Frequently Asked Questions

TSMC has published non-financial reports for 26 consecutive years, demonstrating its unwavering commitment to transparency and accountability in sustainability reporting, and ongoing alignment with international sustainability trends, frameworks, and standards. In preparing its sustainability report, the Company adheres to multiple international frameworks including the GRI Standards, Task Force on Climate-related Financial Disclosures (TCFD), Taskforce on Nature-related Financial Disclosures (TNFD), Sustainability Accounting Standards Board (SASB), and Impact Reporting and Investment Standards+ (IRIS+). In addition, the report references the European Sustainability Reporting Standards (ESRS), incorporating the Double Materiality principle to address impacts, risks, and opportunities, which serves as TSMC’s methodological foundation for materiality analysis. The Company is also progressively adopting the International Financial Reporting Standards (IFRS) Sustainability Disclosure Standards—IFRS S1 General Requirements for Disclosure of Sustainability-related Financial Information and IFRS S2 Climate-related Disclosures. TSMC has established a dedicated task force to conduct gap analyses, assess the financial implications of risks and opportunities under S1 and S2, and examine and enhance information disclosures accordingly, as an important tool for managing and communicating ESG. Through materiality analysis, the Company dynamically adjusts its sustainability management direction and openly discloses its implementation strategies, medium and long-term goals, practices, and performance achievement status. It gathers feedback and suggestions from stakeholders through multiple channels, collaborating with employees, shareholders/investors, customers, suppliers/contractors, government/industry associations, and communities to create shared value.

TSMC is dedicated to strengthening its sustainable culture of innovation and progress by empowering its people. The OECD's Learning Compass 2030 highlights three essential competencies for navigating future challenges: Creating New Value, Reconciling Tensions & Dilemmas, Taking Responsibility. By developing these capabilities, individuals and organizations can contribute meaningfully to the well-being of themselves, society, and the planet. TSMC upholds five ESG Directions and has introduced three major strategies: Knowledge Construction, Innovation Cultivation, Action Response. Through a series of empowerment initiatives, the Company aims to deepen employees' knowledge, skills, attitudes, and values, fostering a sustainable culture capable of driving transformative change. Since 2020, TSMC has hosted the ESG AWARD, utilizing a cross-organizational exchange platform to encourage employees to apply new knowledge, insights, and technologies to create new value in addressing sustainability issues. In 2024, TSMC launches diversified courses under the ESG Academy, helping employees explore the complexities and interconnections of sustainability issues. These programs aim to enhance their understanding of the needs and perspectives of various stakeholders, reconcile tensions and dilemmas from diverse viewpoints, and ultimately seek consensus and collaboration. To comprehensively build a "Company-wide ESG" cultural foundation, TSMC also introduces the ESG Points incentive mechanism in 2024. This initiative encourages employees to integrate sustainability thinking into their work and daily lives, evaluate their impact on the environment, society, and others, take responsibility, and engage in meaningful action. Sustainable competitiveness is pivotal for enterprises to maintain operational resilience in a rapidly evolving world. TSMC fosters transformational capabilities in its employees through its empowerment program, equipping them to face future challenges. The initiative promotes the cultivation and growth of innovation and awareness of change within the organization, gradually transforming these elements into an actionable and sustainable culture that drives positive changes.

While TSMC fully supports the United Nations Global Compact (UNGC) and has complied with Integrating the Sustainable Development Goals into Corporate Reporting: A Practical Guide jointly published by the Global Reporting Initiative (GRI) and UNGC to identify SDGs relevant to the Company, we are not able to join the UNGC signatories as Taiwan, where TSMC is based, is not a member of the United Nations. However, TSMC will continue to support UNGC's policies and initiatives and report on the Company's implementation. Please refer to TSMC's United Nations Global Compact Index for details.