Issue Date: July 31, 2025
 

Environmental Sustainability

Sustainability Strategies, Performance, and Goals

Strategy, Targets, and Performance of Environmental Indicators

Environmental Sustainability Policy

Coretronic Corporation actively promotes climate governance and initiates climate adaptation actions. Coretronic has set carbon reduction targets aligned with the SBT 1.5°C scenario and net-zero pathway. Strategies include increasing the use of renewable energy, improving energy efficiency, implementing energy-saving measures, adopting environmental management systems, and integrating low-carbon concepts into product development technologies and manufacturing processes. By developing low-carbon innovative products that combine economic value with environmental benefits, combined with other carbon reduction strategies, Coretronic aims to gradually achieve the long-term goals of net-zero emissions by 2050 and 100% renewable energy usage by 2040.

• This policy covers all operational activities. The scope of application includes all companies and related organizations within the Coretronic Group, as well as internal and external stakeholders such as suppliers, contractors, and value chain partners. Additionally, environmental risk assessments are incorporated as part of due diligence procedures conducted prior to the establishment of subsidiaries, mergers, or acquisitions.
• Comply with or exceed domestic and international environmental regulations and sustainability requirements, actively conform to international initiatives and voluntary commitments, and conduct regular regulatory audits to ensure that current practices align with the latest legal standards.
• Strengthen source waste reduction and pollution prevention, continuously promote a green supply chain, green manufacturing, and innovative green R&D technologies, gradually phase out hazardous substances, and minimize environmental impact at all stages of the product life cycle, including design, raw materials, manufacturing, transportation and distribution, use, and disposal.
• Actively promote various environmental protection actions and training programs to foster and deepen environmental awareness, responsibility and engagement among employees and external stakeholders.
• Engage in discourses, evaluations, and audits to communicate, discuss, and share issues related to environmental sustainability with internal and external stakeholders, including customers, suppliers, value chain partners, local communities, and the wider society. When formulating or implementing policies, Coretronic consults external stakeholders to expand positive impacts.
• Establish an environmental management system in accordance with international standards and identify environmental risks and opportunities. The environmental management unit convenes relevant departments to jointly develop priority improvement action plans, set environmental sustainability goals, and define measurable performance indicators. The Environmental Protection Committee regularly reviews the effectiveness of these action plans and drives continuous improvement to ensure the achievement of each environmental sustainability target. The ESG Committee regularly reports climate change strategies and implementation performance to the Board of Directors, thereby assisting the Board in managing risks and opportunities, with the goal of reducing environmental impacts and promoting corporate sustainability.

Environmental Protection Committee

Upholding the aim to implement energy conservation mechanisms, reduce greenhouse gas emissions, fulfill corporate social responsibility, improve the overall corporate image, reduce operating cost, and assure sustainable business and development, Coretronic established the Environmental Protection Committee (EPC) in 2015. The head of the Integrated Business Service serves as the “Convener”, the divisionlevel manager of the Integrated Business Service serves as the “Committee Chair”, the supervisor of the Safety and Environment Division serves as the “Management Representative”, and the supervisors of each unit or representative such as R&D, Manufacturing, Quality Assurance, Procurement, Facility Management, Safety and Environment, and Factory Affairs serve as “Members”. Additionally, the Company set up the Sustainable Energy Committee and the EPC Team under the jurisdiction of the EPC.

• Environmental Protection Committee and EPC Team
  ✔ Review short-, medium-, and long-term net-zero goals and implementation results on a quarterly and annually basis.
  ✔ Establish, plan, and implement targets, strategies, and action plans for climate change, carbon peaking, carbon neutrality, and net-zero.
  ✔ Conduct climate-related risks and opportunities identification.
  ✔ Promote pollution prevention, emergency response, and preventive measures.
  ✔ Focus on and advocate key points of international initiatives.
  ✔ Integrate and implement measures related to green actions.
• Sustainable Energy Committee
  The division-level manager of the Integrated Business Service serves as the “Committee Chair”, and the supervisors of the Factory Affairs Division from each factory serve as “Members”.
  ✔ Review electricity, renewable energy, and water resource usage on a weekly, monthly, and quarterly basis.
  ✔ Promote corporate energy conservation, carbon reduction projects, and energy transition.
  ✔ Implement short-, medium-, and long-term net-zero strategies and goals.
  ✔ Report the status of goal achievement to the EPC on a quarterly basis.