CapitaLand China Trust - Sustainability Report 2021

Materiality As CLCT is a CLI-sponsored REIT, CapitaLand’s ESG material issues have been deemed material and applicable to CLCT’s business and operations. CapitaLand has a regular review, assessment and feedback process in relation to ESG topics. Key to this is an annual CapitaLand-wide Risk and Control Self- Assessment exercise which entails the identification, assessment and documentation of material risks and corresponding internal controls. These material risks include fraud and corruption, environmental (e.g. climate change), health and safety, and human capital risks which are ESG-relevant. Guided by the 2030 Sustainability Master Plan, CapitaLand elevated its commitment to global sustainability in the built environment, identifying and reviewing material issues that are most relevant and significant to CapitaLand and its stakeholders. With the restructuring of CapitaLand into CapitaLand Investment Limited (CLI) and CapitaLand Development Pte. Ltd. (CLD), these ESGmaterial issues are prioritised based on the likelihood and potential impact of issues affecting business continuity of CLI. The Board of the Manager of CLCT is responsible for reviewing these material ESG factors and takes them into considerationwhen determining CLCT’s strategic direction and priorities. The Board also oversees the management and monitoring of the material ESG factors. For external stakeholders, priority is given to issues important to the society and applicable to CLI. For more information on stakeholder engagement, please refer to the Social and Relationship Capital chapter on page 33 to 36 of this ISR. PRIORITISATION OF ESG MATERIAL ISSUES CRITICAL • Climate change and carbon reduction • Energy efficiency • Water management MODERATE AND EMERGING • Waste management • Biodiversity CRITICAL • Occupational health & safety • Human capital • Stakeholder engagement • Supply chain management • Diversity (board and staff) MODERATE AND EMERGING • Human rights CRITICAL • Products and services (incl. customer health and safety) • Compliance • Business ethics MATERIAL ESG FACTORS/INDICATORS Environmental Governance Social / Labour Practices CapitaLand China Trust 12