Walsin Lihwa adopts a strategy of "continuously developing high-performance green products, advancing toward a circular economy and enhancing end-use efficiency to reduce environmental impact". In terms of material use, the Company strives to achieve circularity, recycling, and reuse. In the production process, the Company optimizes operations based on the principle of "energy conservation and carbon reduction". At the product level, the Company develops high-performance, net-zero and sustainable products, fulfilling its commitment to helping customers and end users achieve energy efficiency improvements and emissions reduction goals.
Green Product Development
As sustainability becomes integral to global corporate operations, the quantifiable and verifiable "sustainability value" of a product has emerged as a key criterion by which customers assess supplier competitiveness and supply chain resilience. In response to the market's heightened focus on low-carbon and clean technology, Walsin Lihwa continuously expands its portfolio of environmentally beneficial products-including wind power cables, lightweight cables for large machinery, and fast-charging EV gun-cable assemblies-with a focus on supporting the development of renewable energy infrastructure and electric transportation systems to help customers advance the energy transition and achieve carbon neutrality.
In the solar power cable segment, Walsin Lihwa began developing the market as early as 2016, secured landmark project orders in 2018, and has since deepened its engineering capabilities and on-site service capacity, becoming one of the leading domestic market-share holders since 2022. In the wind power segment, the Company initially focused R&D on torsion-resistant power cables for onshore wind turbine towers, then in 2020 entered the development of dedicated DC and high-voltage cables for offshore turbine tower internals. In 2023, delivery of the 9.5MW offshore wind turbine high-voltage cables was completed; PPAP documentation review and first-article production for torsion-resistant high-voltage cables for 14MW and larger turbine towers were completed in 2024, with official mass production shipment commencing in Q1 2025-demonstrating the Company's sustained investment and technical depth in the high-power wind power cable segment. Beyond product manufacturing, Walsin also provides integrated cable and high-voltage joint assembly services; the outer diameter of the 14MW turbine tower internal cables exceeds 100mm, representing a significant technical milestone for domestic products of this class.
In the EV charging infrastructure segment, the Wire and Cable Business Group focuses on the R&D and certification of charging gun-cable assemblies. In 2023, the Company completed the development and certification of the full CCS1/CCS2 series of DC charging gun-cable assemblies, covering mainstream applications from 80A to 300A. From 2024, the Company obtained full-series VPC certification, meeting the government's safety standards for domestically produced charging equipment. To enhance customization capabilities and ensure product quality, the Company also completed the construction of an assembly plant equipped with comprehensive testing facilities, strengthening overall reliability in R&D and mass production.
Since 2021, the share of Walsin Lihwa's clean technology product revenue has shown a steady growth trend: 0.4% in 2021, 0.5% in 2022, and 0.57% in 2023. Although it declined slightly to 0.45% in 2024 due to industry cyclical factors, it rebounded to 0.59% in 2025, with overall development momentum continuing to strengthen. Going forward, Walsin will continue to invest in technological innovation in areas such as high-current, high-voltage, and low-carbon materials to enhance the competitiveness of its clean technology products and become a key partner for customers pursuing clean technology and low-carbon transformation.
Green Product Life Cycle Assessment
Walsin Lihwa examines and manages the environmental impact of its products from the dimensions of raw material use, energy and resource consumption, and GHG emissions. The Company increases the utilization rate of recycled and reusable materials to effectively steward natural resources; optimizes production processes on the basis of "energy conservation and carbon reduction"; and targets high-performance green products embodying "net-zero practice and sustainable development" as its product output-steadfastly working to help downstream customers and end-use applications achieve energy efficiency and emissions reduction goals.
▪Wire and Cable Business Group
The Wire and Cable Business Group has established an environmental management mechanism operates under third-party certified ISO 14001 Environmental Management System and ISO 9001 Quality Management System, covering 100% of manufacturing operations, and the mandatory trade compliance requirements of all key export markets. Environmental material selection, process waste reduction, and regulatory compliance are considered from the design stage onward. The Company continuously monitors international hazardous substance regulations (such as EU RoHS and REACH) and has introduced tiered control principles across different product lines. Using "New Design Control – Incoming Material Control – Product Control" as the three-phase core framework, the Company has built a cross-functional collaboration and tracking system guided by the principle of Total Process Control:
▪Stainless Steel Business Group
Use of Raw Materials
As global supply chains increasingly demand greater transparency in carbon emission management and resource accountability, the environmental footprint at the raw material stage has become a critical factor for enterprises pursuing sustainable transformation.
▪Wire and Cable Business Group
Guided by the core principles of circular economy and resource efficiency, the Wire and Cable Business Group actively incorporates raw materials with recognized environmental value, building a more sustainable product structure from the source. The following sustainable raw material strategies have been adopted as the foundation for product design and development:
- Recycled Copper
To meet the stringent safety and conductivity requirements of wire and cable products, Walsin consistently selects high-purity copper materials. Simultaneously, the Company proactively responds to the expectations of international brands and large manufacturers to increase the proportion of recycled materials in products by establishing a high-quality process copper scrap recovery mechanism and introducing professional recycling and reprocessing workflows to ensure consistent quality of recycled copper. This recycling process has obtained ISO 14021 third-party verification, enhancing the credibility and transparency of Walsin's environmental declarations. - PVC Waste Reprocessing
For PVC waste generated from inner insulation and inner jacket materials during production, Walsin collaborates with third-party companies to reprocess this waste into filler materials through sorting, crushing, and processing technologies, significantly improving material use efficiency and reducing industrial waste generation. In addition, to address high-safety and high-performance product requirements, Walsin employs specialized chemical materials to ensure product quality and reduce customer usage concerns. The Company is also actively promoting the application of renewable materials to enhance the overall sustainability of manufacturing processes-for example, by progressively introducing recyclable thermoplastic elastomers (TPE) and polyvinyl chloride (PVC) materials to replace some cross-linked polyethylene (XLPE) and non-renewable plastic materials, thereby reducing waste during the manufacturing process in alignment with global trends toward sustainable materials and circular economy development. In 2025, plastic material consumption was 1,774 metric tons, with a reusable proportion of 60.5% and a re-input proportion of 3.10%Note.
Walsin also supplies high-quality raw materials (such as bare bright copper) to third-party companies, facilitating cross-industry resource sharing and sustainable material applications. As a result of adjustments to the 2025 cable product mix, reusable raw materials accounted for 86.11% of total material inputs, concretely demonstrating the Company's achievements in advancing material circularity and resource use efficiency, and reflecting its long-term commitment to environmental sustainability.
Packaging materials for wire and cable products are planned according to product type, customer requirements, and transportation conditions. Priority is given to recycled packaging materials (including but not limited to pallets, iron frames, iron reels, wooden reels, and end plates) and lightweighted packaging materials (such as lightweight steel drums) to achieve waste reduction and minimize environmental impact. In 2025, the utilization rate of recycled packaging materials was 59.63%.
Note：In response to market and customer demand for high-quality cable products, all insulation compounds used by the Company employ high-grade plastic materials to ensure product stability and reliability. Recycled PVC materials, after appropriate treatment, are used as filler materials in specific products. At the same time, in alignment with sustainable development objectives, the Company actively increases the reusable proportion of plastic materials and collaborates with third-party partners to promote cross-industry resource circularity and diversified applications.
▪Stainless Steel Business Group
Stainless steel production employs the Electric Arc Furnace (EAF) steelmaking method, utilizing high proportions of recycled steel scrap and reusable alloy materials, including stainless steel scrap, carbon steel scrap, ferrochrome, ferronickel, and others. Stainless steel scrap, carbon steel scrap, and similar materials constitute recycled raw materials; recycled raw materials accounted for 60.7% of total material inputs in 2025.
▪Reusable and Actual Re-Input Proportions of Main Raw Materials
Note：The Company does not use cobalt or lithium.
Green Manufacturing Processes
Committed to environmental sustainability, the Company advances process and technology improvements under the core strategic approach of "striving to develop and innovate green technologies for application in process energy conservation, product performance enhancement, and industrial development". Focusing on the future expansion of process and materials dimensions, the Company targets "resource conservation", "water conservation", "electricity conservation", and "energy consumption reduction" as its green manufacturing development objectives. Based on the 1.5% carbon reduction target set by the Energy Administration, the Company assessed its actual carbon reduction performance in 2025; the overall achievement rate for the energy conservation and carbon reduction program targets reached 170%.
Highlights
Wire and Cable Business Group
Upcycling and Circular Reuse of Scrap Materials - Achievements of the Recycled Cable Reel Initiative
Amid the global acceleration of net-zero emissions and circular economy initiatives, Walsin Lihwa continues to enhance process resource efficiency and waste management, treating these as important components of the Company's ESG strategy. Cross-linked polyethylene (XLPE) waste generated in the cable manufacturing process has, due to the characteristics of its cross-linked structure, long presented significant challenges for recycling and reuse-a key issue facing the industry in its pursuit of sustainable development. Through material degradation technology and recycled compound formulation design, the Company has successfully developed a recycled material using XLPE process waste as feedstock, which is then applied in reusable cable reel packaging products, achieving high-value upcycling of process waste and material internal circularity. This innovative application not only effectively reduces the final disposal volume of waste but also decreases the consumption of virgin materials, concretely embodying circular economy principles and enhancing overall resource use efficiency.
Formally launched in 2024, the initiative undertook recycled material formulation optimization and structural strength design for plastic cable reels. In 2025, product development and prototyping were completed; the products passed internal impact resistance and drop quality verification tests and were introduced to the production floor for actual cable production line operation validation. The products are being progressively rolled out to customers for actual use, with market feedback being collected simultaneously for ongoing design optimization and performance improvement.
Compared with traditional wooden cable reels, recycled plastic cable reels offer clear advantages in impact resistance, quality consistency, and operational safety, effectively reducing the risks of splintering and breakage commonly associated with wooden reels. In addition, the products' recyclable and reusable characteristics also help customers reduce the disposal burden of packaging materials after use, earning positive feedback from customers. Going forward, Walsin will continue to expand the application scope of recycled materials, deepen internal circularity design in its processes, and support the green transformation and sustainable development objectives of the industry through concrete action.
