Supplier Environmental, Social and Governance (ESG) standards

Suppliers must take the necessary measures to minimize the adverse effects of their business activities on the environment and eliminate any significant environmental risks. If it is not avoidable, efforts should be made to minimize environmental risks. This includes pollution prevention, resource conservation, waste recycling, emissions reduction, and proper drainage.

Suppliers must take steps to mitigate climate change and reduce carbon dioxide and other greenhouse gases in line with science-based targets to achieve carbon neutrality. This includes managing climate-related impacts and risks. Adopt renewable energy and energy-saving factory technology.

Our suppliers should avoid waste, especially hazardous waste. Improve recycling and resource conservation in your operations and upstream and downstream value chains. The significant impact of waste should be actively controlled.

We require suppliers to use water efficiently based on availability and quality, reduce water withdrawals, treat water in environmentally compatible ways, and treat wastewater correctly, especially in areas facing water stresses/involving local communities. Water-related impacts, risks, and opportunities must be managed

Suppliers should strive to protect biodiversity (changes within and between species and within and between ecosystems) and minimize adverse impacts on biodiversity. Suppliers should establish, implement and maintain relevant environmental policies for the conservation of biodiversity and ecosystems.

Our suppliers must manage materials in a circular economy-compliant manner with the primary goal of reducing the extraction of resources and raw materials. This includes, but is not limited to, minimizing waste so that products, materials, and other resources maintain their highest value while using them more efficiently in production and consumption.

When handling or using hazardous substances, suppliers must ensure that the hazardous substances are safely sourced, labelled, handled, handled, stored, reused, and/or disposed of.

Suppliers should not manufacture mercury-added products, use mercury or mercury compounds in the manufacturing process, or dispose of mercury waste.

We require our suppliers to respect and protect international human rights and ensure that they are not involved in violations or violations of human rights.

In accordance with the International Labour Organization (ILO) conventions, our suppliers must never allow child labor, forced labor, any form of forced labor or human trafficking. It is prohibited to employ underemployed persons who are legally required by law to complete compulsory education. The age of employment must not be less than 15 years old. Exceptions may be made if the minimum age for employment law at the place of employment differs from this in respect of the recruitment of a particular type of employment (i.e. apprenticeship). Human trafficking is closely related to forced labour and can leave workers without protection.

The unlawful eviction and unlawful seizure of land, forests and waters that guarantee the livelihood of persons are prohibited in the acquisition, development or other use of land, forests and waters.

Our suppliers have a responsibility to treat all employees with respect and dignity. Unequal treatment and/or discrimination on the basis of age, ethnic background, nationality, gender, gender identity, physical fitness, mental ability, religion, worldview, sexual orientation, social background and other characteristics guaranteed by law are expressly prohibited. B. Braun requires its suppliers to provide a work environment that respects diversity and inclusion for their employees, so suppliers should promote an inclusive culture through strategies, training and incentives.

Working hours and compensation must comply with applicable laws or industry standards. Normal working hours per week must not exceed the maximum working hour limit set by local law. Employee consent is required to require overtime work, and local laws must be followed. Compensation must be paid in accordance with applicable law and on time. Appropriate remuneration must be at least the minimum wage set by applicable law and calculated in accordance with the regulations of the place of employment.

Our suppliers must ensure the health and safety of their employees in the workplace in accordance with applicable laws and regulations. In addition, suppliers must provide employees with good quality drinking water and adequate hygiene in all premises. Suppliers must provide employees with appropriate work clothes and tools necessary to perform their jobs. Work accidents must be properly documented and assessed immediately; procedures and actions must be implemented to prevent similar incidents from occurring in the future. In addition, employees must be trained in occupational health and safety regulations.

Our suppliers are expected to respect freedom of association and effectively recognize the right to collective bargaining.

If suppliers employ or use security forces, they must ensure that they comply with regulations prohibiting torture and cruel, inhuman or humiliating treatment, non-harm to life and non-violation of the right to freedom of association.

Our suppliers must develop and implement appropriate training so that employees are aware of the principles of conduct described in this document and generally accepted international standards.

Our suppliers are responsible for complying with all applicable national and international antitrust laws. We require suppliers to commit to free competition and open markets, as well as to commit to countering unfair, opaque and restrictive competition. Suppliers should implement appropriate precautions to ensure the foregoing.

We require suppliers to comply with all current anti-money laundering laws.

Our suppliers have a responsibility to take action against all forms of corruption, including extortion and Bribery, while ensuring that business activities are not affected by personal relationships. There are several international anti-Bribery and corruption laws in place that apply to public administration and business employees. Local laws in force around the world are strictly enforced to prevent Bribery, fraud or corruption. Suppliers must comply with these laws. They strictly prohibit the offering, granting, soliciting, accepting or receiving any form of improper advantage directly (or indirectly) to any public official, business partner or third party. Suppliers must conduct full due diligence on all business dealings to prevent and detect corruption.

Our suppliers must ensure that there is no conflict of interest between them and B. Braun, or correct and notify B. Braun immediately if a conflict of interest is discovered.

When doing business with B. Braun, gifts and entertainment are neither required nor strongly discouraged. Suppliers may not give or accept bribes or any other illegal incentives (such as kickbacks) when conducting business transactions with business partners or public officials. Suppliers may not give B. Braun employees gifts or personal benefits that could be considered Bribes. Under no circumstances may gifts or entertainment be used to unfairly affect business relationships or violate applicable laws or codes of ethics. B. Braun employees are not allowed to solicit gifts from suppliers, whether for personal use or to any organization, including in support of charitable causes or gifts to B. Braun. Suppliers must report any such claims.

We require our suppliers to keep confidential all business and business secrets and any other confidential or internal information about B. Braun. All information marked as confidential and any information that is non-public and non-discloseable must be kept confidential.

Our suppliers must protect and properly use confidential and proprietary information. Not only that, but data must also be properly managed and protected from unauthorized access and use, disclosure or destruction.

Animal testing should be avoided as much as possible, and animal testing should be investigated and eliminated. Methods that are scientifically proven and accepted by regulatory authorities as an alternative to animal testing should be adopted.

B. Braun asked its suppliers not to source conflict minerals such as tin, tungsten, tantalum and gold, as well as other raw materials, from conflict zones.

We maintain our commitment to quality by requiring our suppliers to continuously manage quality from raw materials to finished products, as well as by tracing dangerous products to protect patients.

Suppliers must implement mechanisms and procedures to identify, assess, and manage all aspects of risks outlined in the Supplier's ESG Standards, while respecting applicable laws. Not only that, but suppliers must also take steps to prevent and mitigate these risks.

B. Braun reserves the right to change the supplier's ESG standards reasonably. Any changes will be notified to the supplier immediately via the B. Braun website.

To ensure that B. Braun's requirements are met, we reserve the right to use external service providers such as EcoVadis and/or IntegritNext to evaluate suppliers through self-disclosure and by conducting second or third party on-site audits. Once required, suppliers must provide documentary evidence (certificates/declarations) of their compliance with this ESG standard. B. Braun may also obtain this information from suppliers through third parties. Immediate action must be taken in cases of violations of human rights, environmental, or ethical business practices. In the event of a serious breach of ESG standards without immediate resolution, B. B. Braun reserves the right to re-determine its business relationship with suppliers.

We ask our suppliers to take steps to protect whistleblowers. Suppliers must establish whistleblowing channels and protect whistleblowers from retaliation after reporting incidents.

To ensure compliance with ESG standards, we encourage suppliers to report any potential violations of ESG standards to us. All reports of suspected non-compliance must be properly investigated and corrective action taken. B. Braun requires suppliers to establish and maintain effective complaint mechanisms for employees so that they can report incidents that may violate ESG standards.

If you have any concerns about violations or misconduct that violate our standards, please visit B. Braun's compliance website and ask your questions at https://www.bbraun.com/en/about-us/responsibility/compliance.html