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Commitment and Policy

Environmental Sustainability Commitment and Policy

LITEON''s Environmental Policy is integrated in CSR Code of Conduct

4. Environmental

    LITEON is committed to designing and manufacturing products that preserve the Earth’s ecology, and educating employees on the importance of environmental protection. To minimize our impact on the environment, LITEON and its subsidiaries are fully engaged in environmental management to control the creation of air pollution, hazardous waste material, energy use and noise during the design and manufacturing process. In addition, LITEON is committed to establish, maintain and continually improve on our Environmental Management System to define operational procedures for environmental control and to monitor the progress of its implementation. Specifically, LITEON is committed to:

  • 4.1 Environmental protection: Improving energy-saving, environmental protection against pollution in all of our sites.

  • 4.2 Resources usage reduction: Reducing paper, water and all the kind of natural resources usage in office operations and in all of our sites.

  • 4.3 ISO14001 implementation:Defining, maintaining and improving related standard operating procedures based on ISO14001 regulations for the effective implementation of controls on water, air pollution, hazardous waste material and noise.

  • 4.4 Harm Reduction:Reducing air pollution, hazardous waste material and noise in all applicable sites.

  • 4.5 Requirement comply:Complying fully with applicable environmental legal, customer and other requirements.

  • 4.6 Internal and external communication:Communicating with employees, suppliers and customers to provide a more complete understanding of LITEON's environmental policy and efforts.

    LITEON is committed to reducing its impact on the environment through the following strategies:

  • 4.7 Supply Chain Management:LITEON continually encourages the development of innovative business models that help reduce environmental impact. In addition, LITEON will consider the sustainability aspects as part of the assessment criteria for potential mergers and acquisitions.

  • 4.8 Product Design: LITEON applies design-for-the-environment principles for all of its products and services to minimize impact on the environment.

  • 4.9 Manufacturing Processes and Site Management: LITEON continuously improves environmental management systems at both manufacturing and non-manufacturing sites.

  • 4.10 After Sales Service:LITEON strives to minimize the environmental impact of product packaging and business activities, such as distribution and sales. When possible, LITEON also provides environmental information to customers.



Biodiversity Conservation Guideline

Biodiversity includes the abundance of plants and animals and their interactions in the ecosystem. LITEON’s global sites are located in urban areas, which have no dependency on significant ecosystems and LITEON‘s operational activities do not rely on abiotic services. Nevertheless, global ecosystems are under threat from deforestation, land degradation, water, air, and soil pollution, and climate change. This poses wide-ranging challenges for all industries and also renders systemic risks. In order to mitigate the operational risks caused by the continuous decline in biodiversity, LITEON, from the perspective of the manufacturing industry, commits to contribute to a sustainable and prosperous global society through the following guidelines. This guideline applies to LITEON’s own operation and its supply chain(including tier 1 and non-tier 1)

  1. Actively avoid or minimize the impact of LITEON's value chain operations on biodiversity and ecosystem services.

  2. Improve the efficiency of energy, water, and other resource consumption in the manufacturing process.

  3. Committed to reducing the exploitation of primary materials and utilizing recycling materials to decrease waste generation and lower impact on the ecosystem.

  4. To eschew or diminish producing pollutants to air, water, and land.

  5. Ensure that the raw materials used are in compliance with global and local regulations such as international environmental protection laws and responsible minerals policies.

  6. Keep utilizing product life cycle assessment methods to mitigate the environmental impact that may be induced by production.

  7. To raise awareness of biodiversity among key stakeholders such as employees, customers, suppliers, etc. through education and training.

  8. Strengthen cooperation with non-profit organizations to support forest and biodiversity conservation-related initiatives.

  9. Introduce and gradually expend deforestation-free material in operations to halt deforestation.



Environmental Governance and Strategy

LITEON strives to improve corporate governance mechanisms in the company for better sustainable management. As the highest authority in LITEON's sustainable operation, the Corporate Sustainability Committee reports directly to the board of directors. In the environmental aspect, the Environmental Sustainability Sub-committee under the Corporate Sustainability Committee is chaired by the head of manufacturing and is responsible for green operations at the factories. The Green Design Sub-committee is chaired by the head of RD and is responsible for the design and development of low-carbon products. We aim to improve environmental management performance and risk management to achieve our environmental sustainability vision and to respond to the Sustainable Development Goals (SDGs).

We commit to adopting science-based targets (SBTs) to support the Paris Agreement goal of keeping a global temperature rise this century well below 2 degrees Celsius. In 2019, our SBT target which to reduce carbon emission per unit of revenue by 39.3% by 2025 and to increase the energy conversion efficiency of our power supply products by 2% by 2023, was approved by the Science Based Targets initiative (SBTi) and allow LITEON to become the top 50 SBTi certified company in Asia and the second in Taiwan. We commit to support the Task Force on Climate-Related Financial Disclosures (TCFD) and follow the TCFD framework to disclose climate change information and related risks and opportunities. The commitment is made also in support of the Commit to Action campaign launched by the CDP and We Mean Business Coalition.

"LITEON has always been concerned about the impact of products on environmental protection. It aims to achieve Net Zero emissions by 2050 by introducing new materials such as third-generation semiconductors to improve product conversion efficiency, and using recycled materials to reduce electronic waste and product carbon emissions, " said Anson Chiu, President of LITEON. To fulfill our environmental commitment, LITEON adheres to the responsible production strategy in the Sustainability Strategy and Blueprint and develops environmental sustainability strategies around green operations and low carbon products. Meanwhile, LITEON continues to take actions on climate change and energy management, water resource management, waste recycling, and reuse, and green product design and management, to increase resource utilization efficiency, reduce the environmental impact of production activities, and build up LITEON's climate resilience and environmental sustainability. 

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Green Operations Action Plans

To achieve green operations and counter the uncertainty created by climate change, LITE-ON works on improving environmental management performance and environmental risk management. The goals include reducing the impact of manufacturing activities on the environment and facilitating the development of a circular economy so to counter the challenges of global climate change risks and emerging technologies.

Circular Economy

  • In support of SDG 14, LITEON starts to reduce marine pollution by working with social enterprises in helping the Penghu County Government. The campaign has removed a total of 35 tonnes of Styrofoam marine waste since 2018. Meanwhile, the recycled Styrofoam is sent to ITRI for mixing and modification operations. The modified recycled plastics are used to make keyboards and mice. LITEON is the world's first manufacturer to introduce Styrofoam marine waste into electronic products.

  • In 2020, LITEON finished developing containers that can reduce the volume of Styrofoam marine waste onsite. The company donated to the Penghu County Government and the Kinmen County Government the world's first containers that can process Styrofoam marine waste onsite and reduce its transportation volume significantly by 90%. These containers had processed 20 tonnes of Styrofoam marine waste by the end of 2020. The project also won the 2nd Taiwan Circular Economic Awards Product Award and the 2020 PwC's CSR Impact Awards Gold Prize.



Internal Carbon Pricing

  • LITEON has adopted the shadow carbon pricing methodology and considered the carbon trading regulations in Taiwan and the market prices in Mainland China to determine internal carbon prices for main operation sites in Taiwan and Mainland China since 2018. The approach serves to reinforce the decision-making on the energy efficiency and carbon reduction measures and policies in the company.

  • As part of the strategy to reduce carbon emissions to fulfill our SBT promise, LITEON passed a new internal carbon pricing management policy in 2020. Starting in 2021, LITEON will charge internal carbon tax at USD 1/tonnes CO2e from business units that exceed their annual emission caps. This policy aims to reinforce the carbon reduction investment action for business units. LITEON also expects to raise the rate gradually in the future and invest the funds in carbon reduction technologies or renewable energies.



Product Green Design

  • The LITEON CSR code of conduct is based on life cycle thinking. With the 3Rs rule added to the product development process, the company engages in green product design, and develops nontoxic, easy to assemble/disassemble, and environmentally friendly products.

  • AC metering IC integration technology is used in server power products to reduce the use of resistors, multilayer ceramic capacitors, metal-oxide-semiconductor field-effect transistors, and other active/passive components. The technology also reduces power consumption by 0.034W while metering IC is working, and reduces 51.81 tonnes of carbon emissions during the acquisition of raw materials and the use of products.



Reducing the environmental impact of own business activities

  • LITEON continues to develop optimized production processes and better plant operations. The aim is to enable more efficient energy and water utilization throughout the process of development, production, consumption, and disposal. The company also tries to achieve minimum waste and maximum resource recycling and reuse.

  • Implementation of the energy recycling system (ERS) enables power consumed by burn-in processing to be recycled and reused. The system helps us to reduce power consumption by 5.8 GWh per year, which is the equivalent of reducing 4,853 tonnes of carbon emissions per year.



Environmental Management Goals

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Environmental Sustainability ▸

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