Action on Climate Change
Governance
LX Semicon, under the leadership of the Board of Directors, establishes climate change response strategies and implementation plans. The company develops relevant policies and manages performance accordingly, aiming to define a clear direction for responding to climate change and achieving carbon neutrality, while also strengthening its execution capabilities. In addition, to meet the expectations of various stakeholders, LX Semicon is gradually implementing greenhouse gas (GHG) reduction measures and introducing renewable energy across its value chain.
Climate Response Governance Structure
Climate Change Response Strategy
As part of its key initiatives to address climate change, LX Semicon has set “Carbon Neutrality by 2050” as a long-term goal. The company is developing reduction plans across its operations, products, and supply chain, aligning them with overall business strategy. Through these efforts, LX Semicon aims to proactively manage climate-related risks and advance the foundation necessary for achieving future carbon neutrality.
2050 Carbon Neutrality Implementation Strategy| Category | 2025 | 2026 | 2027 |
|---|---|---|---|
| Operational Emissions Management | Establish standardized methodologies for calculating and managing GHG emissions at business sites | Develop plans to reduce energy consumption and GHG emissions at business sites | Continue the transition to renewable energy and build a foundation for waste reduction |
| Product Emissions Management | Establish and implement a carbon emissions management system for products based on Life Cycle Assessment (LCA) | Expand the scope of carbon emissions management by product | Broaden carbon emission measurement boundaries and refine management standards |
| Supply Chain Emissions Management | Establish a supply chain carbon emissions accounting system and develop Scope 3 measurement and reduction strategies | Expand Scope 3 emission boundaries and support implementation within the supply chain | Manage and reduce emissions from raw materials and production processes |
Expansion of Renewable Energy Transition at Business Sites
LX Semicon is actively carrying out various initiatives to improve energy efficiency and respond to climate change. In 2023, the company installed solar panels at its headquarters in the Daejeon Campus to expand the use of renewable energy. It has also joined K-RE100, a Korea-based initiative aimed at increasing corporate use of renewable energy. Additionally, LX Semicon has obtained ISO 50001 certification (Energy Management System) to ensure a structured and reliable approach to energy management. Since 2024, the company has been participating in the Demand Response (DR) program at the Daejeon Campus. Details of LX Semicon’s Energy Management System certification and Energy Management Policy are available in the Data Library.
Risk Management
LX Semicon analyzes the financial impacts of climate change on its business operations and works to ensure that climate-related issues are considered in management decision-making. To this end, the company is setting strategic direction through collaboration with various stakeholders. By aligning its climate response with business strategy, LX Semicon aims to strengthen climate resilience. The company is also committed to continuous monitoring and performance measurement to enhance its response capabilities and advance the sophistication of its risk management framework.
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1Identify potential risks and opportunities
Analyze climate change trends and changes in the business environment Assess potential impacts on products, services, and new business initiatives
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2Analyze and select risk factor
Review the likelihood and potential impact of each identified risk factor
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3Analyze financial impact
Evaluate the financial impact of climate-related risks and opportunities (management, relevant departments, etc.)
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4Evaluate risks
Prioritize risks and opportunities based on their significance and materiality
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5Monitor and track performance
Establish the direction of climate change response through coordinated efforts between relevant departments - the ESG Committee - the Board of Directors
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6Respond to climate change
Enhance mid- to long-term, company-wide climate response in alignment with the ESG management strategy (including transparent disclosure of related information)
LX Semicon manages data related to greenhouse gas (GHG) emissions and energy consumption, and this information is available through the Data Library.
