KLN Receives Dual ESG Rating Upgrades and Earns Special Recognition at HKICPA Best Corporate Governance & ESG Awards 2025
KLN Logistics Group Limited announced a series of significant achievements highlighting its leadership in sustainable development and high-quality corporate governance. The company has received notable upgrades in its environmental, social and governance (ESG) ratings from two globally recognized evaluators—MSCI and Hang Seng Indexes. KLN has now earned an AA rating under the MSCI ESG Rating framework and an A+ rating under the Hang Seng Corporate Sustainability Index Series (2025–2026). These recognitions demonstrate the Group’s exceptional performance as a sustainability-driven logistics operator.
In addition, KLN received a Special Mention in the Main Categories section of the HKICPA Best Corporate Governance and ESG Awards 2025, organized by The Hong Kong Institute of Certified Public Accountants (HKICPA). This commendation reinforces KLN’s position among leading Hong Kong-listed companies for excellence in corporate governance, transparency, and ESG reporting.
Together, these accolades reflect KLN’s commitment to adopting responsible business practices, enhancing risk management, and embedding sustainability across its operations and long-term strategies.
Dual ESG Rating Upgrades Reflect Strong Sustainability Execution
One of KLN’s most noteworthy accomplishments in 2025 is its upgrade from an A to AA rating under the MSCI ESG Rating system. This result places KLN among top-performing companies within the global logistics industry. The MSCI ESG Rating is widely used by institutional investors to evaluate companies’ exposure to ESG risks and their capacity to manage those risks with robust strategies and frameworks.
KLN’s upgrade recognizes its continued progress in improving environmental management, workplace safety, supply chain oversight, and ethical governance structures. Key contributing initiatives included strengthened transparency in ESG data disclosure; expanded initiatives in greenhouse gas (GHG) emissions reduction; and proactive engagement with employees, customers, and communities to drive shared value. MSCI’s assessment underscored KLN’s leadership in advancing sustainable logistics as well as in mitigating long-term sustainability risks.
Further adding to this success, KLN’s rating under the Hang Seng Corporate Sustainability Index Series (2025–2026) advanced from A to A+. The Hang Seng Sustainability Index evaluates Hong Kong-listed companies based on performance in environmental conservation, social responsibility, and governance quality, while emphasizing alignment with international standards. The upgrade indicates a strong positive trajectory in KLN’s responsible management practices, reflecting continuous improvement and a commitment to acting in the best interest of all stakeholders.
These dual upgrades reinforce the Group’s sustained progress and reaffirm its leading role within the regional and global logistics industry. They also demonstrate KLN’s ability to integrate ESG considerations into its long-term business model—implementing impactful strategies and reporting practices that achieve both operational and sustainability outcomes.
Recognition from HKICPA Highlights Governance Transparency and ESG Excellence
KLN’s achievements in 2025 extend beyond ESG rating agencies. The Group received a Special Mention at the HKICPA Best Corporate Governance and ESG Awards 2025. The recognition was awarded under the Main Categories section and highlights companies demonstrating exceptional governance, disclosure quality, and ESG implementation.
The HKICPA Awards, organized annually since 2000, serve as the leading benchmark for governance and sustainability performance among Hong Kong organizations. The program recognizes both public and private sector institutions that demonstrate exemplary disclosure standards and innovative, effective implementation of ESG practices. Since 2011, the Awards have included assessment of ESG quality, making them an important regional standard for corporate transparency and responsible business conduct.
KLN’s Special Mention underscores its advancements in ESG reporting, its clear communication with stakeholders, and its consistency in adopting sound governance measures. Through this recognition, KLN demonstrates credibility as a responsible company capable of mitigating risks, protecting shareholder interests, and actively contributing to sustainable economic development.
Commitment to Environmental Stewardship and Sustainable Supply Chains
KLN’s ESG philosophy is driven by a belief that sustainability is both a strategic imperative and a competitive advantage. The Group has been proactive in integrating environmental responsibility into its operating framework, focusing on areas such as carbon emissions management, energy efficiency, and waste reduction. As logistics networks face increasing pressure to reduce their environmental footprint, KLN has prioritized technological innovation and infrastructure that enable low-carbon freight solutions.
Through initiatives such as adopting greener transportation modes, optimizing route planning, and introducing energy-saving facility upgrades, KLN continues to reduce emissions intensity across its operating landscape. At the same time, the Group engages with partners and suppliers to encourage similar standards, helping ensure that sustainability values are embedded throughout the broader supply chain ecosystem.
KLN recognizes that long-term success requires ongoing adaptation to global environmental challenges. Its commitment to innovation in sustainable logistics demonstrates readiness to play a pivotal role in shaping a climate-conscious future for the industry.
Strengthening Social and Stakeholder Engagement
Beyond environmental stewardship, KLN places strong emphasis on social responsibility, community engagement, and employee well-being. The Group invests in talent development by providing training, professional growth opportunities, and diverse, safe work environments. KLN promotes inclusion and equal opportunity, ensuring that employees at every level feel valued and supported.
Stakeholder engagement is further enhanced through meaningful dialogue with clients, partners, employees, regulators, and community groups. The organization understands that trust and transparency are critical to long-term business resilience. KLN’s consistent effort to communicate openly—particularly through its high-quality sustainability reports and stakeholder engagements—helps strengthen these collaborative relationships.
Elevating Governance Standards to Support Sustainable Growth
Corporate governance remains central to KLN’s operating integrity. The Group has implemented comprehensive frameworks to manage risks, maintain compliance, monitor ethical conduct, and enhance board oversight.
These initiatives include clear delineation of board responsibilities; strong internal controls; independent oversight; and robust policies on data protection, business ethics, and anti-corruption. KLN’s governance approach ensures transparent decision-making, protects stakeholder interests, and aligns business strategy with long-term sustainability objectives.
Continuous improvement in governance practices contributes directly to the company’s strong ESG performance—driving its recent award recognitions and rating upgrades.
Executive Statement: Integrating Sustainability at the Core
Ellis Cheng, Executive Director and Chairman of the Sustainability Committee of KLN, emphasized the strategic importance of these recognitions.
“We are proud of the Awards and the dual rating upgrades, which highlight the successful execution of our sustainability strategy and governance across global operations. By advancing our environmental stewardship commitments, enhancing transparency, and strengthening stakeholder engagement, we further embed sustainability into KLN’s core business. We are committed to pioneering green logistics innovations and contributing to a resilient, low-carbon future for global supply chains.”
Cheng’s remarks reflect KLN’s holistic approach to integrating sustainability into business operations—not as a standalone initiative, but as a core value that guides decision-making and operational excellence.
KLN’s recent achievements—ESG rating upgrades and recognition from HKICPA—solidify its position as a forward-thinking, sustainability-oriented logistics leader. The Group will continue to build on these results, maintaining transparency, aligning with global ESG frameworks, and investing in technologies and initiatives that enable greener supply chains.
These recognitions highlight not only KLN’s strong performance today, but also its capacity to contribute to a more sustainable, responsible logistics industry in the future.