Chairman of the China Institute for Planning and Research of the Metallurgical Industry Mr. Li Xinchuan said at an industry conference in Beijing that in 2025, crude steel production in China will peak at about 1.16 billion tons. Mr. Xinchuan’s assessment runs counter to the Chinese Ministry of Industry and Information Technology’s goal of reducing China’s steel production. steel production in 2021 from 1.065 billion tonnes of steel in 2020 as part of efforts to reduce carbon emissions. The Chinese steel market is divided over the likelihood of an annual decline in steel production in 2021, although many believe the Chinese authorities will find ways to fulfill this mission.
Mr. Xinchuan also said, “Carbon emissions from this sector will also peak by 2025. The goal is very difficult. State-owned enterprises must take the lead. ”
The steel sector accounts for 15% of China’s total greenhouse gas emissions, making it a key destination after President Xi Jinping pledged last year to overcome the peak in China’s carbon emissions over the next ten years. The Chinese government has developed a five-year development plan to promote the environmental transformation of the steel sector. According to the plan, “China intends to complete the modernization of 530 million tonnes of ultra-low emission steel production facilities. About 620 million tonnes of crude steel had already been upgraded to ultra-low emissions or were in the process of upgrading by the end of 2020.