Climate Change Data

Environmental Metrics

ESG Focus Areas

• Environmental Sustainability
• Talent Development and Human Rights
• Occupational Health and Safety
• Supplier Management
• Community, Social Care, and Feedback

Environmental Achievements

• Reduced greenhouse gas emissions (though specific figures are not consistently presented and show an increase in 2022 compared to previous years)
• Achieved average annual energy savings (details provided for Changxing and Nanshang plants)
• 100% compliance with RoHS regulations
• Many products have passed 80 PLUS power conversion efficiency certification

Social Achievements

• Maintained good labor relations with no labor disputes
• Provided various employee welfare benefits (including competitive salaries, training, insurance, and recreational facilities)
• Implemented a grievance mechanism (though no complaints were reported in 2022)
• Long-term sponsorship of school music programs

Climate Goals & Targets

Environmental Challenges

• Global economic downturn impacting PC market demand
• Increased energy consumption due to increased production capacity and new product lines
• Water leakage at Changxing plant leading to increased water consumption

Mitigation Strategies

• Diversification of investment and expansion into server and cloud computing
• Implementation of ISO 50001 energy management system
• Repair of water leakage at Changxing plant
• Continuous improvement of energy efficiency and waste reduction measures

Supply Chain Management

Supplier Audits: 100% of suppliers assessed for social and environmental responsibility

Responsible Procurement

• Green product procurement standards
• RoHS compliance
• QC080000
• EICC

Climate-Related Risks & Opportunities

Physical Risks

• Extreme weather events

Transition Risks

• Regulatory changes, market shifts

Opportunities

• Development of energy-efficient products

Reporting Standards

Frameworks Used: GRI Standard: 2021, TCFD

Certifications: ISO 9001, ISO 14001, QC 080000, ISO 50001

Third-party Assurance: BSI

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• Energy-efficient power supplies

Awards & Recognition

• iF Design Award
• Red Dot Design Award
• Taiwan Excellence Award
• CES Innovation Award

Environmental Metrics

ESG Focus Areas

• Environmental Sustainability
• Corporate Governance
• Social Responsibility

Environmental Achievements

• Reduced electricity consumption and greenhouse gas emissions through the replacement of air conditioning and cooling systems and optimization of testing processes in Changxing Plant 2.
• 100% of plastic materials from the South Shang factory that have not undergone surface treatment are reused in the production process.
• Recycled 1245 tons of recyclable resources.

Social Achievements

• Long-term financial support for the music clubs of Gongpu and Qiaoai elementary schools.
• Sponsorship of local community events.
• No labor disputes occurred in 2023.

Governance Achievements

• Established a complete corporate governance structure, including a board of directors with 43% female representation.
• Implemented an internal control system and internal audit system to manage compliance risks.
• No bribery incidents occurred in 2023.

Climate Goals & Targets

Environmental Challenges

• Decreased market demand for traditional consumer electronics due to the end of the pandemic and the impact of the war in Ukraine.
• Global economic downturn affecting sales revenue.

Mitigation Strategies

• Expansion of server chassis and cloud product manufacturing and software and hardware integration.
• Increased production capacity in Taiwan to mitigate investment risks.
• Focus on cloud applications to ensure long-term growth.

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Green product procurement standards
• EICC
• Conflict mineral non-use declaration
• RoHS, QC080000, ISO14000 compliance

Climate-Related Risks & Opportunities

Physical Risks

• Extreme weather
• Changes in precipitation and temperature
• Supply chain disruptions
• Power outages
• Factory damage

Transition Risks

• Increased raw material costs
• Costs of low-carbon technology transformation
• Changes in market demand
• Greenhouse gas emissions
• Reputational damage

Opportunities

• Development of new markets
• Circular economy
• High-efficiency equipment or buildings
• Purchase of low-carbon energy
• Low-carbon products
• Diversification of energy sources
• Government incentives
• Diversification of financial assets

Reporting Standards

Frameworks Used: GRI Standard: 2021, TCFD

Certifications: ISO 9001, ISO 14001, QC080000, ISO 50001

Third-party Assurance: BSI

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• Energy-efficient power supplies (80 PLUS certified)
• Products compliant with RoHS, REACH, WEEE, ENERGY STAR, and EPEAT standards

Awards & Recognition

• Various design awards (iF, CES, Red Dot, Taiwan Excellence Award)