Green product design and management, to create a green sustainable supply chain

Developing innovative products that meet the goal of energy saving and carbon reduction, and 100% compliant with the requirements of RoHS, halogen-free and REACH, continues to pay attention to international environmental issues, and fulfill the corporate responsibility for environmental sustainability.

 

 

Hazardous Substance Monitoring

Novatek builds a green product management system according to international environmental trends and customer requirements, effectively implements hazardous substance management and green product certification, and has obtained green product management system approval from SONY, a major international manufacturer. Through complete and clear process management, the concept of risk management and control is introduced to design, develop and manufacture high-quality green products that meet expectations. In addition to requiring 100% of major suppliers to obtain ISO 14001 Environmental Management System certification, Novatek has formulated the "Novatek’s Regulations on Hazardous Substances Management" in accordance with international regulations, customer requirements and environmental trends. Through regular review and updates, Novatek continues to pay attention to international environmental protection Issues, actively participate in supplier conferences as well as education and training held by customers, grasp customer requirements, and ensure the effective operation of the hazardous substance system.

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R&D and Design of Energy-Saving Products (clean technologies)

In response to the trend of low-power-consumption and energy-saving ICs, Novatek takes into consideration the energy consumption of IC during the product development stage, and responds to the impact of climate change by utilizing the miniaturization design of advanced wafer fabrication process. In comparison to 2024, Novatek has achieved an average reduction in IC power consumption of 5.35% for its four main products in 2025, contributing to energy savings in end-products. This results in a yearly reduction of 44.6 GWh of electricity usage and a decrease of approximately 21,181 metric tons of CO2e emissions, which is equivalent to the carbon absorption capacity of 55 Da’an ParksNote 1, enough to supply approximately 12,189 households with electricity for a yearNote 2.

Energy consumption reduction for main products

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Performance contribution of the new energy-saving display (clean technology) products

The revenue of new energy-saving display (clean technology) products (such as OLED and mini LED related products and ENERGY STAR 9.0 products) in 2025 was NT$42.1 billion, accounting for 42% of the total revenue. Compared with the revenue growth of new energy-saving display products in 2024, the revenue increased by NT$1.6 billion. Starting from 2021, Novatek has launched products that meet Energy Star 9.0 standards and will continue to invest in product development in 2025 to effectively reduce product power consumption. Novatek promises to continue to invest in R&D resources and actively develop energy-saving products, promote the supply chain towards low-carbon manufacturing to fulfill the energy-saving and carbon-reduction goals, and meet the needs of customers as well as the huge energy-saving market.

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Promoting product carbon footprint

In alignment with its Green Operations Policy, Novatek has fully established and implemented a product carbon footprint management system since 2024. The system systematically calculates and monitors greenhouse gas emissions across various life cycle stages, including raw material manufacturing, transportation, product manufacturing, testing, and packaging. For different product categories, the Company has adopted a phased third-party verification mechanism. Verification activities were completed and successfully passed in both 2024 and 2025, resulting in the acquisition of ISO 14067 Product Carbon Footprint Verification Statements. The validity periods are presented in the table below.

 

The Company continues to expand data coverage and analyze carbon emission hotspots, using science-based indicators to track emission reduction performance. Carbon footprint insights are also incorporated into product design and procurement decision-making processes. By the end of 2026, the Company plans to complete the second-phase carbon footprint inventory and verification for System-on-Chip (SoC) products, while collaborating with supply chain partners to promote carbon reduction initiatives. Through these efforts, Novatek is committed to achieving long-term and measurable carbon mitigation targets and ensuring the effective implementation of its sustainability commitments.

Status of Product Carbon Footprint Implementation

2024

2025

2026

Product category

Flat Panel Display Driver IC Products

Phase 1 of System-on-chip (SoC)

Phase 2 of System-on-chip (SoC)

Validity Period

2024/12/31-2026/12/30

2025/12/9-2027/12/8

-

 
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Spotlight
Environment Spotlight

R&D and Design of Energy-Saving Products (clean technologies)

In response to the trend of low-power-consumption and energy-saving ICs, Novatek takes into consideration the energy consumption of IC during the product development stage, and responds to the impact of climate change by utilizing the miniaturization design of advanced wafer fabrication process. In comparison to 2024, Novatek has achieved an average reduction in IC power consumption of 5.35% for its four main products in 2025, contributing to energy savings in end-products. This results in a yearly reduction of 44.6 GWh of electricity usage and a decrease of approximately 21,181 metric tons of CO2e emissions, which is equivalent to the carbon absorption capacity of 55 Da’an Parks, enough to supply approximately 12,189 households with electricity for a year.

Promoting product carbon footprint

In alignment with its Green Operations Policy, Novatek has fully established and implemented a product carbon footprint management system since 2024. The system systematically calculates and monitors greenhouse gas emissions across various life cycle stages, including raw material manufacturing, transportation, product manufacturing, testing, and packaging. For different product categories, the Company has adopted a phased third-party verification mechanism. Verification activities were completed and successfully passed in both 2024 and 2025.The Company continues to expand data coverage and analyze carbon emission hotspots, using science-based indicators to track emission reduction performance. Carbon footprint insights are also incorporated into product design and procurement decision-making processes. By the end of 2026, the Company plans to complete the second-phase carbon footprint inventory and verification for System-on-Chip (SoC) products, while collaborating with supply chain partners to promote carbon reduction initiatives. Through these efforts, Novatek is committed to achieving long-term and measurable carbon mitigation targets and ensuring the effective implementation of its sustainability commitments.