Core Viewpoint - The Shanghai Stock Exchange has launched an action plan to enhance the ESG ratings of listed companies, focusing on improving governance and investment attractiveness in the capital market [1]. Group 1: Action Plan Overview - The action plan includes six key initiatives aimed at improving ESG ratings, such as conducting industry-specific ESG performance analyses and developing best practice templates for companies [1]. - The Shanghai Stock Exchange will work under the guidance of the China Securities Regulatory Commission to optimize regulations and enhance services for listed companies [1]. Group 2: Rating Guidance and Communication - The plan emphasizes the need for more comprehensive guidelines on key rating indicators and encourages communication between listed companies and rating agencies through training and industry sharing [3]. - Companies are encouraged to actively identify financially significant issues and improve their ESG disclosures to meet investor needs [3]. Group 3: Best Practices and Incentives - The action plan aims to compile best practice examples from leading companies in ESG ratings to help others identify gaps and improve their ratings [4]. - Financial institutions are encouraged to incorporate ESG ratings into their financing products, and social security funds and asset management institutions are urged to consider ESG ratings in their investment decisions [4]. Group 4: Current ESG Rating Landscape - As of the end of 2024, 342 listed companies in Shanghai are included in the MSCI ESG ratings, with a significant number achieving rating upgrades [6]. - By May 2025, 22% of listed companies had improved their China Securities ESG ratings compared to the previous year, indicating a positive trend in ESG performance [7].