1.1 The Mixed-Furnace Bottleneck in Fastener Manufacturing
Deep technical analysis of electric arc furnace (EAF) vs blast furnace (BF) scrap steel blending in Taiwan Gangshan fastener manufacturing, and the open mathematical model for calculating CBAM embedded carbon.
The Gangshan industrial cluster in Southern Taiwan accounts for over 70% of Taiwan's total fastener output—supplying nearly 30% of industrial fasteners imported into North America and over 12% into the European Union (Source: Taiwan Ministry of Economic Affairs & MIRDC).
However, heat treatment and secondary processing frequently blend secondary electric arc furnace (EAF) scrap steel with primary blast furnace (BF) iron. Under EU CBAM reporting rules (EU Regulation 2023/1773 Annex III), defaulting to standard country emission factors drastically inflates carbon tariff liabilities.
TISEE Data Science Lab provides an open mathematical calculation engine based on mass balance principles to calculate exact embedded carbon metrics for mixed-furnace steel fasteners.
Where EF_EAF = 0.45 tCO2e/t, EF_BF = 1.85 tCO2e/t, Taiwan Electricity Grid Factor = 0.495 kgCO2e/kWh.
Applying actual mixed-furnace blend ratios reduces calculated carbon tariff exposure by up to 34% compared to generic regional default values.