Kian Shen Corporation
Climate Impact & Sustainability Data (2022, 2023)
Reporting Period: 2022
Environmental Metrics
Total Carbon Emissions:3,695 tCO2e/year
Scope 1 Emissions:Not disclosed
Scope 2 Emissions:Not disclosed
Scope 3 Emissions:Not disclosed
Renewable Energy Share:Not disclosed
Total Energy Consumption:Not disclosed
Water Consumption:16,408 tons/year
Waste Generated:188.7 tons/year
Carbon Intensity:Not disclosed
ESG Focus Areas
- Environmental Protection
- Occupational Safety and Health
- Ethical Corporate Management
- Sustainable Development
- Human Rights
Environmental Achievements
- Reduced greenhouse gas emissions by 1% from 3,733 tons in 2021 to 3,695 tons in 2022.
- Reduced water consumption by 16% from 19,584 tons in 2021 to 16,408 tons in 2022.
- Reduced waste disposal volume by 15% from 222.9 tons in 2021 to 188.7 tons in 2022.
- Achieved energy savings of 160,002 kilowatt hours in 2022 despite a 1.9% increase in overall electricity consumption.
Social Achievements
- Implemented various employee welfare measures including travel subsidies, language learning subsidies, annual health checks, scholarships, and maternity bonuses.
- Maintained a safe working environment, achieving "zero" workplace disasters in 2022.
- Provided 6,893 hours of employee training in 2022 at a cost of NT$404,000.
- Average proportion of female employees in 2022 was 17%, and the average proportion of female supervisors was 13%.
Governance Achievements
- Established an Audit Committee in 2022.
- Implemented "Management Procedures for Preventing Insider Trading".
- Established a whistleblower system with clear reporting channels and confidentiality mechanisms.
- Formulated and implemented an ethical corporate management policy approved by the board of directors.
Climate Goals & Targets
Long-term Goals:
- Expand into international markets.
Medium-term Goals:
- Compete for business from other domestic car manufacturers.
- Explore opportunities for mold and component output.
- Expand business beyond the vehicle sector.
- Develop expertise in green energy components.
Short-term Goals:
- Achieve annual sales targets.
- Improve production capacity to meet electric bus orders.
Environmental Challenges
- Global chip shortage impacting production of vehicle manufacturers.
- Supply chain disruptions.
- COVID-19 outbreak in China affecting reinvested companies.
- Unsettled war between Russia and Ukraine, rising energy and raw material prices, inflation, and interest rate hikes impacting global economic outlook.
- Fiercer price competition in the automotive market due to the emergence of new energy vehicles.
Mitigation Strategies
- Maintaining stable supply of existing products and cooperating with customers on new car model development.
- Strengthening research and sales advantages of electric bus shells and actively developing new customers and businesses.
- Reinvested companies aiming to maintain operational performance by complying with customer sales plans, concentrating resources, increasing best-selling car models, and setting challenging goals for cost reduction and expense control.
- Implementing various energy-saving and carbon reduction measures.
- Diversifying procurement sources and vigorously striving for various vehicle shell businesses to expand new businesses and markets, and reduce the risk of excessive concentration of suppliers and customers.
Supply Chain Management
Supplier Audits: Occasional visits and symposiums
Responsible Procurement
- Supplier compliance with environmental protection, occupational safety and health, and labor human rights specifications.
Climate-Related Risks & Opportunities
Physical Risks
- Not disclosed
Transition Risks
- Not disclosed
Opportunities
- Development of energy-efficient products
Reporting Standards
Frameworks Used: GRI 101: Basic 2016, GRI 303 Water and Drainage: 2018, GRI 403 Occupational Safety and Health: 2018, 2019 GRI 207, GRI 306
Certifications: ISO9002, QS9000, ISO14001, OHSAS18001, TS-16949, ISO45001
Third-party Assurance: Not disclosed
UN Sustainable Development Goals
- Not disclosed
Not disclosed
Sustainable Products & Innovation
- Electric bus shells
Awards & Recognition
- Outstanding Occupational Safety and Health Management Demonstration Team Award (2002)
- Industrial Sustainable Elite Award (2004)
- Five Star Award for National Excellent Units in Promoting Labor Safety and Health (2004)
- Outstanding R&D Alliance Award (2009)
- Excellent Manufacturer’s Design and Development Excellent Performance Award (2011)
- Excellent Manufacturer’s Excellent Overall Performance Award (2014)
- ISO14001 Environmental Sustainability Award (2016)
- Health Workplace Certification Mark (2021)
Reporting Period: 2023
Environmental Metrics
Total Carbon Emissions:3,570 tCO2e/year
Scope 1 Emissions:Not disclosed
Scope 2 Emissions:Not disclosed
Scope 3 Emissions:Not disclosed
Renewable Energy Share:Not disclosed
Total Energy Consumption:Not disclosed
Water Consumption:16,010 tons/year
Waste Generated:220.07 tons/year
Carbon Intensity:Not disclosed
ESG Focus Areas
- Environmental Protection
- Occupational Safety and Health
- Ethical Corporate Management
- Corporate Governance
Environmental Achievements
- Reduced greenhouse gas emissions by 3% from 3,695 tons in 2022 to 3,570 tons in 2023.
- Reduced water consumption by 2% from 16,408 tons in 2022 to 16,010 tons in 2023.
- Saved 131,034 KWH of power in 2023 through energy-saving improvements.
- Obtained ISO-14001:2015 environmental management system certification.
Social Achievements
- Implemented various employee welfare measures, including domestic and foreign tour assistance, language learning subsidies, annual health checks, scholarships, and maternity bonuses.
- Achieved equal pay for equal work and equal promotion opportunities for men and women.
- Maintained a safe and healthy working environment, with no major disasters or fires in 2023.
- Conducted regular safety and health education for employees, including a general health examination for 256 employees and a lung function and hearing examination for 236 employees.
Governance Achievements
- Established an Audit Committee in 2022.
- Formulated and disclosed corporate governance best practice principles.
- Established a whistleblower system.
- Implemented risk control and firewall mechanisms with affiliated enterprises.
Climate Goals & Targets
Long-term Goals:
- Master future development trends of green energy components of car factories.
- Develop self-developed parts and components for the aftermarket and after-sales service markets.
Medium-term Goals:
- Continuously compete for business from other domestic car manufacturers.
- Monitor domestic and international industry trends and promote opportunities for mold and component output.
- Expand business of platform deck products beyond the vehicle business.
Short-term Goals:
- Implement annual strategy to achieve annual sales targets.
- Improve production capacity to meet increasing domestic production of electric buses.
Environmental Challenges
- Insufficient inventory of central plants affecting vehicle frame delivery volume.
- Massive price cuts by local car makers in mainland China affecting sales of Japanese car makers and investees.
- Intense market and price competition due to the rapid increase in the penetration rate of new energy vehicles.
- Limited growth of the domestic automotive market and high cost of developing automotive parts and molds.
Mitigation Strategies
- Put new equipment online and moved some outsourced parts back to the factory to expand production scale and improve production efficiency.
- Actively reduced the purchase cost of materials and improved operating efficiency and quality.
- Saved various expenses to ensure profits.
- Focused resources and increased production of best-selling models.
- Set challenging targets for cost reduction and expense control.
- Actively expanding the source of customers and products in the after-sales service market export of frames for mid-size buses.
Supply Chain Management
Supplier Audits: Occasional visits and symposiums
Responsible Procurement
- ISO 9001 quality management system certification requirement for suppliers.
- Requirement for suppliers to avoid, reduce, or control the generation and discharge of pollutants or waste.
- One-year contract system with termination clauses for non-compliance.
Climate-Related Risks & Opportunities
Physical Risks
- Extreme climate disasters (typhoons, floods, droughts) reducing or interrupting production capacity.
- Water shortage during dry seasons.
Transition Risks
- Inability to innovate technology with market demand.
- Market shifts due to consumer preference for environmentally friendly products.
- Fluctuations in energy prices affecting production and operating costs.
Opportunities
- Development of energy-efficient products and services.
- Increased demand for electric vehicles and their supporting measures.
Reporting Standards
Frameworks Used: GRI 101: Basic 2016, GRI 303 Water and Drainage: 2018, GRI 403 Occupational Safety and Health: 2018, 2019 GRI 207, GRI 306
Certifications: ISO9002, QS9000, ISO14001, OHSAS18001, TS-16949, ISO45001, ISO 27001
Third-party Assurance: Not disclosed
Sustainable Products & Innovation
- Electric bus frame and hydrogen energy frame
- Hotai hydraulic tailgate and aluminum rear body
- 40-foot container pallet
Awards & Recognition
- Outstanding Occupational Safety and Health Management Demonstration Team Award (2002)
- Industrial Sustainable Elite Award (2003)
- Five Star Award for National Excellent Units in Promoting Labor Safety and Health (2004)
- Health Workplace Certification Mark (2019)