Our Focuses｜Sustainable Supply Chain｜Sustainable Raw Material Management
Sustainable Supply Chain
Winbond, building on the governance foundation of "Practicing Responsible Procurement," and remaining "People-oriented," adopts an ecosystem-based approach to design the work for promoting supply chain sustainability. It continues to implement sustainable supply chain management through the dual-axis transformation tools of digitalization and low-carbonization. In 2024, Winbond made significant progress in three key areas, leveraging strong supply chain partnerships and sustainability principles. Firstly, in responsible procurement, procurement efforts comprehensively promoted local, green, and circular procurement. In regular supplier evaluations, it has developed into sustainable regular evaluations, providing follow-up incentives to encourage suppliers to become Winbond's sustainable "+1".
Facing a highly challenging business environment, we believe that only by constantly maintaining innovative management thinking, quickly adjusting and responding, and evolving appropriate business capabilities with suppliers can we truly practice the common good and common benefit of the supply chain, which is the truth of corporate sustainable governance.
E OSAT Suppliers have Established Production Capacity for Renewable Energy-Based Products
100
%
S Co-learning Hours of Eco Supply Chain System
38646
Hours
G Supplier Sustainability Audits and Guidance
100
%
Sustainable Raw Material Management
Winbond is a professional memory integrated circuit company, providing global customers with a full range of memory solution services from product design, technology research and development, wafer manufacturing to private label marketing worldwide. In terms of corporate sustainability, we will continue to pay attention to world trends, social issues and the resilience of self-governance, implement responsible material procurement, expand the positive impact on the environment and society in a sustainable way, and strive to become a hidden champion who enriches human life with green semiconductor technology.
Sustainable Raw Material Policy
Policy
The company aims to decrease sustainable impact (eg. the water usage, energy consumptions and waste generation) through preferentially adopts primary and secondary raw materials which affect environment and society with minimum influences during research and development, procurement, production, operation and services.
In order to innovate and develop more friendlier product, the company promotes the best practice of sustainable material usage through the cooperation with customer, suppliers and other business partners.
The Company ensures sustainability and verifiability by increasing the sourcing and use of sustainable raw materials, including recycled raw materials and third-party-verified inputs.
The company aims to protect habitat, decrease the pollutions and overexploitation on natural resources through avoiding operating in important biodiversity areas and using the materials from biodiversity areas during the process of product design and procurement.
Execution and Monitoring
The Company will regularly review and update the sustainable raw material policy to ensure it meets the latest environmental and social standards and continuously improves.
The Company will provide relevant training for employees to improve their understanding and practical ability of the sustainable raw material policy, to ensure that each employee can contribute to the realization of the company's sustainable development goals.
The Policy will be effective upon Chairman’s approval, and the same shall apply to any amendment thereto.
For more information, please refer toWinbond Sustainable Material Policy
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Note: The policy has been approved by the Chairman
Sustainable Raw Material Management Process
Winbond’s sustainable raw material management process includes rigorous supplier selection and ongoing monitoring to ensure supply chain security and raw material quality. The process prioritizes supplier qualification reviews. During the selection stage, suppliers are evaluated based on quality system assessments (covering quality, delivery, service, technology, and supplier quality systems), the RBA Code of Conduct, and corporate sustainability development standards. Additionally, Winbond is a member of the Ministry of Economic Affairs' International Trade Administration's Internal Compliance Program (ICP), and during the traceability stage, it closely monitors the sanction lists updated by the United Nations Security Council and Taiwan's Ministry of Justice to effectively maintain supply chain security and safety. Suppliers that comply with the previously noted stages must subsequently provide third-party quality system certification, Process/Product Change Notice (PCN) management principles, and complete the hazardous substance management questionnaire. Outsourcing suppliers of safety products must also provide international safety certification and complete the "Safety Product outsourcing Safety Control Measures Audit Questionnaire.
A clause on ecological resource protection has been added to the "Winbond Supplier Code of Conduct," explicitly requiring suppliers to minimize their impact on society and the environment.
Winbond's Supply Chain Biodiversity Conservation
The environmental section of Winbond's Supplier Code of Conduct adds a new clause on the protection of ecological resources and explicitly requires suppliers to:
- Pay attention to the impact on the surrounding ecological conditions, and take necessary remedial and maintenance measures at any time.
- Comply with laws and regulations related to biodiversity conservation, avoid operations affecting biologically important habitats, and participate in actions to conserve natural ecosystems.
- Commit not to operate in or near important biodiversity sites in the future.
- Suppliers shall undertake to propose impact mitigation measures, including avoidance, mitigation, recovery, and compensation.
- Commit to compensatory measures for forest land restoration and to terminate any form of future development.
Environmental impact analysis and supplier assistance
In 2024, Winbond first conducted environmental impact analysis on a total of 506 sites and coastal reserves, important wildlife habitats, nature reserves, important wetlands, national parks, wildlife sanctuaries, nature reserves, conservation axes, and key biodiversity areas of its suppliers in Taiwan. In the future, Winbond will expand the scope of the supplier survey to further assess whether the addresses of international suppliers are located in the Global Database of Protected Areas (WDPA) provided by the International Union for Conservation of Nature (IUCN), and provide necessary assistance to suppliers located in hot spots
Raw Material Program
In 2024, Winbond conducted a comprehensive review of existing raw materials and carried out traceability and root source tracing work to minimize the environmental impact of its procurement activities, as part of a raw materials sustainability program that includes prioritization based on environmental and social criteria. The raw materials purchased from Winbond, including wafers, process chemicals, gases, targets, etc., are evaluated according to the criteria of quality, technology, commerciality, environmental friendliness, and humanity, respectively, to evaluate the priority of sustainable raw materials. First of all, regenerated and recycled wafers are prioritized as the main sustainable raw material procurement objects. Looking ahead, Winbond will actively seek and increase the use of third-party verified raw materials in the market, and has set targets to increase their procurement ratio annually, without affecting the quality of the manufacturing process. And with appropriate education and training on sustainable raw materials, we ensure that front-line supply chain managers can apply relevant knowledge to their work.
Education and training on sustainable raw materials
In order to effectively help frontline procurement personnel understand sustainable raw materials and expand the scope of upstream traceability, Winbond provided 1,293 person-hours of internal training related to sustainable raw materials in 2024.
In 2024, Winbond's usage of metal raw materials and the proportion of recycled materials used are listed in the table below. Winbond Electronics actively sought to incorporate metal raw materials into the recycling process to achieve environmental friendliness. On the supply side, in 2025, Winbond will continue to initiate the traceability of recycled metal raw materials and strengthen the requirements for raw material suppliers and packaging and testing companies to execute product development requirements such as recycling and remanufacturing of related metals, minimizing source extraction and maximizing environmental friendliness.
| Metals/Minerals | Total Use | |
|---|---|---|
| Usage (Metric Ton) | Percentage of recycled material used | |
Gold | 0.23 | 2% |
Aluminum | 0.79 | 0% |
Cobalt | 0.02 | 0% |
Copper | 62.63 | 5% |
Iron / Steel | 6 | 0% |
Nickel | 15.1 | 0% |
Lithium | 0 | 0% |
Titanium | 0.52 | 0% |
Total Use | 85.06 | 4% |
Sustainable Raw Material Management Process
Winbond’s sustainable raw material management process includes rigorous supplier selection and ongoing monitoring to ensure supply chain security and raw material quality. The process prioritizes supplier qualification reviews. During the selection stage, suppliers are evaluated based on quality system assessments (covering quality, delivery, service, technology, and supplier quality systems), the RBA Code of Conduct, and corporate sustainability development standards. Additionally, Winbond is a member of the Ministry of Economic Affairs' International Trade Administration's Internal Compliance Program (ICP), and during the traceability stage, it closely monitors the sanction lists updated by the United Nations Security Council and Taiwan's Ministry of Justice to effectively maintain supply chain security and safety. Suppliers that comply with the previously noted stages must subsequently provide third-party quality system certification, Process/Product Change Notice (PCN) management principles, and complete the hazardous substance management questionnaire. Outsourcing suppliers of safety products must also provide international
safety certification and complete the "Safety Product utsourcing Safety Control Measures Audit Questionnaire.
A clause on ecological resource protection has been added to the "Winbond Supplier Code of Conduct," explicitly requiring suppliers to minimize their impact on society and the environment.