Climate Change Data

Micro-Star International Co., Ltd.

Climate Impact & Sustainability Data (2017, 2021)

Reporting Period: 2017

Environmental Metrics

Total Carbon Emissions:69557.12 tCO2e/year
Scope 1 Emissions:1865.96 tCO2e/year
Scope 2 Emissions:67691 tCO2e/year
Total Energy Consumption:281,477.6 GJ/year
Water Consumption:1,148,391 m3/year
Waste Generated:6,259,790 tons/year
Carbon Intensity:0.654 tCO2e/million NTD

ESG Focus Areas

  • Corporate governance
  • Stakeholder communication
  • Environment
  • Social welfare
  • Economic
  • Environmental
  • Social

Environmental Achievements

  • Greenhouse gas emissions decreased by 44,118.22 tons (base year 2007)
  • MSIS water recycled and reused totaled 118,351 tons
  • Indirect energy consumption (purchased electricity) totaled 1,198.92 GJ lower than 2013 (base year)

Social Achievements

  • Completed 29 public welfare projects
  • Donated a total of NTD 12,202,324 for public welfare campaigns
  • School lunch benefited 5,474 students
  • Tutor service for disadvantaged students benefited 1,312 students
  • 378 MSI volunteers participated
  • Donated a total of 664 bags of blood (250ml)

Governance Achievements

  • Ranked in top 6%-20% public companies list of The 4th Corporate Governance Evaluation held by Taiwan Stock Exchange (TWSE)
  • Selected as TWSE Corporate Governance 100 Indexes (CG 100) component
  • Selected as Taiwan Employment Creation 99 Indexes (EMP 99) component
  • Selected as Taiwan High Compensation 100 Indexes (HC 100) component
  • Selected as MSCI Taiwan Indexes component

Climate Goals & Targets

Long-term Goals:
  • Develop the economy, caring for the society and the environment, and to construct operational conditions conducive to sustainability
  • 50% reduction in greenhouse gas emissions by 2025 (Base year 2007)
Medium-term Goals:
  • Improve the performance of feasible CSR indicators
  • Understand trends in economy, environment and social issues and ensure that they do not affect the benefits of stakeholders
  • Continue to evaluate feasibility of the organization level for decreases of greenhouse emissions reduction
  • Utilize our R&D, design and innovative capabilities to assist improvements from various industries in environmental issues
  • Provide more eco-design products and services
Short-term Goals:
  • Continue to implement MSI's CSR commitment
  • Continue to manage and supervise the CSR needs from our suppliers
  • Continue to devote resources in charitable events

Environmental Challenges

  • Supply chain disruptions due to floods at factories
  • Labor disputes
  • Information system risks
  • Natural disasters (typhoons, torrential rain)
  • Water shortage
  • Water supply issues
  • Increased waste organic solvents from MSIS
  • Increased discarded synthetic slates due to changes in workshop techniques
  • Accumulated empty solder paste bottles and waste lamps not cleaned up until 2017
Mitigation Strategies
  • Strengthen supply chain real-time scheduling
  • Enhance production scheduling capability
  • Organize internal/external communication capabilities
  • Establish labor-management conference, suggestion box, and grievance mechanism
  • Master responses to information system disruptions
  • Ensure preventive measures (backup of information system)
  • Establish early warning mechanism for material reserve and shipping adjustment
  • Disaster prevention and emergency response during typhoon alert
  • Increase water efficiency and reduce non-essential water use
  • Set a target for greenhouse gas reduction (50% by 2025, base year: 2007)
  • Adjust process to reduce unnecessary waste
  • Manage waste under controlled conditions

Supply Chain Management

Responsible Procurement
  • Code of conduct
  • Supplier sustainability requirements
  • Conflict minerals management
  • Hazardous substance management
  • Green Product Management Platform (GPM)

Climate-Related Risks & Opportunities

Physical Risks
  • Typhoons and torrential rain
  • Floods
Transition Risks
  • Regulatory changes
  • Market shifts

Reporting Standards

Frameworks Used: GRI Standards guidelines-Core Options, Taiwan Stock Exchange Corporation Rules Governing the Preparation and Filing of Corporate Social Responsibility Reports by TWSE Listed Companies

Certifications: ISO 9001, ISO 14001, ISO 14064-1 & 2, OHSAS 18001, IECQ/QC 080000, ISO/TS 16949, TL9000, ISO/IEC 17025, ISO 50001, EICC Validated Assessment Process(VAP)

Third-party Assurance: BSI Pacific Limited, Taiwan Branch; PwC Taiwan; Bureau Veritas Certification(BVC) Co., Ltd.

UN Sustainable Development Goals

  • Goal 2
  • Goal 3
  • Goal 4
  • Goal 7
  • Goal 8
  • Goal 9
  • Goal 12
  • Goal 13

MSI's initiatives contribute to these goals through various programs related to hunger, health, education, energy, economic growth, innovation, sustainable consumption, and climate action.

Sustainable Products & Innovation

  • Eco-design products
  • Energy-efficient products

Awards & Recognition

  • Merit Award in Friendly Workplace under the Mother and Baby category

Reporting Period: 2021

Environmental Metrics

Total Carbon Emissions:59,152 tCO2e/year
Scope 1 Emissions:2,003 tCO2e/year
Scope 2 Emissions:57,149 tCO2e/year
Scope 3 Emissions:6,099 tCO2e/year
Renewable Energy Share:3.86%
Water Consumption:1,086.426 m3/year
Waste Generated:8,478,178 tons/year
Carbon Intensity:0.293 Metric ton of CO2e/each million of revenue in TWD (2021)

ESG Focus Areas

  • Environment
  • Social
  • Governance

Environmental Achievements

  • Installed photovoltaic boards at plant sites to create a low-carbon production mode.
  • Reduced the proportion of parts in products treated by incineration or landfill from 5% to less than 2.5%.

Social Achievements

  • Ranked among the top 6%-20% enterprises at the Corporate Governance Evaluation organized by the Taiwan Stock Exchange.
  • Charity donation: NT$78 millions. Supported vulnerable students: 18,417 persons. Employees participated in social inclusion: 2,890 persons.

Governance Achievements

  • Ranked among the top 6%-20% of the listed companies in corporate governance evaluation.
  • No incidents of corruption, bribery, undue operation and defiance of social norms and ethics.

Climate Goals & Targets

Long-term Goals:
  • Reduce greenhouse gas emissions by 60% by 2030 (compared to 2007).
Medium-term Goals:
  • Reduce Category 1+2 greenhouse gas emissions by 60% by 2030 (compared to 2007).
Short-term Goals:
  • Reduce Category 1+2 greenhouse gas emissions by at least 1% per year.

Environmental Challenges

  • Supply chain disruptions due to a supply gap of electronic parts and components and strained global logistics.
  • Increased greenhouse gas emissions due to high operational growth and unstable power supply requiring diesel generators.
Mitigation Strategies
  • Cultivated and maintained positive relations with the supply chain and channel marketer customers.
  • Committed resources to process efficiency, carbon management in operation, and the use of green power.

Supply Chain Management

Supplier Audits: Annually

Responsible Procurement
  • MSI Suppliers Code of Conduct
  • Green product management
  • RBA Validated Audit Process (VAP)

Climate-Related Risks & Opportunities

Physical Risks
  • Drought
  • Natural disasters
  • Smog
  • Snowstorm
  • High temperature/heat wave
  • Typhoon/torrential rain
  • Earthquake/tsunami
Transition Risks
  • Carbon economy (carbon tax, etc.)
  • Energy tax
  • Voluntary reduction agreement
  • Product efficiency standard
  • Increased energy price
  • SCM
Opportunities
  • Reduce product carbon footprint
  • Accelerate the development of green energy industry
  • Enhance energy conservation technology
  • Accelerate carbon reduction
  • Strive for carbon right and credit
  • Fulfill customer demand for energy-efficient products
  • Increase revenue
  • Increase the production demand from plants with high adaptability
  • Enhance plant production power
  • Lower the possibility of and damage from operational interruption
  • Enhance the production efficiency of equipment
  • Lower operating costs
  • Promote workplace energy conservation and carbon reduction
  • Boost value chain growth
  • Improve corporate image

Reporting Standards

Frameworks Used: GRI Standards: Core option, Taiwan Stock Exchange Corporation Rules Governing the Preparation and Filing of Corporate Sustainability Reports by TWSE Listed Companies

Certifications: ISO 9001, ISO 14001, ISO 45001, IECQ/QC 080000, ISO 27001, TL 9000, ISO 50001, ISO/IEC 17025

Third-party Assurance: BSI Pacific Limited

UN Sustainable Development Goals

  • Goal 1
  • Goal 3
  • Goal 4
  • Goal 5
  • Goal 6
  • Goal 8
  • Goal 11
  • Goal 12
  • Goal 13
  • Goal 16

MSI's response to the UN SDGs is detailed in section 1.2.

Sustainable Products & Innovation

  • AI disinfectant products
  • Halogen-free flame retardant products

Awards & Recognition

  • Ranked 18th at the Interbrand of the Best Taiwan Global Brands 2021
  • Taiwan Excellence Award for 23 consecutive years
  • 15 awards at the CES Innovation Awards 2021
  • Silver Award at the Taiwan Excellence Awards
  • iF Design Award 2021