Message from the President

In recent years, the world has been undergoing rapid changes. Wars, pandemics, and inflation have impacted corporate operations and the overall economy, causing significant turbulence and challenges. Furthermore, according to recent analyses and reports, the effects of climate change on our living environment have become more severe. The pressure on companies to address these compounded issues is more urgent than ever.
 

Environmental Sustainability Achievements

Faced with numerous operational challenges, we have strived to adapt and adjust while maintaining our commitment to sustainable business practices. In 2023, BenQ Materials' renewable energy usage reached 22%, surpassing our original target. Moreover, we have moved our RE100 target from 2050 to 2040, while maintaining our goal of achieving net-zero carbon emissions by 2050. In recent years, we have set progressively advanced targets for environmental sustainability issues to drive the continuous advancement of our company's sustainable transformation. This year, we obtained carbon credits

through the "RTO Waste Heat Recovery Equipment Offset Project," the first non-power-based carbon offset project approved by the Environmental Protection Administration. Our efforts in reducing carbon emissions have been highly recognized. Additionally, we received leadershiplevel recognition in the CDP (Carbon Disclosure Project) questionnaire for scope 1 and 2 emissions, emission reduction measures, and low-carbon products. BenQ Materials will continue to deepen its environmental sustainability efforts, gradually achieving net-zero emissions.

Reducing carbon emissions in manufacturing is equally important. Recent breakthroughs in artificial intelligence applications have enabled us to enhance the application of AI technology within the company. We have established a Digital Transformation Committee to promote AI and digital transformation tools among all employees. By using these tools for simulation and prediction, we aim to improve production efficiency and further help us achieve energysaving and carbon reduction goals.
 

Collaborating with the Value Chain

I believe that our carbon reduction strategy must start with product development. BenQ Materials prioritizes the development of sustainable products and materials as a key principle for future green products. All product development departments must start new product development with this understanding. Only then can we truly expand sustainable product design to sustainable and low-carbon production and use, achieving our desired goals from the source. BenQ Materials is a company specializing in material technology. We aim to ensure that our customers' products achieve sustainability goals by using our materials. This year, we have also collaborated with supplier partners to set an annual carbon reduction target of 5%, hoping to extend the impact of sustainable products upstream and throughout the entire value chain.

BenQ Materials values its employees and strives to provide equal treatment and care to every employee, regardless of their background or life stage, under the principles of Diversity, Equity, and Inclusion (DEI). In line with international human rights commitments, we have established the company's "Human Rights Policy" and conducted our first internal due diligence survey in 2023 to ensure that all employees working at BenQ Materials are protected and enjoy basic rights. We will extend these human rights due diligence surveys to the value chain in the future, aiming to ensure that all employees of our value chain partners are treated equally. BenQ Materials continues to work on various measures and improvements to reduce carbon emissions, aiming to collaborate with customers and suppliers towards shared goals. At the same time, we aspire to promote greater social integration, using BenQ Materials' resources to assist disadvantaged groups and environmentally friendly communities. By aligning with the SDGs, we aim to advance our society towards sustainability and inclusivity.