Climate Change Data

Environmental Metrics

ESG Focus Areas

• Sustainability
• Environmental Protection
• Corporate Social Responsibility (CSR)

Environmental Achievements

• Received recognition for achievements in sustainability, environmental protection and corporate social responsibility (CSR) from CommonWealth Magazine, TCSA and EPA of Executive Yuan Taiwan in 2019.
• Awarded from 「Top 50 Taiwan Corporate Sustainability Awards 」 of 2019 Taiwan Corporate Sustainability Awards (TCSA), the Honorary Environmental Protection Enterprise Award & Gold grade Award of the 1st National Enterprise Environmental Protection Award and 2019 CommonWealth’s CSR Corporate Citizens Award.
• Implemented ISO 140001 environmental management system since 1997 and QC-080000 products hazardous substances process management system certification in 2012.
• Promoted environmental protection related system verification in environmental friendliness, including ISO14067 carbon footprint, ISO14046 water footprint, ISO50001 energy management system, ISO14051 material flow cost accounting.

Social Achievements

• Complied with local labor laws and, according to the international labor and human rights standards of "Responsible Business Alliance" (RBA), incorporated humanized management.
• Established a reasonable employee welfare policy (including compensation, vacation and other benefits).
• Promoted the OHSAS 18001 occupational safety and health management system to enhance employees' safety.
• Offered a complete six category of courses for employee training.

Governance Achievements

• Increased the number of independent directors to 5 and setting up functional committees, independent directors are appointed as members of the committee.
• Established Audit Committee on June 28, 2007.
• Established Remuneration Committee on March 29, 2012.
• Amended the Company's Articles of Incorporation in the 2019 Annual Shareholders’ Meeting to stipulate the nomination system for the selection of directors (including independent directors) and established the board performance evaluation method in 2020.

Climate Goals & Targets

Environmental Challenges

• More business and operating challenges caused by political and economic uncertainties from US/China tariffs and trade disputes.
• Severe industrial environments and challenges.
• Uncertain outlook of Macroeconomics.

Mitigation Strategies

• Cautiously stable operating strategy, in line with industry trend and customer requirements.
• Focus on the core technology development and innovation, to cooperate with customers for reducing operating costs.
• Focus on the niche market about automotive electronics and industrial electronics, as well as high-growth markets about smart mobile devices.
• Driving higher efficiency and profit through increased AI and automation to further reduce the operating cost to be able to drive growth in revenue and profitability.

Supply Chain Management

Responsible Procurement

• Follow the purpose of the RBA and the relevant guidelines to investigate whether it has the concept of environmental protection and corporate responsibility, occupational safety and health, good corporate citizenship

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: GRI Standards

Certifications: ISO 9002, ISO 14001, QS 9000, ISO 9001:2000, ISO/TS 16949:2002, ISO/TS 16949:2002, ISO 14064, ISO 50001, ISO 14051, OHSAS 18001, IATF 16949, QC 080000, ISO 17025, ISO 27001, ANS/ESD S20.20, ISO 26262

Third-party Assurance: BSI Taiwan

Awards & Recognition

• Top 50 Taiwan Corporate Sustainability Awards
• Honorary Environmental Protection Enterprise Award
• Gold grade Award of the 1st National Enterprise Environmental Protection Award
• 2019 CommonWealth’s CSR Corporate Citizens Award
• Excellent Organization of Adoption of Air Quality Purification Area
• 25th to 27th ROC Enterprise Environmental Protection Award
• 1th National Enterprise Environmental Protection Award
• Workplace Safety and Health Excellent Unit Safety Model
• Environmental Protection Excellence Project
• Excellent Green Purchasing Enterprise
• High-Quality Unit for Road Recognition

Environmental Metrics

ESG Focus Areas

• Climate Change
• Biodiversity
• Sustainable Supply Chain
• Green Manufacturing
• Water Resource Management

Environmental Achievements

• Reduced Scope 1 and 2 emissions intensity by 1.78% in 2022.
• Achieved 1.58% reduction in greenhouse gas emissions intensity in 2023.
• Reduced carbon emissions by 1.17% in 2022.
• 98% of greenhouse gas emissions covered in 2022.
• Completed carbon footprint assessment for 10 product series in 2022.
• 74.14% of waste molding resin reused in 2022.
• 100% reuse of inorganic sludge.

Social Achievements

• Launched employee well-being programs.
• 82% of suppliers completed CSR assessments in 2023 (99 suppliers).

Governance Achievements

• Established anti-corruption training for all employees.
• Implemented TCFD and TNFD recommendations.
• Established risk management system.

Climate Goals & Targets

Environmental Challenges

• Supply chain disruptions due to climate events.
• Climate-related physical and transition risks.
• Water resource management.
• Biodiversity impacts.

Mitigation Strategies

• Developed alternative sourcing strategies.
• Implemented risk mitigation strategies.
• Developed sustainable development plans.
• Established flood prevention systems.
• Strengthened building water resistance.
• Implemented water resource efficiency management system (ISO 46001).

Supply Chain Management

Supplier Audits: 82% coverage in 2023 (99 suppliers)

Responsible Procurement

• Code of conduct
• Supplier sustainability requirements
• Green procurement

Climate-Related Risks & Opportunities

Physical Risks

• Extreme weather
• Flooding

Transition Risks

• Regulatory changes
• Market shifts

Opportunities

• Development of energy-efficient products

Reporting Standards

Frameworks Used: TCFD, TNFD, CDP, SBT

Certifications: ISO 14001, ISO 14064-1, ISO 50001, ISO 14067, ISO 46001, Green Factory Label

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• SDG 6
• SDG 7
• SDG 11
• SDG 12
• SDG 13

Initiatives contribute to these goals through water conservation, renewable energy use, sustainable cities, responsible consumption and production, and climate action.

Sustainable Products & Innovation

• Not disclosed

Awards & Recognition

• Green Factory Label (2022)

Environmental Metrics

ESG Focus Areas

• Environmental
• Social
• Governance

Environmental Achievements

• Hsinchu fab. was awarded the “Green Factory” label.
• Subsidy Program for Low-Carbon and Smart Upgrading Transformation of the Manufacturing Industry with Large Firms Leading Small Firms has been approved by Industrial Development Administration Ministry of Economic Affairs in 2023
• Honored the “Occupational Health and Safety Indicators Disclosed in the Corporate Sustainable Reports Top 10% Outstanding Corporate in the Listing Electronic Companies Award” by Occupational Safety and Health Administration, Ministry of Labor.

Social Achievements

• Continuously awarded 2023 TCSA “Top 100 Corporates” and “Corporate Sustainable Report - Platinum Grade”.
• Ranked among the top 5% of all TWSE-listed companies for two consecutive years.

Governance Achievements

• Continuously awarded 2023 TCSA “Top 100 Corporates” and “Corporate Sustainable Report - Platinum Grade”.
• Ranked among the top 5% of all TWSE-listed companies for two consecutive years.

Climate Goals & Targets

Environmental Challenges

• Demand softness and customer destocking impacted 2023 results, including revenue and profit decline compared to 2022.

Mitigation Strategies

• Cautiously stable operating strategy, in line with industry trend and customer requirements.
• Expanding core technologies and product developments.
• Investing in the automation and intellectualization of production lines to maintain growth momentum and improve profitability.
• Strictly control the capital expenditure related to capacity expansion except the necessary green energy investment, plant renovation, quality improvement and R&D activities.

Supply Chain Management

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: TCSA

Awards & Recognition

• 2023 TCSA “Top 100 Corporates”,
• “Corporate Sustainable Report - Platinum Grade”