To ensure the Company's sound operation and sustainable development, the "Risk Management Practice Guidelines" and "Risk Management Policy and Procedures" were established on August 24, 2023, to build an integrated risk management system. This system is jointly promoted and implemented by the Company's Board of Directors, Audit Committee ,Sustainability Committee, the General Manager, the Audit Office, and all risk management units jointly participate in its implementation. Each year, risk management units regularly identify risks that may impact the Company's sustainable development, select risk management scopes, and monitor potential risks while implementing preventive measures based on the latest internal audit developments and standard requirements to strengthen risk management. Considering its business and operational characteristics, the Company

and incorporates the following risk categories into its management framework:

• Strategic Risk
• Operational Risk:

1. Raw Material Price and Supply Chain Risk
2. Financial Risk
3. Information risk
4. Compliance Risk
5. Integrity Risk

Each business unit is the primary unit responsible for the initial identification, assessment, and control of risks.

Business unit managers bear risk management responsibilities, overseeing and controlling relevant risks within their respective units to ensure the company's risk management system comprehensively and effectively manages associated risks.