LCY Transforms into a 'Science Company' to Catalyze an Innovative Future Through Strategic Partnerships

LCY CHEMICAL CORP (referred as LCY) Declares Commitment to Transform into a "Science Company," Driving Innovation with Three Strategic Pillars: "High-Performance Polymers & Industrial Science," "Semiconductor & Interconnect Science," and "Sustainable Science."

LCY has embarked on a significant transformation in response to market changes, rebranding itself as a "Science Company" focused on the circular economy. By leveraging its expertise in three key areas — High-Performance Polymers & Industrial Science, Semiconductor & Interconnect Science, and Sustainable Science — LCY aims to offer tailored solutions to clients while fostering an ecosystem of collaboration to move toward a zero-carbon future by 2050. During a media briefing, LCY invited esteemed industry leaders, including WAH LEE INDUSTRIAL CORP. Chairman Chang Tzun-Hsien, L&F Plastics Co.,LTD Chairman Hsu Mu-Chuan, and Global Green Material CEO Shih Cheng-Hsiang, to discuss circular economy opportunities from the perspectives of material supply, finished products, and resource recycling.

LCY Adapts to Market Evolution and Reinvents as a Science Company
Recognizing the ongoing shifts in industry and market dynamics, LCY is evolving from a traditional chemical manufacturer into a science-driven company, with the circular economy as its core mission. LCY aims not only to provide the products businesses need but also to co-create value with clients through customized solutions. LCY has also unveiled a new brand identity with geometric, rational designs that symbolize the ordered precision of modern science. The lowercase "y" adds dynamism and energy, reflecting the company’s drive for continuous improvement and its ambition to be the best in the field.

LCY President Liu Wen-Lung highlighted the significance of this transformation: "This shift is crucial not only in aligning with global sustainability trends but also in enabling LCY to explore new scientific applications, discover additional business opportunities, and achieve our goal of having 20% of our product portfolio meet sustainability criteria by 2030."

Circular Economy and Taiwan’s Sustainability Goals
Deputy Director-General of Taiwan’s Resource Recycling Administration, Liu Yi-Kun, emphasized, "The circular economy is essential for addressing climate change, achieving net-zero emissions, and promoting sustainable development. The administration is dedicated to policies that include source reduction, green design, resource regeneration, and enhancing the capacity of recycling processes. We’re also advancing the use of innovative technologies to accelerate the realization of a circular economy. I am pleased to see LCY’s commitment to circular economy efforts and their bold transformation toward sustainability, and I believe the collaboration between the government and industry will contribute to Taiwan’s sustainable future."

LCY’s Decarbonization Achievements Recognized by International Certifications
In support of global sustainability goals and Taiwan’s national targets, LCY has actively pursued decarbonization initiatives over the past three years. The company has established clear management strategies, achieving significant progress in reducing emissions. LCY has set ambitious Scope 1 and Scope 2 carbon reduction targets, aiming for a 37% reduction by 2030 from a 2019 baseline. At the same time, it plans to procure 15% of its energy from green sources by 2030.

To meet these goals, LCY is enhancing energy efficiency by adopting variable-frequency devices, motors, and waste heat recovery systems, while improving processes with technologies like Mechanical Vapor Recompression (MVR) to reduce steam consumption. In addressing Scope 2 and Scope 3 emissions, LCY is engaging with suppliers to manage their emission factors and encouraging the use of low-carbon energy and materials. These efforts support the company’s broader goal of achieving net-zero carbon emissions by 2050.

Tackling Water Resource Scarcity
With Taiwan introducing water usage fees for large consumers in 2023, LCY has responded by proposing circular economy solutions. The company has adopted Membrane Bioreactor (MBR) technology, significantly improving water reuse efficiency and ensuring responsible water management.

ISCC PLUS Certification and Supply Chain Leadership
LCY’s Vice President of Operations and Chair of the Green Transformation Group, Lin Chin-Chou, announced that LCY has joined the ISCC PLUS certification program, with the company set to achieve certification for Polypropylene (PP), Thermoplastic Elastomers (TPE), and Electronic Grade Isopropanol (EIPA) by Q3 of this year. This milestone underscores LCY’s commitment to sustainable supply chain management, a crucial step toward achieving net-zero emissions. In addition, LCY has been recognized as a supply chain leader in the CDP 2023 rankings, receiving an A- grade for its exemplary supplier engagement.

LCY’s Contributions to the Semiconductor Industry’s Zero-Waste Future
LCY is committed to supporting the global semiconductor industry's pursuit of zero waste. For instance, Taiwan currently recycles only 23% of its used isopropanol (UIPA) annually, but if full recovery is achieved, carbon emissions could be reduced by 15 kilotons (kT) per year — the equivalent of the CO2 absorption of 40 Da’an Forest Parks. LCY’s recycled isopropanol project recently passed sample testing at leading global chip manufacturers, and the purified electronic-grade isopropanol is now being supplied for advanced semiconductor manufacturing processes, which is expected to reduce the carbon footprint of these companies by 20% compared to traditional incineration methods. LCY’s Central Taiwan Science Park plant will begin operations in Q4 this year, with an investment of NT$2.1 billion and two new production lines that are expected to play a critical role in the region's future operations.

Launch of the Most Powerful Natural Antioxidant to Enhance Dietary Efficiency
Pursuing its vision of becoming a science company, LCY is expanding into the field of nutritional supplements, bridging science and life with its new LCY carotenoid product line. The fermentation process used to create these carotenoids yields molecules identical to natural materials, making them more easily absorbed by the human body and providing strong antioxidant effects. Additionally, these products boast a significantly lower carbon footprint than current market alternatives.

LCY Introduces Sustainable Polypropylene Series to Address Global Single-Use Plastics Challenges
In response to global concerns over single-use plastics, LCY has developed a solution that involves collaborating with brand owners and third-party recycling companies. The process begins with recyclers sorting, cleaning, and crushing post-consumer polypropylene plastics. LCY then transforms these into an innovative green product — recycled polypropylene composite materials. These new materials can incorporate up to 50% post-consumer recycled polypropylene and reduce carbon emissions by 25% to 35%. This material can be used in everyday packaging, sporting goods, and consumer products, enabling a circular economy where plastics are not the endpoint but rather a resource for new value creation.

LCY’s Senior Vice President of High-Performance Materials, Wang Jen-Lung, concluded, "When developing green innovation products, we ensure the quality of recycled material sources and adopt international certification standards. LCY’s recycled polypropylene composites have received global recycling certifications, including the Global Recycled Standard (GRS) and TÜV Rheinland. This further demonstrates our commitment to environmental protection and compliance with market regulations."

In addition to developing green products, LCY actively participates in circular economy ecosystems, supporting international brands in their "whole shoe recycling" initiatives. This effort aims to significantly enhance the feasibility of recycling while simplifying complex processes, further repurposing recycled materials into other sports products, ultimately reducing carbon emissions.

About LCY Chemical Corporation
Founded in 1965, LCY Chemical Corporation is driven by the belief that a sustainable future stems from reimagining science. The company’s operations are built on three strategic pillars: High-Performance Polymers & Industrial Science, Semiconductor & Interconnect Science, and Sustainable Science. These pillars are supported by five key business units: High-Performance Materials, Industrial Solutions, Electronic Materials, and Biochemical Solutions. Guided by core values of health and safety, integrity, accountability, continuous improvement, and value co-creation, LCY remains committed to advancing material science globally.