Scope of application

Taiwan Speciality Chemicals Corporation implements an environmental, safety, and health management system (ISO 14001:2015/ISO 45001:2018) covering all activities, products, and services of the Changbin plant. We actively implement continuous improvement of environmental, safety and health performance to ensure the environmental, safety, and health effectiveness of management systems.

Occupational Safety and Health Policy

Our company’s occupational safety and health policy：

Comply with occupational safety and health regulations and other requirements applicable to our company. Promote "emphasis on industrial safety" and "create a zero-disaster environment" to protect employee safety. Promote various occupational safety and health management-related training and activities to help all employees understand their personal occupational safety and health responsibilities. Provide occupational safety and health information and consult and communicate with stakeholders.

To achieve the above occupational safety and health policies, we commit to the following：

1、Promote concepts and comply with regulations： The occupational safety and health policy promoted by our company includes ISO 14001 environmental protection concept and ISO45001 & TOSHMS occupational safety and health concept and is in compliance with all regulatory requirements.

2、Ensure safety and prevent occupational accidents： Establish an environment and culture of occupational safety and health to prevent injuries and unhealthy conditions caused by employees and outsiders being exposed during activities.

3、Fulfill responsibilities and continue to improve： Our company is committed to implementing corporate social responsibilities (environmental protection and safety and health responsibilities), considering potential environmental impacts or hazard risks, trying to prevent and eliminate them, and continuously controlling them.

4、Promote safety and health participation in consultation： Our company promises to actively consult with workers or their representatives to understand their needs and expectations, and ensure that they have the time and resources to participate in the company's occupational safety and health management system.

Environmental policy

Environmental management operations and commitments

In addition to being certified for product quality, Taiwan Speciality Chemicals Co., Ltd. also spare no effort in environmental management and continuous improvement. To have a more professional mechanism and operation model for environmental management, we have implemented an environmental management system. We have continuously improved environmental performance and ommitted to the following matters :

－ Comply with government laws and various environmental regulations.

－ Actively implement environmental management activities and continuously improve environmental performance.

－ Strive to reduce waste. Implement resource recycling.

－ Continuously drive improvements. Committed to pollution prevention and chemical disaster prevention.

Energy Policy

Business Philosophy and Commitment to Energy Management：

In addition to obtaining verification for product quality and environmental standards, TSC spares no effort in the management and continuous improvement of energy. To establish a more professional mechanism and operating model for energy management, TSC is implementing an energy management system to continuously improve energy performance and is committed to the following items：

－ Energy Conservation and Emission Reduction: Committed to energy conservation and emission reduction, continuously improving energy performance.

－ Compliance with Regulations: Adhering to all energy-related regulations and stakeholder requirements.

－ Continuous Improvement: Implementing energy-saving measures to achieve management objectives.

－ Energy Management: Procuring energy-efficient equipment to improve energy efficiency.

Environmental protection achievements and goals

● 2020 results

■ By promoting energy conservation activities, the factory saved more than 26,000 kilowatt-hours of electricity in 2020, which translates to a reduction in carbon dioxide emissions of approximately 13,000 kilograms.
■ Strengthen waste classification and recycling, reducing the output of domestic waste by 16% in 2020.

● 2021 results

■ 100% compliance with laws and regulations on pollution prevention and treatment of wastewater, waste, etc.
■ Passed ISO 14001 certification.

● 2022 results

■ Strengthen waste classification and recycling, reducing the output of domestic waste by 4.6% in 2022.
■ Promote water conservation and reduce water consumption by 5.5% in 2022.

● 2023 goals

■ Continue to promote activities such as saving electricity, water, and photocopying paper, and strengthen waste classification and recycling.
■ All operating parameters of the prevention and control equipment comply with the environmental protection license and service center management standards.
■ Promote the organization of greenhouse gas inventories and pass verification
■ Continue to promote the ISO14001 management system and pass verification

● 2024 goals

■ Continue to promote activities such as saving electricity, water and photocopying paper, and strengthen waste classification and recycling.
■ All operating parameters of the prevention and control equipment comply with the environmental protection license and service center management standards.
■ Promote the organization of greenhouse gas inventories and pass verification.
■ Promote greenhouse gas reduction.
■ Continue to promote the ISO14001 management system and pass verification.

Solar system construction

● 2021 results

■ Construction and installation began in December 2020, and meter-mounted power generation was completed in July 2021.
■ Solar photovoltaic system site, with a total installed capacity of 1456 KW
■ The annual power generation is about 1.66 million kilowatt-hours, which translates to an annual reduction of about 845,000 tons of carbon emissions, equivalent to afforestation of 8.5 hectares.

2022 goals

■ Construction and installation is expected to begin in July 2022
■ Solar photovoltaic system site, with a total installed capacity of 143 KW
■ The annual power generation is about 163,000 kWh, which translates to an annual reduction of about 82,810 tons of carbon emissions, equivalent to afforestation of 0.833 hectares.

Food waste organic fertilizer

2021 goals

■ In 2021, "Food Waste into Gold" will be implemented, which will use food waste to turn into compost, reduce the amount of garbage disposal, and provide tree fertilizer.
■ 7Kg/day*22 days/month*12 months/year=1848Kg/annual food waste*maturation conversion rate 40%=740Kg organic compost.

As the impact of climate change intensifies, energy conservation and carbon emissions reduction have become a global consensus. Since its establishment in March 2013, Taiwan Speciality Chemicals Corporation (“TSC”) is not only striving for corporate sustainability, but also committed to its social responsibilities. We endeavor to exert a positive impact on industries and society in the areas of corporate governance, environmental protection, employee care, and hope to create the value of sustainability for economic growth, environmental protection, and social advancement.

Sustainability Governance

Due to gobal issues concerning ESG governance have garnered increasingly more attention in recent years, TSC has established the ESG Sustainable Development Committee in 2022, to implement the activities of environmental, social, and corporate governance. The committee is responsible for setting goals for each issue, tracking and reviewing them regularly, and reporting the implementation status regularly to the Board of Directors. The Board oversees the sustainability goals setting and performance review, and provides recommendations and instructions based on the content of the Committee’s reports.

Ceaseless Innovation and R&D of Advanced Products and Technologies

TSC positions to be a professional developer and maker of semiconductor-grade special gas (SEG) and chemical (SEC) materials. As the advanced semiconductor technologies of the 7nm and 5nm node processes become dominant and widely adopted in semiconductor fabrication, the TSC continues to achieve the purity improvement of our main product - disilane to 99.9999%(6N) to be the global leading standard, and making the TSC become the most preferred brand selection among the global suppliers. The TSC would continue independent research and development or technical cooperation with external resources to develop high-end and hardly replaceable key special gas and chemcial materials for advanced semiconductor process applications. The TSC would also further to master technologies of producing important raw materials for the semiconductor industry to promote high value chemical materials manufacture domestically, as well as enrich the TSC’s product portfolio, strengthen our market competitiveness, reorganize the regional supply chain, and increase company profits. In addition, filling the gap and insufficiency of the industry upstream raw material supply, and integrate the semiconductor industry chain in Taiwan.

Environmental Protection and Sustainable Development

TSC holds a number of invention and utility model patents of silanes production methods and technologies. The self-developed production methodology is unique and more environmentally friendly. Compared with other production methods, it can reduce water and electricity consumption by more than 70% and does not produce solid waste.

Through the implementation of the ISO 14001:2015 Environmental Management Systems and the adoption of product life cycle concepts, TSC aims to achieve a genuine reduction of materials at the source by relying on improvements in the manufacturing process and product design stages.

Cooperated with the promotion on environment management system, we established the goals for energy conservation, water conservation, and waste reduction to cherish our resources as well as to achieve the outcome of reducing greenhouse gas emissions.

With respect to waste management, traditional cleaning and disposal are transferred into the concept of effective resource management, including waste recycle, reuse, and reduce. Meanwhile, we strengthen the audit management on waste clearance companies to ensure that waste is disposed in an appropriate manner.

TSC insists on stringent compliance with all relevant laws and regulations in its operations and conducts conformity assessments for all internal and external issues related to the environment. Should any legal risks be detected, detected, immediate, preventive improvement measures are carried out and policy implementation is ensured through comprehensive management and actual operations.

Facing the issue of sustainable development in the future, TSC takes energy saving and carbon emissions reduction, ecological conservation, community care, and other projects into decision-making considerations. We inventory annual greenhouse gas emissions starting from 2022, set emission reduction targets year by year, and launch implementation plans.

Taiwan Speciality Chemicals Corporation (“Buyer or TSC”) adheres to the concept of corporate sustainability and requires the suppliers to comply with TSC Supplier Code of Conduct, as the followings:

1. ABAC (Anti-Bribery; Anti-Corruption)

1.1 Supplier shall follow U.S. “Foreign Corrupt Practices Act (FCPA)”, UK “Bribery Act 2010” and all anti-bribery and anti-corruption laws whenever applicable, in addition to applicable local R.O.C. laws.

1.2 Supplier shall inform their employees, agents, representatives, suppliers, subcontractors and any role alike who directly or indirectly transact business with Buyer or on Buyer’s behalf of their responsibilities to avoid bribery or corruptive behaviors. Under no circumstances may Supplier offer any payment, promise to pay, or authorization to pay any money, gift or anything of value to Buyer or on Buyer’s behalf that is intended to influence Buyer’s business decisions.

1.3 Supplier shall periodically evaluate, verify and self-certify that it is not involved in and comply with all applicable laws regarding related party transactions, fictitious transactions, deceptions and corner-cuttings.

2. Social and Environmental Responsibility

2.1 Supplier shall thoroughly recognize, comprehend, adopt and commit to the compliance with “Responsible Business Alliance Code of Conduct” (“RBA”) and its subsequent updates. The latest full RBA provisions is available at: https://www.responsiblebusiness.org/.

2.2 Supplier shall recognize that RBA establishes standards regarding issues on labor, health and safety, environment, and business ethics, which aim to ensure that working condition is safe in the electronics industry or industries in which electronic is a key component, and that business operations are environmentally responsible and conducted ethically. To adopt RBA, Supplier shall declare its support for RBA and actively pursue conformance to RBA and its standards in accordance with a management system as therein.

3. Conflict-Free Minerals

3.1 Supplier shall recognize that armed rebel organizations in the Democratic Republic of the Congo (DRC) and its surrounding regions operate through metal mining and trading invoke serious social and environmental problems, including human right violations, armed conflict, and international disputes.

3.2 As a corporate citizen responsible for protecting human rights and ameliorating armed conflicts in DRC and its surrounding regions, Supplier is required to take due diligence within its supply chain to assure “Conflict-Free Minerals” with respect to gold (Au), tantalum (Ta), tungsten (W), tin (Sn), cobalt (Co), mica used in its products sold, transferred or delivered to Buyer are not derived from or sourced from the foregoing areas.

3.3 Supplier shall acknowledge that areas not confirmed to be “Conflict-Free Minerals” include direct exports from the DRC, as well as exports through Angola, Burundi, Central African Republic, Republic of Congo, Rwanda, South Sudan, Zimbabwe, Uganda, Tanzania, Kenya, and Zambia (countries of whom the U.N. Security Council note are global export routes for DRC-mined minerals).

4. Trade Compliance

4.1 Supplier shall incessantly keep track of latest updates to ensure its compliance with all applicable Export Control Laws and Regulations, and shall completely and correctly notify Buyer of all such Export Control Laws and Regulations applicable to the supply, transfer or delivery to Buyer of Supplier’s products or goods.

4.2 Supplier shall not engage in any illegal, improper, anti-competitive or unfair business activities.

5. Non-infringement Products/Goods

Supplier shall warrant that each of the product/good supplied, transferred or delivered to Buyer must not infringe, induce infringement of, or contribute infringement of any foreign or domestic intellectual property rights of any third party.

6. Prohibition against Silica-Based Products Involving Human Rights Violation

6.1 Supplier shall enhance its scrutiny regarding anti-forced labor compliance by documenting the source and origin of silica-based inputs within Supplier’s supply chain. Such documentation (e.g. certificate of input origin, list of input suppliers) shall be duly provided to Buyer upon request in response to customs authority’s investigation (e.g. U.S. CBP detention under Withhold Release Order) of any item involved with Supplier’s product/good.

6.2 Supplier shall warrant that, any of the silica-based products, components or materials supplied, transferred or delivered to Buyer must not be made by using forced labor, child labor, or any measure in violation of human rights.

6.3 Supplier shall also warrant that, any of the intermediate goods or finished goods supplied, transferred or delivered to Buyer must not be incorporated with, derived from or produced by using any silica-based product, component or material which is incompliant with the foregoing section.

6.4 Supplier shall periodically update and review information regarding silica-related manufacturers subject to forced labor allegation. Buyer further encourages Supplier, on a voluntary basis, to mitigate compliance risk in its supply chain by sourcing polysilicon materials outside of Xinjiang. (For a convenient reference, certain entities in violation of human rights may be found at:https://www.federalregister.gov/documents/2021/06/24/2021-13395/addition-of-certain-entities-to-the-entity-list

7. Green Procurement

Supplier shall fulfill its responsibilities as a global citizen by carrying out green procurement, and requiring its next-tier suppliers to cooperate with the following principles:

7.1 The supplied products/goods shall comply with applicable environmental laws both domestically and abroad (such as RoHS, REACH and WEEE).

7.2 Prioritize the procurement of products designated with officially recognized Green Label (e.g., Energy Saving, Water Saving, Green Building Materials).

7.3 Supplier shall submit relevant test reports issued by an impartial third-party to assure the compliance with non-use of hazardous substances when necessary.

TSC has established a complete supplier evaluation and management process, conducts regular assessments and irregular audits on key suppliers, and requires suppliers to improve and track their audit defects within a time limit, and looks forward to growing together with suppliers.

Safe Working Environment

In 2019, we successfully converted the OHSAS 18001 in our plant into ISO 45001:2018 (Occupational Health and Safety Management Systems). It places more emphasis on the expectations of stakeholders and the responsibilities and obligations of management, and employee participation. Occupational safety and health management is no longer regarded as "independent operations", but must be viewed from the perspective of operational soundness and sustainability. We insist on providing a safe and healthy working environment, strengthening pollution prevention and eliminating work hazards, and consulting with workers and their representatives to fully participate in environmental, safety, and health system activities and understand their individual responsibilities.

Establishment of Safety Culture

TSC fully understands the importance of safety in the working environment, so we promote occupational safety and health concepts and comply with laws and regulations. Establish a good occupational safety and health culture in the company to prevent employees and outsiders from being exposed to hazards during activities.
We promise to implement corporate social responsibilities (environmental protection, safety, and health responsibilities), consider potential environmental impacts or hazard risks, and try to prevent, eliminate, and continue to control them.
Meanwhile, we actively communicate with workers or their representatives to understand their needs and expectations, and ensure that they have enough time and resources to participate in the activities of TSC's occupational safety and health management system.

Contractor Management

In addition to employees, TSC also attaches great importance to the contractors self-management of life safety and health. To ensure the health and safety of our partners, we have clearly established "Contractor Safety and Health Management Procedures", and require contractors to make commitments to health and safety.

When signing a contract with a contractor, we not only require the contractor to comply with safety and health management laws and regulations, but also requires them to comply with TSC's requirements about construction personnel qualifications, engineering construction, machine tools, materials, and safety protection equipments.

And through a series of management measures such as pre-contract hazard notification, pre-construction hazard notification, responsible unit construction application management, contractor access control management, operation management during construction and post-construction confirmation, plus regular and irregular On-site audit mechanism by TSC safety and health management personnels, we hope to reduce the incidence of occupational accidents among contractors in the factory.

Employee Care Healthy Workplace

Employees are an important energy for TSC's growth and sustainable operation. To implement our commitment of being people-oriented and employees care, we are dedicated to set-up a sound salary system, a complete welfare system, and related care plans. Meanwhile, we create a friendly workplace environment to ensure the work safety of employees, plan diversified training courses to enhance employees’ knowledge and skills. In addition to career development, we also pay attention to the balance between employees' life and work. We hope to create a happy and healthy workplace through various efforts and continue to pursue excellence with our employees under the severe challenges of global competition.

Human Rights Policy

TSC holds the core value of respecting employees and putting people first. We observe and support the local laws and regulations of our business locations around the world; safeguard the legal rights and interests of full-time employees, contract workers and part-time staff, interns, and job seekers; and are committed to promoting cooperation andencouraging our partnering suppliers to adopt the same standard in their operating activities.

We recognize and support the spirit and basic principles of human rights protection mandated in international human rights conventions such as the “Universal Declaration of Human Rights”, the “United Nations Global Compact”, and the “International Labor Conventions”. In an effort to creating an equal, safe, and dignified workplace environment, we abide by relevant labor laws and regulation; establish workplace violence protection management regulations to prevent physical or mental harm due to the actions of others during the execution of duties; post a workplace violence prevention statement on the factory’s announcement board; provide multiple complaint channels for employees; conduct regular workplace violence risk assessments; and devise relevant safety measures based on survey results.

Policy Goals

● Continuing to create opportunities for achieving diversity, inclusiveness, and equality and prohibit any forms of discrimination (including on the basis of gender, genderorientation, race, class, age, marital status, language, thought, religion, political party, place of origin, place of birth, appearance, facial features, disability, etc.)

● Prohibiting forced labor and child labor

● Creating a safe and healthy work environment

● Providing fair and reasonable salary and working conditions

● Providing avenues and environment for freedom of expression and respecting employees’ freedom of association

Talent Recruitment and Human Resources

TSC have had 103 employees in 2022. By gender, 84% are men and 16% are women. Of these employees, 13%, 72%, and 15% were aged <30, 30–50, and >50 years-old, respectively; 55% and 45% were direct and indirect personnel, respectively; 100% were permanent employees (there were no part-time employees).

Hiring Locals and People with Disabilities
To care for the society, TSC supports the employment of people with disabilities and has established channels for hiring people from this demographic. As of 2022, TSC has employed a total of 2 people with disabilities, which accounted for 2% of all employees. TSC complies with the government’s regulations for hiring people with disabilities and won the second prize in the 2022 Outstanding Supplier of Over-recruitment People with Disabilities.
In order to create local jobs, we give priority to local residents when recruiting new employees. Therefore, we have about 68% employees live in Changhua.

Supervisor
Regarding management level, TSC has 28 supervisors, 86% of which were men and 14% were women. Regarding management ranks, there are 5 high-level supervisors(department level or higher), 8 managers or deputy managers, 9 sectional-level personnel, and 6 supervisors on duty (including foreman).

Statistics of New Employee Hires and Employee Turnover
In 2022, the number of new employees at TSC was 21, with new male and female hires accounting for 15% and 6% of the total number of employees for the previous year, respectively. In terms of age, new hires were mostly aged 30-50 years-old (14%), followed by those aged <30 years-old (6%). In 2022, 18 employees resigned, with male and female resignees accounting for 14% and 4% of the total number of employees for the previous year, respectively. In terms of age, resigned employees were mostly aged 30-50 years-old (14%), followed by those aged <30 years-old (3%).
When employees submit a resignation letter, the HR department would immediately schedule an exit interview to understand reasons for resignation, and actively assist in making changes and providing explanations concerning work contents, personal characteristics, and proposed problems so as to achieve the goal of talent retention. In addition, when we have a job vacancy, priority will be given to each unit for internal recruitment. After the person who wants to transfer is approved by the unit manager, HR will assist employees with the interviews and subsequent transfer matters.

Salaries and Benefits

Remuneration Policies
TSC offers competitive salaries (including fixed salaries and holiday bonuses) to attract and retain outstanding talents. Annual salaries are adjusted to the company’s operational performance, industry standards, inflation, and employee performance. Depending on the company’s profits for the year, emuneration is provided to employees to strengthen employee loyalty and motivate employees to exceed annual business goals, thereby facilitating the co-creation and sharing of profits. Employees are recommended for promotion based on their annual performance review results.

Leave System
TSC provides a leave system and defines work systems and management rules in accordance with the Labor Standards Act. Our working hour policy abides by the stipulation that a worker shall have two regular days off every seven days, where one day is a regular leave and the other one is a rest day. We also sign contracts with our employees, respect their willingness to provide labor services, and will never by force, coercion, or other illegal means, compel a worker to perform work. Employees may use the HR system to inquire their personal attendance records and remaining leave hours to ensure their rights and interests regarding working hours and leave.

Insurance and Pension System
In addition to health and labor insurance as required by law, each employee is also enrolled in group insurance policies that are superior to labor law requirements.Group insurance includes term life insurance, accidental injury insurance, aviation accident insurance, major burns insurance, medical injury insurance, and hospitalization medical insurance, etc., all of which afford comprehensive protection measures for employees to minimize losses.
For employees under the new pension system, TSC makes a monthly contribution equaling 6% of employee’s monthly salary is made to each employee’s labor pension account.

Unpaid Child Care leaves
TSC provides employees with the right to parental leave. Employees who have worked for 6 months and have a child under the age of 3 may apply for unpaid childcare leave with the company to take care of their child. A total of 4 employees at TSC have applied for unpaid parental leave between 2020 and 2022.

Welfare Committee System
TSC established an Employee Welfare Committee in 2018 to strive for employee benefits and welfare measures, including subsidies for marriage, childbirth, and funerals; cash gifts for birthdays and major festivals; discounts provided by designated vendors; year-end banquets; sponsorship for social welfare activities. We also hold non-periodic beach cleanups to contribute to the society and the natural environment.
During the COVID-19 outbreak, Welfare Committee gave every employee an epidemic prevention care package to maximize the effectiveness of epidemic prevention.

Health Promotion and Care

Healthy employees are key to stronger corporate competitiveness. TSC has deployed full-time nurses and physicians with contract to provide a variety of health care services for employees, conduct follow-up management of employee health problems, and provide referral or medical services.
Focusing on the four pillars of maternity care, prevention of ergonomic injuries, overwork prevention, and prevention of wrongful harm, TSC continues to safeguard the physical and mental wellbeing of employees by sending monthly health e-newsletters, health lectures, and health promotion activities. All activities are designed to create a healthy and happy workplace.

● Health management measures such as one-on-one counseling with physicians, individual health education guidance.

● Annual employee health examination.

● Annual flu vaccination subsidies for employees.

● An automated external defibrillator is installed in the factory.

● Pregnant colleagues can enjoy a convenient and safe working environment during pregnancy.(special parking spaces/comfortable breastfeeding space/sign exclusive contracts with special discount nurseries and kindergartens)

Education and Training

All-round Learning Environments
TSC organizes annual training courses and provides an all-around, diversified learning environment to enhance employee skills and literacy, optimize the use of human resources, and ensure continued personal development. Training plans for the following year are formulated by various departments in line with the company operation goals, company, department KPI, and competency demands. At the end of each quarter, reviews and assessments of goal achievement status are conducted with regard to courses offered in the said quarter. The results of these reviews and assessments serve as a key reference for improvements for upcoming courses.

The TSC training system encompasses the following five categories: competency training for new recruits, professional competency training, general management competency training, core functions training, and health and safety management training. This system provides suitable training courses for employees in their different stages of career development.

TSC has established a Link-learning Website that furnishes employees with reading and exercises training materials whenever they have a need for it to foster a reading culture in the company. It also grants self-improvement and personal growth opportunities for employees who have an interest in learning. TSC firmly believes that continuous learning leads to continuous improvements in the company’s overall operational performance.

Talent Cultivation
TSC is firmly committed to place on R&D, innovation and talent development for industries. In addition to introducing current status and future trends of the specialty gases industry, we also shared work experiences and exchanges by current employees to let new staffs understand our workplace environment and company prospects. To prepare for long-term cultivation of home-grown specific talents, TSC provide our employees put their learned knowledge into practice, thereby increasing their competitiveness in the specialty gases industry.

Physical and mental balance and a blissful workplace

TSC listens to the voice of its employees. Various channels such as labor-management consultation meetings, employee suggestion boxes, OSH committees, and a staff benefits committee allow employees to freely express their views and opinions. Employees are able to fully express their opinions via meeting exchanges and discussions. This enables an effective bidirectional communication channel between the labor and the management, rendering win-win results for both parties.

Discovery trails

We encourage that every employee can enjoy the beauty of nature at any time after working enthusiastically. The general affairs and horticulture colleagues laid the leisure trails by recycled materials without any expenditure, allowing our employees to effectively relax their bodies and minds, accumulate their energy, and enjoy a better and more energetic daily life.

Acting in the spirit of altruism to care for society, TSC continued to internalizes our core values of“ respect for human dignity, social justice, responsibility, privacy, and authority” into social engagement activities.

Beach Cleanup for Ecological Conservation

To keep a beautiful environment and natural ecosystems for the next generation, we recruit volunteers within our company to clean up the beach of Xianxi Township.

2022/04/16

2021/11/27

2022/03/22 Tzu Chi Foundation Presented a Certificate of Appreciation to Commend TSC for its Charity Activities

TSC implements waste sorting and donates recyclable items to Tzu Chi Foundation on a long-term basis so that resources can be recycled and reused. As of September 2023, the cumulative donation amount has reached 4,240Kg. We believe that "reducing more waste can increase more resource." The Changhua Branch of Tzu Chi Foundation presented a certificate of appreciation to TSC on March 22, 2022, and thanked TSC for promoting a sustainable circular economy activities and fulfilling its corporate social responsibilities.

Care for Vulnerable People and Donate Supplies

TSC donated materials to Changhua County Erlin Happy Christian Home, sending warmth and care to vulnerable people, and fulfilling the company's responsibility to give back to society.

Enthusiastic in Public Welfare Activities

Since 2018, we have cooperated with the Corporation Changhua Country Joyce-Polio Care Association (Polio Home) to encourage employees to purchase charity coffee bags and participate in other charity activities to promote love and care and be enthusiastic in public welfare activities.
TSC has long-term orders of cleaning bags manufactured by Polio Home. We not only promotes waste reduction and classification, but also transforms irreducible needs into a gentle and powerful backing to guard the local community and care for society.

Company Name	Taiwan Speciality Chemicals Corporation	Chairman	Hsiu-Lan Hsu
Stock Name	TSC	Principal Office	No.1, Zhangbin W. 3rd Rd., Xianxi Township,Changhua County 507, Taiwan (R.O.C)
Stock Code	4772	Stock Transfer Agent	Stock Agency Department of Yuanta Securities Co., Ltd
Market Type	TPEx-Listed	Auditors	KPMG
Industry Type	Chemical	Tel	+886-4-7911072
Principal Activities	Sale and produce of Precision Chemical materials	Fax	+886-4-7911029
Date of Establishment	2013/03/27	Email	IR@tscs.com.tw
Date of Listing	2024/09/20	Website	https://www.tscs.com.tw/
Capital	NT$1,476,815,520

Diversity Policy for the Board Members

The composition of the board of directors has taken diversity, in addition to the fact that directors who are also managers should not exceed one-third of the number of directors, into consideration and formulating an appropriate policy on diversity based on the company's business operations, operating dynamics, and development needs. It is advisable that the policy include the following two general standards:

1.Basic requirements and values: Gender, age, nationality, and culture

2.Professional knowledge and skills: A professional background (e.g., law, accounting, industry, finance, marketing, technology), professional skills, and industry experience

All members of the board shall have the knowledge, skills, and experience necessary to perform their duties. To achieve the ideal goal of corporate governance, the board of directors shall possess the following abilities:

1.Ability to make operational judgment

2.Ability to perform accounting and financial analysis

3.Ability to conduct management administration

4.Ability to conduct crisis management

5.Knowledge of the industry

6.An international market perspective

7.Ability to lead

8.Ability to make policy decisions

 

POSITION	NAME	WORK EXPERIENCE
Chairperson	Sino-American Silicon Products Inc. Representative︰Hsiu-lan Hsu	Chairperson and CEO of Sino-American Silicon Products Inc. Chairperson and CEO of GlobalWafers Co., Ltd. Representative of legal director of Actron Technology Corporation Director of Crystalwise Technology Representative of legal director of Advanced Wireless Semiconductor Company
Vice chairperson	Sino-American Silicon Products Inc. Representative︰Cheng-Chien Chen	President of Sino-American Silicon Products Inc.
Director	Sino-American Silicon Products Inc. Representative︰Hsiu-Ling Hsu	Chief of the Accounting Department of Sino-American Silicon Products Inc.
Director	Hsin-Ming Kao	Chairperson and CEO of Marketech International Corp. Manager of Electronics Research & Service Organization, Industrial Technology Research Institute (ITRI)
Director	Hsin-Jung Chen	President of Shiehyi International Co., Ltd.
Independent Director	Chung-Xian Liu	Chairperson of Ruentex Development Co.,Ltd.
Independent Director	Ru-Sheng Hong	Full-time Professor, Department of Chemical Engineering, National Taiwan University of Science and Technology
Independent Director	Ding-Kuo Chen	Charity Chairperson of the Chinese Academy of Business

Audit Committee

The Audit Committee helps to supervise the following items:

1. Appropriate description of the financial report of the company

2. New appointment, conge, qualification, independence and credit of CPA

3. Effective implementation of the internal control

4. Abidance of relevant laws and regulations

5. Existing and potential risks management

 

Committee list

Chung-Xian Liu   Chairman

Ru-Sheng Hong   Member

Ding-Kuo Chen   Member

 

Remuneration Committee​

The Remuneration Committee helps the Board to execute and evaluate overall remuneration and welfare policies, as well as remunerations of directors and managers.

Three independent directors constitute Remuneration Committee and convene at least two meetings a year.

 

Committee list

Chung-Xian Liu   Chairman

Ru-Sheng Hong   Member

Ding-Kuo Chen   Member

 

Nominating Committee

With authorization from the board of directors (below, “the board”), the Nominating Committee shall consist of at least three directors elected by the board, which more than half of whom shall be independent directors, and exercise the due care of a good administrator to faithfully perform the following duties and shall submit its proposals to the board for discussion:

1. Finding, evaluating and nominating candidates for directors and senior executives based on standards of independence and a diversified background covering the expertise, skills, experience, gender, etc.

2. Establishing and developing the organizational structure of the board and each committee, and evaluating the performance of the board, each committee and each director as well as the independence of the independent directors.

3. Establishing and reviewing programs for director continuing education and the succession plans of directors and senior executives.

4. Executing other resolutions that the board assigns.

 

Committee list

Hsiu-lan HsuChairperson

Tang-Liang YaoMember

Chung-Xian LiuMember

Ru-Sheng HongMember

Ding-Kuo ChenMember

Documents	Download
Articles of Incorporation	⇲
Governing Financial and Business Matters Between this Corporation and its Affiliated Enterprises (Chinese version)	⇲
Corporate Governance Best-Practice Principles (Chinese version)	⇲
Risk Management Policies and Procedures (Chinese version)	⇲
Procedures for Handling Material Inside Information (Chinese version)	⇲
Guidelines for Insider Trading Prevention (Chinese version)	⇲
Sustainable Development Best Practice Principles (Chinese version)	⇲
Guidelines for Endorsement and Guarantee	⇲
Procedures for Election of Directors	⇲
Procedures for Loaning of Funds	⇲
Regulations Governing the Acquisition and Disposal of Assets	⇲
Rules of Procedure for Shareholders' Meetings	⇲
Information Security Management Policy (Chinese version)	⇲

TSC follows Corporate Governance Best-Practice Principles for TSEC/GTSM Listed Companies, by which to

• protect shareholders’ rights and interests
• strengthen the powers of the board of directors
• fulfill the function of audit committee
• respect stakeholders’ rights and interests
• enhance information transparency

Based on Regulations for the Establishment of Internal Control Systems by Public Companies, TSC takes into consideration the overall operational activities of itself and its subsidiaries in establishing an effective internal control system, and review it at all times, in order to keep up with the dynamics of environment inside and outside the company and ensure that the design and enforcement of the system remain effective.

The board of directors and management review the self-inspection results of each department and the report of the internal audit department unit every year. Members of the audit committee shall also pay attention to and exercise oversight of this matter.

TSC executives pay special attention to the internal audit department and its personnel, fully empower them and urge them to conduct audits effectively, evaluate problems of the internal control system and assess the efficiency of operations to ensure that such a system can be carried out effectively on a continuous basis and can assist the board of directors and the management to perform their duties effectively so as to ensure a sound corporate governance system.

Chief Corporate Governance Officer

TSC’Director of Finance and Accounting Department(who has more than three years of experience in finance, stock affairs and deliberations of the public company) is assigned to be the Chief Corporate Governance Officer, and shall be responsible for leading and supervising the President’s Office in the handling of corporate governance-related matters and providing support to directors, and the terms of reference include:

1. Handling matters related to meetings of the Board of Directors and shareholders’ meetings in accordance with the law.

2. Producing minutes of the board of directors and shareholders’ meetings.

3. Providing the information required by the directors to carry out their business.

4. To assist directors in complying with the ordinance.

5. To report to the board of directors the results of its inspection on whether the qualifications of independent directors comply with relevant laws and regulations at the time of nomination, election and term of office.

6. Other matters as stipulated in the Articles of Incorporation of the company.

 

Status of Continue Education Implementation by Chief Corporate Governance Officer

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Status of Continue Education Implementation by Chief Corporate Governance Officer-2023	⇲
Status of Continue Education Implementation by Chief Corporate Governance Officer-2022	⇲

 

Ethical Corporate Management Best Practice Principles : Status of Ethical Corporate Management Implementation

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Status of Ethical Corporate Management Implementation​-2023	⇲
Status of Ethical Corporate Management Implementation​-2022	⇲

 

Statues of Other Corporate Governance Implementation

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Succession Planning for Board Members and Important Management (Chinese Version)	⇲
Implementation of Intellectual Property Management (Chinese Version)	⇲
Human Rights Policy(Chinese Version)	⇲
Implementation of Insider Trading Prevention (Chinese Version)	⇲

The Purpose of Internal Audit

The purpose of Internal Audit is to assist the Board of Directors and top management to enhance the effectiveness and efficiency of the company’s operations, to assure the company’s profit, performance, and property, to compliance with applicable laws and regulations, by providing timely suggestions to assure the effective execution of internal control system.

Internal Audit Organization

The Company has set up an internal audit unit affiliated to the board of directors and is dedicated to the internal audit work. In accordance with the company's scale, business conditions, management needs and other relevant laws and regulations, a suitable number of full time internal auditors to which he belongs are assigned.
The appointment and removal of the head of internal audit must be approved by the audit committee and a resolution of the board of directors must be submitted.
The qualifications of the internal auditors meet the statutory qualification requirements, and the continuous training reaches the prescribed hours.

Internal Audit Implementation

The internal auditors uphold the spirit of detachment and independence, perform their duties in an objective and impartial position, and do their due professional attention. The audit supervisor reports the audit business to the audit committee on a regular basis and attends the report of the board of directors.

The company's internal audit business is based on the results of the risk assessment to prepare an annual audit plan, clearly specifying the audit items, time, procedures and methods. Auditors conduct regular and project audits on a regular or irregular basis. The audit results are attached to work papers and related materials to prepare audit reports for review to ensure that the company's internal control system can be continuously and effectively implemented.

Supervise all units within the company to periodically evaluate the effectiveness of the internal control system on a regular basis each year. The self-assessment supervisors of each unit conduct internal control system design and execution effectiveness evaluation based on the internal control risk . The findings of the lack of internal control and improvement of abnormal events are used as the main basis for the board of directors and the general manager to evaluate the effectiveness of the overall internal control system and issue a statement of the internal control system.

The internal auditors discovered the internal control system's findings and internal audit system declarations, self-assessment and accountant's ad hoc review of the internal control system's deficiencies and anomalies, which were actually disclosed in the audit report and reported in the report Afterwards, follow-up reports are made quarterly to ensure that relevant units have taken appropriate improvement measures in a timely manner. After the audit report and follow-up report are reviewed, they should be submitted to the audit committee for review before the end of the month following the completion of the audit project. If an internal auditor finds major violations or the company is at risk of major damage, he immediately makes a report and reports, and notifies the board of directors and the audit committee.