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TaiwanManufacturing2020 – ongoing

China Steel Corporation

AI in blast furnace, sintering, coking and reheating furnace operations

China Steel reported yearly savings from AI on its blast furnace, coal blending and reheating furnaces

WorkingCompany's own claim

Problem

Steelmaking depends on operator experience and on many interacting process variables. Sinter machine speed, coal blends and furnace temperatures were set by hand, which cost fuel, raw material and yield.

Approach

China Steel turned its No. 2 blast furnace into a smart blast furnace with 27 AI modules in 2020 and extended the approach to Nos. 1, 3 and 4. It built a platform that predicts coke strength to adjust coal blends. A digital temperature control system covers 16 reheating furnaces across the group. A sintering speed control system, trained with automated machine learning on production data and operator knowledge, started on the No. 2 sintering machine.

Results

about NT$70.53 million a yearreported savings from the smart No. 2 blast furnace, as stated by China SteelCompany's own claim[1]
about NT$75 million a yearreported raw-material savings from AI coal blending using coke strength prediction at the four-stage coke ovensCompany's own claim[1]
about NT$154 million a yearreported fuel cost savings from AI temperature control of 16 reheating furnacesCompany's own claim[1]
about 4%reported rise in sinter production yield after the AI speed control went live on the No. 2 sintering machineCompany's own claim[2]

Takeaway

The savings come from many narrow models, each tied to one process step with a cost it can be measured against. The figures are China Steel's own.

Categories

Business function
Production and quality
Innovation type
Process innovation
Evidence
Company's own claim

Sources

  1. 中鋼運用AI 智造精緻鋼品
    Commercial Times21 Mar 2025News article

Source summaries

[1]Commercial Times21 Mar 2025

Commercial Times reported on China Steel's AI work. The No. 2 blast furnace became Taiwan's first smart blast furnace in 2020, with savings of about NT$70.53 million a year. AI coal blending saved about NT$75 million a year in raw material and reheating furnace control saved about NT$154 million in fuel. The article also says China Steel had completed 325 AI projects worth close to NT$1.6 billion a year.

[2]NOWnews28 Feb 2025

NOWnews reported that China Steel built an AutoML speed control system for its sintering machine, first installed on the No. 2 machine. Sinter yield rose about 4%. A carbon cut of about 22,000 tonnes a year is an estimate.

Full details are in the original sources.

Added 2 Nov 2026 · Updated 2 Nov 2026
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