Climate Change Data

Environmental Metrics

ESG Focus Areas

• Governance
• Environmental Protection
• Employee Safety
• Social Contribution

Environmental Achievements

• Reduced water consumption through the implementation of water-saving measures and recycling.
• Zero wastewater discharge due to the incineration of wastewater in a waste liquid incinerator.
• Reduced air pollutants through process improvements and high-efficiency equipment.
• Increased recycling of packaging materials by approximately 58%.

Social Achievements

• Improved employee welfare with salary adjustments, bonuses, and benefits.
• Provided training for 532 employees, totaling 951 hours.
• Oversubscribed hiring of people with disabilities and indigenous people.
• Maintained harmonious labor-management relations.

Governance Achievements

• Established a salary and remuneration committee.
• Implemented an internal audit system with no deficiencies found.
• Complied with all relevant laws and regulations.

Climate Goals & Targets

Environmental Challenges

• Competition in the unsaturated resin market due to rising manufacturing costs and the US-China trade war.
• Climate change impacts, including extreme weather events and water scarcity.
• Potential risks related to chemical transportation and storage.
• Labor shortages.

Mitigation Strategies

• Developed new products and expanded marketing channels to avoid competition in the Chinese market.
• Implemented water conservation measures and established emergency response plans for extreme weather events.
• Implemented strict chemical storage and transportation procedures with safety assessments and monitoring.
• Actively recruited new employees and encouraged employees to delay retirement.

Supply Chain Management

Supplier Audits: 18 suppliers signed CSR commitment letters

Responsible Procurement

• CSR commitment letters requiring suppliers to comply with environmental and labor standards.

Climate-Related Risks & Opportunities

Physical Risks

• Flooding
• Extreme weather events

Transition Risks

• Carbon pricing
• Regulatory changes

Opportunities

• Development of bio-based products

Reporting Standards

Frameworks Used: GRI Standards 2016

Third-party Assurance: KPMG and Kuo Fu Ho

UN Sustainable Development Goals

• Goal 1: No Poverty
• Goal 5: Gender Equality
• Goal 8: Decent Work and Economic Growth
• Goal 12: Responsible Consumption and Production
• Goal 13: Climate Action

Initiatives align with SDGs through fair wages, gender equality, environmental protection, and waste reduction.

Sustainable Products & Innovation

• Bio-based resins (12, 41, and 30 series)

Environmental Metrics

ESG Focus Areas

• Company Governance
• Environmental Protection and Employee Safety
• Employee Care
• Social Contribution

Environmental Achievements

• Greenhouse gas emission intensity of 3.82.
• 100% of in-plant waste liquid burned, with no external emissions.
• Waste gas, after in-plant processing, meets emission standards, reducing air pollution.
• No chemical substance leakage incidents occurred inside or outside the plant.

Social Achievements

• Employed 1 person with disabilities and 2 indigenous employees.
• Average and median salaries for non-managerial employees increased compared to the previous year.
• 524 employees received training, totaling 1,009 hours.
• Zero occupational injury and illness rates.

Climate Goals & Targets

Environmental Challenges

• Supply chain disruptions due to global economic and social instability.
• Extreme weather events potentially causing flooding.
• Water scarcity risks.
• Potential for supplier violations.

Mitigation Strategies

• Developed alternative sourcing strategies for key raw materials.
• Completed waterproofing work at the factory.
• Implemented water recycling and reuse measures.
• Developed ESG questionnaires for major suppliers.

Supply Chain Management

Supplier Audits: Quarterly assessment of suppliers with more than 5 deliveries per quarter. ESG questionnaires planned for 2023.

Responsible Procurement

• Supplier sustainability requirements (ESG commitment letter)

Climate-Related Risks & Opportunities

Physical Risks

• Extreme weather events (flooding)
• Water scarcity

Transition Risks

• Carbon pricing policies
• Technological changes

Opportunities

• Development of bio-based products

Reporting Standards

Frameworks Used: GRI Standards 2021, SASB, TCFD

Third-party Assurance: Limited assurance by Kuo Fu Ho Hua & Co.

UN Sustainable Development Goals

• Goal 1: No Poverty
• Goal 6: Clean Water and Sanitation
• Goal 8: Decent Work and Economic Growth
• Goal 10: Reduced Inequalities
• Goal 12: Responsible Consumption and Production
• Goal 13: Climate Action
• Goal 16: Peace, Justice and Strong Institutions

The report describes how various initiatives contribute to these SDGs.

Sustainable Products & Innovation

• Bio-based resins (12, 41, 30 series)

Environmental Metrics

Environmental Achievements

• Installed rooftop solar power system to generate its own green electricity.
• Continue to implement climate change and energy management measures, and introduce green, environmental protection, energy conservation and carbon reduction in daily operations.

Governance Achievements

• Amendment Report of the Company’s Regulations for Board of Directors Meetings; presented for approval.

Climate Goals & Targets

Environmental Challenges

• Sluggish global economy and inventory adjustment in the industry resulted in a shortage of investment and weak exports in Taiwan’s economy.
• Tepid consumer demand at home and abroad resulted in customers being less willing to place orders.
• Foreign exports exhibited decline for 18 consecutive months since August 2021.

Mitigation Strategies

• Establish an effective procurement system and raw material inventory system to obtain timely information, so as to achieve flexible sales to cope with market changes.
• Focus on product applications, accelerating the commercialization of new products and new businesses to obtain higher market value.
• Explore markets in Northeast Asia, Southeast Asia, and India with high population density and domestic demand, in order to reduce dependence on the China market for more comprehensive business growth.
• Improve sales channel strategy and deployment in the distribution channels.
• Strengthen customer base and customer relationships, and expand market share.
• Effective use of marketing intelligence to strengthen the sales forecasting skills and reduce risks.
• Continuously develop new products and key raw materials to protect its competitive advantage.
• Estimate automation solutions for labor-intensive manufacturing processes.
• Efficient production management to ensure effective delivery and credibility.

Supply Chain Management

Climate-Related Risks & Opportunities

Sustainable Products & Innovation

• Development of unsaturated polyester resin with high reactivity, heat resistance and impact strength.
• Development of polyester polyol resin with high-performance environmentally-friendly waterbased weather-resistant alkyd resin.
• Development of applications of various grades of FRP finished products.
• Development of various grades of hot melt rubber and shoe rubber products related to environmental protection.
• Development in renewable energy and biodegradable products.