Ambition in line with 1.5°C trajectory, a climate action imperative

11 April 2023, Taipei, Taiwan – Hon Hai Technology Group (“Foxconn”) (TWSE:2317) today announced it received internationally-recognized, science-based validation for its near-term targets to reduce greenhouse gas (GHG) emissions by the end of this decade, affirming the climate mitigation strategy by the world’s largest electronics manufacturer is on the right track.

The validation by the Science Based Target initiative (SBTi) means Foxconn’s committed targets are in line with a 1.5°C trajectory, a crucial threshold from pre-industrial levels on global warming for ensuring a safer, sustainable world.

As part of the journey stages under SBTi, Foxconn first committed to ambitious carbon reductions in 2021, and followed up with a detailed submission under Foxconn’s formal name. The SBTi approved Hon Hai Precision Industry Co Ltd.’s near-term science-based emissions reduction target. Detailed in April 2022, the company commits to reduce absolute GHG emissions 42% by 2030, from a 2020 base year. 

"After Foxconn issued our eight, long-term environmental goals last year, we worked to ensure each goal could meet international standards and stand up to science-based review. Going forward, we will continue to collaborate with third-party organizations to conduct systematic data analysis and regularly review the Group’s green performance,” says Foxconn Chief Environment Officer Ron Horng.

The SBTi validation is part of the global initiative by CDP, the United Nations Global Compact, World Resources Institute (WRI) and the World Wide Fund for Nature (WWF) focused on accelerating companies across the world to halve emissions before 2030 and achieve net-zero emissions before 2050.

More background

• In recent months, Foxconn participated in relevant studies to support thinking on climate-oriented solutions, including “Down To Earth”, corporate case studies published by the Asian Corporate Governance Association on climate governance efforts; and “Women in Business, Climate Action Taiwan”, a survey by the British Chamber of Commerce in Taipei on the role of women and Taiwan’s progress on tackling the climate emergency.
• Foxconn operates 173 campuses in 24 countries, and adheres to the concept of "sustainable operation = EPS+ESG".
• Foxconn formulates annual energy conservation targets at the beginning of each year and adopts incentive policies to promote energy-saving technology upgrades among various sub-groups and business groups. The Group also actively explores energy-saving technologies and facilitates energy-saving projects.
• To promote the transformation of Foxconn’s energy structure, the Group continuously increases the installed capacity of rooftop and ground photovoltaic power stations through self-construction and acquisition, while also directly purchasing clean energy and storing electricity during off-peak periods.
• In carbon inventory work, Foxconn synchronously plans carbon verification at the overall organizational level, adopting the Greenhouse Gas Protocol, an internationally-recognized carbon verification standard, to carry out comprehensive carbon inventory work in scopes 1, 2 and 3.
• In terms of scope 1 and scope 2 within the Group's operating boundaries, Foxconn employs four major measures to cut GHG emissions: operational energy conservation, direct purchase of green energy, construction of green energy facilities, and investment in purchasing green energy certificates.

Foxconn actively works with its supply chain partners to diversify carbon reduction guidance demonstration projects. In initial stages, active communication on carbon reduction planning is conducted with suppliers, with on-site visits and production process investigations done to assess carbon emissions and reduction means. During later stages, a guidance SOP is established with regular verification and exchanges to promote the sharing of carbon reduction achievements.