Climate Change Data

Environmental Metrics

ESG Focus Areas

• Environmental
• Social
• Governance

Environmental Achievements

• Clean production and power-saving initiatives decreased 22,028.8 tons CO2e throughout the company
• Total water consumption in Taiwan decreased by 15.58% in 2022
• Total power saving at the plants in Taiwan and Mainland China reached 5.20%
• Steelmaking, steel rolling mill, cold-finishing processes are improved to reduce carbon emissions (Yenshui Plant) by 551 Mt-CO2e
• Water saving (m3) 20,958 (Yenshui Plant)

Social Achievements

• Provided higher average annual compensation for female employees than that for male employees in both Mainland China and Taiwan
• Enabled 75% of the employees on unpaid maternity leave in 2022 to return to work after leave
• Continued supporting local environment improvement, disinfection, and environmental protection volunteerism in plant communities
• Commenced the 2nd phase of the Light Up the Corners Throughout Taiwan Project to help perfect facility and teacher quality at 5 elementary and junior high schools

Governance Achievements

• Effective implementation of the Taiwan Intellectual Property Management System (TIPS) has earned Class A certification
• Established the Rules Governing the Preparation and Filing of Sustainability Reports to include the operational procedure for sustainability report preparation and validation into the company internal control system
• Implemented the ISO 27001 Information Security Management System in 2022 and obtained third-party certification

Climate Goals & Targets

Environmental Challenges

• Economic volatility, geopolitical conflicts, shifting competitive landscapes, escalating trade barriers
• Various environmental issues such as climate change, environmental protection, and energy conservation
• Russia-Ukraine war, geopolitics, inflation, environmental sustainability issues, and the demand for new energies

Mitigation Strategies

• Enhancing core capabilities by utilizing technology to pursue digital transformation and smart manufacturing
• Strengthening its TCFD framework implementation to dynamically assess the opportunities and risks in the framework for long-term transformation strategy development
• Strengthening production process and equipment performance optimization
• Investment in energy creation, storage, transportation, and utilization to cope the challenges from ever-changing business environments, climate change, and environmental protection issues

Supply Chain Management

Supplier Audits: 7 onsite visits (Wire and Cable Business); 4 onsite visits (Stainless Steel Business)

Responsible Procurement

• Supplier Management Commitment
• Supplier Code of Conduct
• Green procurement practices
• Local procurement

Climate-Related Risks & Opportunities

Physical Risks

• Extreme climate events

Transition Risks

• Carbon fees or taxes

Opportunities

• Development of energy-efficient products
• Opportunities in green energy sector

Reporting Standards

Frameworks Used: GRI Standards, SASB standards, TCFD recommendations, Rules Governing the Preparation and Filing of Sustainability Reports by TWSE Listed Companies

Certifications: ISO 14001, ISO 14064-1, ISO 14067, ISO 45001, ISO 46001, ISO 50001, ISO 27001, IATF 16949, TIPS Class A certification

Third-party Assurance: Deloitte & Touche (Limited Assurance Report)

UN Sustainable Development Goals

• 4 Quality Education
• 5 Gender Equality
• 6 Clean Water and Sanitation
• 7 Affordable and clean energy
• 8 Decent work and economic growth
• 9 Industry, innovation and infrastructure
• 11 Sustainable cities and communities
• 12 Responsible consumption and production
• 13 Climate action
• 15 Life on land
• 16 Peace, justice and strong institutions
• 17 Partnerships for the goals

The report details how Walsin Lihwa's initiatives contribute to each of these SDGs.

Sustainable Products & Innovation

• PV cables for solar power plants
• DC & HV cables for offshore wind turbine towers
• Lightweight lines for port machinery
• EV charging plugs
• High-performance green stainless steel products

Awards & Recognition

• Taiwan Corporate Sustainability Award (7 consecutive years)
• Taiwan Top-100 Sustainability Model Company Award (2022)
• Platinum award for sustainability report
• Bronze award for English version of report
• FTSE4Good TIP Taiwan ESG Index (4 times)
• Taiwan Corporate Governance 100 Index (5 times)
• Taiwan Employment Creation 99 Index (3 times)
• TIPS Class A certification
• CommonHealth Magazine's Corporate Health Responsibility awards