Risk Management

On November 10, 2022, the Board of Directors approved the "Risk Management Policy and Procedures" and "Risk
Management Practice Guidelines" to identify and assess environmental, social, and governance (ESG) risks. The
framework involves company-wide participation and multiple lines of defense. The implementation status is reported to the Board at least once annually, and the 2024 Risk Management Report was submitted on May 9, 2025.

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Risk Identification and assessment

In accordance with the principle of materiality, ESG risks in market, finance, operations, and environment are
identified and assessed, with the following management policies formulated:

Issue Risk categories Item
Environment (E) Environment
  • Climate Change
  • Water Resources
    Wastewater
  • Energy
  • Air Pollution
  • Waste Materials
Society (S) Operation
  • Human Right
  • Talent Recruitment
  • Food Safety Risk
  • Quality Risk
  • Occupational Safety and
    Health
Market
  • Industry Competition
Others
  • Infectious Disease Risk
Corporate Governance(G) Operation
  • Professional ethics
  • Legal compliance
  • Information security
  • Supply chain
Finance
  • Profitability and Capital Credit
  • Financial Decisions

Risk Identification and Management Procedures

According to the materiality principle to evaluate the risks of each issue, relevant risk management strategies and implementation are as follows……Read more