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www.huawei.com HUAWEI TECHNOLOGIES CO., LTD.

Huawei Reverse

Strategy under

Circular Economy

Anders Karlborg

Head of Global Logistics

Supply Chain Management

Huawei Technologies Co., Ltd.

HUAWEI TECHNOLOGIES CO., LTD. Huawei Confidential 2

HUAWEI

HUAWEI

Reverse

Recycling

Supplier

Huawei Reverse Strategy under Circular Economy

Use

Re-

Manufacture

②Second Life- Resell

①Life Extension- Reuse

•CE Business Model – 4R Huawei Reverse Model

③Remanufacture

④Recycling

①

②

③

④

Re-use

Evaluated and

Categorised

Production

Reuse

Internal

Reuse

Resell

Material Waste

B2B

Channel Recycling

Dismantling

Reuse

Physical

Inspection

Pricing

B2C

Market

Sale

Manufacture

Inventory

New Used

Spare part/

R&D/Asset

Test/Repair

New Used

Landfill

Recycling Distribution Repair/

Maintenance /

Upgrade

Disposal

LTC IPD - Add DFR (design for reverse) into IPD process to support sustainable development.

HUAWEI TECHNOLOGIES CO., LTD. Huawei Confidential 3

Huawei Reverse Management Platform

• 234 reverse warehouse in

129 countries

• Function：

Collection

Storage

Distribution

• 6 Reverse Centers (Hungary,

Mexico, HK, Shenzhen, Brazil,

Dubai)

• Function

Dismantling

Repair

Testing

• 100% coverage recycling

platform

• Cooperate with TOP supplier,

and reduce the effect to the

environmental

• Function

Waste Disposal

Resell

Supplier Mgmt

Reverse Warehouse Reverse Center Recycling Platform

Process and IT

Reverse Management Platform

Organization & People

HUAWEI TECHNOLOGIES CO., LTD. Huawei Confidential 4

Resell Practice: Consumer BG B2B/B2C Resell Project

Return

Sort &

Segregate

Resell in

second hand

market/ internal

platform

Analysis Center

(No reusable)

Resell

Product

Waste (20%) Reuse (80%) Waste (10%) Reuse (80%) Resell (10%)

Return

Analysis

Center

Return Analysis

Center

2012 Return 2013 Return

HUAWEI TECHNOLOGIES CO., LTD. Huawei Confidential 5

Recycling Practice: Bangladesh Buyback Project

1. Inbound To Supplier’s Warehouse

2. Sort & Segregate

3.Dismantling

5. Raw Material

Landfill

0.31%

4. Raw Material Extract

HUAWEI TECHNOLOGIES CO., LTD. Huawei Confidential 6

Summary

Reuse Resell Recycling