China has completed its first million-tonne near-zero-carbon steel production line in Zhanjiang City, south China's Guangdong Province, marking a major breakthrough in the steel industry's green and low-carbon transformation.

The production line adopts an advanced hydrogen-based metallurgical electric smelting process, replacing traditional coke with hydrogen as the primary reducing agent.

This significantly cuts carbon emissions and offers a new pathway for the steel industry to reduce its long-standing reliance on fossil fuels. Direct reduced iron produced by the core hydrogen-based shaft furnace has met targeted metallization rates, while high-efficiency green electric furnaces further improve overall energy utilization. Compared with conventional processes, the line can reduce carbon emissions by 50 to 80 percent.

Project staff from Baowu Steel's Zhanjiang operation said the million-tonne near-zero-carbon steel line can cut more than 3.14 million tonnes of carbon emissions annually, equivalent to creating around 2,000 square kilometers of forest.

The 14th Five-Year Plan (2021–2025) period is seen as a critical stage for China's steel industry to achieve high-quality development, with green transformation as a defining priority. During this period, the number of newly certified green steel plants has increased year by year, with a total of 126 added between 2021 and 2024.

By the end of the third quarter of 2025, emissions of sulfur dioxide, particulate matter and nitrogen oxides had fallen to 0.18 kg, 0.22 kg and 0.33 kg respectively, down 28 percent, 26.7 percent and 36.5 percent compared with the end of 2021.

The China Iron and Steel Association also launched an "extreme energy efficiency" initiative during the 14th Five-Year Plan period. In 2024 alone, the sector achieved energy savings equivalent to about 10.5 million tonnes of standard coal, cutting carbon emissions by around 27.5 million tonnes, comparable to the annual carbon sequestration of roughly 570 million mature trees.