ESG SUSTAINABILITY REPORT 2024
» WE CONTRIBUTE BICYCLE PARTS WHOLEHEARTEDLY WITH PRIDE TO SOCIETY. «At SR SUNTOUR, we understand that bicycles are more than just a means of transportation – they represent acommitment to both personal health and environmental sustainability. We are dedicated to advancing the cycling
lifestyle by ensuring that our products not only provide exceptional comfort and enjoyment but also contribute
positively to the planet. Our mission encompasses a holistic approach to sustainability and ethical practices. We
strive to minimize the carbon footprint of our materials and manufacturing processes, aiming for the highest
standards in reducing greenhouse gas emissions. Our dedication to technological innovation and stringent quality

control ensures that every component we produce meets rigorous standards of performance and environmentalresponsibility. Beyond product excellence, SR SUNTOUR is deeply committed to ethical practices and transparency
in our governance. We prioritize the well-being of our employees, fostering a supportive and inclusive workenvironment. By integrating these values into every aspect of our operations, we are building a future where
cycling is both a personal and collective benefit. Here is our ESG report for year 2024.

ENVIRONMENTAL• Plastic Reduction: We are committed to using recyclable
plastic pallets and aim to achieve zero percent plastic inpackaging to minimize environmental harm.

REDUCTION TARGET AND STRATEGYA PROGRESSIVE APPROACH TO CARBON EMISSIONSREDUCTION
In today‘s climate-conscious world, businesses areincreasingly prioritizing Environmental, Social, andGovernance (ESG) criteria to mitigate their environmental
impact and contribute positively to sustainability goals.
This article explores how our company is addressing
environmental challenges, particularly focusing on carbon
emissions reduction and sustainable practices.

CARBON EMISSIONS OVERVIEW
Our commitment to transparency starts with acquiring
ISO 14064 certification which shows us a comprehensive
overview of our Green House Gas (GHG) emissions
starting from fiscal year 2023 which covers, mainly, thefollowing categories:• Scope 1: Direct GHG emissions from owned or controlled
sources. For our operations, this amounts to 14,143.7271
tonnes CO2e.

To combat climate change and reduce our carbon
footprint, we have set an ambitious target of reducing
our emissions by 3-6% annually. This commitmentaligns with international climate goals and underscores
our dedication to environmental stewardship. One of
our ambitious goals is to meet Science Based Targets
initiatives (Sbti) by reducing our carbon emissions around
30% by 2030 and ensure that our raw material suppliers
strictly meets our this goal as well.

CERTIFICATIONS AND STANDARDS
Additionally, ISO 14001 certification ensures that ourenvironmental management system meets rigorous
standards for continuous improvement.

REDUCTION INITIATIVES AND SUSTAINABLE
PRACTICES
Implementing sustainable practices is core to achieving
our emission reduction goals:• Scope 2: Indirect GHG emissions from the generationof purchased electricity consumed by the company,
totaling : 1,739.6966 tonnes CO2e.

• Energy Efficiency: We have prioritized energy efficientmeasures such as using LED lights, purchasing
renewable energy, and optimizing the efficiency of ouroperations.

• Scope 3: Indirect GHG emissions from activities outsideof our direct control but related to our business activities,
accounting 206.9728 tonnes CO2e.

• Solar Panel Installation: Plans are underway to installsolar panels to further reduce our reliance on nonrenewable energy sources.

• Scope 4: Other indirect GHG emissions, which include
upstream and downstream emissions not included in
Scope 3: 38,890.9725 tonnes CO2e.

• Internal Recycling: Recycling alloy scraps, particularlyaluminum and magnesium, significantly reduces
emissions associated with primary production.

15.000• Technology Upgrades: Replacing hot with cold diecasting machines and adjusting heat treatment furnaces
reduce energy consumption and emissions.

14,143.7271• Equipment Upgrades: Regularly replacing water-cooled
chillers and air compressors with energy efficientmodels contributes to overall energy reduction.

10.0005.000Tonnes
CO2e1,739.6966

206.9728

38,890.9725* DIAGRAM DIAGRAM OF SR SUNTOUR INC. GREENHOUSE GAS (GHG) EMISSIONS(FISCAL YEAR 2023)• Waste Management: Rigorous industrial wastewater
management and air pollution control measures
ensure compliance with local regulations and reduce
environmental impact.

In addition to SR SUNTOUR internal practices, weask our Aluminum Suppliers to put importance onsustainability practices. We believe that it is particularly
evident in industries like aluminum manufacturing, whereenvironmental impact and responsible sourcing are
critical considerations.

1. UTILIZATION OF SOLAR AND PHOTOVOLTAIC POWER
One of the foremost commitments of sustainable aluminum
suppliers is the integration of renewable energy sources
into their production processes. Suppliers in this sector
have made significant strides by incorporating solar andphotovoltaic power, accounting for approximately 50%of their energy consumption. This shift reduces relianceon fossil fuels, mitigates greenhouse gas emissions, andsupports the transition to a low-carbon economy.

2. RESPONSIBLE ALUMINUM SOURCING
Aluminum suppliers play a pivotal role in ensuring
responsible sourcing practices. Key suppliers procure
aluminum scraps primarily from regions known for robust
regulatory frameworks and environmental standards.
These include the USA, China, EU, Middle East, andMalaysia. By sourcing locally and adhering to stringent
sustainability criteria, suppliers minimize transportationrelated emissions and support local economies. We ask
our Aluminum suppliers to always seek post consumer asrecyclable materials as this has a lower carbon emission
content.

3. CERTIFICATIONS UPHOLDING STANDARDS
To validate their commitment to sustainability, aluminum
suppliers maintain multiple certifications that upholdinternational standards. These certifications include
ISO9001 for quality management, ISO 14001 forenvironmental management, ISO 14064 for greenhousegas accounting, and SGS ROHS for restricting hazardous
substances.These certifications underscore a commitment
to operational excellence, environmental stewardship,and compliance with global regulations.

4. CARBON FOOTPRINT MANAGEMENTManaging carbon emissions is a cornerstone of sustainability efforts within the aluminum supply chain. Aluminum Suppliers diligently track and manage their carbon
Footprints. Our factory in Vietnam and Kunshan, China
Aluminum suppliers have carbon footprint ranging from
1.14 to 1.65 kgCO2e. It’s noteworthy that SR SUNTOUR,a prominent player in the industry, achieves significantly
lower emissions due to internal aluminum recycling
initiatives and use of sustainable aluminum suppliers.
This proactive approach not only reduce environmental
impact but also enhances resource efficiency andoperational resilience.

CONCLUSION
In conclusion, our company is dedicated to advancing
environmental sustainability through proactive measures
aimed at reducing carbon emissions and promoting
responsible resource management. By adhering
to stringent standards, implementing innovativetechnologies, and fostering a culture of environmental
stewardship, we strive not only to meet regulatory
requirements but also to lead by example in sustainablebusiness practices. Our journey towards carbon neutrality
and environmental excellence is a testament to ourcommitment to building a resilient and sustainable futurefor generations to come.
In addition to SR SUNTOUR sustainable practices, thealuminum supply chain reflects a broader commitment to ESG principles. By leveraging solar andphotovoltaic power, responsibly sourcing aluminum
scraps, obtaining rigorous certifications, and managing
carbon footprints, suppliers are setting benchmarks forindustry sustainability. These efforts not only mitigate
environmental risks but also foster transparency,resilience, and long-term value creation. As businesses
and consumers alike prioritize sustainability, the aluminum sector’s embrace of ESG principles serves as abeacon of progress towards a greener future. Throughcollaboration, innovation, and continuous improvement,stakeholders can collectively drive positive change andensure a harmonious balance between industrial growthand environmental stewardship.
SR SUNTOUR | AUGUST 2024 | ESG REPORTESG SUSTAINABILITY REPORT 2024
SOCIALUPHOLDING SOCIAL RESPONSIBILITY: A COMMITMENT
TO ETHICAL PRACTICES AND EMPLOYEE WELL BEING
In today’s globalized economy, companies are increasingly recognized not just for their financial performance,
but also for their commitment to Environmental, Social,and Governance (ESG) principles.
Among these, the “S” in ESG – Social Responsibility –stands out as a cornerstone of ethical corporate con-duct.
This article explores how our company adheres to andexemplifies these crucial social responsibilities.

their concerns and negotiate collectively. Our adherence
to local labor laws ensures that regular working hours
are respected, and any overtime work is compensatedaccordingly.

INTEGRATION AND TOLERANCE» FOR FOREIGN WORKERS, FAIR WAGES AND BENEFITSARE PROVIDED, ALONG WITH TRAINING AND HEALTHSEMINARS CONDUCTED IN THEIR LANGUAGE TO
FACILITATE UNDERSTANDING AND INTEGRATION. «TRANSPARENCY AND ACCOUNTABILITY

CONCLUSIONA grievance mechanism is in place, allowing employees
to lodge complaints confidentially and ensuring timely
resolution of issues. We maintain a strict policy against
corruption, both within and outside our company
premises, to uphold ethical standards and build trust withstakeholders.

In conclusion, our company stands firmly committed toupholding social responsibility through ethical practices
and policies that prioritize the well-being,safety, and rightsof our employees. By adhering to stringent standards
and fostering an inclusive and supportive workplaceenvironment, we not only meet regulatory requirements
but also contribute positively to the communities where
we operate. As we continue to evolve and grow, ourdedication to ESG principles remains unwavering,ensuring that we contribute to a sustainable and equitable
future for all stakeholders.

CERTIFICATIONS AND STANDARDS
As part of our commitment to employee well-being andsafety, our company holds ISO 45001 certification, demonstrating compliance with international standards foroccupational health and safety management systems.

HUMAN RIGHTS AND LABOR STANDARDSAt the heart of our commitment is the unequivocal stanceagainst any form of modern slavery and related practices.
We strictly prohibit human trafficking, forced labor, debt
bondage, and any form of workplace oppression orinadequate control. Employees are never compelled towork through force, threat, or intimidation of any kind.
Our employment practices adhere to local minimum
age requirements, ensuring that no underage labor isemployed.

EMPLOYEE SAFETY AND HEALTH
Ensuring the safety and well-being of our employees isparamount. Regular safety training and health seminars
are conducted to equip our workforce with necessary
skills and knowledge. Each month, a registered doctor
and nurse perform medical surveillance to monitor thehealth status of our employees. To reduce exhaustion,
forklifts are provided to limit physical strain in assemblyline tasks.

For foreign workers, fair wages and benefits are provided,
along with training and health seminars conducted intheir language to facilitate understanding and integration.
Our company maintains a zero-tolerance policy against
racial discrimination, ensuring a workplace that values
diversity and inclusivity.

SUPPORT FOR PARENTAL NEEDS
Recognizing the importance of work-life balance, female
employees who “just gave birth are provided with a
private breastfeeding room within the company premises,demonstrating our commitment to suppor-ting parental
needs and promoting maternal health.

EMPLOYEE RIGHTS AND EMPOWERMENT
We uphold the rights of freedom of association andcollective bargaining, enabling our employees to voice

LOCATION AUSTRIA, VIENNA PHOTO HOSHI YOSHIDAFAIR TREATMENT AND INCLUSIVITYSR SUNTOUR | AUGUST 2024 | ESG REPORTESG SUSTAINABILITY REPORT 2024
ENHANCING CORPORATE GOVERNANCE THROUGH ESG
PRINCIPLESCorporate governance plays a pivotal role in shaping
the operational transparency and ethical standardsof modern businesses. Embedded within the broader
framework of Environmental, Social, and Governance(ESG) principles, effective governance ensures thatcompanies operate responsibly, manage risks prudently,
and uphold the interests of stakeholders. In this article, wedelve into how specific aspects of governance, particularly
focused on diversity and independence of the Board ofDirectors, disclosure practices via regulatory platforms,
shareholder engagement through annual reporting,and fostering employee feedback via suggestion boxes,
contribute to a robust ESG strategy.

DISCLOSURE OF IMPORTANT INFORMATION VIAREGULATORY CHANNELS

SUGGESTION / GRIEVANCE BOX OPEN TO ALLEMPLOYEESTransparency is fundamental to fostering trust among
stakeholders. Companies commit to disclosing mater-ial
information promptly and accurately through designatedregulatory channels, such as the Market Observation Post
System (MOPS):
https://mops.twse.com.tw/mops/web/index(SR SUNTOUR company code:8350). This ensures thatinvestors and the public have timely access to critical
updates on financial performance, strategic initiatives,and other pertinent developments that may impact
business operations or stakeholder interests.By adhering
to rigorous disclosure requirements, companies bolstertransparency, mitigate information asymmetry, anddemonstrate their commitment to accountability andinvestor protection.

Employee engagement is vital to fostering a culture ofinclusion and innovation within organizations. Opensuggestion boxes provide a platform for employees
at all levels to contribute ideas, raise concerns, andoffer feedback on organizational practices, policies, andworkplace culture. This inclusivity promotes a sense ofownership and empowerment among employees, driving
continuous improvement initiatives and enhancing
overall organizational effectiveness. Moreover, soliciting
and acting upon employee feedback demonstrates acommitment to valuing diverse perspectives, cultivatinga supportive work environment, and aligning corporate
governance with broader ESG objectives.

SHAREHOLDER ANNUAL REPORTDIVERSITY AND INDEPENDENCE OF THE BOARD OF
DIRECTORS
A cornerstone of strong governance is the compositionof the Board of Directors. Diversity in board membership, encompassing varied backgrounds, expertise, andperspectives, enhances decision-making process-es andreflects a commitment to inclusivity. Boards composedof individuals with diverse skills and ex-periences
are better equipped to navigate complex challenges,
innovate effectively, and foster a culture of accountability.
Moreover, ensuring the independence of board mem-bersfrom management promotes objective decision-making
and mitigates conflicts of interest. Independent directors
provide oversight and scrutiny, safeguarding shareholderinterests and upholding governance standards.

The shareholder annual report serves as a comprehensive communication tool, offering stakeholders
insights into the company‘s financial health, performance
metrics, strategic objectives, and governance practices.
Beyond financial disclosures, modern annual reports
increasingly integrate ESG metrics, reflecting thecompany‘s commitment to sustainable practices, social
responsibility, and long-term value creation.

CONCLUSION
In conclusion, effective governance practices rooted
in ESG principles are instrumental in enhancing
organizational resilience, stakeholder trust, and long-termsustainability. By prioritizing diversity and independence
on the board, maintaining robust dis-closure practices,

engaging shareholders through transparent reporting,and fostering employee participation via suggestion
boxes, companies not only mitigate risks and enhance
decision-making but also cultivate a corporate culture thatvalues ethics, accountability, and social responsibility.
Embracing these principles not only strengthens
corporate governance frameworks but also positions
companies to thrive in an increasingly complex andinterconnected global landscape. By integrating theseelements, companies can reinforce their commitment toresponsible stewardship, driving positive impacts acrosscommunities, economies, and the environment.

EMPOWERMENT» OPEN SUGGESTION BOXES PROVIDE A PLATFORM
FOR EMPLOYEES AT ALL LEVELS TO CONTRIBUTEIDEAS, RAISE CONCERNS, AND OFFER FEEDBACK
ON ORGANIZATIONAL PRACTICES... «These reports facilitate informed decision-making amongshareholders, provide transparency on governancepractices, and underscore the company’s alignment withESG principles and stakeholder expectations.

YEAR 2023

UP TO AUGUST 2024

Total Directors

89Outside Directors

22   Female Directors

11Foreign Directors

33Number of Meetings

64LOCATION FACTORY, VIETNAM PHOTO HOSHI YOSHIDAGOVERNANCE* TABLE DIVERSITY OF SR SUNTOUR BOARD OF DIRECTORSSR SUNTOUR | AUGUST 2024 | ESG REPORT