On June 15, 2026, IRuniverse conducted an online interview with Mr. Sean Lin (林才翔), President of Taiwan Steel Union Co., Ltd. (TSU), Taiwan’s leading EAF dust treatment and recycling company.
As the only company in Taiwan operating rotary kilns for electric arc furnace (EAF) dust recycling, TSU has supported the Taiwanese steel industry for more than three decades. Facing a decline in domestic EAF dust generation in recent years, the company has been building a new growth model through business diversification and resource recycling.
Taiwan’s Sole EAF Dust Recycling Company
Established in 1995, TSU has a history spanning over 30 years and has been listed on the stock market for approximately ten years.
The company is located in the outskirts of Taichung City, central Taiwan.
TSU currently operates two rotary kilns:
- Rotary Kiln No. 1: Started operation in 1999, with a capacity of 89,000 tonnes per year.
- Rotary Kiln No. 2: Started operation in 2010, with a capacity of 109,900 tonnes per year.
- Total processing capacity: Nearly 200,000 tonnes per year.
TSU recovers zinc from EAF dust and produces crude zinc oxide, which is sold to zinc smelters in Japan, Europe, and other regions.
Since there are no zinc smelters in Taiwan, most of TSU’s products are exported overseas.
TSU Processes nearly 90% of Taiwan’s EAF Dust
TSU currently serves more than eleven EAF steelmakers in Taiwan and processes about 90% of the country's EAF dust.
The company is effectively the only operator in Taiwan using rotary kiln technology to recover zinc from EAF dust, having established a stable business model over nearly three decades.
Blast furnace dust is outside TSU’s scope. China Steel Corporation (CSC), located in Kaohsiung, processes blast furnace dust using a Rotary Hearth Furnace (RHF), with an annual capacity of approximately 130,000 tonnes.
Declining EAF Dust Generation Has Reduced Capacity Utilization to Around 50%
In recent years, EAF dust generation in Taiwan has been decreasing.
Against TSU’s annual capacity of 200,000 tonnes, current EAF dust throughput is approximately 100,000 tonnes, resulting in a utilization rate of around 50%.
Mr. Lin commented:
"The era of relying solely on EAF dust has come to an end."
Expansion into Other Industrial Waste Streams
To make effective use of its spare capacity, TSU has expanded into other areas of industrial and hazardous waste recycling.
As of 2025, the company processes approximately 170,000 tonnes per year of non-EAF industrial wastes, including:
- Zinc-containing contaminated soil and sludge;
- Electroplating sludge;
- Heavy-metal-containing fly ash from municipal solid waste incinerators;
- High-calorific-value wastes used as alternative fuel;
- Stainless steel dust.
Through recovering and selling valuable materials from these waste streams, TSU has been able to compensate for the decline in EAF dust volumes. The investment in low-carbon and intelligent production in recent years has shown good returns.
Japan and Taiwan Traditionally Charge Treatment Fees...
According to Mr. Lin, Japan and Taiwan share a similar philosophy regarding EAF dust treatment.
In both countries, EAF dust is regarded as hazardous waste requiring proper treatment, and steelmakers generally pay a treatment charge (TC) to recyclers.
By contrast, recyclers in China and South Korea often purchase EAF dust as a feedstock.
Region | Typical Business Model |
|---|---|
| Japan | Steelmakers pay treatment charges |
| Taiwan (TSU) | Similar to Japan |
| China, South Korea, and EU | Recyclers purchase EAF dust |
Mr. Lin explained:
"EAF dust recycling is fundamentally about environmental protection, CO₂ reduction, and a responsible attitude. It should not simply be viewed as trading a valuable commodity."
This philosophy has much in common with Japan’s approach to recycling.
Treatment Charges Have Fallen to Zero Since 2025
However, market conditions have changed due to strong zinc prices.
Since 2025, TSU has not been charging treatment fees to steelmakers, and treatment charges currently stand at zero.
According to Mr. Lin,
"If zinc prices decline in the future, treatment charges could be reinstated."
As many of TSU’s major shareholders are Taiwanese steel makers, treatment fees paid by steelmakers are ultimately returned to shareholders in the form of dividends.
No Significant Domestic Competitors
Asked about competitors within Taiwan, Mr. Lin stated:
"TSU is effectively the only successful operator in this field. Thanks to the long-term strong support of steel mills in Taiwan."
With nearly thirty years of operating experience and an established business model, no significant domestic competitors currently exist.
Contributing to UL 2809 Compliance and CO₂ Reduction
TSU’s recycled materials also support Taiwanese manufacturers seeking compliance with UL 2809 recycled-content standards.
In addition, the company contributes to reduced consumption of natural resources and lower CO₂ emissions, reinforcing its role as an important infrastructure provider for Taiwan’s circular economy.
Possibility of Exports from Japan to Taiwan
Regarding exports of EAF dust from Japan to Taiwan, Mr. Lin noted that, under regulations such as the Basel Convention, he is not aware of cases involving exports of untreated EAF dust from Japan.
Meanwhile, Mr. Tanamachi pointed out that products classified as zinc concentrate or crude zinc oxide, rather than waste, have in some cases been exported overseas.
The distinction between waste and products varies by jurisdiction, and international resource circulation in this area is likely to remain an important topic.
Editorial Note
Declining EAF dust generation has become a common challenge across Asia, including Japan.
Leveraging its position as Taiwan’s sole EAF dust recycler, TSU is transforming itself into a broader circular economy company by expanding into fly ash, sludge, and other recycling businesses.
The shared philosophy between Japan and Taiwan—that waste treatment serves environmental protection and resource conservation—may have implications for the future development of recycling industries throughout Asia.
IRuniverse plans to visit TSU in Taiwan for an on-site interview at the end of August 2026.
