Water Resource Management

GMTC operates facilities in the Xinying Industrial Zone and the Liuying Science and Technology Industrial Park in Tainan City. According to the World Resources Institute’s Aqueduct Water Risk Atlas, the company's operational sites fall under a “Low to Medium” water stress risk (10%–20%)zone.

GMTC sources 100% of its water from municipal supply, without withdrawing from surface or groundwater sources. There is no direct withdrawal from surface or groundwater sources.

Water within the facilities is classified and managed according to its source and purpose, including: Rainwater, Domestic wastewater, Industrial wastewater, Cooling circulation water,Drainage and Discharge Management.

The Company has implemented a segregated drainage system that clearly separates rainwater from wastewater. Rainwater is channeled through dedicated drainage pipelines. At both the Liuying Plant and the Operations Headquarters, rainwater harvesting systems have been installed and are utilized primarily for landscaping irrigation.

All process wastewater is treated at centralized facilities and independently verified by accredited third-party laboratories to ensure legal compliance. Treated effluent that meets regulatory discharge standards is then released into surface water bodies, thereby minimizing environmental impact.

To optimize water usage and reduce reliance on freshwater resources, GMTC conducts internal water efficiency assessments and has identified high-consumption areas. The feasibility of implementing production-process water recycling systems is under review. These efforts aim to maximize water reuse cycles and reduce total freshwater intake over time. In compliance with the Water Pollution Control Act, GMTC commissions third-party laboratories to regularly monitor and test wastewater quality, ensuring that all discharge meets

relevant effluent standards.

The Company files required reports with environmental authorities and pays corresponding wastewater treatment fees. For legal compliance details, refer to Section 2.4: Ethical Corporate Management and Legal Compliance.

In 2024, GMTC's total recycled water volume was 107,325 million liters, with water withdrawal of 320 million liters and water discharge of 117 million liters, resulting in a water recovery rate of 99.70%. The total water withdrawal for the main production processes was 307 million liters, while the total wastewater discharge was approximately 116 million liters. The water withdrawal intensity per ton of steel produced was 0.00366 million liters, representing a 3.0% increase compared to 2023.

Three years of total water withdrawal data

Three years of total water discharge data

Water Conservation Measures

1. The 50-ton electric arc furnace dust and fume cooling system replaces part of the water cooling with air cooling to reduce water consumption.

2. All pumps in the 50-ton electric arc furnace water treatment facility have been equipped with variable frequency drives to reduce water consumption.

3. It is anticipated that by 2025, a wastewater recycling treatment process will be established for RM, with plans to assess the treatment of 20% of the wastewater from the Xinying Plant to potable water standards. This will enable recycling and reuse, thereby reducing both water usage and water discharge.

Legal Compliance

For more information on the number of incidents for GMTC's water quality/quantity permits, standards, and regulations, please refer to the Environmental Expenditures and Compliance page.