Recently, CATL's Jiangsu Times Liyang Factory received the "Intelligent Sustainability Award" at the *Industry 4.0 China Award* from the renowned European management consulting firm ROI-EFESO. With this, CATL becomes the only lithium battery manufacturer in the world to have three of its factories awarded the prestigious *Industry 4.0 Award*, often referred to as the "Nobel Prize" in the smart manufacturing sector. This milestone signifies CATL's advancement into the international leadership ranks of Industry 4.0, providing the industry with some of the most advanced digital solutions in global industrial fields.

Since its establishment in 2013, the *ROI-EFESO Industry 4.0 Award* has been dedicated to recognizing advanced solutions that set new standards for digitalization and automation in production. As a non-profit recognition, the award is widely regarded for its rigorous selection process, authoritative panel of expert judges, and its forward-thinking approach to industry trends. Over the past decade, only 37 companies globally have received this honor. The Liyang Factory, in particular, stands out as the first award-winning company in Jiangsu Province, a region known for its strengths in intelligent manufacturing. This accolade will have a profound impact on the province's industrial chain upgrade and digital innovation.

As one of CATL's core production bases, the Liyang Factory has focused on achieving sustainable development, broadly implementing Industry 4.0 technologies to create a fully digitized and intelligent sustainable operation system.

For instance, in terms of energy conservation and emission reduction, the Liyang Factory developed an AI-driven energy management platform that intelligently regulates energy consumption, resulting in a 16% improvement in workshop efficiency and a 47% reduction in energy consumption per unit. The factory also improved its helium detection process, completely eliminating the secondary helium inspection step, which reduced carbon emissions by 18.5%. In terms of smart manufacturing, the Liyang Factory leveraged AI inspection systems, increasing inspection efficiency by 60% while reducing the failure rate of battery cells to DPPB (defects per billion) level, achieving industry-leading standards. Furthermore, the factory applies digital twin technology and 3D virtual debugging to optimize equipment design, shortening the equipment debugging cycle by 40%, which significantly enhances production capacity.

It is worth noting that this is not the first time CATL has stood out in such evaluations. Last year, CATL's Ningde and Jiaocheng factories won both the *Industry 4.0 China Award* and the *Industry 4.0 Global Award*, marking the first instance in the history of the award that one company won both distinctions. It is CATL's continuous breakthroughs in extreme manufacturing and its persistent delivery of innovative industry benchmarks that have led to these repeated recognitions.

As the world's leading lithium battery manufacturer, CATL has always aligned with the times, dedicated to driving energy transformation and contributing to global carbon neutrality. To date, CATL has established three "Lighthouse Factories" and nine "Zero Carbon Factories." Looking ahead, CATL will continue to lead the innovation and iteration of manufacturing models, helping shape the blueprint for Industry 4.0 digitalization and sustainable development.