Climate Change Data

Environmental Metrics

ESG Focus Areas

• Corporate Governance
• Environmental Protection
• Employee Well-being

Environmental Achievements

• Received ISO 14001 certification in 2005 and passed the audit in 2017. Received ISO 14001:2015 certification on April 22, 2020.
• Awarded the Energy Conservation and Carbon Reduction Action Mark by the Environmental Protection Agency in 2014.
• Participated in the “Clean Energy Conservation and Carbon Reduction Production Plan” of the New Taipei City Government in 2015.
• Reduced energy waste and usage through various measures (power-saving lights, replacing energy-consuming equipment, promoting a paperless office, etc.).
• Implemented lead-free processes since 2007 and gradually halogen-free processes since 2011.

Social Achievements

• Ranked in the top 5% of companies participating in the 5th Corporate Governance Appraisal.
• Certified as an iSports corporation by the Sports Administration, Ministry of Education.
• Held “Family Day” event to enhance employee leisure quality and family relationships.
• Held annual supplier conference.
• Held a one-day volunteer event to remove alien species.
• Sponsored education development in local schools (TWD 0.21 million).

Governance Achievements

• Established the “Guidelines for Evaluating the Performance of the Board of Directors” in 2019.
• Improved information transparency and protected shareholder rights and interests.
• Purchased directors and managers’ liability insurance annually.
• Formed the Audit Committee and Remuneration Committee composed of independent directors.
• Encouraged continued education of directors (total education hours of 57 in 2019).

Climate Goals & Targets

Environmental Challenges

• Highly uncertain global market and overall economic slowdown impacting the semiconductor sector.
• US-China trade war, Brexit, Japan-Korea tensions, Hong Kong protests causing downturn in economic growth.
• Plunging market demands for semiconductors leading to decreased annual revenues and average product prices.
• Oversupply of DRAM and NAND flash markets leading to revenue decrease.
• COVID-19 pandemic disrupting the industrial chain and impacting market demand.

Mitigation Strategies

• Commitment to stable and sustainable profit growth.
• Strengthened investment in the vertical market, developed diverse value-added services, and optimized user experience.
• Maintained close partnerships with suppliers to gain competitive advantages in stable supplies and purchase costs.
• Improved R&D and manufacturing capabilities to fulfill customer demands and enhance operating performance.
• Cautiously released production capacity to recover profitability.
• Developed alternative sourcing strategies and implemented inventory management to mitigate price fluctuation risks.

Supply Chain Management

Responsible Procurement

• Required suppliers to provide environmental protection commitments and RoHS test reports.
• Required suppliers to comply with RBA standards and relevant regulations.
• All contracts with suppliers include clauses on ethical management.

Climate-Related Risks & Opportunities

Physical Risks

• Natural disasters

Reporting Standards

Frameworks Used: GRI Standards

Certifications: ISO 9001, ISO 14001, OHSAS 18001, IECQ QC 080000

Third-party Assurance: BSI (British Standards Institution)

Awards & Recognition

• Taiwan Excellence Awards (multiple years)
• Golden Award for electronic information manufacturers under the category of Corporate Sustainability Report of the Taiwan Corporate Sustainability Awards (TCSA) (2018, 2019)
• Silver Award for electronic information manufacturing industry in the Corporate Sustainability Report Category of the 2017 Taiwan Corporate Sustainability Awards (TCSA)
• Energy Conservation and Carbon Reduction Action Mark by the Environmental Protection Agency (2014)
• Certificate of Appreciation from the New Taipei City Government (2015)
• Work-Life Balance Award from the Ministry of Labor (A+ EAP Employee Assistance Program)
• Award for Excellent Breastfeeding and Nursing Rooms from the Department of Health, Taipei City Government

Environmental Metrics

ESG Focus Areas

• Environmental
• Social
• Governance

Environmental Achievements

• Reduced greenhouse gas emissions by 33.0091 metric tons CO2-e/year compared to 2019. Achieved ISO 14001:2015 certification.

Social Achievements

• Launched A+ EAPs Employee Assistance Program, winning the Work-Life Balance Award from the Ministry of Labor. Consecutively ranked in the top 35 of Best Global Brands of Taiwan. Won the Golden Award for Corporate Sustainability Report in TCSA for the second consecutive year. Acquired iSports certification.

Governance Achievements

• Ranked in the top 5% of companies participating in the 6th Corporate Governance Evaluation for two consecutive years. Established the “Guidelines for Evaluating the Performance of the Board of Directors”. Established the Audit Committee and Remuneration Committee.

Climate Goals & Targets

Environmental Challenges

• Supply chain disruptions due to the COVID-19 pandemic.
• Fluctuations in DRAM and flash memory market prices.
• Exchange rate fluctuations.

Mitigation Strategies

• Maintained close partnerships with suppliers to stabilize supplies.
• Implemented inventory management and sales forecasting to mitigate price fluctuation risks.
• Used financial instruments to manage exchange rate risks.

Supply Chain Management

Responsible Procurement

• RBA (Responsible Business Alliance Code of Conduct)

Climate-Related Risks & Opportunities

Physical Risks

• Natural disasters

Reporting Standards

Frameworks Used: GRI Standards

Certifications: ISO 9001, ISO 14001, ISO 45001, IECQ QC 080000

Third-party Assurance: BSI (British Standards Institution)

Sustainable Products & Innovation

• Anti-vulcanization SSD
• Anti-vulcanization server memory

Awards & Recognition

• Energy Conservation and Carbon Reduction Action Mark
• Award for Excellent Breastfeeding and Nursing Rooms
• Work-Life Balance Award
• Golden Award of Corporate Sustainability Report in TCSA
• Taiwan Excellence Awards

Environmental Metrics

ESG Focus Areas

• Climate Change
• Sustainable Supply Chain Management
• Green Product Design
• Talent Cultivation and Retention
• Corporate Governance

Environmental Achievements

• GHG emissions (Scope 1 and Scope 2) decreased by 43.659 metric tons of CO2e/year compared to 2022.
• LED lighting fixtures were completely replaced, saving 67% of energy compared to 2022.
• 806 cartons were recycled and reused.

Social Achievements

• Organized voluntary blood drives.
• Encouraged employee donations to social welfare organizations.
• Promoted health and weight loss activities, family days, and employee training courses.
• Hosted dementia seminars in collaboration with the Taiwan Alzheimer’s Disease Association.
• Employee dismissal rate: 1.6%
• Dual-track talent retention rate: 98%

Governance Achievements

• Established a Head of Information Security position.
• Achieved a top 5% ranking in the 10th Corporate Governance Evaluation.

Climate Goals & Targets

Environmental Challenges

• Weakened demand and price collapses in the memory industry due to inflation and oversupply.
• High material inventories and low demand.
• Potential information security incidents.
• Production capacity exceeding order demand.

Mitigation Strategies

• Strategic outsourcing and readjustment of product structure.
• Strengthening information security controls and enhancement of protection technology.
• Reselling or reusing obsolete materials.
• Promptly updating order information and adjusting procurement orders.

Supply Chain Management

Responsible Procurement

• Code of conduct
• Supplier sustainability requirements
• Environmental protection commitment
• Conflict Minerals Survey
• RBA Declaration
• ISO 9001: 2015 certification
• RoHS test report
• REACH SVHC survey
• Non-use of Conflict Minerals Commitment
• AGP system

Climate-Related Risks & Opportunities

Physical Risks

• Typhoons and floods
• Droughts
• Sea level rise
• Rising temperatures

Transition Risks

• Stringent environmental regulations
• Increased cost of carbon emission management
• Unstable energy supply

Opportunities

• Promotion of energy-saving and carbon-reducing production
• Engagement in the market for green products

Reporting Standards

Frameworks Used: GRI Standards 2021, SASB

Certifications: ISO 14001, ISO 45001, IECQ QC 080000

Third-party Assurance: British Standards Institution (BSI)

UN Sustainable Development Goals

• SDG 8
• SDG 12
• SDG 13
• SDG 16
• SDG 17
• SDG 4
• SDG 5

Apacer's commitments align with these SDGs through various initiatives detailed in the report.

Sustainable Products & Innovation

• Halogen-free components in industrial DDR5 products and consumer USB flash drives
• Recyclable packaging materials

Awards & Recognition

• TCSA Taiwan Sustainability Report Gold Award (2022)
• Work-Life Balance Award from the Ministry of Labor
• iSports Enterprise Certificate from the Sports Administration, Ministry of Education
• 1111 Happy Enterprises Award
• Taiwan Excellence Award