Supplier Management

SDG

Performance highlights in 2025

Proportion of locally procured materials > 74.90%

100% of our suppliers received a Tier 1/Grade A rating as shown in the supplier evaluation results

Significance to CSCC

We establish reliable supplier resources through supplier development, survey, selection, collaboration, and evaluation to ensure a stable supply of materials for our company.

Goals

Short-term goals (2026)	Medium-term goals (2027～2030)	Long-term goals (2031 and beyond)
Continuously incorporate ESG supplier due diligence issues, environmental issues, labor conditions, human rights issues, non-use of conflict minerals, and supplier code of social conduct as new supplier evaluation items. In accordance with the Supplier Due Diligence Management Procedures, conduct issue awareness activities and surveys targeting at least three key suppliers Achieve zero major workplace safety incident among transportation providers Proportion of locally procured materials > 65%.	Promotion and implementation of CSCC supplier due diligence initiatives targeting key suppliers, with at least three suppliers evaluated as qualified Continuously incorporate ESG supplier due diligence issues, environmental issues, labor conditions, human rights issues, non-use of conflict minerals, and supplier code of social conduct as new supplier evaluation items. Achieve zero major workplace safety incident among transportation providers Proportion of locally procured materials > 65%.	Promotion and implementation of CSCC supplier due diligence initiatives targeting key suppliers, with at least three suppliers evaluated as qualified Continuously incorporate ESG supplier due diligence issues, environmental issues, labor conditions, human rights issues, non-use of conflict minerals, and supplier code of social conduct as new supplier evaluation items. Achieve zero major workplace safety incident among transportation providers Proportion of locally procured materials > 70%.

Management strategies

Conduct supplier evaluation and carry out continuous control, as well as realize sustainable development with our suppliers through the identification and management of significant actual and potential adverse impact in the supply chain

Resources invested and implementation outcomes

Kindly refer to Annual ESG Plan and Implementation Outcomes in this Report for more details.

Supply Chain Composition

Supply chain is the main source of materials or services, such as raw materials and related transportation, equipment maintenance, etc., required for production and sales activities. CSCC has signed long-term contracts with suppliers of main raw materials and bulk packaging materials as well as transportation contractors to ensure the stability of the costs and supply of various products.

In 2025, our purchases of raw materials accounted for approximately 86.03% of our total procurement amount, with nearly 90% of our raw materials coming from Company A and B under the same Group, ensuring a stable supply. Specifically, the raw materials purchased from Company A are transported by pipeline, which in turn reduces carbon emissions from transportation by vehicle. Only 6.23% of our products were delivered using packaging materials. On the other hand, up to 93.77% of our products were delivered using recyclable containers (e.g., chemical tankers, tank trucks and ISO tanks), significantly reducing packaging waste in the process. Information on CSCC’s procurement in 2025 is presented as follows: