Ethical Management
The Company formulated the “Ethical Corporate Management Best Practice Principles” and “Code of Ethical Conduct”, in accordance with current laws and regulations, to establish an ethical corporate culture for the development of a sound business operation model. All formulations and revisions were approved by the board of directors.
The company drafted the “Code of Ethical Conduct” and “Code of Integrity Management” in May, 2014, and continued to revise throughout the implementation period. The latest version was approved by the board of directors on November 11, 2020. The above regulations are published on both the company’s internal and external websites and are updated immediately after each revision. The company also stated, in the external contract, the handling methods for policy violation to demonstrate the company’s active commitment to the “ethical conduct code” and the “integrity management code”.
Responsible Party for the Promotion of Corporate Code of Ethics and Business Conduct
The company’s management department is responsible for the planning, promotion and supervision of corporate social responsibility, integrity management and other related issues. The department reports the implementation status to the board of directors on a regular basis and at least once a year.
Reporting the Implementation Status to the Board of Directors
- In March 2021, all board of directors and executive managers signed the “Declaration of Compliance with the Integrity Management Policy”, declaring to abide by the code of ethics and relevant business conduct. Furthermore, they commit to the implementation of the code of ethics policy. (All board of directors signature ratio reached 100%) After the re-election of the Board of Directors in 2022, all newly appointed directors and senior management in 2023 have signed the ‘ Declaration of Compliance with the Integrity Management Policy ‘ (achieving a 100% signing rate among all directors).
- At the 474th board meeting (December 11, 2025), the party promoting integrity management reported to the board of directors on the implementation progress.
Specific Practices and Policies for Promoting Management Integrity
- To prevent dishonest behavior, and to implement the “Code of Integrity Management” (, the company has formulated the “Integrity Management Operating Procedures and Behavior Guidelines”. The content has clear regulations on the integrity of all business behaviors, punishment for violations , and systems for appeal. In addition to the regulations, the company has also strengthened publicity and requirements for honest operation in the company policy and related operating methods. Moreover, the company promotes and enhances integrity management for all employees through internal communications, educational training, and strengthening operational standards.
- Since 2020, to uphold and implement our company’s Ethical Corporate Management Best Practice Principles, the Company has required its suppliers to sign and adhere to the Commitment of Honest Cooperation and the Commitment of Supplier for Corporate Social Responsibility.
- Since 2022, the Company has provided annual training programs on Ethical Management and Anti-Corruption for our important suppliers to demonstrate and strengthen Chia Hsin Cement Corporation’s Ethical Management and Code of Integrity Management.
(Since 2026, the “Supplier Code of Conduct” replaces the “Commitment of Supplier for Corporate Social Responsibility”.)
Management Integrity Education and Training in 2025
| Program | Description |
| Integrity in Business Employee Education and Training Program |
In 2025, the Company conducted Ethical Management education and training through two sessions—one for supervisors and one for employees—delivered in both in-person and online formats. Details are as follows: Supervisor Session: On October 17, 2025, professional instructors from Sheng Lun Law Firm were invited to deliver training on key provisions of the Ethical Management Code. The course covered topics including labor relations management (workplace bullying, unlawful infringement, and improper management) and ethical management practices, such as insider trading, acceptance of improper benefits, disclosure of confidential information, favoritism toward specific suppliers, and failure to fulfill duties. The total duration of the session was three hours. Employee Session: On November 14, 2025, the training was conducted by internal instructors and covered topics including fundamental concepts of ethical management, types of ethical misconduct cases, and the management of confidential information and prevention of insider trading. The total duration of the session was 1.5 hours. A total of 196 employees from the corporate group participated in the training. The training coverage rate for all Taiwan-based employees of the Group reached 100% for the year of 2025 (including new hires and excluding approved exemptions). The Company will continue to promote ethical management education and training in the future. |
| Supplier Education Program on Integrity in Business | In 2025, the Company invited suppliers and related partners to participate in a one-hour Supplier Integrity Education Program held in December 2025. A total of 28 suppliers participated, with 52 individuals attending the program. |
| New Employee Education, Training, and Orientation |
1. “Preventing Insider Trading Awareness Course” : Participants were new employees within the corporate group. In 2025, the courses were held for new employees on April 30 (12 participants) and October 16 (10 participants), with a total of 22 participants. The participation rate for new employees reached 100%. 2. New employees were also arranged to participate in the annual Integrity in Business Employee Education and Training Program. The number of participants was included in the total count of the annual Integrity in Business Employee Education and Training Program. |
Educational Promotion on the Procedures for the Prevention of Insider Trading
The company established the “Management Procedures for Preventing Insider Transactions”, advocating to current insiders about the precautionary measures related to the declaration of insider shareholdings at least once a quarter. The related procedures and regulations are also distributed electronically every month to provide the education and advocacy in a timely manner.
The company provides legal promotion manuals for new directors and independent directors after assuming office. And requests the signing of the acknowledgement of relevant laws and regulations within five days of assumption. This copy of the declaration from the directors and independent directors will be sent to Taiwan Stock Exchange within ten days of assumption and kept for future reference.
In order to ensure our shareholder’s rights and interests and to fulfill equal treatment, our company formulated the Code of Practice for Corporate Governance. This code was approved by our board of directors in the 444th board meeting on May 3rd, 2022. The context requires all board members to suspend any trading of the company’s stocks or other equity securities during the closed period of 30 days before the announcement of the annual financial report and 15-days before the announcement of the quarterly financial report. In addition, to improve the immediacy, correctness, and integrity of company’s material information of disclosure, we amended the “Disclosure Material of Inside Information and Management Procedures for Preventing Insider Transactions (內部重大資訊處理暨防範內線交易管理作業程序)”. This management procedure was approved by our board of directors in the 449th board meeting on December 17th, 2022.
The company held the “Insider Trading Prevention Promotion Conference” on October 19th, 2022 and the “Ethical Corporate Management Best Practice Principles training course” on November 11 In order to enable employees and executives to have a deeper understanding of laws and regulations related to preventing insider trading. The topics cover: Violation of Integrity-Insider Trading Cases and Insider Trading Prevention Methods for employees. A total of 221 people participated. (Our corporation’s spread of training has reached 100% of our employees based in Taiwan)
To enhance the understanding of laws and regulations pertaining to the prevention of insider trading among employees and executives, we organized the “Preventing Insider Trading Awareness Course” and the “Integrity in Business Employee Education and Training Program”. The content covered examples of integrity violations, particularly providing guidance on preventive measures to insider trading cases. The detailed statistics can be found in the table above. After the completion of the courses, slides were made available on the internal employee system for colleagues to review.
System of Whistleblowing and Complaint
In order to establish good corporate governance and prevent fraud, bribery, violations of corporate policy and governmental regulations, the company formulated the “Chia Hsin Cement Group Whistleblowing Policy. (檢舉作業要點)” in accordance with the “Corporate Management Best Practice Principles.” This is applicable to the company and its subsidiaries, including internal and external stakeholders.
Whistleblowing and Complaint Channels and Methods
1.By Phone
+886-2-2551-2317
To prevent verbal omissions or misunderstandings from compromising the acceptance and investigation of cases, the Company may record the contents of phone conversations when deemed necessary and shall ensure that the phone calls are kept strictly confidential.
2.By mail
No. 96, Sec. 2, Zhongshan N. Rd., Zhongshan Dist., Taipei City
(To: Head of the Audit Division, Chia Hsin Cement Corporation)
3.By Email
When reporting by Email, please make sure that the attachments are encrypted to prevent the reported information from being exposed.
※In 2025, Chia Hsin Cement Corporation had not received any internal or external report on violations of laws and regulations and the Code of Ethical Conduct.
