Infineon Technologies AG and United Microelectronics Corporation (UMC) have expanded their long-standing collaboration with a new Memorandum of Understanding (MoU) aimed at accelerating emissions reductions across their shared semiconductor supply network. The initiative reflects a growing industry shift toward collective climate action and highlights the increasing importance of supplier engagement in meeting ambitious sustainability targets.
Both companies have already established science-based climate goals aligned with the most stringent pathway of the Science Based Targets initiative (SBTi), which supports limiting global temperature rise to 1.5°C above pre-industrial levels. Building on this foundation, the new agreement focuses on helping suppliers define measurable decarbonization strategies and adopt their own validated emissions-reduction targets.
A key component of the partnership involves coordinated engagement with shared suppliers through structured workshops, technical guidance, and knowledge-sharing initiatives. These activities are designed to support emissions transparency and encourage adoption of best practices across upstream operations—an area where the majority of semiconductor industry emissions typically originate.
Infineon has committed to reducing its Scope 1 and Scope 2 greenhouse-gas emissions by 72.5 percent by 2030 compared with 2019 levels. In parallel, the company is addressing indirect Scope 3 emissions by targeting supplier participation: by 2029, 72.5 percent of suppliers—measured by emissions related to purchased goods, capital equipment, and upstream logistics—are expected to adopt science-based climate targets.
UMC, which became the first semiconductor foundry to receive SBTi validation in 2022 and updated its goals in 2025 to reflect more ambitious requirements, is pursuing a 42 percent reduction in Scope 1 and Scope 2 emissions and a 25 percent reduction in Scope 3 emissions by 2030 relative to its 2020 baseline. The company has also committed to achieving net-zero greenhouse-gas emissions by 2050.
Because Scope 3 emissions typically represent the largest share of total semiconductor value-chain impact, the two companies view supplier collaboration as essential for delivering meaningful progress.
UMC has already involved more than 400 partners through its Supply Chain Greenhouse Gas Inventory Initiative, helping suppliers measure and manage their environmental footprint. Infineon has likewise worked with over 100 suppliers since 2023 to support adoption of science-based targets. Through this strengthened cooperation, the companies aim to scale these efforts further and accelerate sustainability adoption across the broader semiconductor ecosystem—demonstrating how strategic partnerships can play a decisive role in advancing industry-wide decarbonization.
