Time marches on. As 2025 arrived, FENC proudly entered its 76th year. Looking back at the past year, the global political and economic landscape has been volatile and fast-changing, presenting unprecedented challenges for businesses worldwide. However, it is precisely during such turbulent times that corporate resilience and value are truly tested and proven.

Green Transformation: Turning promises into reality through a giant leap

Climate change is a global challenge that humankind must face together. To address it, FENC acts not merely as a participant, but as a proactive driver of change. We are deeply aware that sustainability is no longer an option, but the very key to a corporation's survival and growth. Accordingly, we have established clear mid-term targets for 2030: a 50% reduction in greenhouse gas (GHG) emissions, 50% green products, and 50% green raw materials. These "three 50%s" are far more than numerical commitments; they constitute the core engine driving the transformation of our business model.

In terms of green products, we have achieved remarkable progress, with green products now accounting for 40% of the total revenue within our Production Business, solidifying our position as a leading global supplier of recycled polyethylene terephthalate (rPET). Particularly noteworthy is our groundbreaking CO₂-based non-isocyanate polyurethane technology (FENC® TopGreen® AirTek PU), which won Second Prize at the "Best CO₂ Utilisation 2025" Innovation Award in 2025, making FENC the first Asian enterprise to receive this honor since the award's inception.

In our decarbonization efforts, we follow the Science Based Targets (SBT) pathway, proactively promoting energy efficiency enhancements, adopting low-emission fuel alternatives, and developing renewable energy. Through these strategies, FENC reduced its 2025 GHG emissions by 40% compared to the base year, achieving our carbon reduction targets ahead of schedule. Furthermore, in the 2025 CDP rating, we once again secured the highest "A List" distinction for Climate Change, marking our second consecutive year among the ranks of global sustainability leaders.

Global Presence: Building a resilient and sustainable supply chain

To achieve steady growth amid global shifts, we continue to deepen our vertically integrated industry advantages. Adopting the strategy of "following customers and staying close to the market," we steadily expand our global capacity. Our diversified global presence not only effectively mitigates supply chain risks induced by geopolitical events but also enables us to lower our carbon footprint while serving global brand customers through localized production. This approach has significantly bolstered our organizational resilience and solidified our position as the preferred green partner for international brands.

Innovation-Driven: AI Empowerment and Technological Upgrades

Innovation is ingrained in FENC’s enduring DNA. Concurrently, we are accelerating our digital transformation, leveraging "AI empowerment" to drive organizational reform. We have established a dedicated project team to integrate artificial intelligence across production, business operations, and corporate management—spanning smart drone inspections and energy management tools to generative AI-assisted decision-making systems. We are fully committed to building smart factories equipped with automated and precision manufacturing. This digital transformation has not only enhanced operational efficiency and quality but also sharpened our technological competitiveness and responsiveness by forecasting market trends through robust data analysis.

Talent Sustainability: Cultivating Human Capital for an Intelligent Future

Talent is a corporation's most valuable asset and the core engine that continuously propels FENC forward. As our operational footprint expands globally and AI-driven digital transformation accelerates, our definitions of talent and our talent development strategies evolve in tandem. In 2025, we received two Gold awards and one Silver award at the Brandon Hall Group™ HCM Excellence Awards®—widely regarded as the "Academy Awards of Human Capital Management"—showcasing our human-centric talent strategy and world-class execution capabilities.

With the dawn of the AI era, we firmly believe that human-AI collaboration is a pivotal driver of future competitiveness. Consequently, we are comprehensively driving digital talent transformation, providing functional training in generative AI applications and big data analytics to empower employees to capitalize on new technologies, optimize workflows, and enhance decision-making quality. Our ultimate objective extends beyond the mere adoption of new technologies; it aims to empower every colleague to become a technologically adept innovator. 

As we gaze into a future filled with geopolitical, economic, and climate challenges, we maintain full confidence in our prospects. FENC will continue to uphold our founding spirit of "honesty, diligence, thrift, prudence, and innovation." With the pragmatism of an industrialist, the insight of an entrepreneur, and the compassion of a philanthropist, we stand ready to embrace the new challenges of the low-carbon sustainability and AI eras. We promise to continue walking alongside our shareholders, customers, employees, and supply chain partners, pursuing not only steady corporate growth but also creating maximum value for environmental sustainability and social inclusion.