The EU's Carbon Border Adjustment Mechanism is moving beyond raw steel and aluminum to cover downstream products like fasteners, hand tools, machinery, and auto parts. Taiwan's exporters face growing pressure to prove the carbon content of the steel inside their goods, not just the emissions from their own production lines. The real risk is the default value. Without verified product-level data, companies may be charged based on EU assumptions, which can make them less competitive. The fix is practical: track steel content through the supply chain, share emissions data between mills and manufacturers, and build traceable carbon accounting before the final product list is locked in.
