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Building on 2024 CDP Supplier Engagement Leadership, LCY Advances Value-Chain Decarbonization

LCY Chemical Corp. (hereinafter “LCY”) received an A- rating in the Climate Change category and an A rating in the Water Security category in the most recent 2025 Carbon Disclosure Project (CDP) assessment, which is recognized globally as the leading climate evaluation organization. LCY's advancement to Leadership Levels honors in both categories is a testament to LCY's continued commitment to leading net-zero transformation and sustainable development. The assessment covered LCY’s global operations and underscored strong performance across all sites. It also highlighted the company’s ability to implement scalable and systematic carbon and water management practices across regions.

Joey Lin, LCY Group's Senior Vice President of Corporate Service Center, commented: "Receiving Leadership Level distinctions from CDP, including an A- in Climate Change and an A for Water Security, validates LCY's long-term commitment to sustainability. Delivering on our decarbonization commitments is fundamental to our transformation. Through a disciplined and systematic approach, we have made measurable progress in reducing emissions. We are also firmly on track to meet our targets of reducing emissions by 42% by 2030 and achieving net-zero emissions by 2050.”

LCY continues to drive manufacturing and energy efficiency to new heights by building on its operational excellence. Following its recognition as a CDP Supplier Engagement Leader (Rating A) in mid-2025, LCY is now spearheading decarbonization across its entire value chain by embracing suppliers as strategic partners. LCY consistently refines its governance framework by leveraging independent global assessments to ensure its sustainable operations are both resilient and actionable in the long term.

Out of 22,100 global participants in the 2025 CDP disclosures, LCY delivered standout performances in both Climate Change and Water Security. CDP's recognition reflects a mature and well-integrated management approach across governance, risk and opportunity disclosure, policy frameworks, and value-chain engagement. LCY notably secured A or A- ratings in 12 of the 16 Climate Change categories and A or A- leadership scores in seven of the 11 Water Security categories.

LCY’s 2024 Sustainability Report highlights significant milestones in greenhouse gas (GHG) management. For Scope 1 and Scope 2 emissions, LCY achieved a 32% reduction in total global emissions compared to the 2021 baseline. This was driven by a comprehensive suite of initiatives, including process optimization, heat integration, energy-efficient equipment upgrades, emissions reduction, and reduced fuel consumption. Regarding Scope 3 emissions, LCY identifies the supply chain as a critical lever for decarbonization. Therefore, LCY is strengthening supply-chain resilience and reducing indirect emissions across its entire value chain by actively promoting low-carbon materials, bio-based materials certifications, and supplier energy transitions.

Looking ahead, LCY is committed to deepening its GHG management and water stewardship while further improving operational efficiency and energy performance. By expanding the use of low-carbon and bio-based materials under International Sustainability and Carbon Certification (ISCC) PLUS certification, LCY enhances traceability and ensures internationally recognized verification across its supply chain, collaborating with partners to boost value-chain resilience. Guided by its “Catalyze Innovation” philosophy, LCY continues to explore breakthroughs in materials science, biotechnology, and electronic materials. The company's mission is to integrate corporate growth with environmental responsibility, delivering scalable and repeatable pathways that will empower the entire industry to transition to a low-carbon future.