ESG at TSMC: ESG Policy & Matrix - TSMC Corporate Social Responsibility

ESG Policy

Vision

To Uplift Society

Mission

Acting with Integrity
Strengthening Environmental Protection
Caring for the Disadvantaged

Guiding Principles

Acting with Integrity: TSMC believes in acting ethically, following the law, and balancing the interests of all stakeholders. The Company endeavors to use the experience of developing a sustainable business to drive the industry and supply chain into a positive cycle and to act together with them as an uplifting force in society.

Strengthening Environmental Protection: TSMC strives to achieve environmental sustainability and continues to promote green fabs, green manufacturing, and green supply chains. The Company seeks the most efficient use of energy and resources and is committed to reducing waste and preventing pollution. TSMC is eager to share its environmental experience and expertise and aims to collaborate with government, academia, and all of society to address the challenges of climate change.

Caring for the Disadvantaged: TSMC believes in equality, justice, and a safe and prosperous society. The Company combines its resources with employee volunteer service to commit money, material and labor to the two main areas of "education" and "living." TSMC hopes to provide underprivileged students in rural regions with diverse learning opportunities and to offer disadvantaged groups necessary aid and emergency relief for the common good of society.

ESG Matrix

"TSMC ESG Policy" is the top guiding principle for our sustainable development. The "ESG Matrix" set by TSMC's Founder, Dr. Morris Chang clearly defines the scope of TSMC's corporate social responsibility. The horizontal axis shows the seven areas where TSMC aims to set an example: morality, business ethics, economy, rule of law, sustainability, work/life balance and happiness, and philanthropy. On the vertical axis are actions that TSMC has taken to fulfill its responsibilities.

ESG Timeline

Year	Milestones
1993	Enacted "TSMC Quality Policy"
1996	Enacted "TSMC Environmental Policy"
1998	Established "TSMC Education and Culture Foundation"
2000	Enacted "TSMC Safety and Health Policy"
2001	Published first non-financial report - "TSMC Environmental, Safety & Health Report"
2004	Established "TSMC Volunteer Program"
2008	Published first "TSMC Corporate Social Responsibility Report"
2011	Dr. Morris Chang, founder of TSMC, proposed "TSMC ESG Matrix"
2011		Established "TSMC Corporate Social Responsibility Committee"
2015	Established ESG Division
		Enacted "TSMC Corporate Social Responsibility Policy"
		Enacted "TSMC Corporate Social Responsibility Procedure"
2016	Established "TSMC ESG" Facebook Page
2016		Enacted "TSMC Human Rights Policy"
2017	Published TSMC ESG official website
2017		Established "TSMC Charity Foundation"
2018	Published first "TSMC ESG Newsletter"
		Issued "TSMC Climate Change Statement"
		Enacted "TSMC Business Continuity Management Policy"
2019	Established "TSMC Corporate Social Responsibility Executive Committee"
		Issued "TSMC Fluorinated Greenhouse Gas (F-GHGs) Emissions Reduction Declaration"
		World's only semiconductor company elected for 19 consecutive years in "Dow Jones Sustainability World Index, DJSI World"
		Awarded for the 7^th time as the first place in "Corporate Social Responsibility Awards" in large enterprise category by CommonWealth Magazine
		Elected as the "World's Most Admired Companies" by Fortune Magazine for 6 consecutive years
		World's first semiconductor company to receive Platinum Certification from the Alliance for Water Stewardship (AWS)
2020	Hosted the first session of "TSMC ESG Award"
2020		Joined RE100 as the world's first semiconductor company member
2021	Renamed CSR Executive Committee as ESG Steering Committee
		Renamed CSR Committee as ESG Committee
		Renamed Corporate Social Responsibility Policy as ESG Policy
		Renamed Corporate Social Responsibility Procedure as ESG Procedure