TCC Achieves New Milestone: Selected for DJSI World and Emerging Markets Indices, Ranks First Globally in Environmental and Second in ESG Performance as Construction Materials Corp

A new milestone for Taiwan's constructing materials industry! TCC Group Holdings has been selected as a constituent of both the Dow Jones Sustainability World and Emerging Markets Indices, marking the first instance for Taiwan's construction materials industry. It is also the first cement company from Greater China and Northeast Asia to be included in the Dow Jones Sustainability Indices (DJSI). The latest selection results were announced on the evening of the 16^th Taiwan time, with TCC achieving an overall score of 85, ranking second in the global construction materials industry. Notably, TCC scored the highest globally in the environmental dimension (E).

In the environmental dimension, TCC achieved perfect scores (100) in 10 indicators related to climate strategy, including process carbon emission performance, Scope 3 target setting and management, climate governance and compensation linkage, financial quantification analysis, internal carbon pricing, and low-carbon product production. Additionally, TCC published the world's first nature-related financial disclosure report (TNFD) in construction materials area, implementing biodiversity risk assessments, process air emissions management, and energy efficiency. In the social dimension, TCC proactively aligned with the Corporate Sustainability Due Diligence Directive (CSDDD) and extended its ESG programs throughout the supply chain, achieving the highest industry scores. The transparency and quality of TCC's overall ESG disclosures received perfect scores in four categories.

The Dow Jones Sustainability Indices (DJSI) is the world's first index to evaluate the sustainability capabilities of companies based on economic, social, and environmental criteria using a proprietary methodology. Launched in 1999, it has been in existence for over 25 years and is regarded by investment institutions as the most credible benchmark for assessing corporate ESG (Environmental, Social, and Governance) performance. Each year, nearly ten thousand companies participate in the evaluation. In the construction materials industry, to which TCC Group Holdings belongs, only the top 10% could be selected for the DJSI index annually. Due to the limited number of spots compared to other industries, the competition is relatively more intense. This year, TCC has improved significantly by 15%, earning a place in both the DJSI World and DJSI Emerging Markets indices.

The DJSI evaluation underwent significant revisions this year, primarily focusing on the impact of companies on their value chains and product leadership during the low-carbon transition. Since 2018, TCC has been actively increasing the ratio of alternative materials used in co-processing, developing new low-carbon building materials to provide green materials for the construction industry, and initiating stakeholder communication upon low-carbon, climate, and nature-related issues. Initiatives include forming a Low-Carbon Construction Pioneer Alliance with customers, advocating for carbon reduction in production sites’ community via carbon reduction parent-child bankbook program, and engaging in activities such as the conservation of the Little Tern. These efforts aim to raise awareness of climate mitigation and adaptation among employees, upstream and downstream value chain, customers, and the community, representing concrete steps towards a global net-zero society.

In 2024, TCC was selected for the DJSI World and Emerging Marketing Indeices, and continued to make progress in foreign investment review. TCC received the C+ PRIME rating from ISS ESG, considered the most influential rating agency for foreign investors, in early December. Meanwhile, TCC has been rated A by MSCI, which is influential to other major global indices, for three consecutive years since 2022. Sustainalytics, the rating agency covering the most companies globally in ESG scores, reported a 10% reduction in TCC's risk value. Furthermore, TCC was honored by TIME magazine as one of the "2024 World's 500 Most Sustainable Companies."

In 2024, TCC completed the global expansion, becoming a Group Holding operating in 13 markets across five continents. Chairman Nelson An-Ping Chang encouraged employees with the motto "Reduce carbon from the heart, cherish resources, practice green actions, and benefit the world." He emphasized that sustainability for TCC today is an active and ongoing commitment. He expressed confidence that TCC Group Holdings is on the right path!