China\u2019s steel industry has pushed back its timetable for reaching peak carbon, from 2025 to 2030, highlighting uncertainties over its ability to slash emissions in the longer term.<\/p>\n\n\n\n
On 7 February, guidance on developing the sector was jointly published<\/a> by the ministries of industry and environment and the National Development and Reform Commission. It stated that the industry\u2019s carbon peak must happen by 2030. Previously the target had been five years sooner, as published in a draft of a peak carbon action plan from the China Iron and Steel Association, and posted<\/a> on an official WeChat account. Cutting emissions from high-carbon industries, such as steel and cement making, is crucial to China\u2019s efforts to meet its dual carbon targets, of peaking by 2030 and neutrality before 2060. But low-carbon restructuring, and adopting and commercialising greener technologies, will be tough to do at scale. Support from the financial markets is sorely needed.<\/p>\n\n\n\n
The new guidance identified the main problems in the sector as over-capacity, environmental performance and \u201clow levels of consolidation\u201d \u2013 meaning there are many small, difficult-to-regulate steel mills.<\/p>\n\n\n\n