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Introduction of China Electric Equipment Group

China Electric Equipment Group Limited (CEE) is a reorganization and integration of China XD Group Co., LTD, XUJI Group Limited, Pinggao Group Limited and SHANDONG Electrical Engineering & Equipment Group Co., Ltd. under the State Grid Corporation, and is an important state-owned backbone enterprise supervised by the State-owned Assets Supervision and Administration Commission of the State Council.

After the completion of the reorganization and integration, China Electric Equipment will have 4 listed companies, including China XD (601179.SH), Xuji Electric (000400.SZ), Pinggao Electric (600312.SH) and Baoguang (600379.SH), with 10 national enterprise technology centres and engineering laboratories, 6 national quality testing centres, 3 academician workstations and 4 Post-doctoral research stations. The Group is responsible for the management of domestic power transmission and distribution industry standards, as well as multiple technical committees (sub-committees) such as the International Electrotechnical Commission (IEC). In all, there have been more than 7,700 valid patents acquired by the Group, and the all-around performance of nearly 1,300 critical new products and new technologies has reached the international leading or advanced level.

China Electric Equipment focuses on the integration of power generation, transmission network, consumption, and storage, and employs advanced technologies such as the "big data, cloud computing, internet of things (IoT), mobile internet, artificial intelligence, and blockchain" actively carries out high-end technology research, focuses on breaking through crucial technical barriers such as ultra-high voltage, and develops and puts into the application of the first set of equipment of such in China. It has successively provided complete sets of equipment and services for domestic UHV construction projects such as the "Three Gorges Project," "Baihetan Project," and other national crucial projects, promoting the localization of crucial equipment, and breaking several foreign technology monopolies, and rcreating many world-class projects. It has branched out industrial bases span the globe and exported goods, technology, standards, and services to hundreds of nations and regions, resulting in a power transmission and distribution industry structure geared toward the global market.

China Electric Equipment focuses on the overall layout of "smart electricity, system services, and high-efficiency energy," fulfills the corporate mission of "empowering smart electricity and creating green energy," accelerates the construction of the Group's central research institute, and creates original technology incubators and the chain leaders of the modern industrial chain. It integrates energy services, energy storage, rail transit, industrial automation, and other fields, as well as strategic emerging industries that extend from the upstream and downstream, with a focus on high-end manufacturing and comprehensive solutions for electrical equipment grounded in power generation, transmission, transformation, power distribution, power consumption, and other power fields.

By 2025, a smart electrical equipment group with first-class core technology, operating strength, product and service, corporate governance, talent team, and brand value will be initially established. By 2035, a world-class smart electrical equipment group will be fully established, the global industrial layout will be completed, and the advantages of world-class advanced manufacturing clusters will be fully formed, assisting our country's energy and power sector in achieving the goal of "carbon peak, carbon-neutral" and energy clean and low-carbon transformation, becoming a "leader of electrical technology, promoter of the energy revolution, and practitioner of green development."

China Electric Equipment adheres to the guidance of Xi Jinping Thought on Socialism with Chinese Characteristics for a New Era. It always prioritizes the party's leadership in all aspects of the Group's strategy implementation. The Group serves the national strategy by focusing on China's energy transition and energy security, continuously enhancing the comprehensive supporting and system service capabilities, forming independent brands and knock-out products with international influence, and comprehensively improving China's global competitiveness and development leadership in the electrical equipment industry throughout the globe.