Sustainability at the Core.
Thriving with Nature and Our Partners.

Organizational GHG emissions are inventoried in accordance with the GHG Protocol, implemented at the Taiwan and Suzhou factories from 2022 and extended to the Chongqing Factory in 2024. For Scope 3, the first phase of data collection and analysis has been completed.

For 2024, all three factories obtained third-party assurance of their GHG emissions: the Taiwan Factory received a limited assurance report from PricewaterhouseCoopers Taiwan, while the Suzhou and Chongqing factories obtained verification statements from Wintal Certification. In 2025 all three factories further completed the relevant ISO 14064 procedures.

Since 2022 we have applied the TCFD framework, identifying climate-related risks and opportunities across the four pillars of governance, strategy, risk management, and metrics and targets, and assessing their financial impact and our response measures. Climate risk management is a standing agenda item at Board or senior management meetings.

We have set corporate net zero emissions by 2050 as our long-term target, ahead of the GHG inventory timetable prescribed by the competent authority for listed companies, and continue to expand renewable energy procurement and on-site renewable electricity capacity.

Each factory will continue to pursue the following directions:

• Complete assurance of GHG emissions for consolidated subsidiaries in line with the sustainable development roadmap for listed companies.
• Continue electricity conservation projects at each factory, maintaining an annual electricity saving rate of at least 1%.
• Reduce water consumption at each factory by 2% year on year.

• Taiwan Factory: completed 2024 GHG inventory assurance (Scope 1 and Scope 2) and continues to advance energy-saving management.
• Suzhou Factory: floors 1 to 3 of buildings B1 and B2 were separated into independent supply loops, pipe diameters were increased and two compressors taken offline; managing air compressors floor by floor allows single-floor supply, with an estimated annual saving of 978,000 kWh and NT$641,550. A 2.34 MW solar power system has been installed.
• Chongqing Factory: total energy consumption was 50,152.48 GJ, down 1,700.59 GJ or 3.28% from 2024. Two additional heat recovery units were installed on air compressors in 2025, converting waste heat from compressor oil into hot water for two employee dormitories, achieving a 24% energy saving and cutting natural gas use by 24,000 cubic meters a year.

All factories are located in government-designated economic development zones or industrial parks, not in ecological conservation areas. Water use is reviewed annually and water risk factors are identified, with water-saving measures improving allocation efficiency. Total water discharge in 2025 was 368 million liters, down 3.42% year on year. Discharged water met regulated standards and local regulations, water quality met standards throughout the year, and no abnormal discharge incidents occurred.

Under our ISO 14001 environmental management system we maintain procedures for energy and resource management and for waste management, with designated personnel tracking material flows. All waste is removed and treated by licensed contractors. Total waste generated in 2025 was 3,162 metric tons, of which 64.31% was diverted from disposal, an increase of 1.44 percentage points year on year.

Biodiversity commitment: TSMT undertakes to avoid habitat destruction and biodiversity loss at all operating sites. We will not establish or expand factories within ecological conservation areas, national parks, important bird areas or World Heritage sites; we assess the potential impact on the surrounding natural environment before adding or changing an operating site; and we continue to manage potential indirect impacts on the surrounding environment through existing water and waste management mechanisms.

2025 performance: we compared the location of each operating site against protected areas, national parks, important bird areas and World Heritage sites published by the IUCN, and confirmed that the Taiwan, Suzhou and Chongqing factories are not located in or adjacent to ecological conservation areas or key biodiversity hotspots.

Our principal activity is surface mount assembly of electronic components, which does not involve land development, disturbance of pristine habitat or extraction of natural resources. Potential impacts on biodiversity arise mainly through indirect routes such as wastewater discharge and waste handling, which are controlled through existing water and waste management mechanisms. No incident causing a significant impact on biodiversity arose from our operations in 2025.

We plan to draw on the TNFD framework to carry out an initial assessment of natural capital dependencies and impacts around our factories.

Suppliers are required to sign the RBA commitment letter and the supplier and contractor code of conduct declaration; 74.03% of new suppliers signed in 2025. Active suppliers are evaluated every six months, and on-site audits of nine major suppliers were completed against the RBA Code. The audit scope covers freedom of association and collective bargaining, and no operations or suppliers were identified in which these rights may be at risk.

TSMT applies the OECD Due Diligence Guidance for Responsible Supply Chains of Minerals from Conflict-Affected and High-Risk Areas and does not source conflict minerals from high-risk areas. Suppliers are required to trace the origin of all metals contained in their products, including smelter information, and to submit the CMRT, EMRT and AMRT reporting templates.

To reduce harm to the environment and to people during production, and to ensure that materials, auxiliary materials and finished products meet international requirements (RoHS, REACH, California Proposition 65 and others) as well as customer specifications, we maintain a Green Product Quality Specification Manual. Suppliers must comply with lead-free and halogen-free process and product requirements and sign a letter of guarantee. The Engineering Department tracks international regulations and customer hazardous substance requirements each year and updates the manual on a rolling basis.

As of the end of 2025, 287 hazardous or restricted substances were covered by our internal standards, managed in three categories by hazard level: Level A (prohibited substances), Level B (restricted substances) and substances requiring reporting. Suppliers must provide supporting documents and samples according to the classification of each substance for our green component review. There were no breaches of product regulations in 2025, no products banned from sale for regulatory breaches, and no marketing compliance incidents.

Product safety and protection of customer information: all products are inspected and managed according to customer specifications and our Green Product Quality Specification, and comply with international hazardous substance regulations including RoHS, REACH and California Proposition 65. There were no incidents of non-compliance with health and safety regulations concerning products and services in 2025, and no theft or leakage of customer data or breach of customer privacy.

Gathering customer feedback: under our customer satisfaction procedures, the Sales Department sends a questionnaire to customers every six months. The survey covers overall satisfaction (delivery, pricing, service and product quality) and key performance indicators (quality stability, technical capability, responsiveness to rush orders, attitude of sales staff, complaint handling and speed of response). Where a score falls below the satisfaction target, the relevant units are convened for an improvement meeting and the agreed measures are communicated to the customer. Customer satisfaction has scored 90 points or above in each of the past three years.

Complaint handling procedure: under our Customer Complaint Handling Procedures, the Quality Assurance Department receives the complaint in the first instance and then confirms the information, convenes a corrective and preventive action meeting, applies containment measures, analyzes and reviews the root cause, defines corrective and preventive actions, responds to the customer, implements the measures, and closes the case after follow-up verification. No major customer complaints were received in 2025.

We also compile annual service key performance indicators for each customer. Returns, customer line stoppages, product recalls and complaints all directly affect these scores. All customer indicators have met target in each of the past three years.

Personal data protection policy: TSMT has established a cyber security policy and related operating procedures, and has implemented an Information Security Management System (ISMS). The first commitment in the policy is to protect customer personal data, confidential information and other sensitive information, ensuring that data is properly safeguarded at every stage of its life cycle, from collection, processing, use and transmission through to retention and destruction.

Scope of application: the policy applies to the personal data and critical information of the following parties — customers, whose personal data and transaction information are protected; employees, whose internal confidential and operational information is safeguarded; and business partners, for whom secure and reliable information exchange across the supply chain is ensured.

Roles and responsibilities: the Board of Directors oversees cyber security governance strategy, material risks and resource allocation, and receives regular management reports. The Cyber Security Committee, chaired by the President with department heads as members, reviews policy and monitors the effectiveness of the management system. The Cyber Security Management Office, established in 2021, is the dedicated unit responsible for implementation, risk management, monitoring, incident response and continuous improvement.

Implementation in 2025:

• Cyber security awareness training: all employees are required to complete annual training of at least three hours. At the Taiwan Factory, 1,130 participants completed the training, a 100% completion rate.
• Social engineering simulation exercises: 2,641 participants across all sites, with a 98.6% pass rate. Those who did not pass completed remedial training and were retested.
• Monthly cyber security awareness communications; six cyber security meetings were held during the year.
• Passed the ISO/IEC 27001:2022 information security management system surveillance audit on 10 July 2025.
• No incidents of theft or leakage of customer data occurred, no substantiated complaints concerning breaches of customer privacy were received, and there were no material instances of non-compliance, legal proceedings or customer complaints arising from breaches of personal data protection legislation.

• ISO 9001 Quality Management System
• ISO/TS 16949 Automotive Quality Management System
• ISO 14001 Environmental Management System
• ISO 50001 Energy Management System
• ISO 45001 Occupational Health and Safety Management System
• ISO/IEC 27001:2022 Information Security Management System
• ISO 14064 Greenhouse Gases
• ANSI/ESD S20.20 Electrostatic Discharge Control
• UL ZPVI2
• RBA Code of Conduct Version 8.0 Validated Assessment Program (Silver recognition)