ESG at Walsin Lihwa

Policies and Standards

Walsin Lihwa upholds the principle of business integrity, complies with government laws and regulations, implements corporate governance, and fulfills its corporate responsibilities. Through Board resolutions, the Company has adopted the Corporate Governance Best Practice Principles, the Ethical Conduct Guidelines for Directors of the Board and Managerial Officers, the Ethical Conduct Guidelines for Employees, the Ethical Corporate Management Best Practice Principles, and the Procedures for Ethical Management and Guidelines for Conduct. Internally, it has also established the Employee Code of Conduct, the Regulations for Personal Information Protection Management, and the Consumer and Customer Service Management Policy and Complaint Procedures as key standards for its ethical corporate management. Directors, managerial officers, and colleagues are required to comply with the aforementioned regulations and procedures across dimensions such as business ethics, labor relations, environmental protection, safety and health, internal control, corporate governance, and community participation. Information related to ethical corporate management is published on the Company's corporate website and intranet to convey the importance of ethical corporate management and to embed a corporate culture that upholds it.

Organization and Accountability

Walsin Lihwa has established a Business Integrity Promotion Center, managed by the Corporate Governance Officer, to assist the Board and management in evaluating the implementation of business integrity and in verifying the effective operation of preventive measures. Each year, the Center reports to the Board on the compliance evaluation of the relevant business processes for the year and on the results of the promotion and training of ethical corporate management. The responsibilities and functional scope of the corporate governance unit and the promotion center are as follows:

▪Responsibilities of the Corporate Governance Unit

▪Scope of Duties of the Business Integrity Center

The Business Integrity Center takes the implementation of integrity principles and support for the Company's sustainable operations as its core mission, helping to integrate integrity and ethical values into the Company's business strategy and, through institutional development and governance mechanisms, strengthening the foundation for the Company's long-term, stable development.

Risk Management: Identify potential risks facing the industry and the Company; develop effective preventive strategies and response measures to ensure sound business operations.
Internal Audit & Control: Strengthen internal control safeguards through review, testing procedures, and the establishment of control mechanisms.
Regulatory Compliance: Comply with competent authority regulations and external standards; formulate internal rules; continuously drive implementation to maintain compliant operations.
Integrity Principles: Promote and implement principles of non-bribery, non-corruption, non-profiteering, and non-interference with others' interests; enhance information transparency to ensure open and fair business operations.
Sustainable Business: Address climate-related risks and opportunities; enhance corporate governance effectiveness; deepen stakeholder engagement; promote sustainable development and long-term value creation.

Education and Training on Business Integrity

Walsin Lihwa regularly reinforces business integrity through public commitments, communication campaigns, and education and training programs. The target audiences include Board members, all employees, suppliers, and contractors, cultivating an integrity-driven corporate culture from the top down.

To deepen its culture of business integrity, Walsin Lihwa has, since 2023, required all employees to sign the Business Integrity Policy Statement and has concurrently held related promotional activities to strengthen employees' awareness of integrity and legal compliance. In addition, business integrity-related course training and promotion are incorporated into the onboarding of new employees, who are required to sign the Business Integrity Policy Statement, in order to embed the culture of integrity from the ground up.

Starting in 2024, the Company has further introduced an online business integrity training mechanism with continuous education and periodic refresher training. As of 2025, a cumulative total of 2,673 employees in Taiwan and Mainland China had completed the online refresher training and passed assessments, with an overall completion rate of 47.68%.

In addition, the Company continues to conduct education and training on business integrity (including anti-corruption), trade secrets, insider trading prevention, intellectual property rights (including TIPS), corporate sustainability and personal integrity, personal data protection, and information security, promoting the relevant policies to directors and employees and conveying the importance of integrity and legal compliance. All 11 Directors completed courses on material information management, insider trading prevention, and workplace friendliness (including sexual harassment prevention) in 2025.

At the institutional level, the Company also extends its integrity requirements throughout supply chain, requiring all suppliers and contractors to sign the Supplier's Undertaking, which incorporates business integrity standards, and providing significant suppliers with training on business integrity (including anti-corruption), regulatory compliance, and sustainability trends, in order to realize corporate values and strengthen supply chain governance.

2025 Business Integrity Refresher Training - Taiwan and Mainland China

Note：

Definition of managerial position: Management positions at subsection level (inclusive) and above.
Completion rate = Number of people who completed the training and passed the test ÷ Total number of employees.