Supplier Management Policies
Business Ethics & Integrity
Labor & Human Rights
Occupational Health & Safety
Environmental Protection
In 2020, Chia Hsin Cement Group promulgated its Supplier Management Policy and asked each subsidiary to adopt the policy. The policy places emphasis on energy conservation, environmental protection, and other green procurement principles. It also states that suppliers shall protect human rights and labor rights, and shall not use child labor. It also emphasizes suppliers’ commitment to ethical management and corporate social responsibility, and requires suppliers to sign a “Letter of Undertaking of Integrity” and “Corporate Social Responsibility Commitment Form.”
The Company conduct regular supplier training and performance evaluations based on supplier categories. Since 2022, integrity management and anti-corruption training programs have been implemented for key suppliers. The Company continues to engage and communicate with suppliers on sustainability practices, and requires compliance with principles related to labor and human rights, integrity management, and green procurement through various contractual arrangements. The implementation results are reported to the Board of Directors annually.
Starting in 2026, for procurement projects exceeding a defined threshold, suppliers will be required to complete the updated Supplier Code of Conduct and the Supplier ESG Self-Assessment Questionnaire. A screening mechanism applicable to both new and existing suppliers will be established, supported by annual on-site audits. Internally, clear green procurement policies and standards will also be established to support systematic and quantitative management. Through these measures, the Company aims to strengthen sustainable supply chain management.
Implementation Status of Supplier Management Policy and Relevant Regulations
Supplier Assessments / Performance Evaluations
- All of our suppliers of products related to cement and paper packaging were assessed on quality, delivery, cooperativeness, price, labor/human rights, ethical management, and green procurement principles in 2025.
- In 2025, assessments of 22 central kitchen suppliers were carried out with 100% execution rate.
Supplier Guidance and Education
- In 2025, we invited suppliers and related partners to participate in a 1-hour Supplier Integrity Education Program, which took place in December, with a total of 28 suppliers and 52 individuals attending.
Supplier Contracts
- In 2025, we continued to include clauses in our supplier contract stating that suppliers must abide by labor rights, human rights, ethical management, and green procurement principles. The Company attaches importance to the ethical management of our suppliers, selecting suppliers based on “Ethical Corporate Management Best Practice Principles” and requiring that suppliers exceeding a certain transaction amount sign the “Letter of Undertaking of Integrity”, “Non-Disclosure Agreement”, “Corporate Social Responsibility Commitment Form”. Starting in 2026, the Company will replace the existing “Corporate Social Responsibility Commitment Form” with the “Supplier Code of Conduct” and will require suppliers to complete the “Supplier ESG Self-Assessment Questionnaire.”
Responsible Procurement
Cement Sector
As a retailer in Taiwan, the Company mainly purchases cement from domestic companies and abroad to be transported by sea to the silo storages at Keelung and Taichung Ports, after which the cement is sold to customers in bulks or bags.
Our main cement suppliers are Taiwan Cement (TCC) and Asia Cement (ACC), both proponents of quality control, human rights, and environmental protection.
Hospitality and food services sector
- We do not use shark fins or other protected species as ingredients.
- We do not use disposable utensils or melamine utensils.
- We prioritize the use of local ingredients to reduce carbon emissions during transportation.
- We promote organic and local businesses, such as by purchasing organic foods from the Yonglin Farm and purchasing from other small local farms.
