Developing whole scrap electric furnace steelmaking and reducing crude steel output are two keys to achieve carbon neutrality in steel industry

On September 15, Yin Ruiyu, former vice-minister of ministry of metallurgy and academician of the Chinese Academy of Engineering, pointed out at the 13th China International Symposium on Metal Recycling and Application and the First General Meeting of The Seventh China Scrap Iron and Steel Application Association that reducing crude steel output, to get the best quality Graphite Electrode here, adjusting process structure and developing whole scrap electric furnace short flow steel plant will be two feasible starting points in the process of carbon neutralization in China's iron and steel industry.

Academician Yin Ruiyu made an in-depth interpretation around the theme of "Carbon peak and Carbon Neutralization Implementation Path of Steel Industry". He clearly pointed out four directions for "the idea of China's steel industry to achieve carbon peak and carbon neutrality". If the iron and steel industry wants to achieve carbon peak and carbon neutralization as soon as possible:

• First, to adjust the industrial structure from the macro level, implement total reduction and eliminate backward production capacity. At the same time, we should not continue to increase production and export a large number of low value-added steel. We should take the development path of high quality and reduction.

• Second, iron and steel enterprises should take the green development path of energy conservation, emission reduction and decarbonization, especially attach great importance to decarbonization! Decarburization means decarburization of resources and rational use of scrap resources; For energy decarbonization, we should use less or no fossil energy and turn to electricity, especially make full use of the abandoned power grid; Decarbonization of production and manufacturing process starts from the transformation of production process of long building materials. Long building materials should focus on short process production of whole scrap electric furnace, and reasonably arrange steel plants around the city; Decarbonization in import and export trade, that is, limiting the total export volume of high carbon load products such as coke, ferroalloy and low value-added steel by tax, quota and other measures; Policies and regulations for decarbonization, including implementing carbon trading by industry, levying carbon tax by stages, products and manufacturing processes, and issuing a negative list of decarbonization; Through supply-side structural reform, we will promote the optimization of the industrial structure of the national economy, reduce carbon emissions from high-energy consumption manufacturing, energy industry and transportation industry, and enhance carbon sink capacity.

• Third,  the structure of the production and manufacturing process should be adjusted in the process of reduction development, and the long building materials produced by the whole scrap electric furnace process should replace the medium and small blast furnace converter to produce rebar, wire rod and other bulk products, that is, the urban steel plant should be developed with an appropriate layout.

• Fourth, for some large iron and steel complex enterprises producing flat materials, we should also further develop energy-saving and decarbonization technologies to further reduce the total carbon emission.

Overall, the key and main line for the iron and steel industry to achieve carbon peak and carbon neutralization still lies in reducing production and emission reduction. Continuing to increase production is contrary to achieving carbon peak. Increasing carbon sink will also become a necessary auxiliary for the iron and steel industry to achieve the "double carbon" goal.

At the same time, academician Yin Ruiyu stressed that the steel industry carbon peak time is mainly determined by the peak of crude steel output. The earlier the iron and steel industry achieves carbon peak, the more conducive it is to the subsequent realization of carbon "downhill" and carbon neutralization. Preliminary judgment, the carbon emission of China's iron and steel industry has entered the peak platform period. The carbon peak time node of the iron and steel industry may be in the early stage of the 14th Five-year Plan, when the peak carbon dioxide emission will be about 1.7-1.8 billion tons. Reducing crude steel output, adjusting process structure and developing whole scrap electric furnace short process steel plant will be two feasible starting points in the process of carbon neutralization in China's iron and steel industry!

In fact, as early as the end of 2020, the Ministry of Industry and Information Technology in the "Guidance on promoting the high-quality development of iron and Steel Industry (draft)", has clearly proposed that by 2025, the proportion of electric furnace steel production of crude steel production to increase to more than 15%, strive to achieve 20%; Scrap ratio reaches 30%. At present, China's standardized iron and steel enterprises have more than 250 electric arc furnaces with more than 30 tons, and circuit steel accounts for 10%, far lower than the United States, Italy and India (more than 60%), South Korea (44%), Germany (30%) and Japan (21%).

However, it is worth noting that it is reported that the official draft of the Opinions may be released before the end of the year, among which ensuring the supply of iron and steel raw materials, accelerating the merger and reorganization of the iron and steel industry, promoting short process steelmaking and green carbon reduction will be the focus of the official draft! At the same time, at the First General Meeting of the Seventh Session of China Scrap Iron and Steel Application Association, Li Shubin, executive vice president of China Scrap Iron and Steel Application Association, has also clearly pointed out that the scrap industry will implement the "14th Five-year Plan" to achieve the goal of 30% scrap steel ratio by the end of 2025, which is the primary task in the preparation of scrap iron and steel development plan!

It can be foreseen that with the introduction of the "Plan" and "Opinions", various favorable policies will be steadily promoted, the electric furnace short process steelmaking industry may usher in a new development stage, and the green, low-carbon and high-quality development of the steel industry will be further accelerated, to communicate with us for more industy news.