CHENG LOONG

● Strategy: Adhering to the 3Rs: Reduce, Reuse, Recycle, and develop a variety of green and low-carbon products and services with a recycling business model of resource regeneration, and expand the full circular economy.

● Goals of 2030: Recovered paper utilization rate > 97% *Industrial paper;
Exert creativity capability to develop niche products

Indispensable to food, clothing, housing, and transportation, paper is part of the daily life. We make paper with recovered paper or FSC fibers to facilitate recycling and natural decomposition after use in order to lower environmental impact. Due to the characteristic of recycling and circulation, paper have been widely used by all industries, and the customers and the clients of the packaging emphasized more on the environmental sustainability. And the paper products become the preferred selection of the packaging and transportation materials. As a leading paper company, we are committed to developing a sustainable business model for the circular economy and focus on developing eco-friendly, sustainable products and services at each stage, covering materials purchase; product design, production, and consumption; and disposal after use to reduce resource consumption. We also maintain continual process improvement and use intelligent equipment, increase recovered paper uses, improve product quality, and enhance carbon reduction efficiency. Due to the overall economy slowdown and the equipment failure of Houli auto warehouse, the production volume was decreased in 2022. We consumed a total of 1.572 million MT of recovered paper which decreasing by 0.222 million MT, with an annual reuse rate slightly decreasing by 0.2% to 92.5%, and the reuse rate of industrial recovered paper was still up to 97.6%, increasing by 0.2% over last year, which both reached the target.
 

Less is More! CLC Maximized Value at the Least Resources with Low-Carbon Products

In response to the global consumption trends of zero carbon and plastic reduction, the global demand for paper packages rose steadily in recent years, particularly in paper package sector driven by the thriving e-commerce in the post-pandemic period.

3R Design: Last mile toward a zero-carbon supply chain

We develop low-carbon and plastic-free, based on the principle of 3Rs to help the market realize green consumption and reduce waste. In addition to reducing the carbon footprint of products without lowering their protection performance through technology development, we enhance the efficiency of logistics and carbon reduction to finish the last mile toward a low-carbon supply chain. In addition, according to the Department of Statistics, Ministry of Economic Affairs, the sales AAGR of Taiwan's online shopping during 2013–2022 was over 10%, in accordance to EPA's online packaging law. We collaborates with e-commerce to enhance product structure and design, implementing lightweight, single-material, and improved utilization practices, as well as reducing the use of colors and adopting water-based ink printing. Additionally, the company introduces the Design-in 3D design platform and sales forecasting system, utilizing AI to understand market trends and customer demands.

R&D and Innovation, Develop Various Sustainable Products and Service

Out of the emphasis on innovation and R&D, CLC invests over 100 million NTD in the development of green and sustainable products and the optimization of production processes, and implement the smart digitalization every year to enhance production efficiency, conserve energy, and reduce carbon emissions, in order to actively keep up with the global trends and customer demands, furthermore, to enhance corporate competitiveness. In 2022, the total R&D expenditure (excluding capital expenditure and equipment fee) was NT$119 million, and the major R&D outcomes are as follows:

✔ Promote expansion, process transformation, introduction of low-carbon energy-saving equipment and technology. Include adding a recovered bleach pulp line at Tayuan Mill (C Mill), biomass CFB boiler system project in Chupei Mill, Phase II/ III of initiated paper machine and production line in Vietnam projects.
✔ Introduced new raw materials to enhance the efficiency and process capability: Saved >NT$13 million annual.
✔ Process optimization and quality improvement: Optimized the process and improvement, and saved costs >NT$20 million every year.
✔ New product development:
· Household tissues: Andante lotion facial tissue, Andante SILLACE premium thickened 3-ply toilet tissue, Lovers 3-ply ultra soft interfold toilet tissue.
· Household products: Dandelion eco-friendly household cleaning products, Andante facial cleaning mousse.
· Industrial packages: High-quality paper tube paper, fresh-keeping corrugated containers, carry bag paper, farm paper, and functional corrugated containers.