As we enter 2026, we move one year closer to achieving the 2050 Net Zero target. Looking back on the previous year, the global economy continued to undergo structural adjustments in response to a highly challenging environment characterized by high tariffs, elevated interest rates, escalating geopolitical tensions, and significant supply chain reorganization. The only thing that remained unchanged, and has continued to deteriorate, is the increasing frequency of extreme weather events, which has transformed climate change from a projected risk into a real and pressing challenge for business operations.

●           Sweetness Through Eight Decades, Running Forward with Sustainability

Global consensus on net-zero transition has been established; however, achieving a balance among energy transition, industrial competitiveness, and social acceptability remains a critical challenge that requires strong corporate governance and decisive action. In such a challenging environment, the key to sustainable business success lies not in short-term results, but in the ability to maintain strategic focus and advance steadily despite uncertainty. For Taiwan Sugar Corporation, net-zero sustainability is no longer an option, but the path to survival and long-term success. As TSC is to embrace its 80th anniversary, the vision we envision cannot be shaped by imagination alone. Only with the determination to turn vision into action can we become a strong and enduring enterprise- one capable of reaching its centennial and prospering into the next century.

Therefore, as a state-owned enterprise, TSC’s mission is to create benefits for the nation and its people. Safeguarding our land, water, and natural environment is fundamental to our commitment to sustainability. In an era of rapid changes, TSC remains committed to supporting national policies, ensuring a stable supply of essential goods, safeguarding food safety, and making good use of land resources. Every step TSC takes and every decision that generates public value should be worthy of the respect of our peers, the trust of society, and the expectations of our fellow citizens. Therefore, we continue to strengthen corporate governance, comprehensively review our business layout, and adapt to the ever-changing environment. By upholding higher standards of self-discipline and transparency, we ensure that our business operations remain aligned with the public interest, enabling state-owned enterprises to serve as an important stabilizing force for society during critical moments.       

●           Progress with Direction, Growth through Cycles

On the path toward net-zero carbon reduction and energy transition, TSC has chosen a steady and pragmatic approach. We continue to promote the replacement of energy-saving equipment and the introduction of energy management systematically. We incorporate ESG thinking into everything we do, and gradually transform it from a mandatory requirement into part of daily operations. Despite its busy operations, TSC has steadily accumulated carbon-reduction insights and experience, guided by the belief that even the smallest efforts matter. For example, the carbon capture project on sugar mill chimneys in cooperation with the National Atomic Research Institute (NARI) reflects our commitment to exploring every possible pathway while remaining firmly dedicated to the continuous pursuit of net-zero emission. In the future, following the expansion of its business scope, TSC will more actively invest in solar photovoltaic, biogas power generation and bagasse energy, cooperate with domestic manufacturers, and gradually expand its substantial contribution to renewable energy.

Rooted in agriculture, TSC is founded upon fertile farmlands and crop cultivation, which serve as both its foundation and the frontline in addressing the impacts of climate change. We continue to focus on land management by promoting ratoon cropping, returning digestate and biogas slurry to farmland, and implementing natural green manure cultivation to preserve the fertility of high-quality farmland and support diversified agricultural production, reaching a balanced state between nature, land, and humanity in a sustainable and circular system. At the same time, TSC also actively makes assessment of the potential of soil and forest carbon sequestration, positioning agriculture not only as a production activity but also as a key solution to climate change. TSC’s strategy is built on nature, humanity, investment, and care. It follows the principles of harmony with nature while enhancing harvest productivity, embodying the ancient wisdom of Tai Chi Philosophy.

●           Growth with Responsibility, Joy in Stable Living

In the context of environmental change and social development, changes in population size and aging trends must be carefully addressed. Housing justice and elder care have become pressing public issues, increasing reflecting intergenerational differences in perception as well as the growing burden on the working-age population. TSC has upheld the spirit of making good use of land and giving back to society, continuously providing land and existing resources to support policies such as social housing, long-term care facilities, and intergenerational co-living to enable land to generate public benefits that extend beyond its financial asset value. In the future, TSC will continue to make full use of its inherent strengths and capabilities to provide warmth and care that are indispensable to society.

Another core principle of TSC is food safety. In particular, following the unjustified “Cimbuterol Contamination Incident” in 2024, TSC has established a complete and traceable management system for every process, from source management and production to product launch. This ensures customer trust and maintains TSC’s high-quality brand image. This is not only a requirement of the system, but also the reflection of the corporate culture. TSC will continue to uphold a rigorous approach to safeguarding the food safety of the public.

●           Joyful Expectations, Endless Sustainability

At this significant 80^th anniversary milestone, TSC takes pride not in its current achievements, but in greater possibilities that lie ahead. We will continue to advance with a steady pace and approach every responsibility and action with greater initiative and determination. We will deepen our net-zero transition, accelerate our development of renewable energy, promote agricultural upgrading, and make good use of technology and digital tools to improve operational efficiency and strengthen corporate governance.

This message is written as TSC approaches its 80^th anniversary, while also looking ahead to the journey beyond this important milestone. Driven by a long-term vision, TSC will continue to harness its core strengths and move beyond traditional operating models. Recognizing the finite nature of the resources on Earth, and through humanistic reflection, and an emphasis on AI-driven innovation, combined with the current ESG trends, we seek to bring together people from all sectors to contribute their wisdom and collective efforts to lay the foundation for a sustainable and prosperous future for Taiwan and TSC. As we enter the Year of Horse 2026, may success come swiftly to all our endeavors.