China accelerates green steel shift as European Union levies loom

China’s efforts to cut production and recycle more scrap via EAF could reduce CO2 emissions from the steel industry by 200 million tonnes by 2026. — Reuters

SINGAPORE: China approved no new coal-based steel projects in the first half of 2024, researchers say, accelerating its shift towards green production as it prepares for the impact of a new carbon levy on exports to Europe.

Local governments approved 7.1 million tonnes of new steelmaking capacity from January to June, but all of it was for cleaner scrap-based electric arc furnace (EAF) projects, rather than coal-intensive blast furnaces, said the Centre for Research on Energy and Clean Air (CREA).