Greenhouse Gas (GHG) Management\ Since 2013, GMTC’s Xinying Plant has conducted greenhouse gas (GHG) emission quantification and reporting in accordance with ISO 14064-1:2006, focusing on organizational-level GHG accounting and removal within the process area boundary.

In 2024, GMTC transitioned to the ISO 14064-1:2018 standard and expanded the GHG inventory boundary to include 100% of the Company’s operational sites in Taiwan.

This updated inventory was independently verified with limited assurance by AFNOR, an accredited third-party validation body, under ISO 14064-3.

GHG Emission Scope and Categories The Company’s 2024 GHG inventory covers Scopes 1, 2, and 3, in alignment with the GHG Protocol Corporate Standard:

Scope 1 (Direct emissions): On-site fossil fuel combustion, process emissions

Scope 2 (Indirect emissions from imported energy): Purchased electricity

Scope 3 (Other indirect emissions), including:

Upstream transportation and distribution

Downstream transportation and distribution

Employee commuting

Purchased goods and services

Waste treatment (solid and liquid waste) Downstream leased assets

A detailed breakdown of emissions by scope and category is provided in the accompanying table.

In 2024, the total greenhouse gas emissions for GMTC across Scope 1 and Scope 2 amounted to 197,967.69 metric tons CO2e. Of this total, Scope 1 direct emissions accounted for 48.08%, while Scope 2 indirect emissions represented 51.92%, reflecting a 2.69% increase compared to the previous year’s emissions of 192,789 metric tons CO2e. The total Scope 1 and Scope 2 greenhouse gas emissions from the main production processes (Xinying Plant and Liuying Plant) were 197,290.83 metric tons CO2e, representing 99.66% of the Company’s total emissions. Within this, Scope 1 direct emissions accounted for 48.22%, mainly due to fixed combustion emissions from heat treatment furnaces in the production processes. Scope 2 indirect emissions comprised 51.78%. The greenhouse gas emissions intensity per ton of steel produced at the Xinying Plant and Liuying Plant was 2.35 metric tons CO2e, which increased by 1.10% compared to last year, mainly due to changes in the product mix. The total emissions in 2023 were 191,930 metric tons CO2e. The rise in emissions intensity in 2024 was attributed to changes in the product mix.

In 2024, GMTC continued to promote the simplification of thermal manufacturing processes, maintain equipment reliability to avoid unnecessary thermal losses, improve combustion efficiency, and replace or upgrade outdated equipment to enhance energy utilization efficiency. These efforts aim to reduce GMTC’s greenhouse gas emissions. In 2024, energy-saving measures resulted in a total electricity savings of 1,095.57 thousand kilowatt-hours, along with 1,344 thousand kilowatt-hours of self-generated renewable energy.

GMTC plans to gradually establish the capability for product carbon footprint assessment in accordance with ISO 14067:2018. This will help further identify greenhouse gas emission hotspots and provide a measurement basis for implementing future carbon reduction measures. Additionally, it will address customer demands and improve service quality.

Some of the Company's equipment use R124 refrigerants, but no ozone-depleting substances are used in its manufacturing processes.

It is anticipated that the initial carbon emissions will increase following the commissioning of the new 50ton EAF. To fulfill corporate social responsibility, we will continue to implement carbon reduction measures during this period (such as process optimization, equipment improvements, and renewable energy usage). We will also closely monitor the development of new technologies, and stay informed on international trends and government policies. This approach allows for ongoing adjustments and enhancements to our carbon emissions pathways. The goal is to reduce carbon emissions by 45% compared to the projected Business As Usual (BAU) levels by 2030, with a long-term commitment to achieving carbon neutrality by 2050.