Message from the Chairperson

A review of 2021 shows that the frequency of extreme weather is increasing, Taiwan is facing the worst drought in half a century, the increase in electricity consumption in hot weather also brings power shortage concerns, the supply chain disruptions caused by COVID-19, and the global transportation upheavals have posed major challenges. To achieve carbon neutrality, many countries have proposed a carbon tariff mechanism to force companies to take responsibility for the carbon footprint of their products. These actions highlight the importance of Environmental, Social, and Governance (ESG) importance and have become the key to sustainable business operations.

✤  Sustainability Commitment – 100% renewable energy by 2050 ✤
GlobalWafers dedicates in supporting Taiwan net-zero transition with practical actions, pledging all subsidiaries of the group to use 100% renewable energy by 2050. Semiconductor wafer manufacturing consumes power heavily, GlobalWafers devotes to increasing the weight of green energy by implementing the profound experiences of Sino-American Silicon Products Inc., the parent Company, in building solar power plants along with signing Power Purchase Agreement (PPA) and purchasing Renewable Energy Certificates (RECs), supplemented by the climate blueprint: 20% by 2030, 35% by 2035, and 50% by 2040 usage ratio of renewable energy, gradually achieves the long-term goal of 100% renewable energy usage by 2050 to reduce the carbon emissions from electricity consumption and contributes to the sustainable environment.
Detailed measures include the following:

✤  Actively address climate change challenges ✤
GlobalWafers deeply understands the impact and constraints of climate change on the operating environment and has taken the risk factors into account when making operational decisions.

  1. Water shortage response
    The seasonal typhoon that brought abundant rainfall to Taiwan in the past did not make landfall last year, and it has plunged Taiwan into its worst drought in half a century. In response to the high water consumption required by the semiconductor process, GlobalWafers has swiftly implemented emergency plans to combat water scarcity. Through active water conservation measures and management, GlobalWafers has successfully addressed the water shortage crisis, avoided production interruption, and supplied global customers stably.

  2. Green electricity
    Semiconductor manufacturing relies on a stable power supply. GlobalWafers has several solar power plants and is committed to increasing the green power weight. As of 2021, the accumulated solar energy capacity reached 19.8 MW, generating 24.04 million kWh of electricity and reducing carbon emissions by 12,000 tons per year (equivalent to the carbon absorption of 31 Daan Forest Parks).

✤ Building resilient supply chains  ✤
Geopolitical conflicts and the spread of COVID-19 have disrupted international supply chains. The border closures and terminal shutdowns have also interrupted production and commercial activities. The semiconductor industry is one of the most complex international supply chains. Suppliers of different levels are located in different countries, subject to different epidemic prevention policies and climate change impacts.
GlobalWafers has actively constructed a resilient supply chain to reduce external shocks and adapts to changes as follows:

  1. Localized production and establishing regional ecosystems
    GlobalWafers has 17 operating and production bases in 9 countries worldwide, spanning across Asia, Europe, and the United States. Local supply effectively reduces the environmental cost of long-distance transportation, lowers geopolitical impact and macroeconomic volatility, and provides excellent production flexibility to serve the customer.

  2. Build multiple suppliers to diversify supply risks
    To avoid the supply chain interruption caused by over-reliance on single supplier, GlobalWafers has established multiple key raw material suppliers and invited the suppliers to join the sustainability alliance for producing low-carbon green products to avoid material shortages and production interruptions. GlobalWafers has also monitored the global transportation system to actively deploy air and ocean freight to prevent import and export blockades or port congestion crisis.

  3. Automated production and improved chain interruption immunity
    GlobalWafers has introduced automated production via Big Data, AI, and robotic arm to reduce the proportion of manual operations, monitors the manufacturing process in digital mode, flexibly mobilizes the workforce, quickly initiates WFH (work from home) during epidemic crises, and swiftly responds to quarantine and shutdowns caused by COVID-19.

✤  Sincere care for employees to protect physical and mental health ✤

  1. Health care
    Employees are the most cherished assets of the Company. During the epidemic, GlobalWafers has actively kept abreast of the latest information to strengthen the health awareness of colleagues, conducted risk assessments, formulated countermeasures, strengthened epidemic prevention measures, implemented employee health monitoring, strengthened health promotion, provided real-time world epidemic information, arranged for employees to work in shifts, and reduced the number of people in confined spaces to establish comprehensive epidemic prevention and health network for each employee. GlobalWafers has shared vaccine appointment information in real-time in collaboration with the government’s epidemic prevention plan and established incentive to encourage employees to get vaccinated, actively monitored the progress and coverage rate of vaccine administration, and arranged for medical staff to come to the factory to give employees collective influenza vaccine injections to reduce complications. We also commissioned occupational medicine specialists to visit the factory monthly to help prevent occupational diseases.
    Moreover, GlobalWafers also partners with the Hsinchu Lifeline Association to provide free professional consultations for colleagues. The Multi-faceted professional services offered include career, psychological, management, health, legal, and financial consultation to protect the health of colleagues comprehensively.

  2. Employee welfare program
    GlobalWafers has motivated employees to improve productivity through sincere care for the employees’ well-being and enabled employees to work together with the Company to move forward.
    GlobalWafers has formulated 4 employee well-being plans through resource integration and organization, including workplace environment, physical and mental health, living resources, and welfare measures. The goal is to strengthen team cohesion and team spirit.

✤  Give Back to Society ✤

  1. Volunteering– Kindness Matters
    GlobalWafers has formed a common goal of mutual assistance and sharing through irregular volunteer services to help create a better tomorrow.
    Our activities include “Fundraising for Disabled Elders to Bathe at Home,” “Classes for Rural Areas,” and “Breakfast Donation.” We can specifically respond to those in need and provide assistance to pursue a better society through charity activities.

  2. Sharing – Make a Difference
    GlobalWafers encourages employees to pass on the love by giving back to society and caring for disadvantaged groups to help create a better world.
    Our community services include giving Christmas gifts to disadvantaged children, fundraising for seniors living alone, and assisting with remote school renovations, beach cleanups, and eco-tours. The goal is to encourage employees and their families and friends to implement environmental conservation and raise their environmental awareness through these activities.

Responsible growth is the operating principle of GlobalWafers. We are committed to becoming a global benchmark in three aspects: environmental protection, health and safety, and corporate governance. GlobalWafers will remind itself not to forget the social responsibility while increasing profitability, and maintain the cycle of altruism while expanding its operating scale. Each person is a starting point of something wonderful, and the power of the enterprise can magnify care and warmth to build a sustainable and harmonious society.

Chairperson and CEO of GlobalWafers
Doris Hsu