Sustainable Strategy

1. Safety and Chemical Management & Operational Safety, Emergency Response Management

2. Air Emission & Waste & Water Resources Management

3. Greenhouse Gas Emissions & Energy Management

4. Occupational Health and Safety

5. Customer Health and Safety

6. Training and Education

7. Supplier Environmental Assessment

8. Supplier Social Assessment

9. Local Community 

10. Biodiversity

11. Forced and Compelled Labor 

12. Materials

13. Economic Performance 

14. Procurement Practices 

15. Labor Relations

16. Labor-Management Relations

17. Market Position 

18. Employee Diversity and Equal Opportunity 

19. Indirect Economic Impacts

20. Non-Discrimination 

21. Freedom of Association and Collective Bargaining

22. Child Labor 

23. Marketing and Labeling

24. Customer Privacy

25. Security Practices

26. Anti-Corruption

27. Anti-Competitive Behavior

28. Tax

29. Indigenous Rights

30. Public Policy

Croeslene Chemical is a chemical materials manufacturer that generates approximately 70% of its revenue from synthetic latex products. While other products such as PUF/PUA/EIR/SMC are relatively smaller in scale, chemical management and operational safety are equally important and cannot be overlooked. To ensure the proper and effective control of chemical storage, operational safety, and emergency response, the company actively implements occupational safety and health regulations and complies with environmental protection laws. The goal is to ensure proper and safe operations, minimize or eliminate pollution, protect employee health, and avoid the hazards of improper operation. In addition, the company provides external training to employees to strengthen their awareness of process safety management and regularly conducts various emergency response drills to minimize losses in the event of an accident.

Minimizing or eliminating pollution is a win-win strategy that benefits the company, the environment, and the community.

By implementing measures to minimize or eliminate pollution, Croslene can achieve its goal of sustainable operations and contribute to a more environmentally responsible future.

• Environmental Impacts:

Improper handling of chemicals can pollute and damage the surrounding environment, causing irreversible harm.

• Financial Impacts: 

Due to improper chemical handling, company employees may be harmed, the health of nearby residents may be affected, and the company may even be fined by government agencies. In addition to financial losses, the company may also face legal consequences and damage to its corporate image.

• Human Rights Impacts: 

Improper operation can cause harm to the bodies of employees.

Actual Positive Impacts/ Actual Negative Impacts/ Potential Positive Impacts/ Potential Negative Impacts

Employees, Suppliers/Contractors, Customers, Government agencies, Local community

Croslene Chemical's carbon emissions and energy management policy is "Energy conservation and carbon reduction, sustainable environment, resource conservation." We are committed to reducing air pollution emissions, minimizing waste, and recycling and reusing water resources. These have always been our goals.

• Environmental Impacts:

Improper operation of equipment can have a direct negative impact on the health of employees and the surrounding environment

• Financial Impacts:

The company may suffer financial or reputational losses and may even be subject to legal action.

Actual Positive Impacts/ Actual Negative Impacts/ Potential Positive Impacts/ Potential Negative Impacts

Croslene Chemical's Commitment to Net Zero Carbon Emissions

In response to the growing global and governmental demands for net zero carbon emissions, including regulatory changes and the introduction of carbon tariffs and taxes, Croslene Chemical, a small and medium-sized enterprise in the petrochemical industry, is taking a serious and responsible approach to the global call for energy conservation and carbon reduction. We are actively responding to this call by developing early plans for various energy conservation and carbon reduction initiatives, aiming to turn this crisis into an opportunity and prepare for the serious challenges ahead.

Therefore, we view reducing carbon emissions and improving energy efficiency as crucial tasks in our efforts to achieve sustainable operations in the face of the future net zero carbon emissions agenda.

• Environmental Impacts:

The increase in the company's electricity consumption has led to a rise in coal-fired power generation, which has exacerbated air pollution and contributed to global warming and extreme weather events.

• Financial Impacts: 

  1. Increased energy consumption leads to higher expense costs.

  2. Extreme weather events can disrupt food supply chains, trigger inflation, and drive up electricity and commodity prices, which can increase production costs and reduce company profits.

• Human Rights Impacts:

Governments and international organizations are increasingly calling on businesses to prioritize social responsibility.

Actual Positive Impacts/ Actual Negative Impacts/ Potential Positive Impacts/ Potential Negative Impacts

To ensure that its products, activities, and services, both internally and externally, comply with regulatory requirements, the company has established a comprehensive environmental, safety, and health (ESH) management system. The company regularly reviews the compliance of its operations with relevant regulations to ensure that they meet the management system's required standards.

A robust occupational safety and health (OSH) system can create a friendly work environment, improve employee work efficiency, and boost productivity.

Actual Positive Impacts/ Actual Negative Impacts/ Potential Positive Impacts/ Potential Negative Impacts

Suppliers/Contractors,  Government agencies,

• Environmental impacts:

Ensuring that products are environmentally friendly and minimizing their environmental impact.

• Human Rights Impacts: 

Actual Positive Impacts/ Actual Negative Impacts/ Potential Positive Impacts/ Potential Negative Impacts

• Environmental impacts:

Familiarization with company policies and the work environment, along with comprehensive job process training provided by the hiring department, facilitates a quick understanding of the job and integration into the company culture.

• Financial Impacts:

Talent training and development are crucial for accumulating corporate assets, enhancing organizational competitiveness, and strengthening resilience.

• Human Rights Impacts:

Offering diverse employee training channels and implementing employee competency and career development plans to enhance corporate performance and competitiveness.

Actual Positive Impacts/ Actual Negative Impacts/ Potential Positive Impacts/ Potential Negative Impacts

Employees

Why does this matter?

• Maintaining customer health and safety is one of the primary focuses of our research and development efforts.

• In the process of commercializing our products, we must balance government regulations with the safety and convenience of our customers.

• To protect the welfare and safety of our customers, employees, and other stakeholders, Jiulian's product development has always adhered to the highest standards. We have passed relevant product and hazardous substance inspection regulations to ensure that our products, from manufacturing to use, minimize health and safety risks.

Our Policy/Strategy

• Quality policy：first-class quality, first-class service.

• Every product we ship is of the highest quality.

• We have implemented a quality management system to enhance the quality of work done by all our employees.

• We strive for excellence and continuous improvement, ensuring that our customers receive the best satisfaction, whether it's for our physical products or our services.

Targets

• Complies with customer safety and performance requirements, as well as REACH, RoHS, and VOC regulations.

• Short-term: Develop products with reduced solvent usage.

• Medium-term: Incorporate bio-based materials into products to reduce carbon emissions and environmental impact.

• Long-term: Develop solvent-free products using bio-based materials.

Management /Assessment system

• Conduct assessments and reviews on product solids content, raw material bio-based content, production efficiency, and customer usage efficiency.

• Prioritize the use of low-hazard materials during design and development.

• Conduct inspections on product raw materials during production.

• Optimize production processes to improve efficiency, reduce energy consumption, and minimize pollution.

• Submit products to relevant testing organizations to ensure compliance with regulations such as REACH, RoHS, and VOC.

• Comply with ISO 14001 and ISO 45001 standards.

• Conduct internal and external audits annually and hold management review meetings.

Performance and Adjustment

• Our company sets annual targets for quality management and environmental health and safety objectives and management plans.

• The research institutes have all achieved these targets.

Preventive or corrective measures

• Conduct a review of raw materials to improve products and processes.

• Strengthen employee training on product safety awareness.

• Develop more environmentally friendly products to protect the environment.
• Develop products with high solid content.
• Review the production process of developed products to enhance efficiency.

Why does this matter?

• As our factory slogan states, "Safety First, Stable Production, Pursuit of Progress," it means that without safe operations, there can be no stable production, let alone the pursuit of progress. Therefore, operational safety is of paramount importance to the company's sustainable production.
• Proper and effective control of chemical storage, operational safety, and emergency response procedures are the key points of process safety management. Croslene Chemical is a Class I and III hazardous workplace. How to avoid the hazards of process and operational safety to human health and the environment is something we must strive to do.
• If we do not pay attention to environmental regulations, we will face huge fines and the risk of factory closure. Employees' health may also be harmed by improper operations. Moreover, polluting the environment will lead to disgust, complaints, and protests from nearby residents, and even affect the company's reputation, resulting in customer distrust.

Our Policy/Strategy

• Establish a corporate culture centered around the environmental, health, and safety (EHS) policy of "Safety First, Cherish Resources, Fulfill Commitments, and Continuous Improvement." Continuously drive progress and improvement through ISO certification.

Targets

• Short-term: 

  • Chemical Safety Management: Improve operational processes to prevent harm to personnel's safety and health or financial losses to the company.
  • Environmental, Health, and Safety (EHS) Risk Assessment: Establish equipment inspection records.
  • Risk Reduction: Reduce occupational hazards and achieve EHS targets.
  • Employee Training: Conduct both internal and external training.
  • Emergency Equipment: Equip with AEDs, multiple sets of Level A protective clothing, various leak-stopping tools, and multiple gas detectors.
  • Drills and Exercises: Conduct various drills, including large-scale exercises with the fire department, military chemical corps, local environmental protection bureau, local townships, contractors, emergency response centers, and community partners.

• Mid to Long-term: 

• • Zero Pollution: Achieve the ultimate goal of zero environmental pollution to sustain business operations and fulfill corporate social responsibility.
  • Zero Accidents: Achieve zero workplace accidents through continuous improvement and drills for emergency preparedness.

Management /Assessment system

• Our company conducts annual PDCA effectiveness assessments of our occupational health and safety management system in accordance with ISO 45001 and CNS 45001 standards.
• Based on the requirements of our environmental, health, and safety management system, we conduct annual EHS hazard identification and risk assessments. High-risk activities, machinery, and raw materials are identified and classified into "intolerable risk," "tolerable high risk," and "tolerable low risk" levels based on risk assessment results. Improvements are then implemented according to the risk levels.
• We conduct statistics on the number of government-filed cases and the number of disaster accident investigation reports.
• We conduct ISO audits.

Performance and Adjustment

• The Environmental, Health, and Safety (EHS) Committee has jointly decided that risks classified as "intolerable" shall be considered as significant EHS concerns if they exceed "Risk Level 3." Relevant departments shall submit EHS management plans with timelines for these risks, which will be tracked and implemented. The progress of management plan implementation shall be reported for review at regular EHS Committee meetings.
• Based on risk assessments and actual incidents in the current year, internal departments shall review and adjust management policies as needed.
• Regarding drills: The company has initially achieved its short-term goals for drills. In the future, the company will continue to enhance various types of drills.

Preventive or corrective measures

• Our company continuously implements corrective and preventive actions and conducts follow-up, including regular leak detection and installation of relevant prevention equipment to prevent leaks and operational hazards. Additionally, the company conducts regular training, standard operating procedures, risk assessments, and continuous improvement of air pollution, wastewater, and waste treatment technologies. Furthermore, we continuously conduct risk assessments and develop emergency response measures to reduce disaster risks.

Why does this matter?

• In response to the growing global imperative for net-zero emissions, including regulatory changes, carbon tariffs/taxes, and other related measures, our small-to-medium-sized petrochemical company is taking the initiative to address the challenges of energy conservation and carbon reduction. We have proactively developed plans to address various energy efficiency and carbon reduction issues, aiming to turn these challenges into opportunities and prepare for future hurdles. As such, reducing carbon emissions and improving energy efficiency have become paramount in our efforts to achieve sustainable operations in a net-zero carbon future.

• Therefore, we have made it a top priority to reduce carbon emissions and improve energy efficiency as we strive to achieve long-term sustainability in a net-zero carbon environment.

Our Policy/Strategy

• Our company's carbon emission and energy management policy is focused on "energy conservation, carbon reduction, waste reduction, environmental sustainability, and resource conservation.

Targets

•  Our energy management targets a 5% reduction in energy consumption within five years and a 10% reduction by 2030, with 2021 as the baseline year.

• Our greenhouse gas emissions reduction targets a 5% reduction within five years and a 50% reduction by 2030, with 2021 as the baseline year. Our long-term goal is to achieve zero greenhouse gas emissions at all operating sites by 2050.

Management /Assessment system

• Based on annual electricity and energy consumption, a replacement plan will be developed, including the replacement of equipment such as variable frequency compressors, chillers, and the conversion of heavy oil boilers to LPG boilers.

• The effectiveness of our emissions management system will be evaluated annually through a PDCA cycle in accordance with ISO 14064-1 guidelines for greenhouse gas inventory.

Performance and Adjustment

• Compared to the baseline year of 2017, our company achieved an average annual reduction of 1% in energy consumption in 2022, meeting our short-term target. We will continue to manage energy-related issues in the future.

• Compared to the baseline year of 2021, our company achieved a 3% reduction in greenhouse gas emissions in 2022, aligning with our short-term target. We are committed to ongoing management of emissions.

Preventive or corrective measures

• An annual review of overall energy reduction performance will be conducted to develop energy reduction strategies.

• Annual carbon footprint assessments will be conducted to evaluate overall carbon reduction performance and develop emission reduction strategies. Concurrently, we will actively promote energy management systems and implement rooftop solar power generation projects to build green factories that meet green building certifications.

• If reduction targets are not met, the company will actively purchase renewable energy and seek cooperation with relevant organizations.

Why does this matter?

• The importance of occupational safety and health to a company is self-evident. To ensure that all products, activities, and services within and outside the organization comply with relevant regulations, the company needs to establish a comprehensive environmental, safety, and health management system. This system will help the company conduct regular compliance audits to ensure the smooth operation of the management system and meet regulatory requirements.

Our Policy/Strategy

• Establish a corporate culture centered around an environmental, safety, and health (EHS) policy that prioritizes safety, resource conservation, commitment fulfillment, and continuous improvement. Continuously drive progress and improvement through ISO implementation.

Targets

• Short term：

• • By strengthening environmental and safety compliance, enhancing corrective and preventive actions, promoting accident prevention techniques, and proposing improvement suggestions.Simultaneously, by implementing a tiered management system for employee health check results, effectively controlling workplace hazards, and conducting regular environmental monitoring, we can prevent work-related injuries, illnesses, and accidents.

• Mid to long term：

• • To safeguard the safety, health, and well-being of community members, all employees, suppliers, contractors, and visitors, and to achieve the ultimate goal of "zero occupational accidents and zero industrial accidents," thereby ensuring sustainable business development and fulfilling our corporate social responsibility.

  • Annual safety and health performance evaluations will be conducted for construction and transportation contractors, and quarterly assessments will be performed for raw material suppliers.

Management /Assessment system

• Annual effectiveness assessments and internal/external audits of the system management are conducted in accordance with ISO 45001 and CNS 45001 occupational health and safety management systems, following the PDCA cycle.

Performance and Adjustment

• The EHS Committee has jointly determined the "intolerable" risk level. Risks rated "Level 3 or above" will be included in the significant EHS consideration list. Relevant departments shall submit EHS management plans with timelines, which will be tracked and implemented. The progress of management plan implementation shall be reported for review at regular EHS committee meetings.

Preventive or corrective measures

• Establish a corporate EHS culture and provide comprehensive EHS training to all employees, workers, and contractors. Allocate sufficient time and resources, and consult with employees and their representatives to encourage their active participation in the implementation of the EHS management system.