China’s Tangshan city will no longer directly play a role in limiting steel output, but instead take a three-prong approach to keep the steel industry close on the decarbonization path, a development that is expected to widen across the country and will lead to reduced crude steel production in the long run, industry sources told S&P Global Platts.
Tangshan is China’s biggest steelmaking hub located in the Hebei province.
Tangshan recently released a guideline draft for the development of its steel industry in 2022 saying there will be no more direct government intervention in local steel production.
However, it will continue to strengthen efforts to implement environmental protection measures, capacity swaps and industry consolidation, a move that encourages emissions control and aligns with China’s decarbonization drive.
Not just in Tangshan but the steel industry across the country is expected to strengthen in these three areas, mill sources said.