Chairman's Message

LCPC uses recycled waste paper as a raw material for production. We are a vertically integrated service-oriented manufacturing company that produces low-carbon paper and green packaging. We use high-efficiency, cutting-edge and eco-friendly resource processing technologies to provide customized, high value-added and integrated product packaging solutions for our clients. 2017 marked a significant milestone in our continued push for sustainable development: we issued a corporate social responsibility report that conforms to our Corporate Social Responsibility Code of Practice, the Global Reporting Initiative (GRI) Standards of the Global Sustainability Standards Board (GSSB), and the Sustainable Development Goals (SDGs) of the United Nations. The published report details our company’s corporate governance, environmental, social and economic performance over the past year, in line with the five main tenets of corporate social responsibility: best practices, health and safety, environmental protection, green manufacturing and commitment to quality. The report also covers corporate policies, commitments, goals, action plans and effectiveness evaluations in line with our company’s focus on sustainable development.

(I) Best Practices
Environmental protection is central to corporate sustainability, and businesses should hold themselves to higher standards than legally required. LCPC has consistently won numerous national green awards and best practices company awards in recent years. For our low-carbon paper manufacturing practices, we received awards such as the “2013 Energy Conserving Company Merit Award” from the Bureau of Energy, Ministry of Economic Affairs, and the “2014 Voluntary Reduction of Greenhouse Gas Emissions Company Award” from the Industrial Development Bureau, Ministry of Economic Affairs. In 2016, we established an Energy Conservation Team in response to the Ministry of Economic Affairs’ call for energy conservation and reduced carbon emissions. For our green packaging solutions, we received awards such as the “2015 China Good Design Honorable Mention Award”, “iENA International Trade Fair in Nuremburg for Ideas, Inventions and New Products – Gold Medal Award”, “Korea Invention Promotion Association (KIPA) International Invention Exhibition – 2nd Place and Gold Medal Award”, and the German “iF Design Award 2016 – Champion (Packaging)”. For corporate social responsibility, we won the “2017 Taiwan Corporate Sustainability Awards (TCSA) – Corporate Sustainability Report Award – Gold Award”.
LCPC has also created great returns on investment for our shareholders. The total after-tax earnings per share for the past three years totaled 7.41NTD, and the distribution of cash dividends totaled 4.25NTD, topping the ranks of listed companies in the domestic paper manufacturing industry.

(II) Health and Safety
Each of our colleagues takes responsibility for maintaining their own health and safety, and should ensure that all necessary precautions and safe practices are duly implemented. LCPC takes a systematic approach in educating our employees on how to maintain good health while going about their daily lives. Furthermore, we systematically educate our employees on how to create a safe workplace that also delivers on quality, cost and efficiency. Healthy employees and a safe workplace are the cornerstones of business development.

(III) Environmental Protection
As a manufacturer in the recycling business, we promote resource regeneration as a form of environmental protection. LCPC’s raw materials come from recycled waste paper, which can be recycled and reused after use, thus effectively reducing carbon dioxide emissions and deforestation. 5.3 kilograms of carbon dioxide emissions is prevented for each kilogram of waste paper that is recycled and made into a recycled paper carton. LCPC expects to achieve an annual waste paper recycling capacity of 4.7 million tons in 2021 and reduce global carbon dioxide emissions by 22 million tons, which is equivalent to preventing the deforestation of 66 million trees.

(IV) Green Manufacturing
LCPC has built its core competencies around five highly efficient, environmentally friendly and cutting-edge recycling technologies, including: 1. High-tech processing techniques for recycled fibers, 2. High-tech energy-saving production techniques, 3. High-tech water-saving production techniques, 4. High-tech air purification, water treatment and waste reduction techniques, 5. High-tech space utilization techniques. Our green manufacturing covers each process from raw material to end product, to ensure environmental protection, quality and efficiency.

(V) Commitment to Quality
LCPC is extremely committed to quality. Our highly efficient, just-in-time (JIT) production system provides a solid backup for order fulfillment, while our pull-based approach to production management makes us a highly efficient and service-oriented manufacturer who can meet customers’ needs. With the rise of green consumerism, Long Chen has devoted itself to the pursuit of eco-friendly and highly effective solutions, gradually winning market recognition and attracting the partnership of customers who are equally concerned about environmental protection and seek green product packaging, making us the ideal green packaging partner of world famous brands.

LCPC's corporate mission is to develop highly efficient resource utilization technologies to make paper products for everyday life. In our quest for higher standards of living, we ought to bear the responsibility of leaving more resources and a cleaner living environment for our future generation. Moving forward, each of our over 4,000 domestic and cross-strait employees will dedicate themselves to environmental protection and continue to promote “eco-friendly technologies, low-carbon paper manufacturing, and green packaging”, in their endeavor to leave more resources and a cleaner living environment for future generations.

Sustainable Goals

LCPC manufactures recycled containerboard, corrugated medium paper, corrugated board, and packaging materials. By recycling 1 kilogram of waste paper to produce corrugated boxes, we can reduce 5 kilograms of carbon dioxide.
LCPC is expected to produce 4.00 million tons of containerboard and will recycle approximate 4.70 million tons of waste paper in 2021, it means that we can reduce 22 million carbon emission and save 66 million trees for Mother Earth per year..

Year 2017(A) 2019(F) 2021(F)
GroupProductionCapacity:10kt 311 340 400
Carbon(emission)reduction:10kt 1,620 1,750 2,200
Tree chopdown reduction:10K 4,400 5,400 6,600
CSR(Corporate Social Responsibility)

In order to fulfill its social responsibility as a corporation, Long Chen Paper Company not only participates in a variety of international non-profit organizations and environmental protection groups, but has also set up the YUEMA Cultural and Educational Foundation, which was officially renamed "Shan-yu-tien Education Foundation" on February 2, 2011, to support local philanthropies in areas surrounding our factory locations. We shall continue to seek international certifications in and continued improvements of our relationships with each of our stakeholders.

Member of International NPO
   Society of Entrepreneurs & Ecology, SEE
LCPC is a founding member of SEE, an NGO established in China that focuses on the issue of deforestation. The Inner Mongolian Alashan region is the cradle of the northern Chinese sandstorms, its the desert area expanding 1,000 square kilometer each year. Its climate affects can be felt as far as the southeast coast of China, Japan, and Korea. LCPC along with more than a hundred other entrepreneurs endeavor to improve and restore the ecological environment of this critical region
International Certification
   ISO 9001 QA System
Taiwan – Erlin Paper Mill, Nankan Plant, Longtan Box Plant, Shengang Box Plant,
Yunlin Box Plant, Luzhu Box Plant
China – Wuxi Long Chen, Pinghu Long Chen, Jiangsu Long Chen, Hubei Long Chen,
Suzhou Long Chen, Xiasha Long Chen, Minhang Long Chen, Xiantao Long Chen
   ISO 14001 Environmental Maintain System
Taiwan – Erlin Paper Mill, Nankan Plant, Longtan Box Plant, Shengang Box Plant,
Yunlin Box Plant, Luzhu Box Plant
China – Wuxi Long Chen, Pinghu Long Chen, Jiangsu Long Chen, Hubei Long Chen,
Suzhou Long Chen, Xiasha Long Chen, Minhang Long Chen, Xiantao Long Chen
   OHSAS 18001 (Occupational Health and Safety Assessment Series 18001)
Taiwan – Erlin Paper Mill
China – Jiangsu Long Chen, Suzhou Long Chen, Xiasha Long Chen, Minhang Long Chen,
             Xiantao Long Chen
   ISO 14064-1 Greenhouse Gas Accounting and Verification
Taiwan – Erlin Paper Mill
China – Wuxi Long Chen, Pinghu Long Chen
   OIECQ QC080000 Hazardous Substance Process Management
China – Jiangsu Long Chen, Suzhou Long Chen, Xiasha Long Chen, Minghang Long Chen
   ISO 50001 Energy Management System
Taiwan – Erlin Paper Mill
China – Wuxi Long Chen, Pinghu Long Chen
Energy saving, Reducing Carbon Emission and Environmental protection
   Certificate in Green Procurement
Taiwan – Longtan Box Plant, Shengang Box Plant, Lujhu Box Plant
   Corrugated Recycles Symbol International Corrugated Case Association (ICCA)
China – Jiangsu Long Chen
   FSCTM CoC(Forest Stewarship CouncilTM Chain of Custody Certification)
Taiwan – Erlin Paper Mill, Nankan Box Plant, Longtan Box Plant, Shengang Box Plant,
Yunlin Box Plant, Luzhu Box Plant
(For the update FSCTM status of other factories, please refer to the history page)
Awards

   In 2017, our Wuxi paper mill was the proud recipient of the green manufacturing "Exemplary Energy      Conservation Company" award from the Jiangsu Quality and Technical Supervision Bureau. Our Pinghu paper      mill was declared a "Water Conserving Company" by the Zhejiang Provincial Water Conservancy Bureau and      received accreditation by the Jiaxing Municipal Technology Center. Our Shengang plant in Taiwan passed the      "Green Factory Label – Cleaner Production Certification" assessment by the Industrial Development Bureau,      Ministry of Economic Affairs. For corporate social responsibility, we received the "Taiwan Corporate      Sustainability Awards (TCSA) – Corporate Sustainability Report Award – Gold Award".

   Our Wuxi paper mill was the proud recipient of 2 honors in 2016:
     (1) Declared a "Water Conserving Company" by the Jiangsu Department of Water Resources and the            National Development and Reform Commission
     (2) Declared a "Top 25 Energy Conserving Exemplary Organization" by the Wuxi City Energy Conservation and           Emissions Reduction Leading Group

   In 2015, the "BOX IN ONE" design by Longtan plant and Kunshan plant for the outer packaging of Tzu Chi      Foundation’s Multipurpose Foldable Bed received the following 4 awards:
     (1) The 1st "China Good Design Honorable Mention Award"
     (2) The "2015 iENA International Trade Fair in Nuremburg for Ideas, Inventions and New Products – Gold           Medal Award"
     (3) The "Korea Invention Promotion Association (KIPA) International Invention Exhibition – 2nd Place and Gold           Medal Award"
     (4) Again won the German "iF Design Award – Champion (Packaging)" in February 2016

   Erlin paper mill in Taiwan received "2014 Excellent Company for Reduction of Greenhouse Gas Emissions"      from Industrial Development Bureau, Ministry of Economic Affairs.

   Erlin paper mill in Taiwan received "The 2013 Outstanding Performance for Energy-Saving Award" from the      Bureau of Energy, Ministry of Economic Affairs.

   Wuxi paper mill was awarded "The 2012 National May 1st Labor Metal" by All-China Federation of Trade      Unions.

   Wuxi paper mill was awarded "The 2012 Excellence Enterprise and Team to achieve Energy Efficiency and      Exhaust Emission Reduction in national paper industry" by China Paper Association.(co-generation plant)

   Pinghu paper mill was awarded "The 2012 Excellence Enterprise to achieve Energy Efficiency and Exhaust      Emission Reduction innational paper industry" by China Paper Association.
     (co-generation plant, production section, waste water section)

International NGOs Charities
   June 2008, donation for Sichuan/Wenchuan Earthquake.
   March 2011, donation for Japanese tsunami and earthquake.
   April 2013, donation for Sichuan/ Ya'an Earthquake.
   Nov 2013, donation for Philippines typhoon.
   June 2014, donation to Chen, Feng-yuen Culture & Education Foundation.
   August 2014, donation for Kaohsiung Gas Explosion.
   May 2015, donation for Nepal Earthquake.
   December 2015, donation to help Syrian refugee children return to school.
   February 2016, donation for Tainan Earthquake.
   December 2016, donation to help Syrian refugee children return to school.
   February 2018, donation for reconstructing Hualien after the earthquake disaster.
Education Charities
   Donations to Alliance Cultural Foundation (ACF).
   Donations to Nantou’s Minho junior high school teaching activities.
   Donations to Nankan’s Gong-Pu Elementary School for tuition fees.
   Donations to Shengang’s Jiuen-Du Elementary School for students’nutritious lunches,tuition fees and book fees.
   Donations to Yunlin’s Sijhou Elementary School for students’ nutritious lunches.
   Donation to Luzhu’s Beiling Elementary School and Affiliated junior high school of Lu Chu Senior High School for      students’ nutritious lunches and tuition fees.
   Donations to Erlin’s Guangsing Elementary School,9 schools in total, and Erhlin High School for students’      nutritious lunches , tuition fees and scholarships.
   Donations to Erlin’s Guangsing Elementary School, 10 schools in total, for students’scholarships, and donation      to Erhlin High School for students’ nutritious lunches , tuition fees.