cater to
the development needs of different employee teams. We continuously improve
career development paths and encourage employees to enhance their education
and professional skills, striving to achieve common development of employees
and the Company.
5.2.1 Training System for Technical Employees
Air China focuses on cultivating innovative talents and is dedicated to
building a comprehensive and multi-level talent ecosystem. Based on the
training philosophy of strengthening the foundation, enhancing capabilities,
and promoting development, we have developed internal training systems,
including the Compliance Training Outline and the Training Outline on Work
Style for All Employees. These systems not only cover the basic knowledge of
laws, regulations, and industry norms, but also delve into multiple dimensions
such as professional ethics, risk management, and emergency response, striving
to build a comprehensive and multi-level training system to cater to the
diverse learning needs of employees at different stages of their careers.
Training System
Based on civil aviation laws
Establish the training system for pilots, flight attendants, flight security
guards, and flight dispatchers
Based on Air China's production needs
Establish the training system for air transport personnel, expatriate
employees, and business personnel
Based on the qualification requirements of civil aviation transportation
Establish the training system for dangerous goods transportation and aviation
security
In 2024, Air China invested approximately RMB 224 million in training to
maintain specific qualifications for the Company's employees.
Training Management Capacity Building
Improving the Construction of Training Systems in Key Areas
Ø Revised the Training Department's Aviation Safety Management Manual.
Ø The CCAR-142 Flight Training Center completed the CRM supplementary
operation qualification certification and established a branch office in
Chongqing.
Ø A dangerous goods training institution has preliminarily completed the
CBTA 9 (#_ftn9) reform.
Ø Achieved C909 autonomous training.
Unified Training Management Standards
Ø Revised the training standards and regulations eight times. The revised
training standards and regulations include those of the CCAR-142 Flight
Training Center and the crew training institution, as well as the training
outlines for transport service staff of airlines.
Ø Revised the Minimum Equipment Specification List for Simulators
Ø Issued teaching qualifications for 3,986 instructors, developed and
produced 339 face-to-face online courses, and added 2,185 courses to the
online learning platform.
Strengthening the Professional Teaching Staff
Ø We have appointed 36 part-time cabin instructors and 44 part-time ground
service instructors and also promoted nine part-time instructors.
Ø We have selected and appointed four flight simulator instructors.
Ø We implemented the assessment of the full-time ground service instructors
in terms of teaching hours and quality, and the incentive work related to them
in 2024.
Leadership Training
In 2024, Air China made great efforts to cultivate a high-quality management
team who are honest and upright, loyal to the Party, innovative, proficient in
managing an enterprise, and committed to promoting the growth of the Company.
Taking the in-depth study and implementation of Xi Jinping Thought on
Socialism with Chinese Characteristics for a New Era as the main theme, it has
actively cooperated with the training programs organized by superior units,
vigorously implemented various off-the-job training programs, and regularly
launched new online courses on the Leadership Branch of the Air China Network
Academy, to enhance the political capabilities of the management at all levels
and improve their capabilities to fulfill their obligations, thus
comprehensively strengthening their competence in promoting the high-quality
development of the Company.
International Training and Exchanges
l 2024 Exchange and Training in Rolls-Royce UK under the International
Training Program for Senior Management
l 2024 Exchange with Airbus in France under the International Training Program
for Middle and Senior Management in Civil Aviation
l An Exchange and Practice Program of Air Macau in 2024
l 2024 Rolls-Royce Singapore International Training Program for Young Cadres
l 2024 Training Courses for Young Cadres
l Exchange with Commercial Aircraft Corporation of China
l CNAHC 2024 Training Class for New Senior Management to Enhance Their
Capabilities to Perform Their Duties
l CNAHC 2024 Training Class for New Middle Management to Enhance Their
Capabilities to Perform Their Duties
Online Training of Leadership Branch
The Leadership Branch of the Air China Network Academy newly launched courses
in five areas, including policy interpretation, new quality productivity, work
safety, artificial intelligence, and high-quality development, with 26 courses
in total launched throughout the year.
Development of Teams
l Continuously carry out the "Five Small" innovation activities, namely small
inventions, small creations, small innovations, small designs, and small
suggestions.
l Selected demonstration teams and excellent team leaders for the year 2024,
and actively established benchmark teams, enabling them to play an exemplary
and leading role.
l Organized employees to participate in the excellent achievements collection
and exhibition in the safety culture construction among civil aviation teams
in the new era, recommended more than 100 outstanding works and participated
in the offline art and cultural show.
l Held the 11th Excellent Team Leader Training Course, with 114 team leaders
and innovative talents participating in the training.
Continuing Education of Employees
Program of High Education for Civil Aviation Employees
Air China continued to carry out the program of High Education for Civil
Aviation Employees to assist Air China employees in achieving a "dual
improvement" in education and professional skills. The program of High
Education for Civil Aviation Employees is jointly launched by the Civil
Aviation Administration of China and the Open University of China, with online
teaching as its basic form, providing students with academic education and
vocational skills training through a combination of online and offline
teaching methods. The undergraduate and vocational education programs under
High Education for Civil Aviation Employees are designed to be 2.5 years.
After completing the required credits for compulsory and elective courses in
relevant majors, and passing the corresponding exams and appraisals as
required, students will receive nationally recognized graduation certificates
and degree certificates belonging to the national education series.
Employee Training Statistics 10 (#_ftn10)
Type Percentage of Trained Employees (%) Average Training Hours per Employee (hours)
Trained employees by rank Senior management 38.4 32.7
Middle management 38.4 29.2
Staff 76.8 44.6
Trained employees by gender Male 74.1 41.9
Female 77.1 46.6
5.2.2 Employee Career Development
To build a more efficient and professional talent team, Air China has
implemented a meticulous classified talent management system and
comprehensively reformed the mechanism of the entire process ranging from
talent selection, cultivation, and management, to employment. In 2024, Air
China deepened the construction of its professional qualification level system
for professional and technical as well as vocational and skilled talents. It
has established the rank systems in flight crew dispatching and marketing and
carried out pilot projects in other fields such as cabin service, ground
service, and operation dispatching to facilitate employee promotion channels
and promote reasonable employee mobility. Meanwhile, a sound management
mechanism for the evaluation and employment of professional talents has been
established, and the Administrative Measures for the Evaluation and Employment
of Professional Talents has been issued. Based on the principle of
streamlining administration, delegating power, and improving efficiency, we
have streamlined the evaluation and employment procedures for professional
talents to improve management efficiency and ensure the fairness and
effectiveness of the evaluation and employment work.
Performance Highlights:
l In 2024, the internal talent exchange platform released 124 jobs;
l 100% of employees received regular performance and career development
assessments.
Vocational Skills Competition
In 2024, Air China thoroughly implemented the new version of the
Administrative Measures and Incentive Mechanisms for Vocational Skills
Competitions Among Employees in the Civil Aviation Industry. We have
introduced innovative competition methods around key positions. We also
actively participated in the "Safety and Health Knowledge Contest" and
vocational skills competitions organized by CNAHC, to showcase the talents
of our employees.
5.3 Occupational Health and Safety
Air China always regards safeguarding the health and safety of its employees
as its top priority. We adhere to occupational health and safety management
standards, commit to respecting the right of employees to enjoy healthy and
safe working conditions, and actively carry out the construction of employee
health and safety systems, making every effort to protect employees from
health and safety hazards.
5.3.1 Engaging in Occupational Disease Prevention and Control
Air China strictly complies with laws, regulations, and work requirements such
as the Law of the People's Republic of China on the Prevention and Control of
Occupational Diseases, the Provisions on the Administration of Occupational
Health at Workplaces, and the Notice of the General Office of the National
Health Commission of the People's Republic of China on Further Strengthening
Occupational Health Training for Employers to continuously improve its
occupational health regulatory management system and persistently reinforce
its occupational health management.
Air China conducts annual special assessments of occupational health as
required. It promptly investigates and implements rectification measures for
potential hazards that may cause occupational diseases, and sets up protective
facilities for unavoidable occupational hazards, providing labor protection
equipment for relevant positions. Meanwhile, through intelligent technology
transformation, we continuously improve the working environment of employees,
reducing risks of occupational diseases and safety incident risks, and forming
a closed loop of occupational health management.
Air China has formulated and issued the Notice on Streamlining the Workflow of
Handling Work-related Injury Insurance Business in accordance with policies
such as the Regulations on Work-Related Injury Insurance, to ensure that the
rights and interests of employees are fully protected.
In 2024, the Company lost a total of 17,112 working days due to work-related
injuries.
5.3.2 Caring for Employees' Health
Air China has formulated the Employee Physical Examination Management System
and organizes regular employee health examinations. On top of general physical
examinations for aircrews and ground staff, differential and special physical
examinations are also provided for aircrews and female employees. To ensure
that employees have a clear understanding of the physical examination results,
the Company has established employee health records and organized a team of
professional doctors and healthcare experts to provide personalized one-on-one
consultation services after the examination, providing targeted health
guidance plans and rational suggestions. In 2024, relying on advantageous
medical resources, we have built a new model of digital employee health
management and successfully qualified as a pilot unit for high-quality
workplace health management. Meanwhile, we continued to provide Employee
Assistance Program (EAP) services to enhance the mental health of our
employees.
Air China Conducted Psychological Training for Front-line Managers
2024 is the 12th year of Air China to provide the EAP services. This year,
we conducted EAP psychological training for front-line managers, which
significantly improved their awareness of mental health and teamwork ability
by popularizing mental health knowledge and teaching stress management and
communication skills. As of the end of the Reporting Period, the EAP smart
psychological platform has accumulated nearly 18,711 visits from active users.
As of the end of December 2024, a total of 444 sessions of group counseling on
mental health, special group counseling for new employees, special lectures on
mental health, and EAP promotion activities were held. One-on-one
psychological counseling cases were 2,139 pieces. Monthly on-site
consultations were held 72 times. We dealt with crisis cases for 29 hours. We
tracked and assisted employees at risk for 42 hours.
5.3.3 Health Promotion and Education
Based on the Employee Health Management Program, Air China regularly conducts
health promotion activities to address the health issues that employees are
concerned about. Its health promotion activities focus on chronic and
frequently-occurring diseases, as well as seasonal diseases. With these
efforts, we aim to further enhance employees' proactive health awareness.
Air China Organized Health Knowledge Promotion Activities
Taking into account the seasonal characteristics of the diseases, Air China
has proactively taken action and established deep cooperative relationships
with well-known grade A tertiary hospitals. We regularly organize professional
expert lectures, inviting authoritative healthcare experts to provide in-depth
and easy-to-understand explanations on diseases that are currently prevalent
in the season, covering topics such as disease prevention, early symptom
identification, and scientific treatment methods. Meanwhile, health
information is also timely released through internal platforms, including the
latest medical research achievements, practical suggestions for the prevention
of seasonal diseases, and health management tips, aiming to help employees
comprehensively improve their understanding of seasonal diseases.
5.4 Incentives and Care
Air China continuously implements employee incentive policies. We have
established a diverse and rich employee salary, performance, and welfare
system, and are committed to providing employees with comprehensive and
competitive salary and welfare systems. We care about the needs of our
employees and organize a variety of activities to create a positive atmosphere
and to fully mobilize their enthusiasm and creativity.
5.4.1 Salary and Performance
Following the concept of "paying for post value, personal ability, and
performance results", Air China has built a job system and salary system based
on the job value and the performance-based component of employees. In 2024,
Air China stepped up its efforts to improve its differentiated assessment and
distribution mechanism and continued to strengthen the assessment and
distribution orientation that salary is determined by performance and
contribution. It gives preference to front-line posts that are arduous, dirty,
risky, and strenuous, scientific and technological talents, and
high-performing key employees in the distribution of salaries, and links the
salary and performance of employees, enterprise and unit leaders with such
assessment indicators as energy conservation and environmental protection,
employees' satisfaction with welfare and security provisions, particularly
significant complaints and serious service incidents, and customer
satisfaction. We aim to motivate managers and employees to further deepen
their understanding of ESG management philosophy and improve their ESG
practice.
5.4.2 Employee Welfare and Care
Air China strictly follows the legal and regulatory requirements to fund the
"five social insurances and one housing fund" for all employees. On top of
that, we also provide employees with non-compensation benefits including
pension and retirement, supplementary commercial insurance, enterprise
annuities, etc. In 2024, the Company's social insurance coverage rate for
employees is 100%, and the enterprise annuity coverage rate is 100%. Our
employees are entitled to statutory paid annual leave, sick leave, marriage
leave, maternity leave, parental leave, family visit leave, etc. We are deeply
concerned about the voices and needs of employees in need, and actively carry
out various employee assistance activities, to bring warmth and a sense of
belonging to employees.
Ÿ In 2024, we provided a mutual aid fund of RMB 1.56 million to 78 employees
with major illnesses.
Ÿ We provided a mutual aid fund of RMB 1.04 million to 52 female employees
with major illnesses.
Ÿ A new round of mutual aid fund raising for major illnesses of female
employees was launched, with 22,141 female employees participating and a total
of RMB 2.215 million raised.
Sending New Year Greetings to Frontline Employees
During the Spring Festival in 2024, the Chairman Ma Chongxian, and the
President Wang Mingyuan with the delegation visited frontline employees of
different units, to express gratitude for their dedication to their work
during the holiday season, and sent holiday greetings and sincere wishes to
everyone.
Hot Summer Employee Care Activity
In 2024, Air China continued to carry out the heat-relieving care activity.
The Company's management personally visited the frontline workers to see into
their work needs and presented heatstroke prevention supplies such as fruits
and drinks, conveying greetings and care to the frontline workers who were
still at work in hot weather.
5.4.3 Employee Activities
Air China deeply cares about the needs of its employees. It actively carries
out diversified cultural and sports activities, as well as selection and
commendation activities for outstanding individuals or units, to enhance
employees' sense of belonging and honor.
Female Employee Activities
l We carried out the Law Publicity Month activity among female employees. We
also organized a special online lecture to study the keynote of the 13th
National Women's Congress, laying a solid theoretical foundation for further
carrying out the work related to female employees.
l We organized the employees to participate in the exchange activity to
promote the Civil Aviation Female Employee Innovation Studio. The Air China
Trade Union and Ameco Pingli Studio, as outstanding representatives, delivered
speeches, showcasing the innovation achievements of the Company's female
employees.
l The organization recommended Huang He from the Flight Crew Department to be
a member of the Eighth Female Employees' Committee of the All-China
Federation of Trade Unions to participate in relevant meetings, to promote
high-quality political participation of female employees.
l We organized the employees to participate in the "Home is a Safe Harbor"
essay contest for female employees launched by the Civil Aviation Trade Union,
deepening the construction of professional ethics, family virtues, and
personal morality, fostering family traditions, and boosting safety through
the promotion of harmony.
Employee Sports Games
In May 2024, we participated in the third Employee Sports Games themed
"Fight at the Sports Field and Build the First-class CNAHC" organized by
CNAHC. Athletes of Air China actively participated in the sports games in high
spirits, demonstrating the sense of collective honor, team cohesion, and
fighting spirit of Air China employees.
Civil Aviation Sports Games
In May 2024, Air China sent a representative team consisting of 97 athletes
and 14 national flag guards to participate in the Third National Civil
Aviation Employees Track and Field Games themed "I'll contribute to the
prosperity and rejuvenation of our nation" organized by the Civil Aviation
Trade Union. Air China achieved first place in the overall team performance.
This sports meeting has further consolidated the team cohesion, and enhanced
employees' sense of collective honor and belonging, injecting new vitality and
impetus to the high-quality development of the Company.
Staff Fitness Tour
In September 2024, CNAHC held its Seventh Staff Fitness Tour with the theme of
"Taking a Fitness Tour with CNAHC to Salute Our Motherland". More than 900
employees from Air China and other units participated in the fitness tour.
This activity not only created a fitness atmosphere but also stimulated the
patriotic enthusiasm and sense of collective honor of the employees. It fully
demonstrated the employees' spirit of being proactive and pursuing excellence.
Staff Reading Activity Organized by the Civil Aviation Trade Union
Air China actively participated in the staff reading activity organized by the
Civil Aviation Trade Union. The Xizi team reading club of the Zhejiang Branch
was rated as an excellent civil aviation staff reading organization. The staff
reading activity of the Shanghai Branch was rated as a demonstration activity
for civil aviation reading. This activity promoted the construction of the
Company's corporate culture and effectively promoted the establishment of a
new reading trend among all employees.
5.4.4 Commendation of Excellent Individuals and Units
Selecting model employees and teams In 2024, the Zhejiang Branch of Air China was awarded the National May 1 Labor
Award; He Haiying from the Ground Service Department was awarded the National
May 1 Labor Medal.
Wang Feng from the Southwest Branch of Air China, Liang Peng from the
Operation Control Center, Yuan Wensheng from the Ground Service Department,
Zhang Qunxi from the Cabin Service Department, Deng Yupeng from Ameco, Gaofei
from Shenzhen Airlines, and Wang Hongzhan from Shandong Airlines won the title
of Model Worker of Central Enterprises of China.
Gao Jianming from Ameco was awarded the Capital Labor Medal; the Qidian Team
of Flight Operations Training Center of Air China's Training & Development
Department was awarded the title of 2024 Beijing Worker Pioneer.
Selection and cultivation of Craftsmen Duan Huangke from the Operation Control Center of Air China has been selected
by the All-China Federation of Trade Unions as a 2024 National Craftsman
Cultivation Subject and participated in the National Craftsman Training.
Ni Zejun from Ameco was awarded the title of First Civil Aviation Craftsmen by
the Civil Aviation Administration of China.
The First Public Innovation Exchange Conference
On the eve of International Labor Day, CNAHC held the First Public Innovation
Exchange Conference and Commendation Conference and awarded plaques to the
innovation studios named after the sixth batch of National Civil Aviation
Model Workers and Craftsmen. Ten representatives of Air China and other units
from Model Workers and Craftsmen Innovation Studios, "Five Small" innovation
projects, and primary-level trade unions, gathered together to conduct
experience sharing around actively promoting mass participation in innovation.
5.4.5 Employee Service and Communication
Ÿ We have built an AI employee service Q&A knowledge base, with 142 sets
of question-and-answer pairs already incorporated into it.
Ÿ The "Online Ticket Transfer" applet has been operating within the entire
scope of Air China and has achieved hassle-free services for employees to
handle the procedures for onboarding, transfer, resignation, and retirement.
Ÿ We upgraded the WeChat official account of the Employee Service Center and
established an integrated platform for the Employee Service Center, including
the "regional management" of Beijing, Chengdu, Wuhan, Shanghai, and Hohhot.
This platform covers 61 sub-processes in three modules, namely "Online
Employee Service" administrative services, life services, and employee
culture, providing employees with diversified services that are more targeted,
efficient, and comprehensive.
In 2024, employee service satisfaction was 98.09 points, representing a
year-on-year increase of 2.31 points.
6 Social Contribution
SDG 1: NO POVERTY
SDG 3: GOOD HEALTH ANG WELL-BEING
SDG 11: SUSTAINABLE CITIES AND COMMUNITIES
Air China always takes it as its inescapable duty to fulfill corporate social
responsibility and empower the development of community public welfare
undertakings. We also actively respond to the state's call for rural
revitalization, assist in the economic development of underdeveloped areas,
and convey the warmth of Air China to society.
6.1 Rural Revitalization
In 2024, Air China, guided by Xi Jinping's Thought on Socialism with Chinese
Characteristics for a New Era, has deeply implemented the spirit of the 20th
National Congress of the Communist Party of China, and the second and third
plenary sessions of the 20th Central Committee of the Communist Party of
China, and taken effective measures to fulfill the political responsibility of
paired-up assistance. The Company has given full play to the advantages of the
"aviation +" assistance model and has taken solid steps to consolidate and
expand the achievements in poverty alleviation in Zhaoping County, Guangxi
Zhuang Autonomous Region, and Sonid Right Banner, Inner Mongolia Autonomous
Region, helping these areas reach new heights in this regard and achieving
tangible results in the comprehensive rural revitalization.
Ø During the year, Air China invested a total of RMB 44.02 million;
Ø The number of invested assistance projects was 25;
Ø A total of over RMB 54 million was spent on the purchase of products from
the paired-up assistance areas;
Ø Helping the paired-up assistance areas sell agricultural products, totaling
RMB 42.82 million;
Ø A total of 20 young employees from Air China, Shenzhen Airlines, and
Shandong Airlines were selected for long-term or short-term volunteer teaching
in the paired-up assistance areas;
Ø Completing 2,847 class hours of volunteer teaching throughout the year;
Ø Trained community-level cadres, rural revitalization leaders, and
technicians for 10,070 person-times.
Air China gradually established an "Aviation+" assistance model that meets the
requirements of the central government and local needs and also gives full
play to the state-owned civil aviation enterprise. Following the victory in
poverty alleviation, Air China has continued to focus on the revitalization of
"industry, talent, ecology, culture, and organization" by formulating a "5+N"
key project plan for rural revitalization. The assistance work was integrated
throughout the industry chain by further expanding in-flight meal procurement
and research, promoting mileage points exchanged for paired-up assistance
products, and increasing publicity and promotion through aviation media and
various expos.
6.1.1 Consolidating the Achievements of Poverty Alleviation
Ÿ We have invested assistance funds in rural basic education for about 7.15
million. We constructed laboratories in line with the standards of the new
college entrance examination in Zhaoping, conducted teacher training, and
launched the CNAHC "New Great Wall High School Self-empowerment Class"
project. We also established the Air China Blue Sky Education Development Fund
in the Sonid Right Banner and distributed "Love Schoolbags for Primary School
Students" and "Science and Technology Innovation Packages" to all junior
primary school students in the banner.
Ÿ We invested in terms of medical security for about 1.32 million. We
provided healthcare packages for herdsmen and carried out the Air China Blue
Sky Aid project to assist families in need. We also donated epidemic
prevention supplies for about 1.86 million to the paired-up assistance areas.
Ÿ To effectively address the practical problems related to the low level of
elderly-oriented services in the paired-up assistance areas, Air China
implemented the "Meal Assistance" service project in Sonid Right Banner this
year. We have invested RMB 270,000 in the project to improve the catering
conditions of left-behind elderly people in the local areas through the
renovation of catering facilities, nutritional meal matching, and delivery
services.
Ÿ Support funds for rural basic education RMB 7.15 million, Support funds for
medical protection RMB 1.33 million, Anti-epidemic supplies donated to
supported regions RMB 1.86 million.
6.1.2 Comprehensively Promoting Rural Revitalization
6.1.2.1 Industrial Revitalization
Industrial revitalization is the internal driving force for the sustainable
development of agriculture and rural areas, as well as the fundamental and
core element for achieving comprehensive rural revitalization. Air China
contributes to rural industrial revitalization by investing assistance funds,
implementing industrial projects, and providing technical support. In 2024,
Air China invested RMB 24.20 million in industrial assistance funds.
In 2024, Air China has implemented multiple key industrial support projects in
Zhaoping County, including the upgrading of the Tea Technology Backyard,
planning of characteristic industries, construction of JDL Cloud warehouses
and supply and marketing systems, as well as promoting characteristic
industries through live streaming e-commerce. We aim to address the bottleneck
problems faced by the local characteristic tea industry, such as the shortage
of deep processing chains, limited potential for resource appreciation, and
insufficient brand awareness, and promote sustained production increase and
income increase of tea farmers and enterprises in poverty-alleviated areas.
In Sonid Right Banner, Air China has assisted in building a smart animal
husbandry platform, expediting the digitalization and informatization of
pastoral areas, and providing strong support for the modernization
transformation of local traditional animal husbandry.
Air China organizes, guides, and mobilizes employees and Phoenix Miles members
to actively participate in the consumption-driven assistance, and help them
sell products. In recent years, the Company has purchased agricultural
products totaling RMB 370 million from the paired-up assistance areas. In
2024, the consumption-driven assistance reached over RMB 54 million. Among it,
during the "Consumption-driven Assistance of Central SOEs for the Spring
Festival" organized by the State-owned Assets Supervision and Administration
Commission of the State Council, the employees of Air China purchased
agricultural products totaling RMB 22.49 million.
6.1.2.2 Talent Revitalization
Air China adheres to the philosophy of "Support of Ambition and Intelligence"
and has been dedicated to the "CNAHC Blue Sky Classroom" volunteer assistance
project for seven consecutive years. We have established the selection and
training mechanism for teaching volunteers and perfected the systematic
construction of volunteer teaching in terms of both theory and practice. In
2024, a total of 20 teaching volunteers from Air China, Shenzhen Airlines, and
Shandong Airlines taught a total of 2,847 class hours in paired-up assistance
areas.
"CNAHC Blue Sky Classroom" volunteer assistance project on the grassland
The "CNAHC Blue Sky Classroom" volunteer assistance project on the grassland
launched by Inner Mongolia Airlines won the gold medal in the seventh China
Youth Volunteer Service Project Competition. The project was first launched in
2017 when Inner Mongolia Airlines utilized its resource advantages to tailor
diversified practical content for local youth. It held summer camp activities,
including aviation science education, going on visiting tours, and on-site
"immersive" experiences. The children are led to visit many places, from the
ground to the air, around the aircraft, and in the cabin, from the apron to
the hangar, during which they can have "zero-distance" contact with domestic
civil aircraft, painted planes, and special vehicles. We aim to
comprehensively enhance young people's understanding of the aviation industry
and aviation services, and help young people in the paired-up assistance areas
broaden their horizons and expand their knowledge. As of 2024, the summer camp
activities have been conducted for five sessions, covering 144 local students.
Air China Carries out Comprehensive Training Programs
Air China, in collaboration with the Ministry of Education of the People's
Republic of China, China Foundation for Rural Development, and Beijing Normal
University, has invested RMB 1.8 million throughout the year to launch a
teacher training program in Zhaoping County, aiming to improve the basic
education there. An investment of RMB 3.2 million was made to carry out a
comprehensive training project that covers community-level management
personnel, leaders in rural revitalization, and technical personnel,
cultivating a talent team that can be retained in the paired-up assistance
areas and stimulating the inner development motivation of poverty-alleviated
people.
6.1.2.3 Cultural Revitalization
In 2024, Air China invested an assistance fund of RMB 3.17 million to carry
out the culture co-construction project with Ulanmuchi of Sonid Right Banner,
to support Ulanmuchi's literary and artistic creations that are
people-centered and focused on building a strong sense of the Chinese nation's
unity, and keeping in mind General Secretary Xi Jinping's reply that "Always
be a 'red literary light cavalry' on the grassland".
Air China carries out the activity themed "Carry Forward the Valuable Treasure
of Intangible Cultural Heritage and Jointly Boost Cultural Revitalization"
Air China carried out the activity themed "Carry Forward the Valuable Treasure
of Intangible Cultural Heritage and Jointly Boost Cultural Revitalization". We
invited Ulanmuchi of Sonid Right Banner and some intangible cultural heritage
inheritors to take the CA1940 flight themed "Phoenix Dancing in the Blue Sky
Promotes Rural Revitalization" and visit the ecological tea garden in Zhaoping
County to showcase traditional intangible cultural heritage skills such as
playing the horsehead fiddle, Urtiin duu, and Khoomei. Meanwhile, the
performance told the story of Air China and the people of the two places who
completed the poverty alleviation campaigns and continued to strive for rural
revitalization, strengthening the communication and integration between the
Sonid Right Banner and Zhaoping County, the two ethnic minority areas.
6.1.2.4 Ecological Revitalization
Ecological revitalization is an essential part of the five major
revitalizations in rural areas and is an important component of implementing
the five-sphere integrated plan in rural areas and advancing the construction
of ecological civilization. In 2024, Air China invested more than RMB 3
million to implement the Sonid Right Banner pastoral area wind-solar
complementary upgrading and transformation project, and strengthen the
management and maintenance of infrastructure construction project in Jiangkou
Village, Zhaoping County, to assist the paired-up assistance areas in building
an ecologically habitable home.
6.1.2.5 Organization Revitalization
Organization revitalization, as one of the goals that rural revitalization
aims to achieve, is essential to rural revitalization as a whole. Air China
has further strengthened the Party's leadership in rural revitalization work.
In 2024, Air China continued to select and assign three outstanding cadres to
the paired-up assistance areas, serving as the Deputy Banner Head of Sonid
Right Banner, the Deputy County Mayor of Zhaoping County, and the First
Secretary of Jiangkou Village in Zhaoping County, respectively. Additionally,
nine outstanding league members had been dispatched to participate in the
rural revitalization work of the paired-up assistance areas. With these
efforts, we aim to assist in the construction of primary-level Party
organizations in the paired-up assistance areas and fulfill our political
responsibility of providing targeted assistance to those areas.
Holding Symposia for Party Building Exchanges
The Party Branch of Air China's Golden Phoenix Group, which has been granted
the title "Role Model of the Times", together with the Party Branch of
Ulanmuchi in Sonid Right Banner, Inner Mongolia, and the Party Branch of
Jiangkou Village in Zhaoping County, Guangxi, carried out in-depth
organization co-construction and Party building exchange activity around the
theme of "Leading Rural Revitalization with Organization Revitalization". We
further deepened the "Seven Grasps" project for the quality and efficiency
improvement of primary-level Party building, and enhanced the exemplary and
leading role of the demonstration Party branches with strong political
functions, teams, members, and roles, laying a more solid foundation for
steadfastly advancing all aspects of the rural revitalization strategy.
6.1.3 Neighbourhood Assistance
The branches of Air China carried out neighborhood assistance work in line
with local conditions.
Ÿ In October 2024, Dai Yan, the First Secretary of the rural revitalization
work team dispatched by Air China Chongqing Branch, visited the
poverty-alleviated residents in Xianyun Village, Ganning Town, Wanzhou
District, Chongqing.
Ÿ In August 2024, Ren Quanle, a cadre for rural revitalization dispatched by
Inner Mongolia Airlines, improved the village's road facilities in Ergenhe
Village, Oroqen Autonomous Banner, Inner Mongolia Autonomous Region.
6.2 The Belt and Road Initiative and Industry-wide Co-building
Closely following the steps of China's "Belt and Road Initiative", Air China
accelerates the building of air bridges for the countries along the routes of
the "Belt and Road Initiative", and boosts connectivity and economic and trade
cooperation between them, contributing to the goal of improving
people-to-people connectivity and fully demonstrating Air China's sense of
responsibility as a state-owned enterprise in promoting development via
cooperation and assistance.
Route Network Layout 11 (#_ftn11)
Air China steadily promotes the opening and resumption of international
flights. Seven new international routes were opened and seven routes were
resumed throughout the year. The international ASK investment increased by
93.6% year-on-year, returning to 87.3% in 2019. The route network layout in
line with the "Belt and Road Initiative" has been constantly improved,
reaching 29 countries and implementing 65 routes. The number of flights has
exceeded that of 2019 and is higher than the overall international recovery
level.
6.2.1 Jointly Promoting Industry Development
Air China actively participates in industry co-construction and promotes the
coordinated development of the aviation industry through resource sharing and
technology exchange. It is committed to building an industry ecosystem
featuring cooperation and mutual benefits.
l To implement a modern comprehensive transportation system and civil aviation
development plan, Air China has further strengthened in-depth cooperation with
China Railway and promoted the special pilot work of "one ticket system" for
intermodal passenger transport to meet people's desire for better
transportation. As of 2024, the air-rail intermodal transportation product
system of Air China has covered 73 domestic transfer cities, 120 transfer
railway stations, and 525 accessible railway stations, effectively connecting
1,024 railway lines.
l Efficiently promote the implementation of various tasks related to
electronic itineraries. In May 2024, we achieved the function of issuing
electronic itineraries through all channels, leading the industry in annual
issuance volume. The electronic itinerary is sent in electronic format to a
designated email address for download at any time, effectively avoiding the
loss of the itinerary and promoting low-carbon and green travel.
6.2.2 Participating in national or industry key programs
l Tap the potential for friendly cooperation among peers and innovate the
forms of cooperation.
Ø Realize the mutual sale of flight tickets between Shenzhen Airlines and
Shandong Airlines, and support one-stop processing of rescheduling, ticket
refund, seat selection, check-in, and other services, further deepening
collaborative efficiency.
Ø Realize the use of Air China tickets and certificates to sell flight
tickets for China Eastern Airlines and China Southern Airlines, enhancing the
ticket purchasing experience for passengers. As of the end of 2024, a total of
172,000 tickets were sold for Shenzhen Airlines, Shandong Airlines, China
Eastern Airlines, and China Southern Airlines.
l Improve the service quality throughout the entire baggage handling process.
Ø Establish an on-site payment model for excess baggage, and activate the
function of handling domestic excess baggage on-site at Chengdu Tianfu
International Airport, Shanghai Hongqiao International Airport, and Shanghai
Pudong International Airport. Passengers can scan the QR code to open the
service processing page to complete payment, ticketing, and order inquiries.
Ø Activate the function of declaring missing baggage online and simplify
passenger information entry, to improve the efficiency of ground service.
6.2.3 External Exchange and Cooperation
l We strive to expand our presence in key areas of the Star Alliance, actively
participate in the formulation of the Star Alliance's core value standards,
and strengthen our voice in the alliance. We have obtained a seat in the
Alliance Management Committee of Star Alliance Management, as well as seats in
the strategic groups of standing committees in four key business areas,
including the Customer Experience Standing Committee, Frequent Traveler
Standing Committee, Information Technology Standing Committee, and Membership
Relationship Management Standing Committee.
l We have expanded bilateral cooperation with Turkish Airlines and Egypt
Airlines, and established new bilateral partnership cooperation with Mongolia
Airlines and Riyadh Air of Saudi Arabia, actively serving the national
strategy and high-level opening up. We have established interline cooperation
relationships with multiple airlines under Lufthansa. We have opened an
interline check-in service with Emirates and are collaborating to optimize the
quality of interline services. The number of interline cooperation partners of
Air China has reached 145.
l We are deeply involved in key projects of Star Alliance such as interline
payment and seat selection, and promote digitalization to improve passenger
experience.
l On April 20, 2024, we officially launched the live-streaming sales on
Douyin. Users can follow us through the "Air China Flagship Store" account on
Douyin. As of the end of 2024, a total of 95 hours of live streaming have
attracted 3.41 million viewers, and the transaction amount totaled RMB 137
million.
l We continued to expand our cooperation with Huawei on the HarmonyOS
ecosystem. The cooperation between Air China and Huawei in the field of mobile
application construction started in 2016. Currently, the two sides have
achieved digital technology cooperation in multiple aviation travel scenarios,
including application stores, electronic boarding passes, eID authentication,
HarmonyOS meta-services, and live windows. Meanwhile, as one of the first
partners to adapt to the HarmonyOS ecosystem and Vice Chairman of the Traffic
Special Committee of the Open Harmony Ecology Committee, Air China has further
integrated aviation travel scenarios with Huawei's HarmonyOS system produced
in China.
l Elected as the Chairman of the IATA China Airline Committee (CAC);
Successfully ran to become a member of the IATA Industry Financial Advisory
Council, and submitted a proposal to add RMB as the clearing currency in the
IATA Clearing House.
l Giving full play to the leading role of the APJC (Agency Programme Joint
Council) for China BSP in the industry, Air China, together with China Eastern
Airlines and China Southern Airlines, jointly proposed the proposal of
Comprehensively Strengthen the RHC Monitoring System to the IATA. As a member
of the IATA China Airline Committee (CAC), we have put forward multiple
industry risk prevention and control proposals to ensure the financial
security of aviation companies and set a benchmark for risk control in the
industry.
6.2.4 Participation in Major Industry Events
l Air China Attends the Special Exhibition Commemorating the 75th Anniversary
of the "Uprising of the Two Airlines"
On November 6, 2024, "A Significant Patriotic Action - Special Exhibition
Commemorating the 75th Anniversary of the 'Uprising of the Two Airlines'" (the
Uprising) kicked off at the Civil Aviation Museum, revisiting the glorious
history of the Uprising, paying deep tribute to the significant contributions
made by the uprising personnel to the development of civil aviation, and
facilitating the promotion and inheritance of the spirit of the Uprising. Ma
Chongxian, the Chairman and Secretary of the Party Committee of Air China,
attended the event. Representatives of model workers from Air China shared
their experiences in inheriting the spirit of the Uprising. After the event,
representatives from Air China participated in a seminar commemorating the
75th anniversary, jointly exploring the rich connotations of the spirit of the
Uprising, its values to the contemporary world, and the paths to promote and
inherit the spirit.
l Air China Participates in the 15th China International Aviation and
Aerospace Exhibition.
From November 12 to 17, 2024, Air China attended the 15th China International
Aviation and Aerospace Exhibition. Air China's exhibition booth, themed "New
Journey, New Expectations - Catching a Glimpse of a More Beautiful China ·
Zhuhai", focused on safety development, route operation, fleet construction,
product services, and other aspects. Air China specially set up an Air China
C919 exhibition area and an area for scientific and technological innovation
achievements. It also brought the series of products to celebrate the 30th
anniversary of the "Phoenix Miles" Frequent Flyer Program, comprehensively
showcasing Air China's brand image and comprehensive strength in accelerating
the process of building a world-class enterprise.
l Air China Participates in the 13th Macau Business Aviation Exhibition
On November 7, 2024, an Air China C919 aircraft carrying the national flag of
China arrived in Macau to be invited to participate in the 13th Macau Business
Aviation Exhibition. This is the first visit of the domestically produced C919
large aircraft to Macau, which presented a chance for the people of Macau to
experience the charm of domestically produced large aircraft up close. It is
also a special gift presented by Air China to Macau on the 25th anniversary of
its return to the motherland.
Air China Signed a First User Framework Agreement with COMAC for C929
Passenger Aircraft
On November 12, 2024, a user framework agreement for the wide-body C929
passenger aircraft was signed between COMAC and Air China, at the 15th China
International Aviation and Aerospace Exhibition, which made Air China the
first intended user of this aircraft type. The introduction and operation of
domestically produced large aircraft by Air China is a vivid practice for Air
China to continue fulfilling its mission as the flag carrier and demonstrate
its commitment to shouldering the responsibility in the new era. It is also an
important part of Air China's efforts to build a world-class enterprise and
promote high-quality development.
6.3 Supporting the Community
6.3.1 Major Transport Tasks
With our rich experience in providing air transport service, Air China has
demonstrated its commitment to shouldering responsibilities by undertaking
major air transport missions.
Providing air transportation support for the Paris Olympic and Paralympic
Games
From June to September 2024, Air China successfully provided air
transportation support for the Chinese delegations at the Paris Olympic and
Paralympic Games. During this period, all departments of Air China worked
closely together to deliver high-quality services and professional support to
ensure a smooth journey for the Chinese athletes.
Organizing a charter flight for mainland Olympic athletes visiting Hong Kong
and Macao
In August 2024, a delegation of 75 mainland Chinese athletes participating in
the Paris Olympic Games traveled to Hong Kong and Macao on Air China charter
flight CA561. To express congratulations and respect to the Olympic athletes,
Air China meticulously decorated the aircraft cabin and the captain extended a
warm welcome and heartfelt congratulations to the athletes via in-flight
announcements. Through careful organization, efficient coordination, and
seamless integration of ground and air operations, Air China delivered
high-quality transportation services via charter flight CA561.
Conducting the evacuation mission from Lebanon
On October 1, 2024, Air China arranged for an Airbus A330-200 passenger
aircraft to fly to Beirut Air Base in Lebanon for an evacuation mission. At
around 5:00 AM Beijing time on October 2, charter flight CA061 safely arrived
at Beijing Capital International Airport, bringing back 146 Chinese citizens
and five foreign family members.
Providing support for the Summit of the Forum on China-Africa Cooperation
The 2024 Summit of the Forum on China-Africa Cooperation was held in Beijing
from September 4 to 6. Air China made meticulous arrangements and coordinated
efficiently to provide high-quality transportation services for the Beijing
Summit of the Forum on China-Africa Cooperation with 44 flights, 725 passenger
trips, and 939 pieces of luggage.
Transporting earthquake relief supplies to Shigatse
On January 7, 2025, a 6.8-magnitude earthquake struck Dingri County in
Shigatse, Tibet. Immediately after the disaster, Air China activated its
emergency response mechanism, rapidly adjusted flight schedules, and made
every effort to support earthquake relief transportation. On the same day, Air
China was the first airline to dispatch a specialized relief flight to the
affected area and transported 58 government officials from the Tibet
Autonomous Region to conduct relief work. From January 7 to 12, Air China
operated a total of six special relief flights and transported 158 personnel
and 342 pieces of relief supplies weighing 3,834 kilograms.
Organizing a flight event themed "Cheering for China at High Altitude"
In July 2024, Air China organized a special flight event themed "Cheering for
China at High Altitude" on flight CA1815 from Beijing to Xiamen. The event
provided passengers with a unique live broadcast experience of the Olympic
Games. At an altitude of over ten thousand meters, Air China supported the
Chinese Olympic athletes in a distinctive and meaningful way and expressed its
love for the nation.
Providing flight service support for the China International Import Expo
In November 2024, Air China successfully completed the flight support tasks
for the 7th China International Import Expo. The Shanghai Branch of Air China
meticulously developed a total of 27 support measures focused on safety and
operational work, while also strengthening regional coordination and
cooperation to provide effective aviation support for the event.
Providing support for the World Internet Conference
In November 2024, Air China successfully provided transportation support for
the 2024 World Internet Conference. Upholding the principle of "unified
leadership, respective responsibilities, and prioritized safety", the Zhejiang
Branch of Air China meticulously organized and arranged operations to deliver
safe, high-quality, and efficient flight services.
6.3.2 Bringing Warmth to Communities
By engaging in various activities such as community enhancement, supporting
charitable causes, and offering volunteer services, Air China brings warmth to
more people and contributes to building harmonious, caring communities.
Ensuring the safe arrival of a critically ill passenger
In August 2024, a passenger with a severe pelvic fracture urgently needed to
travel from Sanya to Ji'nan for medical treatment on Shandong Airlines flight
SC8858. Shandong Airlines responded promptly to the emergency. The Customer
Service Center of the Commercial Committee, together with the Operations Risk
Control Center, the Ground Services Department, the Sanya Terminal of the
Commercial Committee, and the airports at both locations, coordinated
efficiently to devise a comprehensive stretcher support plan. These efforts
finally ensured the passenger's safe and smooth arrival in Ji'nan.
Ensuring smooth boarding for disabled athletes
In March 2024, a group of 28 national disabled athletes boarded a flight to
Guangzhou. Despite multiple challenges such as tight boarding schedules, the
aircraft parked at a remote stand, and all passengers requiring special
assistance, the ground service staff of Air China responded swiftly to their
needs, efficiently organized arrangements, and provided attentive services to
ensure the smooth boarding of all athletes.
Setting up a children's self-service check-in zone during the summer travel
peak
In August 2024, the Passenger Service Center of Air China's Ground Services
Department innovatively set up a dedicated "Air China Children's Self-Service
Check-in Zone" at Terminal 3 of Beijing Capital International Airport.
Dedicated staff was assigned to assist young travelers with the self-service
check-in process, thus effectively reducing the waiting time for families
traveling with children and enhancing customer satisfaction.
Media open day of the Golden Phoenix Group awarded "Role Model of the Times"
In 2024, the Golden Phoenix Group celebrated the 10th anniversary of being
awarded the "Role Model of the Times" and their 30th anniversary of
establishment. Air China held a media open day event in Beijing to honor the
Golden Phoenix Group. The event invited 20 media representatives from various
sectors to visit Air China, where they observed a simulated pre-flight
meeting, toured the cabin crew training center to watch training courses, and
experienced emergency procedures such as simulated turbulence and evacuation
drills in a full-motion simulator. The aim of the activities is to vividly
showcase the spiritual legacy and brand image of the Golden Phoenix Group and
Air China cabin crew's core values of safety first, passenger foremost, and
professional dedication.
6.3.3 Volunteer Activities
Adhering to the volunteer spirit of "dedication, friendship, mutual
assistance, and progress", Air China encourages all employees to actively
engage in volunteer services and public welfare activities, in a bid to give
back to society with great love and warmth.
"Youth in Full Bloom" volunteer service activity
Air China continues to advance its "Youth in Full Bloom" volunteer service
initiative featuring the vibrant strength of its young volunteers. Their great
passion and selfless dedication have not only earned high recognition and
praise from countless passengers but also fully demonstrated the positive
image of Air China's volunteer team.
Ÿ During the Spring Festival travel rush, a total of 131 volunteer service
activities were organized.
Ÿ During the summer travel season, 4,353 young volunteers contributed a total
of 15,194 hours of service in the terminal, benefiting 1.45 million
passengers.
World Cultural Heritage enters Air China's Chongqing Lounge
On the 25th anniversary of the Dazu Rock Carvings' nomination as a UNESCO
World Cultural Heritage Site, the Chongqing Branch of Air China cooperated
with the Chongqing Municipal Commission of Culture and Tourism Development to
launch the first phase of the historical and cultural heritage exhibition with
the theme of "Yuyuehui - Join Hands with Air China to Spread the Beauty of
Rock Carvings" in the first and business class lounges at the Chongqing
Branch. This event enhanced the quality of lounge services, showcased the
unique charm of traditional Chinese culture to passengers, and also
contributed to the promotion and preservation of China's outstanding cultural
heritage.
"Yuemiao" volunteer service project for children with disabilities
The "Weiguang" volunteer team from the Shanghai Branch of Air China has been
continuously carrying out a series of volunteer activities at the Shanghai
Yuemiao Foster Home to bring warmth and care to the children there. It has
been nine years since the project was launched in 2015, and the team has
devoted a total of over 1,000 hours of volunteer service. In 2024, the team
carried out eight volunteer activities. Their outstanding contributions have
been highly recognized by the Shanghai Disabled Persons' Federation and earned
them multiple honors as an "Outstanding Group for Providing Assistance for
People with Intellectual Disability".
"Continuing Love" care event for children
In June 2024, members of the Hongyan Group of the Chongqing Branch conducted
the "Continuing Love" care event. Together with staff from the Chongqing
Passenger Section of China Railway Chengdu Group, the team brought warm
holiday blessings to the children at Chongqing Love Manor. In addition to
vividly explaining knowledge about aviation and high-speed rail to the
children, the team also prepared delicious in-flight meals and beverages. This
activity enabled the children to experience in-cabin catering service and
enjoy the joy of flying.
Organizing volunteering Teaching Activities in Batang
The Southwest Branch of Air China organized short-term volunteer teaching
activities in the form of neighborhood assistance. In May and October 2024, a
total of eight volunteer teachers were dispatched in two groups to Batang
Middle School and Songduo Township Central Primary School in Batang County.
Through courses such as aviation knowledge, fun English, arts and crafts,
science, and sports, they helped plant the seeds of love and hope in the
hearts of the children.
Outlook for 2025
Looking ahead to 2025, Air China will continuously implement the guiding
principles of the 20th National Congress of the Communist Party of China,
uphold the overarching principle of pursuing progress while ensuring
stability, and fully, accurately, and comprehensively apply the new
development philosophy. We will support the acceleration of a new development
framework, advance sustainable development, and drive high-quality corporate
growth.
In safety management, we will remain steadfast in prioritizing safety above
all else, resolutely implementing a holistic approach to national security and
reinforcing a safety-first mindset. We will continuously enhance safety
management standards, strengthen our management systems, and maintain strict
control over key safety processes. By fostering a long-term safety culture and
upholding the highest safety standards, we will ensure the safety of every
passenger.
In service excellence, we will further elevate service standards and quality,
striving to build a distinguished service brand. Through enhanced quality
control and strengthened digital capabilities, we will continue to refine hub
operations and drive high-quality service development. By innovating service
models and improving the travel experience, we aim to provide passengers with
more comfortable and seamless journeys.
In green and low-carbon development, we will implement initiatives in
accordance with the Action Plan for Carbon Peaking, promote the regular
adoption of sustainable aviation fuel, and advance the Net-Zero Flight
program, making solid strides toward green, circular, and low-carbon
development. We will actively explore new energy aircraft and green airport
construction, minimizing aviation's environmental impact and fostering
industry-wide sustainability.
In efficiency and quality improvement, we will adopt a multi-pronged approach
to optimize operational efficiency and revenue performance. By improving
aircraft utilization, increasing revenue generation, and establishing a lean
cost management system, we will exercise strict cost control and mitigate
potential risks. Through refined management, we aim to achieve a balance
between economic and social benefits.
In reform and innovation, we will accelerate the implementation of reform
initiatives, advance key strategic tasks, and ensure the effective execution
of Air China's strategic plans and reform measures. By deepening reforms,
innovating management models, and enhancing core competitiveness, we will
expedite our transformation into a world-class airline.
Table of Major Indicators 12 (#_ftn12)
Indicators 2022 2023 2024
Total assets (RMB million) 295,011 335,303 345,769
Total actual tax paid during this year (RMB million) 3,223 5,784 6,631
Number of registered aircraft (unit) 762 905 930
Average aircraft age (years) 8.59 9.36 9.90
Safe flight hours (1,000 hours) 1,166.9 2,529.5 2,950.9
RTK (million tonnes kilometres) 9,688 21,887 29,743
Passenger carried (million passengers) 45 125 155
Cargo and mail carried (1,000 tonnes) 902.8 1,070.4 1,480.1
Purchase from the five largest suppliers (RMB million) 24,598 42,684 48,780
Passengers' overall satisfaction (points) 87.5 88.4 87.9
Premium passengers' overall satisfaction (points) 87.6 89.4 88.3
Ground service satisfaction (points) 84.9 87 86.9
Ticket service satisfaction (points) 89.8 90.6 89.3
Cabin service satisfaction (points) 85.7 88.1 88.2
International baggage error rate (pieces/1,000 person-times) 1.56 1.78 1.38
Domestic baggage error rate 0.2 0.12 0.09
(pieces/1,000 person-times)
Total number of passenger complaint cases from all channels (cases) 14,787 27,000 55,242
Passenger complaint handling rate (%) 100 100 100
Flight on-time performance (%) 95.45 87.94 88.07
Flight execution rate (%) 99.2 99.2 99.0
Total energy consumption (10,000 tonnes standard coal) 463.10 1,060.8 1,298.11
Aviation fuel consumption (1,000 tonnes) 3,102 7,157 8,766.1
Power consumption (MWh) 227,952.30 274,869.50 308,279.21
Gasoline consumption (tonnes) 1,708.80 2,276.80 2,354.78
Diesel consumption (tonnes) 3,945.50 5,830.70 5,966.68
Natural gas consumption (1,000 m³) 16,105 17,837 17,870.6
Thermal power (MKJ) 251,909.30 239,902.00 258,989.07
Other energy consumption (tonnes of standard coal) 6.4 36.7 45.52
Fuel consumption intensity (kg/tonne-km) 0.358 0.336 0.301
CO(2) emission intensity (g/tonne-km) 1,126.50 1,058.70 946.8
CO(2) emissions (1,000 tonnes) 10,053 22,791 27,882.0
Water consumption in the offices 4,531.0 5,268.0 5,424.0
(1,000 tonnes)
Water consumption intensity in the 52 51.2 51.7
offices (tonnes/person)
Environmental protection investment (RMB1,000) 244,159 385,010 541,997
Number of employees on the post (persons) 87,190 102,874 104,909
Labor contract signing rate (%) 100 100 100.00
Proportion of employees guaranteed by collective bargaining agreements (%) 100 100 100.00
Social insurance coverage (%) 100 100 100.00
Work-related deaths (persons) 1 0 2
Proportion of employees who died due to work (%) 0.001 0 0.002
* HKEX ESG Indicator Index
Indicator Details Sections
Mandatory disclosure indicators
Governance Structure
A disclosure of the board's oversight of ESG issues; 1.1ESG Governance System
The board's ESG management approach and strategy, including the process used 1.1ESG Governance System
to evaluate, prioritise and manage material ESG-related issues (including
risks to the issuer's businesses); and
How the board reviews progress made against ESG-related goals and targets with 1.1ESG Governance System
an explanation of how they relate to the issuer's businesses.
Reporting Boundary
A narrative explaining the reporting boundaries of the ESG report and 1.1ESG Governance System
describing the process used to identify which entities or operations are
included in the ESG report. If there is a change in the scope, the issuer
should explain the difference and reason for the change.
"Comply or explain" provisions
A.Environmental
Aspect A1: Emissions
General Disclosure
A1.1 The types of emissions and respective emissions data. 3.4 Pollution Prevention
A1.2 Direct (Scope 1) and energy indirect (Scope 2) greenhouse gas emissions (in 3.2 Addressing Climate Change
tonnes) and, where appropriate, intensity (e.g. per unit of production volume,
per facility).
A1.3 Total hazardous waste produced (in tonnes) and, where appropriate, intensity 3.4 Pollution Prevention
(e.g. per unit of production volume, per facility).
A1.4 Total non-hazardous waste produced (in tonnes) and, where appropriate, 3.4 Pollution Prevention
intensity (e.g. per unit of production volume, per facility).
A1.5 Description of emissions target(s) set and steps taken to achieve them. 3.4 Pollution Prevention
A1.6 Description of how hazardous and non-hazardous wastes are handled, and a 3.4 Pollution Prevention
description of reduction target(s) set and steps taken to achieve them.
Aspect A2: Use of Resources
General Disclosure
A2.1 Direct and/or indirect energy consumption by type (e.g. electricity, gas or 3.3 Resource Utilization
oil) in total (kWh in '000s) and intensity (e.g. per unit of production
volume, per facility).
A2.2 Water consumption in total and intensity (e.g. per unit of production volume, 3.3 Resource Utilization
per facility).
A2.3 Description of energy use efficiency target(s) set and steps taken to achieve 3.3 Resource Utilization
them.
A2.4 Description of whether there is any issue in sourcing water that is fit for 3.3 Resource Utilization
purpose, water efficiency target(s) set and steps taken to achieve them.
A2.5 Total packaging material used for finished products (in tonnes) and, if Not applicable. Air China's business does not involve product manufacturing;
applicable, with reference to per unit produced. therefore, no packaging materials are generated.
Aspect A3: The Environment and Natural Resources
General Disclosure
A3.1 Description of the significant impacts of activities on the environment and 3.3 Resource Utilization
natural resources and the actions taken to manage them.
B.Social
Aspect B1: Employment
General Disclosure
B1.1 Total workforce by gender, employment type (for example, full- or part-time), 5.1 Employment and Employees' Rights and Interests
age group and geographical region.
B1.2 Employee turnover rate by gender, age group and geographical region. 5.1 Employment and Employees' Rights and Interests
Aspect B2: Health and Safety
General Disclosure
B2.1 Number and rate of work-related fatalities occurred in each of the past three Table of Major Indicators
years including the reporting year.
B2.2 Lost days due to work injury. 5.3 Occupational Health and Safety
B2.3 Description of occupational health and safety measures adopted, and how they 5.3 Occupational Health and Safety
are implemented and monitored.
Aspect B3: Development and Training
General Disclosure
B3.1 The percentage of employees trained by gender and employee category (e.g. 5.2 Employee Training and Development
senior management, middle management).
B3.2 The average training hours completed per employee by gender and employee 5.2 Employee Training and Development
category.
Aspect B4: Labor Standards
General Disclosure
B4.1 Description of measures to review employment practices to avoid child and 5.1 Employment and Employees' Rights and Interests
forced labor.
B4.2 Description of steps taken to eliminate such practices when discovered. 5.1 Employment and Employees' Rights and Interests
Aspect B5: Supply Chain Management
General Disclosure
B5.1 Number of suppliers by geographical region. 1.7Responsible Supply Chain
B5.2 Description of practices relating to engaging suppliers, number of suppliers 1.7Responsible Supply Chain
where the practices are being implemented, and how they are implemented and
monitored.
B5.3 Description of practices used to identify environmental and social risks along 1.7Responsible Supply Chain
the supply chain, and how they are implemented and monitored.
B5.4 Description of practices used to promote environmentally preferable products 1.7Responsible Supply Chain
and services when selecting suppliers, and how they are implemented and
monitored.
Aspect B6: Product Responsibility
General Disclosure
B6.1 Percentage of total products sold or shipped subject to recalls for safety and Not applicable. Air China's business does not involve production.
health reasons.
B6.2 Number of products and service-related complaints received and how they are 4.2 Customer Experience Enhancement
dealt with.
B6.3 Description of practices relating to observing and protecting intellectual 1.9Intellectual Property Rights Protection
property rights.
B6.4 Description of quality assurance process and recall procedures. 4.1Service Quality Management
B6.5 Description of consumer data protection and privacy policies, and how they are 4.2 Customer Experience Enhancement
implemented and monitored.
Aspect B7: Anti-corruption
General Disclosure
B7.1 Number of concluded legal cases regarding corrupt practices brought against 1.6Anti-Corruption and Business Ethics
the issuer or its employees during the Reporting Period and the outcomes of
the cases.
B7.2 Description of preventive measures and whistleblowing procedures, and how they 1.6Anti-Corruption and Business Ethics
are implemented and monitored.
B7.3 Description of anti-corruption training provided to directors and staff. 1.6Anti-Corruption and Business Ethics
B8: Community Investment
General Disclosure
B8.1 Focus areas of contribution (e.g. education, environmental concerns, labor 6.3 Supporting the Community
needs, health, culture, sport).
B8.2 Resources contributed (e.g. money or time) to the focus area. 6.3 Supporting the Community
Climate-related Disclosures
Climate-related Disclosures Governance Governance 3.2 Addressing Climate Change
Strategy Climate-related risks and opportunities 3.2 Addressing Climate Change
Business model and value chain 3.2 Addressing Climate Change
Strategy and decision-making 3.2 Addressing Climate Change
Financial position, financial performance and cash flows /
Climate resilience /
Financial impacts of climate-related risks and opportunities /
Risk Management Risk management 3.2 Addressing Climate Change
Metrics and Targets Greenhouse gas emissions 3.2 Addressing Climate Change
Climate-related transition risks 3.2 Addressing Climate Change
Climate-related physical risks 3.2 Addressing Climate Change
Climate-related opportunities /
Capital deployment /
Internal carbon prices /
Remuneration /
Industry-based metrics /
Climate-related targets /
Cross-industry metrics and applicability of cross-industry metrics /
GRI Index
Report Contents GRI Standards Benchmarking
About this Report 2-1,2-3,2-4,2-5
Chairman's Statement /
ESG Statement from Board of Directors 2-22
About Air China 2-1,2-3
2024 Highlights of ESG Performance /
Sustainable ESG Governance System 2-2,2-3,2-9,2-10,2-11,2-12,2-13,2-14,2-17,2-23,2-24
Development
Management
Stakeholder Communication 2
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Materiality Determination 3
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Corporate Governance 2
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Risk Management 2
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Anti-Corruption and Business Ethics 2
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5
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5
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6
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Responsible Supply Chain 2
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6
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2
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7
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8
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Innovation-driven Development /
Intellectual Property Rights Protection /
Equal Treatment of Small and Medium Enterprises 2
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2
3
,
2
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2
7
,
2
0
3
-
2
Digital Transformation /
Safety Operations Safety Management Safety Targets 416-1,416-2
Safety Governance Structure 416-1
Emergency Management 416-1
Safety Management Priorities 416-1
Safeguarding Passenger Safety Flight Safety 416-1
Cabin Safety 416-1
Ground Safety 416-1
In-flight Food Safety 416-1
Safety Culture 4
1
6
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1
Low-carbon Development Environmental Management and Ecological Protection Environmental Management Enhancement 103-2
Conservation of Ecological Diversity 304-1
Addressing Climate Change Climate Governance 201-2
Risk Management 201-2
Metrics and Targets 305-1,305-2,305-4,305-5
Our Actions 201-2
Resource Utilization Energy Management 203-3,302-1,302-2,302-4
Water Management 303-1,303-2
Pollution Prevention Waste Gases Management /
Wastewater Management 303-4,303-5,306-5
Waste Management 306-1,306-2,306-3,306-4,306-5,306-6
Noise Management /
Safety Awareness Cultivation 416-1,103-2
Quality Service Service Quality Management Quality Management System 416-1,417-1
Customer Experience Enhancement Guaranteeing Flight Regularity 203-1
Response to Customer Demands 416-1,417-1
Privacy and Data Security 418-1
Responsible Marketing 417-1,417-2,417-3
Quality Enhancement 4
1
6
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1
,
4
1
7
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1
Employee Development Employment and Employees' Rights and Interests Employment Management 2-7,2-8,2-30,401-1,405-1,406-1,408-1
Democratic Management 2-30
Employee Training and Development Training System for Technical Employees 404-1
Employee Career Development 404-2
Occupational Health and Safety Occupational Disease Prevention and Control 403-1,403-2,403-3,403-8,403-9
Caring for Employees' Health 403-3,403-6
Health Promotion and Education 403-3,403-6
Employee Incentives and Care Employee Salary and Performance 2-19,2-20,404-3
Employee Welfare and Care 201-3,401-2,401-3
Employee Activities 401-2
Commendation of Excellent Individuals and Units 404-2
Employee Service and Communication 201-3
Social Contribution Rural Revitalization 203-1,203-2,413-1
The Belt and Road Initiative and Industry-wide Co-building 2
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Supporting the Community 2
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1⁴The age of Board members and other information can be found in the annual
report.
Shanghai Stock Exchange Index
Dimension Number Topic Articles Sections
Environment 1 Climate change tackling Article 21-28 3. Low-carbon Development-3.2Addressing Climate Change
2 Pollutant discharge Article 30 3. Low-carbon Development-3.4 Pollution Prevention
3 Waste disposal Article 31 3. Low-carbon Development-3.4 Pollution Prevention
4 Ecosystem and biodiversity protection Article 32 3. Low-carbon Development-3.1Environmental Management and Ecological
Protection
5 Environmental compliance management Article 33 3. Low-carbon Development-3.1Environmental Management and Ecological
Protection
6 Energy usage Article 35 3. Low-carbon Development-3.3 Resource Utilization
7 Usage of water resources Article 36 3. Low-carbon Development-3.3Resource Utilization
8 Circular economy Article 37 3. Low-carbon Development-3.3 Resource Utilization
Social 9 Rural revitalization Article 39 6. Social Contribution-6.1 Rural Revitalization
10 Contributions to the society Article 40 6. Social Contribution
11 Innovation-driven Article 42 1. Sustainable Development Management -1.8Innovation-driven Development
12 Ethics of science and technology Article 43 1. Sustainable Development Management -1.8Innovation-driven Development
13 Supply chain security Article 45 1. Sustainable Development Management-1.7Responsible Supply Chain
14 Equal treatment to small and medium-sized Article 46 1. Sustainable Development Management 1.10 Equal Treatment of Small and Medium
Enterprises
enterprises
15 Safety and quality of products and services Article 47 2. Safety Operations-2.1Safety Management;
4.Quality Service-4.1Service Quality Management, 4.2Customer Experience
Enhancement
16 Data security and customer privacy protection Article 48 4. Quality Service-4.2Customer Experience Enhancement
17 Employees Article 50 5. Employee Development
Sustainability-related governance 18 Due diligence Article 52 1. Sustainable Development Management-1.5Risk Management
19 Communications with stakeholders Article 53 1. Sustainable Development Management-1.2Stakeholder Communication
20 Anti-commercial bribery and anti-corruption Article 55 1. Sustainable Development Management-1.6Anti-Corruption and Business Ethics
21 Anti- unfair competition Article 56 1. Sustainable Development Management-1.6Anti-Corruption and Business Ethics
Major Laws, Regulations and Corporate Policies
ESG Indicator Applicable Laws and Regulations Corporate Policies
A1 Emissions Law of the People's Republic of China on the Prevention and Control of Air Waste Disposal Management Procedures
Pollution
Solid Waste Management Procedures
Law of the People's Republic of China on the Prevention and Control of Water
Pollution Special Emergency Response Plan for Hazardous Waste
Law of the People's Republic of China on the Prevention and Control of Hazardous Waste Disposal Agreement
Environment Pollution Caused by Solid Wastes
Notice on Promoting Plastic Pollution Control in Offices
Integrated Emission Standard of Air Pollutants
Waste Gas Emission Management Procedures
The standard for Pollution Control on the Municipal Solid Waste Incineration
Wastewater Discharge Management Procedures
Integrated Emission Standard of Water Pollutants
Regulation on Urban Drainage and Sewage Treatment
Technical Policy on the Prevention and Control of Pollution Caused by
Hazardous Waste
Provisions on the Administration of Urban Construction Garbage
A2 Use of Water Law of the People's Republic of China Water Management Regulations
Resources Energy Conservation Law of the People's Republic of China Energy Conservation and Emission Reduction Management Manual
Measures for the Administration of Energy Conservation of Major Energy-Saving and Environmental Protection Management Methods
Energy-Consuming Entities
A3 Environmental Protection Law of the People's Republic of China Emergency Response Plan for Environmental Incidents
Environment Law of the People's Republic of China on Environmental Impact Assessment Energy Conservation and Environmental Protection Responsibility Letters
and Natural Law of the People's Republic of China on Water and Soil Conservation Air China Environmental Management Manual
Resources The Circular Economy Promotion Law of the People's Republic of China Environmental Management Implementation Plan
List of Environmental Laws, Regulations, and Other Requirements (2024 Edition)
A4 The 14th Five-Year Special Plan for Green Development Air China Green Development and Dual-Carbon Key Task List
Climate The 14 Five-Year Plan Action Plan for Carbon Peaking
Change China's Policies and Actions for Addressing Climate Change (2022)
Working Guidance for Carbon Dioxide Peaking and Carbon Neutrality in Full and
Faithful
Implementation of the New Development Philosophy
Notice by the State Council of the Action Plan for Carbon Dioxide Peaking
Before 2030
B1 Labor Law of the People's Republic of China Employee Recruitment Management Regulations
Employment Labor Contract Law of the People's Republic of China Collective Contract
Employment Promotion Law of the People's Republic of China Special Collective Contract for the Protection of Female Employees' Rights and
Interests
Provisions on Labor Contract Management
Employee Position Performance Management Measures
List of Matters for Review by the Workers' Representative Assembly and the
Joint Meeting of Its Delegation Chairs
B2 Work Safety Law of the People's Republic of China Regulations on Operation Qualification of Large Aircraft Public Air Transport
Carriers (CCAR-121)
Health and Civil Aviation Law of the People's Republic of China
Provisions on the Administration of Civil Aviation Safety (CCAR-398)
Safety Supervision and Management Measures of Work Safety at State-owned Central
Enterprises Flight Inspector Manual
Civil Aviation Administration's Regulations on the Management of Dual Flight Instructor Manual
Prevention Mechanisms of Graded Control and Hidden Danger Investigation and
Governance of Civil Aviation Safety Risks Guidelines on the Implementation of the Company's Three-level Risk Control
Mechanism Across Business Areas
Law of the People's Republic of China on the Prevention and Control of
Occupational Diseases Implementation Measures for Backup of Base Units
Provisions on the Administration of Occupational Health at Workplace Emergency Response Manual
Notice of the General Office of the National Health Commission of the People's Emergency Response Management Procedures for Safety-related Incidents (Trial
Republic of China on Further Strengthening Occupational Health Training for Version)
Employers
Notice on the Special Campaign for the Regulation of Dangerous Goods Air
Regulations on Work-Related Injury Insurance Transport at Terminals
Terminal Aviation Security Risk Alert Checklist
Air China ARJ21-700 Aircraft Terminal Support Operation Guide
Dual Prevention Work Procedure for Safety Risk Classification Control and
Hidden Danger Investigation and Management
Flight Schedule Adjustment Procedure
Collaborative Mechanism for Domestic Flight Temporary Diversions
Workflow for Flight Traffic Management Positions
Flight Normality Management Measures
Detailed Rules for Reporting Information on Major Emergencies of China
National Aviation Holding Corporation Limited and Air China Limited
Notice on Further Clarifying the Centralized Reporting Responsibilities for
Major Group Emergencies
Aviation Security Program
CNAHC Implementation Plan for the Three-Year Fundamental Improvement Action of
Work Safety (2024-2026)
Cabin Service Department Safety Practitioner Work Style Long-term Mechanism
Construction Implementation Plan
Ground Services Department Aviation Safety Management Manual
Ground Services Department Aviation Safety Management Procedures
Ground Services Department Safety Practitioner Work Style Long-term Mechanism
Construction
Aviation Safety Management Manual
Aviation Safety Management Training Outline
Regulations on Occupational Disease Prevention and Control of CNAHC and Air
China Limited
Safety Tips for Strengthening the Occupational Health and Protection of Crew
Members
Food Safety Management Manual
Public Health Safety Manual
Notice on Streamlining the Workflow of Handling Work-related Injury Insurance
Business
Employee Physical Examination Management System
B3 Notice on Further Promoting the Reform of Market-oriented Assessment and Training Management Manual
Incentive Mechanism
Development Notice on Establishing the Qualification and Capability Level System for
Professional Technical and Vocational Skills Personnel of Air China
and Training
Compliance Training Outline
Training Outline on Work Style for All Employees
Administrative Measures for the Evaluation and Employment of Professional
Talents
B4 Labor Law of the People's Republic of China Employee Code of Conduct
Labor Labor Contract Law of the People's Republic of China Punishment Regulations for Labor Discipline Violation
Standards Employment Promotion Law of the People's Republic of China
Law of the People's Republic of China on the Protection of Rights and
Interests of Women
B4 Bidding Law of the People's Republic of China Procurement Management Regulations of Air China Limited
Supply Chain Management Regulations on the Implementation of the Bidding Law of the People's Republic Standard Procurement Management Procedures of China National Aviation Holding
of China Corporation Limited and Air China Limited
Civil Code of the People's Republic of China Procurement Plan Management Regulations of China National Aviation Holding
Corporation Limited and Air China Limited
Supplier Management Regulations of China National Aviation Holding Corporation
Limited and Air China Limited
Procurement Review Management Regulations of China National Aviation Holding
Corporation Limited and Air China Limited
Notice on the Implementation of Green Procurement
B6 Cybersecurity Law of the People's Republic of China Service Quality Management Manual
Product Personal Information Protection Law of the People's Republic of China Service Quality Management System Usage Management Regulation
Responsibility Trademark Law of the People's Republic of China Service Quality Inspection Management Regulations
Regulations on the Implementation of the Trademark Law of the People's Service Quality Risk and Hazard Management Regulations
Republic of China
Service Quality Prevention and Corrective Action Management Procedures
Patent Law of the People's Republic of China
Air China Flight Operation Support Standards
Regulations on the Implementation of the Patent Law of the People's Republic
of China Air China Flight Normality Management Measures
General Data Protection Regulation (GDPR) Special Passenger Service Standards
Data Security Law of the People's Republic of China Management Regulations for Service Remediation Authorization
Guidelines for Standardization Work Privacy Policy
Copyright Law of the People's Republic of China Data Management Regulations
Madrid Agreement Concerning the International Registration of Marks Data Security Management Implementation Guidelines
Cybersecurity Management Measures
Passenger Personal Information Management Regulations
Data Security Management Framework of the Information Management Department
Digital Transformation Action Plan (2022-2025)
Special Implementation Plan for the Digital Transformation Action Plan
Legal Affairs Management Regulations of China National Aviation Holding
Corporation Limited and Air China Limited
Intellectual Property Management Measures of China National Aviation Holding
Corporation Limited and Air China Limited
B7 Criminal Law of the People's Republic of China Compliance Management Regulations of China National Aviation Holding
Corporation Limited and Air China Limited
Anti-corruption Company Law of the People's Republic of China
Code of Conduct for Compliance of China National Aviation Holding Corporation
Anti-Money Laundering Law of the People's Republic of China Limited and Air China Limited
Anti-Unfair Competition Law of the People's Republic of China Air China Limited Overseas Compliance Management Regulations
Provisional Regulations on Prohibition of Commercial Bribery Actions Overseas Compliance Training Manual (Chinese-English Bilingual Edition)
Anti-Monopoly Law of the People's Republic of China Audit Rectification Tracking Management Measures of China National Aviation
Holding Corporation Limited and Air China Limited
Bidding Law of the People's Republic of China
Implementation Rules for the Handling of Letters and Visits by Discipline
Supervision Law of the People's Republic of China Inspection and Supervision Institutions
Rules for Disciplinary Inspection and Supervision Organs on Handling Reports Implementation Measures for Applying the First Form
and Complaints
Compliance Manual for Data in Various Jurisdictions (2022 Edition)
Regulations of the Supreme People's Procuratorate on Protecting Citizens'
Rights to Report Compilation of Antitrust Cases in the Aviation Industry
Securities Law of the People's Republic of China Compliance Manual for Data in Various Jurisdictions
Code of Corporate Governance for Listed Companies Recommended Measures for Discipline Inspection and Supervision Work
Guide to the Anti-Monopoly Compliance of Undertakings List of Enterprises Prohibited from Transactions (2024)
Regulations on Fair Competition Review Summary of Integrity Risk Prevention and Control Measures in Key Areas
Implementation Rules for the Handling of Letters and Visits by Discipline
Inspection and Supervision Institutions (for Trial Implementation)
Education and Training Plan for Inspection and Oversight Leaders (2023-2027)
Implementation Measures for the Construction of the Inspection Leader Team
Management Measures for the Key Inspection Talent Pool
Management Measures for Inspection Staff
Work Rules of the Strategy and Investment Committee of the Board of Directors
Work Rules of Audit and Risk Control Committee (Supervision Committee)
Implementation Measures for High-Standard Fulfillment of Social Responsibility
in the New Era by CNAHC
Articles of Association
Rules of Procedure for Shareholders' Meeting
Rules of Procedure for Board Meetings
Work Rules for Independent Directors
Summary of Board Resolution Implementation
Feedback Form on Execution of Board-authorized Matters
Guidelines on Articles of Association for Subsidiaries
Management Measures for the Performance of Duties by Directors in Investment
Enterprises Without a Board of Directors
Administration Office's Rules of Procedure
Implementation Rules for Risk Assessment and Reporting
Work Manual for Internal Control, Supervision, and Evaluation
B8 Administrative Measures for External Donations
Community Implementation Opinions on Practicing Targeted Assistance Work
Investment Articles of Association of Chinese Youth Volunteers Association
Regulations on Youth Volunteer Services
Administrative Measures for Volunteer Teaching Program of "CNAHC Blue Sky
Classroom"
Third-Party Assurance
ASSURANCE STATEMENT CN25/00001820
SGS-CSTC'S REPORT ON SUSTAINABILITY ACTIVITIES IN THE AIR CHINA LIMITED'S
SUSTAINABILITY REPORT FOR 2024
NATURE OF THE ASSURANCE/VERIFICATION
SGS-CSTC STANDARDS TECHNICAL SERVICES CO., LTD. (hereinafter referred to as
SGS) was commissioned by AIR CHINA LIMITED (hereinafter referred to as Air
China) to conduct an independent assurance of the Chinese version of Air
China's 2024 Sustainability (ESG) Report (hereinafter referred to as the
Report).
INTENDED USERS OF THIS ASSURANCE STATEMENT
This Assurance Statement is provided with the intention of informing all Air
China's Stakeholders.
RESPONSIBILITIES
The information in the Report and its presentation are the responsibility of
the directors and the management of Air China. SGS has not been involved in
the preparation of any of the material included in the Report.
Our responsibility is to express an opinion on the text, data, graphs and
statements within the scope of assurance with the intention to inform all Air
China's stakeholders.
SGS hereby states that it shall not be held responsible or liable for any
direct, indirect, incidental, or consequential damages or losses arising from
or in connection with the use of information provided in this report.
ASSURANCE STANDARDS, TYPE AND LEVEL OF ASSURANCE
The SGS ESG & Sustainability Report Assurance (SRA) protocols used to
conduct assurance are based upon internationally recognised assurance
standards including the AA1000 series of standards and ISAE3000.
The assurance of this report has been conducted according to the following
Assurance Standards:
Assurance Standard Options Level of Assurance
AA1000AS v3 Type 2 Moderate
SCOPE OF ASSURANCE AND REPORTING CRITERIA
The assurance engagement was conducted to evaluate the accuracy and
reliability of the sustainability performance information included in the
Report. Additionally, it assessed the extent to which the Report's content is
in accordance with the requirements of Appendix C2 Environmental, Social and
Governance Reporting Code of Listing Rules published by Hong Kong Exchanges
and Clearing Limited's (HKEX).
Additionally, it assessed the extent to which the Report's content refers to
the requirements of GRI Standards 2021.
ASSURANCE METHODOLOGY
The assurance comprised a combination of pre-assurance research, on-site
interviews with relevant employees and departments of the Air China
head-office,which is located in 30 Tianzhu Road, Airport Industrial Zone,
Shunyi District, Beijing, P.R. China,documentation and record review and
validation where relevant.
LIMITATIONS AND MITIGATION
Data drawn directly from independently audited financial accounts has not been
checked back to source as part of this assurance process.
The greenhouse gas emissions related data in the Report has not undergone
verification by an independent third-party auditor. In the context of the
present assurance engagement, our procedures were limited to sample- based
validation.
No compliance verification was conducted in respect of Part D: Climate-related
disclosures of the Appendix C2 Environmental, Social and Governance Reporting
Code of Listing Rules published by HKEX, and the climate- related verification
was still implemented in accordance with the previous version of Appendix
C2 Environmental, Social and Governance Reporting Guide.
This assurance engagement was restricted to the group level of Air China
headquarters and did not include traceability of original data from all
subordinate institutions.
STATEMENT OF INDEPENDENCE AND COMPETENCE
The SGS Group of companies is the world leader in inspection, testing and
certification, operating in multiple countries and providing services. SGS
affirm our independence from Air China, being free from bias and conflicts of
interest with the organisation, its subsidiaries and stakeholders.
The assurance team was assembled based on their knowledge, experience and
qualifications for this assignment.
FINDINGS AND CONCLUSIONS ASSURANCE/VERIFICATION OPINION
On the basis of the methodology described and the assurance engagement
performed, the specified
performance information included in the scope of assurance is accurate,
reliable, and has been fairly stated.
CONCLUSIONS, FINDINGS AND RECOMMENDATIONS BASED ON APPENDIX C2 ENVIRONMENTAL,
SOCIAL AND GOVERNANCE REPORTING CODE OF LISTING RULES PUBLISHED BY HKEX
The assurance team concludes that the Report has been prepared in accordance
with the requirements of
Appendix C2 Environmental, Social and Governance Reporting Code of Listing
Rules published by HKEX.
CONCLUSIONS, FINDINGS AND RECOMMENDATIONS BASED ON GRI STANDARDS 2021
The assurance team concludes that the Report has referred to the requirements
of GRI Standards 2021.
FINDINGS AND RECOMMENDATIONS
All observations pertaining to commendable practices, sustainable development
activities, and managerial recommendations identified throughout the assurance
process have been thoroughly documented in the Internal Management Report on
Sustainability Reporting Assurance. This report has been officially presented
to the relevant management divisions of Air China to serve as a reference for
their ongoing efforts towards continuous improvement.
For and on behalf of SGS-CSTC David Xin
Sr. Director - Business Assurance
16/F Century Yuhui Mansion, No. 73, Fucheng Road, Beijing, P.R. China
Mar. 25th, 2025 WWW.SGS.COM (http://WWW.SGS.COM/)
Feedback Collection
Dear reader,
Thanks for reading the 2024 Sustainability & ESG Report of Air China
Limited, which is the 17th social responsibility (Sustainability) report
published by Air China. You are welcome to provide us with your comments and
suggestions on this report for consideration and adoption, enabling us to make
continuous improvements in future report preparation and to improve our
corporate social responsibility management and practice. We look forward to
your valuable comments and suggestions.
1. Do you think the overall report is satisfactory?
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2. Did the report provide all the information you are concerned about?
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3. Do you think the report has faithfully reflected the performance of Air
China with respect to creating economic value, social value, and environmental
value and fulfilling social responsibility?
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4. Can you access the information you are concerned about in a convenient way?
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4. Do you think the information disclosed in the report is accurate, clear,
and complete?
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6. Do you have any comments or suggestions for our social responsibility work
and social responsibility report in the future?
1 (#_ftnref1) SAF, Sustainable Aviation Fuel.
2 (#_ftnref2) APU, Auxiliary Power Unit.
3 (#_ftnref3) The Interim Measures for the Management of Carbon Dioxide
Emissions Monitoring, Reporting and Verification of Civil Aviation Flight
Activities (CAAC Regulations 2018 No. 3) was adopted as the aviation fuel
calculation standard. The ground energy calculation standards are based on
data from SASAC's Low-Carbon and Environmental Protection Integrated
Management System, including the Ministry of Ecology and Environment's 2022
national power grid average emission factor of 0.5703 t CO₂/MWh. Scope 1
emissions are CO₂ emissions from fossil fuel combustion, and Scope 2
emissions are CO₂ emissions from electricity and heat use.
4 (#_ftnref4) For the 2024 calculation of GHG emission intensity, the total
carbon emissions from aviation fuel serve as the numerator.
5 (#_ftnref5) The hazardous waste data only involves Air China, Ameco,
Shandong Aviation Group Corporation and Shenzhen Airlines. Compared to 2023,
Air China, Shandong Aviation Group Corporation, and Shenzhen Airlines have
been added to the statistical scope.
6 (#_ftnref6) Domestic waste data does not include kitchen waste derived
from in-flight meals.
7 (#_ftnref7) Flight regularity performance data covers Air China, Beijing
Airlines, Dalian Airlines, and Air China Inner Mongolia.
8 (#_ftnref8) 2024 service performance statistics cover Air China, Beijing
Airlines, Dalian Airlines, and Air China Inner Mongolia.
9 (#_ftnref9) CBTA,is short for Competency-Based Training and Assessment.
CBTA is a training and evaluation method in the civil aviation field that
focuses on the comprehensive competence of pilots.
10 (#_ftnref10) The employee training statistics covers Air China, Beijing
Airlines, Dalian Airlines and Inner Mongolia Airlines.
11 (#_ftnref11) The route network layout statistics cover Air China, Beijing
Airlines, Dalian Airlines, and Inner Mongolia Airlines.
12 (#_ftnref12) The financial, operational, environmental, and employee
data are consistent with those used in the Annual Report. The service
scope covers Air China, Beijing Airlines, Dalian Airlines, and Air China Inner
Mongolia. The total number of passenger complaints across all channels
includes both complaints handled directly by the Company and those referred by
the Civil Aviation Administration of China (CAAC).
13 (#_ftnref13) The age of Board members and other information can be found
in the annual report.
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