FENC Wins Two First Prizes From Global Views Monthly ESG Awards Again

Far Eastern New Century (FENC) has been honored with “the First Prize for ESG Performance category in manufacturing industries” and “the First Prize for Excellent Program in low carbon operation category” at the 20th Global Views Monthly ESG Award. It is the only company in Taiwan to have continuously won both first prizes. The Chairman, Douglas Tong Hsu, attended the ceremony in person on May 2, 2024, to accept the awards and deliver a speech.

Chairman Douglas Tong Hsu represented FENC in accepting two first prizes at the Global Views Monthly ESG Awards.

Chairman, Douglas Tong Hsu, stated, "For over three decades, FENC has been dedicated to developing green technologies, becoming a global leader in green polyester materials. Leveraging our core business, we've constructed a sustainable business model that benefits the environment and continued to collaborate with various sectors to promote the concept of circularity and maximize our social impact."
FENC has been developing recycling technologies that tackle waste materials from the land, ocean, and air. Each year, the company recycles 22 billion PET bottles into new products, transforms ocean waste plastics into recycled ocean polyester filament featured in international football events, and is the world's first to develop waste gas recycling technology that has been favored by major brands. The company continues to lead the industry in innovation, producing 100% rPET tire cord fabrics, which have been adopted by major international manufacturers.

Polyester textiles account for 2/3 of all polyester applications. To address the difficulty of recycling textile waste, FENC focuses its R&D efforts on the development of textile recycling technologies. Chemical recycling is a recycling approach with high technological thresholds. The technology is effective in processing waste textiles containing a complex mix of materials and colors. The pilot plant is scheduled to be completed in 2024, aiming for commercial application. Compared to textiles, the materials used in sports shoes are even more complex and thus harder to recycle. To overcome these challenges, FENC has developed polyester-based materials to replace PU and EVA, etc, completing the production of all parts of sports shoes using polyester materials. This helps achieve the vision of full-shoe recycling in the future. Furthermore, the company has created recycled polyester shoes using recycled PET bottles, securing orders from brand customers, with products soon to hit the market.

FENC is implementing a climate transition plan, aiming to achieve net-zero emissions by 2050. In 2023, the company's Scope 1 and 2 greenhouse gas emissions were reduced by 25% from 2020 levels, surpassing its short-term target (20% reduction by 2025). The renewable electricity usage at its global production sites now exceeds 10%. To accelerate its low-carbon transformation, the company has established an internal carbon pricing system, where each business unit calculates its carbon costs monthly and incorporates carbon reduction benefits into investment decisions.

FENC tightly integrates financial planning with the company's sustainability strategy. By the end of 2023, it had issued over 20 sustainable financial products, many of which were the first in Taiwan or Asia, raising over NT$60 billion. These funds are entirely invested in sustainable projects, allowing the company to benefit from favorable interest rates, achieving a triple win for the government, investors, and the company.

To build a life of sustainability and circularity, FENC has collaborated with local businesses in Taiwan, Japan, and Vietnam to establish the "PET Closed Loop" recycling system. For example, Since 2022, FENC has teamed up with the President convenience store chain, 7-ELEVEN, and President Packaging Ind. Corp. on an exclusive partnership to promote the use of Efficient Smart Recycling Machines in northern Taiwan. The collaboration converts PCR PET bottles into rPET. In 2023, the application of rPET was expanded to food contact packaging, including rPET bottles and salad boxes in compliance with the food safety regulations. From production and consumption to recycling and resale, the company gradually makes green products an integral part of life.

Additionally, FENC has been collaborating with a social enterprise since the end of 2022 on the development of “The Transformative Magic of Circularity,” an on-campus program for elementary schools featuring the circular economy. The program uses lively, experiential teaching materials to inspire students to be creative with reusing resources and putting them into practice. The program will be continued on a long-term basis and 107 sessions have been planned until the end of 2024, reaching 6,000 students.

FENC’s performance in sustainable development has long been recognized by various sectors. In 2023, it received the National Sustainable Development Award. Chairman, Douglas Tong Hsu, expressed his hope to inspire and lead more companies on the path of sustainable development as a model of excellence.