Climate Change Data

Environmental Metrics

ESG Focus Areas

• Economic Performance
• Integrity Management
• Customer Relationship Management
• Information Security
• Sustainable Supplier Management
• Green Product
• Climate Risk Management
• Energy Management
• Water Resource Management
• Waste and Recycling
• GHG Emission Management
• Human Rights
• Occupational Safety and Health
• Laws and Regulations Compliance
• Employees Development and Training
• Social Engagement
• Talents Recruitment and Development
• Local Procurement
• Technology and R&D

Environmental Achievements

• Maintained annual waste recycling rate over ��%
• Water Reclamation Rate in 2022 was ��.��%
• Spent NT$ 655 million on environmental expenses in 2022
• Wuxi site obtained the Alliance for Water Stewardship (AWS) Platinum certification
• Wuxi Furong site gained Zero Waste to Landfill Platinum Operations certificate
• Hubei site gained Green Factory Evaluation certificate

Social Achievements

• ��,��� employees involved in 2022 Charity activities
• Tripod Foundation supported �,��� students
• No incidents with major accident and occupational disease have been recorded in 2022
• Percentage of female employees was ��%
• Tripod’s CEO Chiang-Chuang Wang ranked as the ��th best performing CEO by 2022 Harvard Business Review in Taiwan

Governance Achievements

• Suppliers are ���% compliance with non-use conflict minerals policy
• CDP rating report: “B-“rating for Climate Change and a “B” rating for Water Security
• SER auditing results of �� key suppliers reached a ���% compliance rate
• Key suppliers ���% signed the RBA Supplier Responsible Business Alliance Statement
• NT$ �.��� billion distributed as cash dividends to shareholders in 2022

Climate Goals & Targets

Environmental Challenges

• Global economic trading development affected by trade war and epidemic
• Stricter requirements for PCB in high-frequency and anti-interference
• Higher PCB precision and reliability requirements
• Rising costs of production equipment
• Increasing industry competition pressure
• Material price and exchange rate fluctuations
• Stricter environmental protection specifications
• Rising labor costs
• Insufficient manpower
• Rapidly emerging competitors
• Limited demand growth for certain end-user products
• Shortages in both upstream and downstream industrial supply chain
• Geopolitical uncertainty such as trade war and outbreak control

Mitigation Strategies

• Full investment in product development, manufacturing process yield rate improvement, new manufacturing process technologies, and industry-academic cooperation
• Building R&D and Inspection Centers
• Promoting Industry-Academic Collaboration
• Implementing smart factory
• Participating in industrial strategic alliance
• Building Green Factory
• Regular research into industrial trends and customer needs
• Diversification for customer and product mix
• Effective information system management
• Boosting manufacturing process ability and yield rate
• Collecting and analyzing potential market share growth
• Improving manufacturing process ability of each factory
• Having economy of scale for in-house capacity
• Broaden sources of income and reduce expenditure
• Strict evaluation and execution of capital expenditure plans
• Developing new application products and customers
• Evaluating new production locations to diversify supply chain

Supply Chain Management

Supplier Audits: �� on-site audits in 2022

Responsible Procurement

• RBA Supplier Responsible Business Alliance Statement
• Non-use Conflict Minerals statement
• Procedures of Key Supplier Social & Environmental Responsibility Management
• Supplier Assessment Control Program
• Procedures of Supplier and Contractor Management
• HSF and RBA requirement

Climate-Related Risks & Opportunities

Physical Risks

• Typhoon or Flood
• Drought
• Rising Temperature

Transition Risks

• GHG Emissions Trading and Carbon Taxes
• Higher requirement of International Environmental Standards
• Development of Water Resource Saving
• Increase in Raw Material Costs

Opportunities

• Attending carbon trading market
• Evaluating renewable energy plan
• Fulfill customer demands for energy-efficient products
• Establish the recycling plan
• Fulfill customer demands for green products
• Implementation of water recycling system
• Evaluate the substitute material plan
• Preparation of finding the second/third source
• Increase resilience against natural disasters
• Strengthen climate resilience
• Drive an energy strategy with ambitious decarbonisation targets

Reporting Standards

Frameworks Used: GRI Standards, SASB standards

Certifications: ISO 14001, ISO 45001, ISO 50001, ISO 14064-1, QC080000

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• Green products

Awards & Recognition

• Excellent Collaborated Partner Award
• Long-Term Partner Award
• Excellent Performance Supplier Award
• Excellent Quality Award
• Advanced Unit of Occupational Safety and Health Standardization
• First “Healthy Corporation Award in Hubei Province”
• Advanced Unit for Fire Safety
• Advance Unit for Safety Manufacturing
• Healthy Corporation Award
• Advanced Collective of Safety Manufacturing Production Management in Wuxi city
• Most Appropriate Safety Personnel in Wuxi city
• Advanced Unit for Fire Education Promotion