Circular economies differ from the traditional linear economy model in shifting to a cradle-to-cradle circular model that produces no waste. We can accomplish the goals of circular economies through several possible business models, including product sharing, device as a service, repair and refurbishment, remanufacturing, by-products and industrial symbiosis, replacement of raw materials with renewable materials, and resource regeneration and recovery. 

Acer employs the concept of circular economies and strives to reduce the impact of our products on the environment throughout their life cycles. Through product design, we enhance product performance, extend product lifespan, or support resource reuse in product manufacturing. 

Product Life Cycle Management

• At the product development and design stage, we use low environmental impact materials such as post-consumer recycled plastics for computer and display products. We have also expanded the use of these materials to various products in the Vero series, including projectors and computer peripherals. We also use ocean-bound plastics on our notebook touchpads. In terms of chemical management, we have established banned, restricted, and disclosure substance lists to reduce the use of hazardous substances. In improving product energy efficiency, we base our product design on the US ENERGY STAR standards, while also considering product durability and repairability to extend the product lifecycle. 

• In the manufacturing process, we work with suppliers to increase efficiency of energy and resources, reduce carbon emissions, and well manage wastes. In terms of process chemicals management, we adhere to the RBA Code of Conduct, requiring suppliers to comply with local regulations, implement effective chemical management systems, and provide workers with appropriate protective equipment and training for workers. Since 2019, we have focused on manufacturing chemicals including toluene, benzene, beryllium dust, chlorinated organic solvents, n-hexane, N-methyl-2-pyrrolidone (NMP), and substances harmful to the ozone layer, and have incorporated this into the annual RBA on-site audits. In 2021, we revised our requirements in accordance with the RBA Industry Focus Process Chemical List (IFPCL). Starting from 2022, suppliers are required to comply with the updated process chemical list, which includes chemicals such as bromopropane, dichloromethane, methanol, tetrachloroethylene, and trichloroethylene. We will continue to monitor industry regulations and evalaute expanding the scope of the concerned process chemical list to reduce risks faced by operators and the environment, also enhance communication and audit in the manufacturing site.. In terms of greenhouse gas and energy management, we require suppliers to response the CDP Supply Chain Climate Change Questionnaire. Furthermore, we will assess suppliers' performance in overall carbon management, carbon reduction achievements, and renewable energy usage through the ESG scorecard. This will help us manage the environmental impact caused by the supply chain. Suppliers' ESG scoring results will be incorporated into procurement evaluations, thereby bolstering the overall supply chain's ability to address climate change. Acer places great importance on the efficient use and reuse of resources during the manufacturing phase. We work closely with our suppliers to enhance resource utilization, reduce energy consumption and greenhouse gas emissions, and implement waste management practices. 

• During the post-use phase of our products, we offer multiple recycling channels, ultimately ensuring proper recycling and disposal by qualified recycling and processing companies. For more details, please refer to the Product Recycling. 

In 2022, we collaborated with our suppliers through the Acer Earthion initiative to minimize environmental impact throughout the design, manufacturing, and transportation stages. Suppliers have installed solar panels and implemented the use of renewable energy to reduce carbon emissions. They have also enhanced their waste management systems, reducing the use of plastic bags in the production line and minimizing the excessive use of security tape when removing containerized pallets, thereby reducing non-recyclable plastic packaging. In addition, the gradual introduction of electric vehicles and biofuel in our product transportation process has also helped us reduce greenhouse gas emissions. For more details, please refer to the Acer Earthion.