Walsin Lihwa summed up its 22 sustainability issues in 2023 by factoring in what is required by the Sustainability Accounting Standards Board (SASB), Task Force on Climate Related Financial Disclosures (TCFD), Carbon Disclosure Project (CDP), MSCI ESG Ratings, Dow Jones Sustainability Index (DJSI), and the United Nations' Sustainable Development Goals (SDGs) as well as relevant industry trends, the results of communication with stakeholders, and evaluation of sustainability practices of the trade. Product R&D and CleanTech innovation was newly added in 2023. To understand the order of importance of the 22 sustainability issues, Walsin Lihwa consulted the definition of materiality in GRI 3: Material Topics 2021 for its senior management's assessment of "the degree of the 22 sustainability issues' significant positive and negative impacts" on the company's operation, economy, environment, and people (including their human rights) as well as "the likelihood of potential impacts" based on the principle of Double Materiality to accordingly generate the scores of impacts. Moreover, a matrix of material sustainability issues was developed based on "the degree of the 22 sustainability issues' positive and negative impacts on economy, the environment, and people" as well as "the likelihood of potential impacts," and factored in various external stakeholders' opinions.The 12 material sustainability issues by order of importance are corporate governance, sustainability strategy, financial performance, risk management, product quality and responsibility, climate action, waste management, product R&D and CleanTech innovation, information security management, labor relationship, Occupations health and safety, and Legal Compliance . Compared with those in 2022, the newly added include product quality and responsibility, climate action, product R&D and CleanTech innovation, and labor relations. Focusing on the results of analysis of the aforementioned material sustainability issues, internal discussions at Walsin Lihwa consolidated corporate governance and legal compliance into one issue, adding energy management as a material issue and defined the targets and boundaries within and without the organization to further identify 12 corresponding specific GRI topics confirmed by the Sustainable Development Committee together with the senior management as the major subjects disclosed in this report on Walsin Lihwa's strategies and strategy implementation results. The aforementioned 12 material issues are all managed according to the "Three Lines of Defense Mechanism for Enterprise Risk Management," which involves control by each department and subsidiary, various risk management units, and the audit department. For detailed management procedures and control mechanisms, please refer to Section 3.4 Risk Management and Compliance.