TAIFLEX Scientific Co., Ltd

Intellectual Property Management Plan

In order to strengthen the company's competitiveness and technical capabilities, Taiflex is well aware of the allocation of R&D resources and the innovative production technologies are top priorities of the Company's management systems, and views the intellectual property right as one of the most important assets owned by the Company. Thus, based on Taiwan Intellectual Property Management System(TIPS), the Company combines the business strategies, operational objectives and core technologies, and employs “Plan-Do-Check-Action(PDCA)” method to establish an intellectual property management examination system, and expect to control and manage the whole technical assets of the Company effectively so as to gain competitive advantages in the main product market. Through complete protection of the Company's intangible assets, such as intellectual property rights, to achieve the goal of enhancing the value of the Company.

Taiflex's IP management and relevant protection policies are as follows:

2024 IP management policy

Strengthen technical capabilities and improve patent quality
Raise employees' IP understanding and protection awareness
Contract with patent and trademark firms
Enhance the IP management system and execute IP risk management

Patents Protection

In order to thoroughly protect the R&D results, the Company has established a patent management mechanism, covering techniques research, R&D results examination and patents application, etc., and applied for patents formally after implementing internal management. The Company strengthens the technical capabilities and enhances the qualities of patents to gain competitive advantage in the product market.

Trade Secrets Protection

On account of features of the products, trade secrets protection is always the important item of the intellectual property management system of the Company. The trade secrets protection management system is established toward R&D results, which are difficult to replicate through reverse engineering, including methods, techniques, manufacturing process and formulas. The trade secrets, which have been reviewed and discussed, will be list as projects controlled and protected by strict protective measures.

Trademark Protection

The Company has registered trademarks and obtained exclusive rights to use trademarks in main market areas. That enables the Company to enhance identifiability from other's products and services to attains the benefits of accumulating goodwill and increasing brand identity.

Implementation Status

We have reported IP matters in the Board of Directors meeting on October 30, 2024.

Since 2014, the Company has established the intellectual property management system corresponding with technical characteristics of the Company based on Taiwan Intellectual Property System (“TIPS”), and strengthened the protection intensity year by year. The implementation in recent years are as follows:

Intellectual Property Management System has been established in 2015.
Trade Secrets Management System has been established in 2018.
Protection of intellectual property (including trademark rights, patent rights and trade secrets) has been listed as a mandatory course for all new recruits since 2014, and advanced courses on trade secrets and patent infringement have been offered from 2015 to the present. In addition, assessments of confidential information protection standards and training courses of information security have been held annually since 2019 to ensure employees have correct understanding of IP to protect their own rights and interests as well as avoid infringing on the rights of others. There were 2,104 trainees with a total number of 1,486 training hours in 2024 for a cumulative number of 5,610 trainees with 4,154.30 training hours.
We obtained the TIPS Level-A certification in 2024.

As of the end of 2024, Taiflex's IP lists and achievements are as follows: