Modern Slavery Statement

1. Our Commitment

Baoli Forklifts, as part of the KION Group, is committed to operating ethically and responsibly across South and Southeast Asia. We have a zero-tolerance approach to modern slavery, human trafficking, forced labour, and child labour in all forms, whether within our own operations or our supply chains.

This statement outlines the steps we take to identify, prevent, and mitigate the risks of modern slavery in our business and supply chains across the region.

2. Our Business and Supply Chain

Baoli Forklifts designs, manufactures, and distributes material handling equipment — including electric and internal combustion forklifts, pallet trucks, reach trucks, and stackers — across South and Southeast Asia. Our operations span countries including Singapore, Malaysia, Indonesia, Thailand, Vietnam, the Philippines, India, and Bangladesh.

Our supply chain includes component manufacturers, logistics providers, dealers, and service partners across the Asia-Pacific region. We recognise that the manufacturing and logistics sectors can present heightened risks of labour exploitation, and we are committed to addressing these risks proactively.

3. Policies and Governance

We maintain the following policies to support our commitment to ethical labour practices:

• Code of Conduct: All employees, dealers, and suppliers are expected to uphold ethical standards, including the prohibition of forced and child labour
• Supplier Code of Conduct: Suppliers must comply with all applicable labour laws and demonstrate that workers are employed voluntarily and treated fairly
• Whistleblower Policy: Employees and partners can report suspected modern slavery or unethical practices confidentially and without fear of retaliation
• Human Rights Policy: Aligned with the UN Guiding Principles on Business and Human Rights and the ILO core conventions

4. Risk Assessment

We conduct ongoing risk assessments of our supply chain, with particular focus on countries and sectors within South and Southeast Asia where the risk of modern slavery may be higher. Key risk areas we monitor include:

• Raw material sourcing and component manufacturing in the region
• Logistics and transportation providers, particularly cross-border operations
• Recruitment practices, including the use of labour brokers and recruitment agencies
• Working conditions, wages, and freedom of movement for workers

5. Due Diligence and Supplier Management

We require suppliers to undergo due diligence assessments that include labour and human rights criteria. Our process involves:

• Pre-engagement screening of new suppliers, including self-assessment questionnaires on labour practices
• Contractual obligations requiring compliance with our Supplier Code of Conduct and applicable anti-slavery laws
• Regular audits and site visits for higher-risk suppliers, with corrective action plans where issues are identified
• Training for procurement and supplier management teams on identifying and addressing modern slavery risks

6. Training and Awareness

We provide training to our employees, particularly those in procurement, supply chain, and dealer management roles, to help them recognise the signs of modern slavery and understand their responsibilities. We also raise awareness among our suppliers and partners about our expectations and the importance of ethical labour practices.

7. Reporting and Remediation

If we identify or are made aware of any instance of modern slavery within our operations or supply chain, we are committed to taking swift and appropriate action. This may include:

• Investigating the report thoroughly and confidentially
• Working with the supplier to implement corrective actions and support affected workers
• Terminating relationships with suppliers who fail to meet our standards or refuse to remediate
• Reporting to and cooperating with relevant authorities in the applicable country

8. Regional Context

We recognise that South and Southeast Asia presents specific challenges related to labour rights, including migrant labour, informal employment, and cross-border trafficking. We are committed to working collaboratively with local authorities, NGOs, and industry partners to address these challenges and promote fair labour practices across the region.

9. Continuous Improvement

We are committed to continuously improving our approach to identifying and addressing modern slavery risks. We review our policies, processes, and supplier relationships regularly and update our practices in response to new information, regulatory changes, and stakeholder feedback.

10. Contact

For questions about this Modern Slavery Statement or to report a concern, please contact your local Baoli dealer or reach out through our Contact page. Reports can be made confidentially and will be handled with sensitivity.