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The steel industry is undergoing a critical transformation, with four major Chinese steel companies—Baosteel, Angang, Wuhan Iron and Steel Group (WISCO), and Hebei Iron and Steel Group—leading the charge in adopting green strategies. At a recent industry conference, top executives from these firms emphasized that environmental and resource constraints are no longer just challenges but fundamental drivers of change.
Xu Lejiang, chairman of Baosteel, highlighted that the steel industry’s current issues stem not only from market fluctuations but also from growing environmental pressures. “Green development is no longer optional—it’s the ethical and legal bottom line for survival,†he said. With rising costs of raw materials, stricter environmental regulations, and increasing public awareness of sustainability, traditional steelmaking methods are becoming unsustainable.
Zhang Xiaogang of Anshan Iron and Steel Group echoed this sentiment, calling green steel one of the three key challenges facing the industry. “If we don’t embrace green development, our future is uncertain,†he said. The pressure to reduce emissions, improve energy efficiency, and meet environmental standards is pushing steel companies toward innovation and transformation.
Deng Qilin of WISCO noted that China’s steel industry is at a crossroads, with the need for structural adjustment and environmental reform becoming more urgent. He predicted that it may take five to ten years or even longer to resolve overcapacity and align with global green standards. “Innovation and green development are not just trends—they’re essential for long-term competitiveness,†he added.
Wang Yifang, chairman of another major steel group, stressed that green development is now a lifeline for the industry. “Resource scarcity, environmental limits, and rising costs have created a powerful push for green transformation,†he said. “It’s time for Chinese steel companies to act.â€
To achieve true green steel, Xu Lejiang outlined three pillars: energy-efficient production, eco-friendly product design, and the integration of green technologies. This includes reducing emissions during manufacturing, developing sustainable products, and expanding the application of environmentally friendly technologies.
Several companies have already made progress. For example, Anshan Iron and Steel’s Bayuquan project is a model of green manufacturing, achieving high levels of resource recycling and energy efficiency. Meanwhile, WISCO has developed high-performance silicon steel that reduces energy loss and contributes to broader energy savings across industries.
Baosteel and other companies are also exploring new green business models, such as energy conservation, waste recycling, and environmental protection services. These initiatives not only support sustainability but also create new revenue streams and strengthen their competitive edge.
Looking ahead, the concept of full-life-cycle evaluation of steel products is gaining traction. Deng Qilin pointed out that steel is highly recyclable and can significantly reduce environmental impact when used efficiently. Advanced high-strength steel, for instance, helps lower greenhouse gas emissions in downstream industries.
As the industry moves forward, state-owned steel companies are stepping up as leaders in the green transition. Their efforts reflect a shared commitment to sustainability, innovation, and long-term growth. As Wang Yifang put it, “This is our responsibility—and our mission.â€