Double Materiality Assessment Process

Dongsung Finetec conducted a double materiality assessment in accordance with the GRI (Global Reporting Initiative) Standards 2021's
reporting-topic selection principles and assessment methodology to identify key sustainability management issues. This approach evaluates
the overall impact of our business activities on the environment and society while also assessing the potential impact that external ESG-related factors may have on our business operations and financial position. Through this process, we set issue priorities and derived material topics as well as reporting topics.

[Double Materiality Assessment Process]

Step 1. Form Issue Pool	Step 2. Impact Analysis and Priority Assessment	Step 3. Derive Material Topics
Review of major global ESG disclosure indicators Benchmarking analysis of major primary contractors	Environmental and Social Impact Review of international standards (GRI Standards 2021, UN SDGs, SASB) Media analysis Benchmarking analysis of peers External stakeholder surveys	Financial Impact Review of international standards (EcoVadis, KCGS, Sustinvest) Analysis of domestic laws and regulations related to sustainability Analysis of internal ESG management strategy (KPIs) Internal employee surveys	Selection of issues rated above the threshold for environmental, social, and financial impact Review of appropriateness regarding the scope, boundary, and period of the selected sustainability issues Confirm material topics

Step 1. Form Issue Pool

Step 2. Impact Analysis and Priority Assessment

Step 3. Derive Material Topics

Review of major
global ESG
disclosure
indicators
Benchmarking
analysis of major
primary contractors

Environmental and Social Impact

Review of international
standards (GRI Standards 2021, UN SDGs, SASB)
Media analysis
Benchmarking analysis
of peers
External stakeholder
surveys

Financial Impact

Review of international
standards (EcoVadis,
KCGS, Sustinvest)
Analysis of domestic
laws and regulations
related to sustainability
Analysis of internal ESG
management strategy
(KPIs)
Internal employee surveys

Selection of issues
rated above the
threshold for
environmental, social,
and financial impact
Review of
appropriateness
regarding the scope,
boundary, and period
of the selected
sustainability issues
Confirm material topics

Double Materiality Assessment Results

Based on a comprehensive analysis of the environmental and social impacts and financial impacts of the 17 basic ESG issues of Dongsung Finetec, a total of four material topics were identified in the following order: strengthening safety and health, supply chain management, climate change, and corporate ethics and compliance

[2025 Assessment Result Matrix]

Rank	Category	Issue
1	S	Strengthening Safety and Health
2	G	Supply Chain Management
3	E	Climate Change Response
4	G	Corporate Ethics and Compliance
5	E	Waste Management
6	E	Pollutant Management
7	S	Product Quality and Reliability Assurance
8	S	Labor Practices Assurance
9	E	Energy Consumption Management
10	G	Sound Governance
11	S	Talent Acquisition and Development
12	S	Enhancing Information Security
13	S	Respect for Workforce Diversity
14	G	Human Rights Management
15	S	Stakeholder Engagement
16	E	Biodiversity Conservation
17	S	Community Contribution