Next-Gen Thermal Solution

In this era of relentless AI evolution, technology relies on a force often overlooked,

yet never absent—Thermal Management.

We believe that every kilowatt saved and every cooling innovation is a gift of choice for the next generation.

SUNON—The artistry of air and water, for your everyday.

Product Innovation

Product Innovation

Annual performance

The Company demonstrated outstanding performance in product research and development, environmental sustainability, and supply chain management. Through continuous technological innovation and product efficiency optimization, a total of 792 million kWh of energy savings was achieved during the year, successfully reducing approximately 375,000 metric tons of CO₂-equivalent emissions. This fully reflects the Company’s core capability of driving carbon reduction through innovation and advancing sustainability through research and development.

At the same time, from 2011 to 2025, the Company has maintained a 100% compliance rate in product hazardous substance testing for 14 consecutive years, underscoring its strong commitment to product safety, environmental protection, and consumer health. In terms of intellectual assets, the Company has cumulatively obtained 3,483 patents, reflecting years of dedicated R&D efforts and strengthening its competitive advantage in global markets. Supply chain management has also delivered strong results, with both the approval rate for newly introduced suppliers and the annual supplier audit pass rate reaching 100%, demonstrating the Company’s use of rigorous standards and regular audits to ensure supply chain quality, responsibility, and sustainability performance.

In addition, the Company has actively deepened local collaboration, achieving a local procurement ratio of 68% and a local delivery ratio of 87%. This not only shortens logistics distances and reduces environmental impact, but also promotes the development of local industries. Taken together, these achievements demonstrate the Company’s comprehensive management capabilities in environmental performance, product responsibility, and supply chain sustainability, as it continues to move toward becoming a sustainability benchmark enterprise.

792 million kWh

Product R&D energy saving performance

3483

Cumulative number of patents granted

100 %

New Supplier Evaluation Pass Rate

100 %

Annual Supplier Audit Pass Rate

Audit effectiveness

With reference to international standards such as the United Nations Guiding Principles on Business and Human Rights, the International Labour Organization's Declaration on Fundamental Principles and Rights at Work, and the Universal Declaration of Human Rights, Sunon has established supply chain management procedures requiring all suppliers' operational practices in areas including labor rights, health and safety, environmental protection, business ethics, and management systems to comply with the Company's standards and commitments, as well as with the relevant regulations of their operating locations.


The Company incorporates corporate social responsibility and sustainable development requirements into its supplier relationships and is gradually including ESG-related clauses in supplier contracts, with the long-term objective of comprehensively requiring suppliers to fulfill their sustainability responsibilities. Suppliers that fail to meet the requirements will be required to make improvements within a specified period; in the event of major violations, cooperation may be terminated depending on the circumstances. At the same time, the Company continues to communicate with suppliers and provide education and guidance to convey corporate social responsibility and sustainability requirements, and encourages suppliers to develop materials with lower environmental impact and optimize processes and equipment to implement energy conservation and carbon reduction, thereby jointly enhancing supply chain sustainability performance and building win-win partnerships.

New Supplier Evaluation

The sustainability performance and overall performance of new suppliers have an important impact on the Company's reputation and long-term operations. To reduce potential risks, the Company conducts evaluations based on the New Supplier Evaluation Form from the three ESG dimensions: social, environmental, and governance. When major international or regional events occur, the Company also conducts investigations and analyses of the relevant regions, industries, and supply sources to ensure supply chain stability and continuity, safeguard the Company's reputation and interests, and enhance overall supply chain efficiency and resilience. In 2025, a total of 24 new suppliers passed the evaluation and were officially added to the list of qualified suppliers, becoming partners eligible for ongoing cooperation with the Company.

Supplier Audits

To implement supplier sustainability management, the Company applies a tiered approach to supplier audits, defining supplier importance based on annual transaction volume and determining risk levels according to audit results, thereby adopting corresponding risk management measures.

Self-assessment audit

Suppliers with annual delivery volumes exceeding 200,000 units in 2025 are required to conduct a self-assessment of corporate social responsibility risks, covering environmental, social, and governance (ESG) aspects.

On-site audit

Suppliers ranked among the Company's top 20 by delivery volume in 2025 are classified as key suppliers of the Company. In addition to completing the self-assessment audit, they are also required to undergo an on-site audit by Sunon in order to gain a deeper understanding of their actual sustainability management practices and performance.

2025 Supplier Audit Results (Unit: number of suppliers)

  Taiwan China Philippines Total
Number of suppliers subject to audit 41 151 2 194
Self-assessment audit 41 151 2 194
On-site audit 5 38 1 44
Completion rate 100% 100% 100% 100%
Pass rate 100% 100% 100% 100%
Audit Dimension Number of suppliers with significant actual or potential negative impacts
Environmental
  • Factories possess valid environmental permits, approvals, licenses, and registrations
  • Environmental pollution prevention and control/li>
  • Compliant waste management and disposal
  • Rainwater and wastewater management
0
Social
  • Elimination of forced labor
  • Protection of labor rights
  • Maintenance of an equal working environment
  • Emphasis on employee health and safety
0
Governance
  • Implementation of business ethics and codes of conduct
  • Internal control
  • Protection of whistleblower interests
0

Note: Suppliers with audit results classified as "high risk" are deemed to have significant actual or potential negative impacts.

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