GCL TECH(HK:03800) Xin Lang Cai Jing·2025-12-24 10:32Core Viewpoint - Fitch Evergreen has assigned a "2" issuer rating to GCL-Poly Energy Holdings Limited (GCL-Poly), reflecting the company's environmental benefits in the solar materials sector, while noting an increase in absolute environmental metrics due to capacity expansion [2][8]. Group 1: Company Overview - GCL-Poly is a photovoltaic materials manufacturer operating 13 production bases in China and is listed on the Hong Kong Stock Exchange. The company primarily produces photovoltaic-grade polysilicon and wafers for downstream solar cell manufacturers. GCL-Poly's market share is projected to be 24% in the first half of 2025 [2][8]. Group 2: Environmental Impact - Fitch Evergreen believes that GCL-Poly's core business supports the expansion of solar power generation capacity, contributing to climate change mitigation. The company uses Fluidized Bed Reactor (FBR) technology to produce granular polysilicon, which has a lower "cradle-to-gate" carbon footprint compared to polysilicon produced by the Siemens process, thereby reducing the implicit carbon emissions of downstream solar components [2][8]. - GCL-Poly has established an environmental policy covering climate change and natural resource management at the group level, with all subsidiaries certified under ISO 14001:2015. The company discloses Scope 1 and Scope 2 greenhouse gas emissions and reports carbon intensity metrics for its main business lines. Despite an increase in absolute energy use and waste generation due to capacity expansion, carbon intensity has decreased year-on-year. The company aims to achieve Scope 1 and Scope 2 carbon neutrality by 2040 and value chain carbon neutrality by 2050 [2][8]. Group 3: Social and Governance Aspects - The social status of GCL-Poly is viewed neutrally. The company has established human rights and labor rights policies, along with an externally certified occupational safety management system, and has not reported any serious incidents in recent years. Customer satisfaction remains high. However, the gender ratio among employees and senior management is imbalanced, and the company has not disclosed gender pay gap metrics [3][9]. - The governance status of GCL-Poly is viewed positively. The company's financial statements have received unqualified audit opinions for the past three years. Risk management and internal audit functions are institutionalized. The overall independence and diversity of the board align with local listing company practices, though there remains a gap compared to international best practices [3][9].