2019 Contents Introduction About the CSR Report About the CSR Report 04 A Message from the Chairman 06 Corresponding to the UN's Sustainable Development Goals (SDGs) 08 Sustainability Performance 10 Chapter 03 Chapter 04 Chapter 06 Chapter 01 Partnership and Sustainable Shipping and Stakeholders and Green Shipping Customer Management Environmental First Issue Management 1.1 About Evergreen Marine Corp. 14 3.1 Shipping Alliance 60 4.1 Environmentally-friendly Design 84 6.1 Stakeholder Engagement 144 1.2 Operating Strategies 22 3.2 Cargo Safety 63 4.2 Energy Management 85 6.2 Material Issues Management 148 1.3 Operating Performance 23 3.3 Supplier Management 65 4.3 Emissions Management 93 1.4 Sustainability Strategies 24 3.4 Customer Management 72 4.4 Water Resource Management 96 1.5 Achievements 27 3.5 Digital Platforms 75 4.5 Waste Management 97 4.6 Biodiversity 102 Chapter 02 Chapter 05 Introduction Special column Stable Operations and Talent Development and Appendix Building a green fleet Ethical Management Social Inclusion 2.1 Corporate Governance 30 Building a green fleet 76 5.1 Talent Recruitment and Retention 106 GRI Content Index 154 2.2 Ethical Management 40 5.2 Talent cultivation 119 2.3 Risk Control 42 5.3 Workplace Safety and Health 129 2.4 Information Security 54 5.4 Social Engagement 135 2.5 Protection of Personal Data 54 2.6 Compliance 56 Introduction About the CSR Report Introduction About the CSR Report Introduction About the CSR Report Editing, issuance and scope Evergreen Marine Corp. (hereinafter referred to as Evergreen Marine) has issued the Corporate Social Responsibility (CSR) Report since 2013. The CSR Report covers the actions and achievements of Evergreen Marine with regards to its economic, social and environmental aspects from January 01, 2019 to December 31, 2019. All the local or important operating bases disclosed or referred to in the CSR Report indicate those in the Taiwan area. To completely disclose relevant performance information, the information of the fleet regarding the environment and educational training also involves our subsidiaries in Britain and Singapore. The information about the expatriates covers the individuals under the centralized management of the Evergreen Group (Evergreen International Corporation). Previous version : September 2019 Current version : August 2020 Next version : Scheduled at August 2021 Editorial policy Evergreen Marine is continuing to monitor all CSR-related issues. Open channels of communication are maintained with each stakeholder to incorporate their concerns in the corporate governance, economic, social and environmental aspects into our business strategy and options. The publication of this report is also used to examine our practices in sustainable development. The editorial structure of this report adheres to the “Core” options of the Global Reporting Initiative Standards (GRI Standards) to ensure a full disclosure of CSR accomplishments made by Evergreen Marine and the outcomes of stakeholder communications. External assurance We commissioned Deloitte Taiwan to conduct a limited audit of this Report in accordance with the ROC Statements of Assurance Engagements Standards No 1. “Assurance Engagements other than Audits or Reviews of Historical Financial Information.” The letter of assurance is included in the report annex. Contact information If you have any questions about the CSR Report, please contact us: Evergreen Marine Corporation CSR Committee Address : No. 163, Sec. 1, Xinnan Rd., Luzhu Dist., Taoyuan City Contact number : 03-312-3123 E-mail : [email protected] ChapterIntroduction 01 GreenAbout Shipping the CSR Report IntroductionChapterAbout 01 theGreen CSR Shipping Report A Message from the Chairman Looking back on 2019, the global economy was hit by high uncertainty arising from the China-U.S. trade war, to act in consistence with the code of ethics when performing their duties. To minimize operating risks, risk Brexit, trade protectionism, and geopolitical tensions, which took a heavy toll on the global shipping industry. management mechanisms were also in place to systematically assess and plan for expected or unexpected Despite an ever-changing business environment, we took on every challenge actively based on our business risks in the business environment. Since shipping is an international industry, complying with local laws and philosophy of integrity. We continued to deliver the best performances in terms of fleet upgrades, route relevant anti-trust regulations is often the focus of our self-evaluation. Social care is the value of our existence. As a public entity in society, Evergreen Marine takes care of every About 70% of the surface of the Earth is covered by oceans, and 90% of global freight transport are through employee and creates a safe workplace while providing care for and engaging with communities. While shipping networks. As an ocean carrier, Evergreen Marine supported 17 Sustainable Development Goals organizing various philanthropic activities with Chang Yung-Fa Foundation, Evergreen Marine endeavored to (SDGs) issued by the United Nations. Our attention was centered on three major issues, namely, green forward industry-university cooperation programs, so as to establish a maritime talent pool for the sustainable shipping, ethical corporate management, and social care, and our efforts were made in the aspects of development of the shipping industry. We also teamed up with the Evergreen Maritime Museum to introduce environmental protection, corporate governance, and social prosperity. the development of the shipping industry and marine culture to the public. Green shipping involves striking a balance between operational efficiency and environmental protection. The global economy is facing an unprecedented health and economy challenges in 2020. The COVID-19 In the day-to-day operations, it is embodied by applying modern technology to the entire shipping supply pandemic has triggered the deepest global recession in decades. In response to the impact of the outbreak, chain. From building next-generation green ships, improving port efficiency and navigational safety, and we have imposed necessary contingency measures. We believe our competitiveness could be further integrating procurement logistics to digital services and electronic document solution, a set of sustainable strength by actively improving operation performance, and implementing the company's core values of and environmentally-friendly shipping models have been established from a perspective of environmental "creating profits, caring for employees and giving back to the society" are the best solutions to meet the and corporate sustainability. challenges of 2020. Let us work together to create a better and peaceful society. Ethical corporate management is the fundamentals of Evergreen Marine's sustainable development. Evergreen Marine has ranked in the top 5% of listed companies in Taiwan many times, showing that our Anchor Chang, long-term endeavors to implement corporate governance have been recognized by the competent authority. We have established a good corporate governance system to clearly stipulate that employees are required Chairman of Evergreen Marine Corp. Introduction About the CSR Report Introduction About the CSR Report SDG 3 1. Draw up an occupational safety and health management plan Good Health and 2. Provide free physical examinations Well-being 3. Provide 24-hour medical advice by the dispensary 1. Organize the Post-baccalaureate Marine Engineering Program SDG 4 2. Continue the operation of the Seafarer Training Center Quality Education 3. Continue onboard internships to train maritime talent 4. Strengthen employee training and encourage employees to attend internal and external training courses SDG 5 1. Draw up the human rights policy and human rights risk assessment and management mechanisms Gender Equality 2. Implement whistle-blowing and protection policies and measures 1. Continue the evaluation of the Board performance and target a 100% achievement rate 2. Invest in the research and development of ship types and technologies SDG 8 3. Decent Work and with state-of-the-art technology Economic Growth 4. Improve shipping services through joint cooperation 5. Undertake industry-university cooperation and talent recruitment on a regular basis Corresponding Action plans to the UN's 1. Strengthen the CSR-based supplier screening system 2. Establish a reasonable, fair, and transparent supplier cooperation and communication system Sustainable SDG 12 3. Optimize the evaluation system to rule out suppliers with poor performance Responsible 4. Follow the instructions on the Inventory of Hazardous Materials (IHM) and create an IHM in 2020 Development Goals Consumption and 5. Comply with the Hong Kong International Convention for the Safe and Environmentally Sound Recycling of Ships Production (SDGs) (Hong Kong Convention) and EU Ship Recycling Regulation (EU SRR) 6. Adopt water-based paint in the container coating line to reduce VOC emissions 1. Build a green container fleet 2. E System to optimize the sailing speed and monitoring of fuel consumption SDG 13 3. Monitor sailing schedules and adjust sailing schedules and calling order flexibly Climate Action 4. 5. Adopt shore power 6. 1. Strictly manage ballast water discharges SDG 14 2. Dispose of ship waste according to the waste management plan Life Below Water 3. Decelerate ships 1. Develop more service loops and direct-call ports SDG 17 2. Develop joint operational models Partnerships