Science Based Targets initiative

The Science Based Targets initiative (SBTi), launched by the United Nations Global Compact (UNGC) and the Carbon Disclosure Project (CDP), provides scientific approaches that can be certified by a third party to limit global temperature rise to below 1.5° within the carbon budget. Under this scenario, companies set reasonable carbon reduction targets.

ASUS, in accordance with the SBTi framework standards, aligned our scope with the consolidated financial statements of the Company. In 2023, ASUS Group, serving as the boundary, achieved validation of SBTi near-term science-based emissions reduction targets. ASUS commits to reducing absolute Scope 1 and 2 GHG emissions by 50% by 2030 from a 2021 base year; in addition, reducing absolute Scope 3 GHG emissions, which cover purchased goods and services and the use of sold products, by 30% within the same time frame.

Two years later, ASUS net-zero target validated by SBTi in 2025 and commits to reduce absolute scope 1 and 2 GHG emissions 90% by 2050 from a 2021 base year and reduce absolute scope 3 GHG emissions 90% within the same timeframe.

Furthermore, ASUS acknowledges that emission reductions within the value chain may be constrained by factors such as the feasibility and commercial viability of carbon reduction technologies. Therefore, achieving net-zero goals necessitates the importance and necessity of engaging in emission reduction actions beyond the value chain. In alignment with the recommendations outlined in the "Beyond Value Chain Mitigation" (BVCM) guidance released by SBTi in February 2024, ASUS plans to participate in carbon reduction projects that adhere to BVCM criteria.

To ensure investors and stakeholders understand our climate change response actions, ASUS has been publishing Climate-Related Financial Disclosure Reports since 2021, adopting the framework set forth by the Financial Stability Board (FSB) known as the Task Force on Climate-related Financial Disclosures (TCFD). In 2023, the International Sustainability Standards Board (ISSB) released the "IFRS Sustainability Disclosure Standards," providing globally recognized, comparable, and high-quality sustainability reporting. This year, ASUS has taken the lead in adopting the IFRS S2 "Climate-related Disclosures" as the reporting framework for climate-related financial disclosure reports. Outlined in IFRS S2, in addition to governance, strategy, risk management, indicators, and goals related to climate change, we have further disclosed the seven "Cross-Industry Metric Categories".

Since 2022, ASUS Group has fully implemented greenhouse gas inventory operations based on the latest consolidated financial statements, covering the scope of its subsidiaries.

In 2024, the complete organizational boundary includes ASUS's global operating locations, "ASKEY" "AAEON" , "ONYX Healthcare" , "JETWAY Information," and “Shinewave," etc. A third-party verification of greenhouse gas emissions was completed, following the framework and calculation principles of the GHG Protocol.