Climate Leadership
Towards Net Zero Emissions
To actively implement the science-based emissions reduction targets approved by the Science Based Targets initiative (SBTi), ASEH has clearly defined five strategic actions, with a core focus on low-carbon product development. These include the use of renewable energy in manufacturing, requiring suppliers to provide low-carbon materials and high-efficiency equipment, promoting decarbonization across land, sea, and air transportation, and investing in carbon credits — all contributing to a phased achievement of transition goals.
By integrating an internal carbon pricing mechanism across all manufacturing facilities, ASEH internalizes the cost of greenhouse gas emissions to drive internal transformation and deliver increasingly low-carbon products and services to future generations.
To strengthen climate risk management and identify sustainability transition opportunities, ASEH introduced internal carbon pricing in 2021 as a management tool to integrate climate considerations into strategic decision-making and risk assessment. The mechanism aims to drive low-carbon investments, improve energy efficiency, navigate climate regulations, identify and capture low-carbon business opportunities, and advance the development and implementation of climate-related policies and targets. Currently, carbon pricing is implemented across 99.5% of our facilities, aligning fully with our climate-related strategies and objectives.
Our facilities develop annual budgets based on the gap between their emission reduction targets and actual emissions, and allocate resources to implement Scope 1 and Scope 2 greenhouse gas reduction initiatives. By integrating climate actions with strategic and financial planning, ASEH further strengthens its capability to respond to climate-related risks.
In line with the concept of “implicit price,” 75.9% of facilities set their own internal carbon prices at 70.06 USD/tCO₂e.
In line with the concept of “shadow price,” 23.6% of facilities set their own internal carbon prices at 9.82 USD/tCO₂e.
Ensuring the accuracy of supply chain carbon emissions data and implementing carbon reduction measures are crucial to achieving ASEH's goal net zero emission goals. In order to manage the carbon emissions effectively across our supply chain, we have established a management plan that is based on five key dimensions of "strategy and goal setting", "data inventory", "carbon reduction actions", "performance verification", and "establishing a low-carbon value chain ecosystem".
The use of low-carbon transportation is a key link in our journey towards net-zero emissions. We have categorized the field of transportation into cargo transportation, people transportation, and fuel and energy-related activities when inventorying land, sea, and air transportation. In 2025, we have already achieved 56% low-carbonization across all transportation modes. We have plans to fully low-carbonize the transport modes within the factories as well as upstream and downstream land transportation by 2045.
Low-carbonization of company vehicles, forklifts and trucks: The goal is to achieve 100% by 2040 and 2045.
Logistics Providers Engagement: Initiate the phased replacement of fossil fuel-powered vehicles, supporting the overall supply chain in reducing transportation-related emissions.
The first step in our low-carbon product action plan is to establish a carbon inventory of products as a baseline for performance measurement. Currently, 54.3% of our products have completed ISO 14067 product carbon footprint assessments, and 29% have completed ISO 14045 eco-efficiency assessments. We identifying raw materials in greenhouse gas emission hotspots throughout the manufacturing process, engaged with suppliers to facilitate the development of low-carbon materials and switch to low-carbon materials, and increased the use of renewable energy in the manufacturing process. These actions closely resonate with ASEH’s philosophy of “producing more with less” and the principle of sustainable manufacturing by integrating key sustainability considerations throughout the product life cycle from the design stage, through manufacturing and distribution. Low-carbon products ultimately help to reduce greenhouse gas emissions and minimize their impact on the environment. For more information, please visit Sustainable Manufacturing.
2030：Achieve the scope of product Life Cycle Assessment (LCA) > 50%
2040：Achieve 100% coverage of product carbon inventory
Reduce the carbon footprint of key products 2% per year
In 2021, ASEH established the “Renewable Energy Platform” in response to global energy transition. We plan to continuously increase the proportion of renewable energy use through various means including the consumption of self-generated electricity, investments and joint ventures in renewable energy projects, corporate power purchase agreements (CPPA), and purchase of unbundled energy attribute certificates (EACs). In addition, we are also integrating the approaches of different regions’ energy markets into our action plans to progressively advance its energy transition plan.
The use of carbon credits forms the last mile in ASEH’s journey to net-zero emissions. In compliance with the SBTi’s framework, we anticipate to utilize carbon credits to offset our remaining carbon emissions beyond 2040 with priority placed on carbon removal credits.
2023
The Taiwan Carbon Solution Exchange (TCX) was established. ASEH participated in the first batch of carbon credit transactions that contributed to six United Nations Sustainable Development Goals (SDGs).
2024
ASEH submitted the Project of Increasing Carbon Sink from Low Stock Forests (AR-TMS0004) to the Taiwan Ministry of Environment’s Climate Change Administration and received approval, promoting local forest management initiatives.
2025
ASEKH implemented emission reduction projects and obtained 24,036 tCO₂e of carbon credits approved by the Taiwan Ministry of Environment’s Climate Change Administration.
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