Taiwanese Firm Walsin Lihwa Corp. Faces Accusations of Pollution and Human Rights Abuses in Indonesia

Taipei: Taiwanese conglomerate Walsin Lihwa Corp. has been accused of severe pollution and human rights violations at its factories in Indonesia. Local environmental groups and workers have raised concerns regarding the company’s operations, urging the government to take action against these transnational violations and enhance oversight of overseas investments.

According to Focus Taiwan, Indonesian NGOs, including the Indonesian Forum for the Environment (WALHI) and Action for Ecology and People’s Emancipation (AEER), alongside Taiwan’s Environmental Rights Foundation (ERF), held a press conference at the Legislative Yuan to highlight these issues. Johan Sappara, a worker at one of the company’s Indonesian factories, reported inadequate protective measures against toxic air and coal dust, as well as insufficient occupational safety protocols.

Workers also faced poor sanitation facilities and inadequate ventilation in resting areas. ERF stated that Walsin Lihwa operates nickel smelters and a coal-fired power plant in Indonesia’s Morowali Bay Industrial Park and Weda Bay Industrial Park. According to WALHI’s Sawung Rukmono, nickel mining activities have severely affected local ecosystems, leading to deforestation and displacement of communities.

Rukmono added that blood samples from residents and workers indicated heavy metal contamination, while local fish were found to be tainted. The mines’ location upstream from rivers has caused flooding issues during rainfall. Rukmono called for measures to prevent the company from sourcing nickel from suppliers involved in such environmental damage.

ERF’s Sun Hsin-hsuan criticized the Taiwanese government’s ineffective prevention and remedy mechanisms for rights violations by Taiwanese-funded companies overseas. She urged the government to comply with international obligations and protect affected individuals.

In a statement read by ERF on behalf of DPP Legislator Chiu Chih-wei, concerns were raised about the lack of transparency and enforcement in current regulations. Chiu called for the establishment of clear regulations, while DPP Legislator Lin Yueh-chin emphasized the need for legislation on corporate human rights and environmental responsibilities.

Lin proposed setting up official channels for filing grievances and requiring Taiwanese firms to submit labor rights improvement plans. She also urged corporations to cease partnerships with suppliers violating human rights. Lin highlighted the slow progress of Taiwan’s National Action Plan compared to Japan and South Korea.

The Ministry of Economic Affairs Investment Review Department expressed openness to suggestions for amending regulations, noting that investment reviews consider potential breaches of international treaties. The ministry also addressed concerns about Chunghwa Post’s investments in Walsin Lihwa, citing legal requirements.

Walsin Lihwa responded to the accusations, expressing regret over what it described as “inaccurate” information. The company asserted compliance with environmental regulations and denied partnerships with the suppliers named by the groups. It also addressed a recent workplace accident, stating that compensation was provided above the legal requirement.