Universal Scientific Industrial (Shanghai) Co., Ltd.

Climate Impact & Sustainability Data (2022, 2023-01-01 to 2023-12-31)

Reporting Period: 2022

Environmental Metrics

Total Carbon Emissions:242,829.66 tCO2e/year (Scope 1+2+3)

Scope 1 Emissions:5,385.74 tCO2e/year

Scope 2 Emissions:242,123.35 tCO2e/year

Scope 3 Emissions:10,473,941.30 tCO2e/year

Renewable Energy Share:81.6%

Total Energy Consumption:1,095,673.30 GJ/year

Water Consumption:1,068.173 ML/year

Waste Generated:10,832.00 t/year (Hazardous + Non-Hazardous)

Carbon Intensity:Not disclosed

ESG Focus Areas

Governance
Social
Environmental

Environmental Achievements

Reduced water use intensity by 28.5% from the 2015 baseline.
Recycled 78.1% of process water.
Purchased certified renewable energy to offset carbon dioxide emissions.
100% renewable energy use in Mainland China Facilities and 50% in Mexico Facility.
Solar panels generated 2,142 MWh of renewable energy.
Reached 92.5% recycling rate for non-hazardous waste.
Reduced 828 metric tonnes of waste through pallet and packaging material recycling, saving CNY 36.65 million.
Banned use of certain materials to minimize environmental impact.
Used 87% recyclable or reusable materials in designing mechanical products (33,362 kg).
Reduced CO2 emissions by saving 22,023 MWh of electricity (equivalent to 14,191 metric tonnes of CO2).
0 days of production interruptions due to climate-related disasters.

Social Achievements

Invested in 5 rural revitalization programs, benefiting 1,838 students.
Donated 268 Chinese New Year's Eve dinners to disadvantaged elders.
Held 51 health activities with 8,611 participants.
Provided medical and emergency support for employees on business trips.
Donated 767 boxes of books to the Philanthropic Libraries.
Built 3 computer classrooms, benefiting 2,444 students.
Trained 1,118 USIU internal lecturers.
Supported 157 employees to take advanced studies.
Increased percentage of females in senior management positions.
Starting salaries for direct laborers are higher than local minimum wages.
Provided 18,267 job opportunities worldwide with 95% local hires.
Employed 83 people with disabilities and 703 ethnic minorities.

Governance Achievements

A-level rating of information disclosure in the SSE.
Received 2022 Board Office Best Practices Award.
Included in SSE Corporate Governance Index.
Implemented enterprise risk management assessment.
Established email protection mechanism and Threat Intelligence System.
Established Sunshine Conduct Policies and Anti-Corruption Management Measures.
No corruption or bribery instances found.
No major fines or violations related to anti-competitive practices.

Climate Goals & Targets

Long-term Goals:

Net-zero carbon emissions by 2050

Medium-term Goals:

100% renewable energy use by 2035

Short-term Goals:

Not disclosed

Environmental Challenges

Geopolitical issues affecting supply chains.
Energy and price spikes leading to inflation.
Extreme climate disasters.
COVID-19 impact on the electronics production chain.
Expansion of production capacity leading to increased water consumption and GHG emissions.

Mitigation Strategies

Applied glocalization strategy to reduce impacts of production capacity.
Developed new energy vehicle power systems and power modules.
Improved equipment and technology to recycle water.
Implemented GHG reduction policy, including purchasing certified renewable energy.

Supply Chain Management

Supplier Audits: 81 suppliers/contractors on-site audited for sustainability risks

Responsible Procurement

Conflict-free minerals requirements (100% compliance)
Sustainability assessment for new suppliers (100% passed)
Local procurement rate (43%)
Sustainable Value Chain Webinar

Climate-Related Risks & Opportunities

Physical Risks

Extreme climate disasters

Transition Risks

Not disclosed

Opportunities

Development of new energy vehicle power systems and power modules

Reporting Standards

Frameworks Used: TCFD

Certifications: ISO 14064-1, ISO 45001, Green Factory Certification (Nantou-NK 1)

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

Not disclosed

Not disclosed

Sustainable Products & Innovation

Eco-design products (82% of revenue)

Awards & Recognition

2022 AUO Supplier Intelligent Supply Chain Contribution Award
2022 Board Office Best Practices Award
2022 EcoVadis Silver Sustainability Rating

Reporting Period: 2023-01-01 to 2023-12-31

Environmental Metrics

Total Carbon Emissions:207,835.48 tCO2e/year (Scope 1 & 2)

Scope 1 Emissions:5,265.23 tCO2e/year

Scope 2 Emissions:202,570.24 tCO2e/year

Scope 3 Emissions:7,875,718.63 tCO2e/year

Renewable Energy Share:82%

Total Energy Consumption:1,076,169.2 GJ/year

Water Consumption:Not disclosed

Waste Generated:Not disclosed

Carbon Intensity:3.89 metric tonnes of CO2e per million CNY of turnover in 2023