TSMC Introduces "1+N Carbon Management Project" to Accelerate the Transition to Low-carbon Supply Chain

To fulfill the Company’s commitment of Net Zero Emissions by 2050, TSMC is continuously improving its carbon management practices and actively promoting a green and low-carbon supply chain. The Company has developed five major approaches to bolster supply chain carbon management including Create Transparency, Optimize for CO2, Engage Suppliers, Push Low-carbon Ecosystems, and Establish Internal Carbon Reduction Mechanisms. Regarding our collaboration with suppliers, TSMC introduces the 1+N Carbon Management Project in 2023 to further enhance our supplier’s low-carbon transformation capabilities. As the leading company with integrated resources from industry, government, and counselor, TSMC is assisting suppliers to accelerate the launch of greenhouse gas inventories, product carbon footprint calculation, energy management system implementation, energy-saving opportunity identification, and net zero pathway setting. As of July, TSMC has successfully assisted 35 suppliers through the 1+N project in implementing 48 carbon management-related projects.

Integrating Industry, Government, and Consulting Resources to Optimize Supply Chain Carbon Management

One of the key responsibilities of TSMC is to enhance suppliers’ low-carbon transformation capabilities in building a responsible supply chain. TSMC formed the Green Supply Chain Management Team and integrated resources from Industrial Development Bureau and National Cheng Kung University Industry Sustainable Development Center to drive the implementation of 1+N Carbon Management Project. The project helps suppliers evaluate potential carbon management actions they can take, matches them with appropriate government assistance programs and resources based on their needs, and continuously monitors progress of plan implementation to ensure the tasks are completed effectively.

In response to the United Nations' Sustainable Development Goals 12 and 13, TSMC collaborates with supply chain partners to continuously improve carbon management capabilities. By the end of 2023, TSMC aims to help 15 suppliers obtain ISO 14064-1 organization level greenhouse gas inventory and ISO 14067 product carbon footprint certification and completes energy-saving opportunity identification for 20 suppliers. TSMC will keep tracking suppliers’ progress and outcomes in carbon reduction on a regular basis to enhance green actions in the supply chain and achieve the goal of net-zero emissions by 2050.