7 Development of Low Carbon Technology in China’s Iron …
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the economic growth continues; on the other hand, conservatism emphasizing
industrial backflow is emerging in countries such as US; therefore, iron and steel
industry faces the risk of relocation to underdeveloped regions and backflow to
developed countries. Moreover, the series of events since the start of 2020 has
aggravated the tension in international relations, which may produce a longlasting impact on international trade. In this context, short process steelmaking
can be a key technical option for China’s iron and steel industry;
(3) The benefits of emission reduction brought by clean power. In light of the
rapid development of renewable power, short process enables higher benefits of emission reduction brought by clean power compared to long process,
which represents a critical technical option by iron and steel industry for China’s
INDC (IRENA 2018).
Therefore, despite the challenge of increasing the share of short process to the
same level as developed countries, it is not only feasible but also necessary to develop
short process steelmaking technologies, reduce the cost and build a comprehensive
recycling system for scrap to ramp up production of short process. For the potential
“scrap surge” and massive industrial transfer, short process steelmaking will provide a
powerful solution to absorb scrap steel, secure iron ore resources and expand China’s
iron and steel market, with tremendous potential in its own rapid development and
carbon emission reduction of iron and steel industry.
Apart from the shares of long and short process, the proportion of cold rolling,
continuous casting and secondary refining also affect energy mix and consumption
of iron and steel industry with indirect impact on CO 2 emissions, which will be
discussed in the following paragraphs. In short, CO 2 emissions of iron and steel
industry are closely linked with the techniques and production processes applied.
7.1.3 Emissions by Sector
7.1.3.1 Comprehensive Energy Consumption and Pollutant Emission
of Iron and Steel Industry
A typical example of integrated production, iron and steel industry relies heavily
on primary energy consumption, especially coal, featuring high energy intensity
and high emission. It ranks among the major carbon-related industries and is a key
contributor to global GHG emissions. As illustrated below, according to IEA statistics (Figs. 7.6 and 7.7), energy consumption of the industry saw steady growth in
2000–2017 from 18.32EJ to 33.44EJ, largely synchronous with the increase in global
iron and steel output; meanwhile, the unit energy consumption of the industry slight
decreased by 8% from 21.56 to 19.76 GJ/t. It should be noted that the production
experienced a plateau of approximately 2 years due to the global economic plunge
triggered by the sub-prime mortgage crisis in US at the end of 2008, delivering
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the economic growth continues; on the other hand, conservatism emphasizing
industrial backflow is emerging in countries such as US; therefore, iron and steel
industry faces the risk of relocation to underdeveloped regions and backflow to
developed countries. Moreover, the series of events since the start of 2020 has
aggravated the tension in international relations, which may produce a longlasting impact on international trade. In this context, short process steelmaking
can be a key technical option for China’s iron and steel industry;
(3) The benefits of emission reduction brought by clean power. In light of the
rapid development of renewable power, short process enables higher benefits of emission reduction brought by clean power compared to long process,
which represents a critical technical option by iron and steel industry for China’s
INDC (IRENA 2018).
Therefore, despite the challenge of increasing the share of short process to the
same level as developed countries, it is not only feasible but also necessary to develop
short process steelmaking technologies, reduce the cost and build a comprehensive
recycling system for scrap to ramp up production of short process. For the potential
“scrap surge” and massive industrial transfer, short process steelmaking will provide a
powerful solution to absorb scrap steel, secure iron ore resources and expand China’s
iron and steel market, with tremendous potential in its own rapid development and
carbon emission reduction of iron and steel industry.
Apart from the shares of long and short process, the proportion of cold rolling,
continuous casting and secondary refining also affect energy mix and consumption
of iron and steel industry with indirect impact on CO 2 emissions, which will be
discussed in the following paragraphs. In short, CO 2 emissions of iron and steel
industry are closely linked with the techniques and production processes applied.
7.1.3 Emissions by Sector
7.1.3.1 Comprehensive Energy Consumption and Pollutant Emission
of Iron and Steel Industry
A typical example of integrated production, iron and steel industry relies heavily
on primary energy consumption, especially coal, featuring high energy intensity
and high emission. It ranks among the major carbon-related industries and is a key
contributor to global GHG emissions. As illustrated below, according to IEA statistics (Figs. 7.6 and 7.7), energy consumption of the industry saw steady growth in
2000–2017 from 18.32EJ to 33.44EJ, largely synchronous with the increase in global
iron and steel output; meanwhile, the unit energy consumption of the industry slight
decreased by 8% from 21.56 to 19.76 GJ/t. It should be noted that the production
experienced a plateau of approximately 2 years due to the global economic plunge
triggered by the sub-prime mortgage crisis in US at the end of 2008, delivering