Product Quality and Management Processes
Upholding the spirit of "forward-looking perseverance and dedicated R&D", Walsin Lihwa implements the PDCA (Plan-Do-Check-Act) cycle management framework. In terms of product quality control, the Company not only adheres to international standards and industry requirements but has also obtained multiple product certifications. The Wire and Cable Business Group and the Stainless Steel Business Group both follow the ISO 9001 Quality Management System, strengthening quality management and risk control. Through process management and technology applications spanning from product design to after-sales service, the Company ensures quality meets customer expectations. The Company employs PDCA and Business Process Re-engineering (BPR) strategies to enhance operational efficiency and personnel capabilities, strengthening autonomous quality management. In addition, the Company promotes DMAIC solutions-through the phases of Define, Measure, Analyze, Improve, and Control-applying advanced quality tools and big data to conduct risk assessments and quality control, ensuring products achieve "zero defects" and realizing a dual win of quality and customer satisfaction.
Walsin Lihwa is committed to "innovative and stable quality with efficient management", continuously improving product quality, expanding markets, building a reliable quality system, and promoting quality enhancement action plans:
- Grant the quality assurance unit independent and objective responsibilities and authority.
- Employ international-grade testing equipment; establish TAF-level testing laboratories; collaborate with third-party institutions to ensure technical verification.
- Strengthen risk management through analysis to ensure the reliability of products and services.
- Enhance product portfolios and industry-academia-research collaboration to improve the success rate of new product development and expand new markets.
- Provide customers with required certifications, ensuring product performance and quality to meet market demands.
- Enhance manufacturing capabilities by applying Industry 4.0 technologies to produce high-quality industrial cables.
- Build robust audit and certification capabilities; continuously improve the quality management system through the PDCA philosophy.
▪Quality Management Systems and Processes Flowchart
Product Recall and Quality Control
Walsin Lihwa adheres to the principle of "quality first" by establishing a comprehensive Quality Management System (QMS) to ensure that all products-from raw materials and production processes to final shipment-comply with international standards. The Company has obtained ISO 9001:2015 International Quality Management System certification; internal quality project audits are conducted annually by the Audit Office and functional departments to ensure the effective operation of the system.
To implement preventive management, the Company conducts quality responsibility training for all employees, incorporating quality awareness into performance evaluations. All products undergo rigorous inspection procedures and automated sensing systems prior to shipment to intercept defective products in a timely manner and reduce the risk of product recalls. Customers may raise quality-related concerns through formal complaint channels.
▪Wire and Cable Business Group
The Wire and Cable Business Group monitors relevant industry information and trade verification requirements in various countries. Building upon its existing ISO 9001 Quality Management System, certifications from classification societies including ABS (American Bureau of Shipping), BV (Bureau Veritas), DNV-GL (Det Norske Veritas and Germanischer Lloyd), LR (Lloyd's Register), NK (Nippon Kaiji Kyokai), and CR (China Corporation Register of Shipping); British cable certification (BASEC, British Approvals Service for Cables); British loss prevention certification (LPCB, Loss Prevention Certification Board); North American safety standard (UL); voluntary product certification (VPC); and the national CNS Mark and certificate of the registration of product certification, the business continues to obtain third-party certification for the Yangmei Smart Manufacturing Plant as a foundation for entering industry supply chains, expanding the Company's product application scope and sales channels.
Highlights
[Yangmei Smart Manufacturing Plant] Fire-Rated Cable Certification from the Fire Safety Foundation
In 2025, the Wire and Cable Business Group's "Yangmei Smart Manufacturing Plant fire-rated cables" successfully passed product testing and factory inspection by the Fire Safety Foundation, obtaining the "Fire-Rated Cable Type Approval Certification". This confirms that the quality of fire safety cable products manufactured at Walsin's Yangmei Smart Manufacturing Plant meets national regulatory standards, enabling consumers to trust Walsin products with 100% confidence, and laying a solid foundation for Walsin's wire and cable industry ecosystem.
[Hangzhou Plant] Quality-Driven, Green-Powered: Building a High-Standard Quality Management System at Hangzhou Walsin
Hangzhou Walsin Power Cable & Wire Co., Ltd. ("Hangzhou Walsin") has continuously improved its quality management and operational systems. In recent years, the Company has obtained multiple domestic and international professional certifications, demonstrating its commitment and capability in quality stability, green manufacturing, and standardized management. The Company has obtained international standard certifications including ISO 9001 Quality Management System and ISO 10012 Measurement Management System, ensuring the accuracy and consistency of production processes and quality inspection. In addition, Hangzhou Walsin has obtained PCCC (China Compulsory Certification Committee) voluntary product certification to strengthen the credibility of products in the market, as well as green design product certification, green supply chain management system certification, and green evaluation certification for electrical equipment manufacturing enterprises. In terms of corporate governance and operational norms, the Company has also received enterprise credit rating evaluation and standardization excellence behavior certification, further strengthening internal systems and external reputation. These certifications are not only attestations of quality and governance but also concrete expressions of Hangzhou Walsin's steady progress toward high-efficiency operations and sustainable development.
▪Stainless Steel Business Group
With the vision of becoming a globally recognized enterprise of excellence committed to sustainable growth in stainless steel and special alloys, the Stainless Steel Business Group continues to advance its high-value transformation, service orientation, flexibility, and intelligentization strategies. Building upon its ISO 9001 Quality Management System foundation, the business obtained AS 9100 Aerospace and Defense Quality Management System certification in 2025-a milestone signifying the Company's formal entry into higher-grade, high-reliability application domains and enhancing global competitiveness. Simultaneously, in response to the demands and policy trends of the Indian market, the Company successfully obtained IS 14650 certification, while strengthening steelmaking process control, end-to-end process management, and composition control capabilities to ensure compliance with Indian government regulatory requirements and market supply needs.
In terms of quality management and compliance strategy, the Company adopts unified quality management standards to meet customer, regulatory, and market requirements, and continues to expand its certification portfolio to support global market development. The Company has obtained multiple international and national certifications, including automotive IATF 16949, pressure vessel-related PED/AD 2000, classification society certifications, and product certifications including Japan's JIS MARK, EU CE, and India's BIS.
The Yenshui Plant in Taiwan has obtained AS 9100 Aerospace and Defense Quality Management System certification; the Taichung Plant has also obtained UK Conformity Assessed (UKCA) certification and UK Pressure Equipment Safety Regulations (PESR) certification.
▪Quality Management Promotion Roadmap
Highlights
[Yenshui Plant] AS 9100 Aerospace and Defense Quality Management System Certification
The bar and rod products of Walsin Lihwa's Stainless Steel Business Group in Taiwan have obtained AS 9100 Aerospace and Defense Quality Management System certification. This milestone signifies that the Company's product reliability and process stability have reached international high-end aerospace standards, enabling it to fully meet the stringent requirements of aerospace and defense supply chains. The Company will leverage this advantage to deepen its presence in global high-end markets and become a long-term trusted strategic partner for customers.
Control of Hazardous Substances Products
Walsin Lihwa deeply recognizes its corporate citizenship responsibilities and implements comprehensive hazardous substance controls throughout its product development, manufacturing, and service processes, striving to ensure product safety, environmental friendliness, and the absence of hazardous substance additives. From the material selection stage, the Company adopts compliant materials meeting the requirements of regulations including RoHS (Restriction of Hazardous Substances Directive), REACH (Registration, Evaluation, Authorisation and Restriction of Chemicals), and CNS (Chinese National Standards), and ensures product and service quality compliance with the latest regulatory requirements through raw material inspection, process control, and international chemical management mechanisms. Conflict minerals are not used in manufacturing processes.
For the Wire and Cable Business Group, revenue from cables containing declarable substances under IEC 62474 as a proportion of total revenue is 15%. All plastics used in commodity verification and registered products are formulated with proprietary recipes; in 2025, full compliance with RoHS regulations was declared across all products, indicating that no regulated hazardous substances are added during the manufacturing process. In addition, in compliance with the shipbuilding industry's prohibition on asbestos, all marine cables have obtained classification society certification, confirming they contain no non-compliant substances. Hazardous substance management information is also proactively disclosed to enhance stakeholder trust.
For proprietary insulation and sheathing compounds, the materials unit regularly reviews and dynamically adjusts formulation compositions based on the latest announcements from competent authorities including the Occupational Safety and Health Administration of the Ministry of Labor and the Toxic and Chemical Substances Bureau of the Environmental Protection Administration. The unit responds to and ceases use of newly regulated substances in a timely manner while proactively seeking alternatives, implementing the management principle of source reduction. The Company also invests in the R&D of eco-label compounds, the material compositions of which contain none of the eight heavy metals, phthalate plasticizers, polybrominated biphenyls (PBB), polybrominated diphenyl ethers (PBDE), short-chain chlorinated paraffins (SCCPs), or other substances of very high concern, while complying with the applicable restrictions of the Montreal Protocol-reflecting the Company's commitment to continuously enhancing the environmental value of its products.
For the Stainless Steel Business Group, from 2021 through 2025, 100% of its products comply with EU RoHS 2.0 (EU Directive on the Restriction of Hazardous Substances), REACH (SVHC-Substances of Very High Concern), the PFOS (Perfluorooctane Sulfonic Acid) Sales and Use Restriction Order, and the PFOA (Perfluorooctanoic Acid) and related compounds ban. Revenue from products of the Stainless Steel Business Group that comply with relevant regulatory requirements accounts for 5.1% of total Stainless Steel Business Group revenue, fully demonstrating the Company's long-term commitment to non-toxic manufacturing and product sustainability.
For the Resources Business Group, compliance is maintained with Indonesian Regulation PP No. 74/2001, which governs the management of listed hazardous and toxic substances (B3 substances). In addition to the substances listed in the regulation, ferronickel and nickel matte are also included in the management scope to ensure effective control of hazardous substances.
Note: Calculated based on revenue from the Wire and Cable Business Group.
▪Hazardous Substance Management Status