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In the global push for net-zero carbon emissions, to accelerate the transformation and upgrading of Taiwan's electronics and information industry, the Industrial Development Agency of the Ministry of Economic Affairs (MOEA) held the "2023 Sustainable Supply Chain Transformation and Innovative Applications Forum" on October 24. The event, held at the HNBK International Convention Center, showcased the industry's achievements in low-carbon and smart transformation, involving more than 750 supply chain businesses. By the end of next year (2024), it is expected to achieve a carbon reduction of 340,000 tons, equivalent to the annual carbon absorption of 879 Daan Forest Parks.

The forum brought together nearly 30 domestic and international supply chain partners, including Cisco, Dell, HP, Microsoft, NVIDIA, Compal, Gigabyte, Pegatron, Foxconn, Winbond, Unimicron, Chin Poon, and MiTAC, along with four major industry associations: Taiwan Electrical and Electronic Manufacturers' Association (TEEMA), Taiwan Panel& Solution Association (TPSA), Taiwan Printed Circuit Association (TPCA), and Taiwan Semiconductor Industry Association (TSIA). Together, they led upstream and downstream companies in Taiwan's supply chain to reduce carbon emissions, build a net-zero industrial chain, and enhance corporate competitiveness.

"Taiwan is the most important supply chain for the global ICT industry. Unlike South Korea, where a single company dominates, Taiwan's supply chain is densely clustered and extensive, involving thousands of companies. Achieving carbon reduction across the board has become a critical issue," emphasized Minister of Economic Affairs Mei-Hua Wang. She noted that in recent years, at international conferences, major companies have focused not only on technological innovation but also on carbon reduction strategies. The demand for carbon reduction DNA is ever-present, and it is gratifying that few countries are as committed to carbon reduction as Taiwan.

The Industrial Development Administration has successfully promoted net-zero carbon emissions. In addition to working with the four major industry associations in the electronics and information industry to complete individual carbon reduction white papers, helping members continue to promote carbon reduction based on the outlined pathways, the agency has also pushed post-pandemic industry and SME (Small and Medium Enterprises) upgrading and transformation plans. So far, it has provided over 2,000 SMEs with smart and low-carbon diagnostic services, helping leading companies drive over 750 supply chain businesses to access government policy resources. This has accelerated the replacement of outdated equipment with smart and energy-efficient products, resulting in domestic equipment procurement exceeding NT$1.1 billion, and is expected to achieve a carbon reduction of 340,000 tons by the end of next year, equivalent to the annual carbon absorption of 879 Daan Forest Parks. Additionally, to cultivate professional talents for corporate carbon reduction, the agency has offered upgrading and transformation courses, successfully training over 14,000 participants, accelerating the low-carbon and smart transformation of Taiwan’s industries.

During the forum, Dell Technologies General Manager Terence Liao, in his speech, expressed his commitment as the President of the IPO Forum to continue partnering with international company members to leverage global experience, leading Taiwan's industry development and transformation. He also emphasized creating more cooperation opportunities with the MOEA on the existing foundation, harnessing the influence of large international companies to support smaller domestic businesses in promoting carbon reduction.

TEEMA Vice Chairman Hsu Chieh-Li mentioned that according to the Directorate-General of Budget, Accounting, and Statistics, Taiwan's EMS (Electronics Manufacturing Services) industry comprises 1,800 companies, with an annual compound growth rate of 2.3% in original carbon emissions. In the short term, the focus will be on reforming three major carbon hotspots: air conditioning, air compression, and process equipment. In the medium and long term, smart systems will be deployed to accelerate the adoption of renewable energy and develop innovative carbon reduction technologies needed by the industry.

TPSA Chairman Hung Chin-Yang also mentioned that last year, the overall panel industry output value reached NT$1.27 trillion, accounting for about 5.6% of Taiwan's GDP. This year, the association, in collaboration with the government, has continued to promote the importance of upgrading and carbon reduction among member companies. The goal is to drive the industry’s low-carbon transformation and sustainable resilience from three major aspects: product development, production processes, and supply chain management. TPCA Chairman Lee Chang-Ming stated that the association has assessed the current status of greenhouse gas emissions, electricity consumption hotspots, carbon reduction pathways, and goal setting in Taiwan’s PCB (Printed Circuit Board) industry. They hope to unite forces, with industry, government, academia, and research institutions working together to realize a sustainable vision and build a new competitive edge of high-value, low-carbon for Taiwan's industry.

TSIA Executive Director Wu Chih-Yi pointed out that Taiwan is a major semiconductor manufacturing country and faces greater pressure on the path to net-zero. Although the industry is a major electricity consumer, it does not equate to being a major carbon emitter or polluter. Last month, TSIA released a responsible net-zero pathway planning white paper, considering that the domestic semiconductor industry is still expanding. Through three major strategies—autonomous carbon reduction, the use of renewable energy, and negative carbon technologies—the goal is to achieve net-zero carbon emissions by 2050.

This forum focused on the two main themes of "low-carbon transformation" and "smart upgrading," highlighting industry implementation experiences. Microsoft Taiwan's Chief Technology Officer, Kai Hua, led the discussion on "Industry Breakthroughs and Challenges of Generative AI," a hot topic, driving innovation in the industry. NVIDIA and Pegatron jointly presented the application of Omniverse in smart factories for the first time in Taiwan. Unimicron and Winbond shared their experiences and achievements in sustainable management and low-carbon transformation. Additionally, the event featured solution booths from 25 major domestic and international companies, creating a lively atmosphere. Through diverse exchanges of various solutions, the forum expanded the resilience of Taiwan's supply chain transformation.

To help businesses understand government policy tools and resources, this forum integrated the experiences of major domestic and international companies, providing the latest international trends and experiences in smart and low-carbon transformation on-site. It is hoped that this forum will encourage more supply chain ecosystem players to join the ranks of upgrading and transformation, moving towards a sustainable low-carbon future.