Integrity is the most important core value of TSMC's culture, and also a top priority of TSMC business principles. TSMC is committed to act ethically in all aspects of our business, and will not condone any form of corruption and fraud. To promote awareness to our employees of their responsibilities under the Ethics Code and whistleblowing mechanism, we publish our Ethics Code and related policies and documents on our intranet and provide training courses, posters, emails, and other diversified ways to advocate the Company’s core values and reporting channels. Regarding training courses, employees of TSMC and its subsidiaries must complete the “Annual Ethics and Compliance Training Course”.

In 2025, the incidents reported through the Audit and Risk Committee Whistleblower Procedures, Ombudsman System, and Irregular Business Conduct Reporting System totaled 465. Among them, 322 cases were related to people management/employee relations, 128 cases were categorized as others (e.g., asking personal questions or private matters), and 15 cases were related to ethics. Two incidents were verified upon investigation and determined for disciplinary action by the Ethics Committee.

If you find or suspect any unethical conduct or breach of TSMC's ethical standards by a TSMC employee or anyone representing TSMC, please contact us. Your report will be directly forwarded to the appropriate channels of TSMC.

Whistleblowers may report specific facts, relevant information, and documents, either anonymously or by providing their name. Unless otherwise stipulated by law, TSMC will keep your personal information confidential and take appropriate protective measures in accordance with the law to safeguard your personal data and privacy, preventing unfair retaliation or treatment.

TSMC is committed to maintaining high standards of professional ethics and provides accessible external reporting channels. To this end, the company has established the “TSMC Ethics and Business Conduct Policy” (Ethics Code) and set up an “TSMC Ethics Committee” to ensure the effective implementation of ethical standards and the fair handling of reported incidents. The relevant procedures are as follows:

1. Any individual may report misconduct that breaches the Ethics Code through the "Irregular Business Conduct Reporting."
2. The "TSMC Ethics Committee" is responsible for investigating reported incidents and administering disciplinary actions. It holds regular meetings and will convene ad hoc meetings as needed.
3. For employees who violate the Ethics Code, the company will take disciplinary action in accordance with the “Employee Recognition and Discipline Policy”, up to and including termination of employment. If an investigation concludes that the allegations are unsubstantiated, a case closure report will be submitted to the Committee members for review and final closure.

Irregular Business Conduct Reporting

TSMC offers various channels for reporting as outlined below, and has established relevant procedures. Once an employee submits a report through the whistleblower channel, the company will handle it according to the nature of the incident, either through Ombudsman or the Audit and Risk Committee (ARC). The relevant procedures are as follows:

1. Upon receiving a report, the Ombudsman or Audit and Risk Committee chairman shall notify the ARC members of the receipt of such report.
2. The ARC will determine, on a case-by-case basis, any further investigation procedures for the report, which may include delegating investigative authority to either the Ombudsman or to other designated persons. Confidentiality will be maintained, consistent with the need to conduct an adequate and thorough investigation and review.
3. Prompt and appropriate corrective action will be taken when and as warranted in the judgment of the ARC.