Three sectors: new steel production capacity is strictly prohibited and industry leaders are encouraged to merge and reorganize.

Guidance of the Ministry of Industry and Information Technology of the Ministry of Ecological Environment of the National Development and Reform Commission on promoting the High-quality Development of the Iron and Steel Industry

Lianyuan (2022) No. 6, Ministry of Industry and Information Technology

Departments in charge of industry and informatization, development and reform, and ecological environment of all provinces, autonomous regions, municipalities directly under the Central Government and Xinjiang production and Construction Corps, and relevant central enterprises:

The iron and steel industry is an important basic industry of the national economy, an important support for building a modern and powerful country, and an important field to achieve green and low-carbon development. During the 13th five-year Plan period, China's iron and steel industry further promoted supply-side structural reform, achieved remarkable results in eliminating excess capacity, made more reasonable industrial structure, and made positive progress in green development, intelligent manufacturing, and international cooperation. it has effectively supported the healthy development of economy and society. During the 14th five-year Plan period, there are still some problems in China's iron and steel industry, such as the pressure of overcapacity, the lack of industrial security capacity, the level of green and low-carbon development, low industrial concentration and so on. In order to implement the 14th five-year Plan of the people's Republic of China for National Economic and Social Development and the outline of the long-term goals for 2035, the opinions of the State Council on eliminating excess capacity and realizing the Development of the Iron and Steel Industry, the 14th five-year Plan for the Development of the Raw material Industry and other documents, this opinion is formulated to better promote the high-quality development of the iron and steel industry.

I. overall requirements

(1) guiding ideology

Persist in taking Xi Jinping's thought of socialism with Chinese characteristics in the new era as the guidance, comprehensively implement the spirit of the 19th CPC National Congress and the 19th Plenary session, based on the new development stage, fully, accurately and comprehensively implement the new development concept, and build a new development pattern, take promoting high-quality development as the theme, deepening supply-side structural reform as the main line, reform and innovation as the fundamental driving force, and giving full play to the decisive role of the market in the allocation of resources. We should give better play to the role of the government, accelerate the reform of quality, efficiency and power in the iron and steel industry, ensure the safety and stability of the industrial chain supply chain, and promote the overall improvement of quality and efficiency.

(2) basic principles

Adhere to innovation and development. Highlight innovation-driven leadership, promote collaborative innovation in industry-university-research and application, strengthen basic and applied research on process technologies such as high-end materials and green low-carbon, strengthen the integrated innovation of process, equipment and technology in the industrial chain, and promote industrial coupling development. we will strengthen the integration and innovation of the iron and steel industry with new technologies and new business type.

Adhere to total quantity control. We will optimize policies on regulation and control of production capacity, deepen the reform of factor allocation, strictly implement capacity replacement, strictly prohibit new steel production capacity, eliminate the advantages and disadvantages, encourage cross-regional and cross-ownership mergers and restructuring, and increase industrial concentration.

Stick to green and low carbon. We will adhere to the combination of total quantity control and scientific and technological innovation to reduce carbon, adhere to the combination of source control, process control and end treatment, comprehensively promote the transformation of ultra-low emissions, and promote coordinated treatment of pollution reduction and carbon reduction as a whole.

Adhere to overall planning and coordination. We should coordinate supply security, green and low carbon, resource security and industry development, follow the law of the development of the iron and steel industry, maintain the stability and foresight of capacity removal policies, and improve the suitability and effectiveness of supply and demand.

(3) main objectives

By 2025, the iron and steel industry will basically form a high-quality development pattern of reasonable layout structure, stable supply of resources, advanced technology and equipment, outstanding quality brands, high level of intelligence, strong global competitiveness, green, low-carbon and sustainable.

The ability of innovation has been significantly enhanced. The intensity of R & D investment in the industry will strive to reach 1.5%, and breakthroughs have been made in advanced technologies such as hydrogen metallurgy, low-carbon metallurgy, clean steel smelting, thin strip roll-casting and headless rolling. The numerical control rate of key processes has reached about 80%, the digitization rate of production equipment has reached 55%, and more than 30 intelligent factories have been built.

The industrial structure has been continuously optimized. The development level of industrial agglomeration has been significantly improved, and the concentration of iron and steel industry has been greatly improved. The process structure has been obviously optimized, and the proportion of electric furnace steel output to the total crude steel output has been increased to more than 15%. The layout structure has become more reasonable, and the supply and demand of the iron and steel market has basically reached a dynamic balance.

Green and low carbon will be further promoted. We will build a resource recycling system for inter-industry coupling development, complete ultra-low emission transformation of more than 80% of steel production capacity, reduce comprehensive energy consumption per ton of steel by more than 2%, and reduce water consumption intensity by more than 10%, ensuring that the carbon peak will be reached by 2030.

The security of resources has been greatly improved. The guarantee capacity of diversified resources has been significantly enhanced, the production capacity, scale and intensive level of domestic iron mines have been greatly improved, the scrap recovery and processing system has been basically improved, and the level of utilization has been significantly improved. The amount of scrap resources utilized by the iron and steel industry has reached more than 300 million tons.

The quality of supply continues to improve. The supply capacity of high-end iron and steel products has been greatly enhanced, and the variety and quality have been upgraded, breaking through about five key iron and steel materials every year, forming a number of corporate brands and product brands with great international influence.

II. Main tasks

(4) to enhance the ability of innovation and development. Strengthen the dominant position of enterprise innovation and create a collaborative innovation ecology with the integration of industry, university, research and application. To promote the construction of public service innovation platform and innovation center in the industry by means of "uncovering the list and taking the lead". Focus on key common technologies such as low-carbon metallurgy, clean steel smelting, thin strip roll-casting, high-efficiency rolling, process management and control based on big data, energy saving and environmental protection, as well as general special equipment and parts such as advanced electric furnace, special smelting and high-end inspection, increase investment in innovative resources. We will give full play to the role of a demonstration platform for the production and application of new materials, establish and improve the upstream and downstream cooperation mechanism for new steel materials in key areas, and build industrial alliances in key areas Encourage regions with favorable conditions to build innovation platforms for the iron and steel industry and actively strive to create national innovation platforms. We will strengthen the construction of the standards and technology system, formulate and issue a number of basic and universal national and industry standards, and cultivate and develop a number of advanced and applicable high-level group standards to meet the needs of the market and innovation.

(5) it is strictly forbidden to increase steel production capacity. We will resolutely curb the blind construction of iron and steel smelting projects, strictly implement laws, regulations and policies such as capacity replacement, project filing, environmental assessment, pollutant discharge permits and energy assessment, and shall not increase iron and steel production capacity in the name of machining, casting, ferroalloy, etc. Strictly implement laws and regulations on environmental protection, energy consumption, quality, safety and technology, make use of comprehensive standards to promote backward production capacity in accordance with the rules and regulations, and strictly prevent the resurgence of "strip steel" and the resumption of excess production capacity. To study and implement differential regulation and control policies based on carbon emissions, pollutant emissions, total energy consumption, capacity utilization, etc. We will improve the long-term mechanism for preventing overcapacity and intensify the investigation and punishment of violations of laws and regulations.

(6) optimize the industrial layout structure. We will encourage key areas to raise phase-out standards and phase out low-efficiency, high energy consumption and high pollution processes and equipment such as step-by-step sintering machines and pellet shaft furnaces. Areas with environmental capacity, energy consumption targets, market demand, resources and energy security and relatively insufficient iron and steel capacity are encouraged to undertake the transfer of capacity. Areas that have not achieved the total capacity control target shall not be transferred to iron and steel production capacity. Iron and steel smelting projects are encouraged to rely on the agglomeration and development of existing production bases. For iron and steel smelting projects that are really necessary for new construction and relocation, they must be built in accordance with the level of advanced technology and equipment. The existing urban steel mills should be based on on-the-spot transformation, transformation and upgrading, and the urban steel mills that can not meet the ultra-low emission requirements and weak competitiveness should be based on on-site reduction and exit. To co-ordinate the development of the coking industry and the iron and steel industry, and guide the coking industry to strengthen the transformation of green environmental protection.

(7) to promote the merger and reorganization of enterprises. We will encourage leading enterprises in the industry to implement mergers and restructuring to create a number of world-class super-large iron and steel enterprise groups. Relying on the advantages of enterprises in the industry, we have cultivated 1-2 professional pilot enterprises in stainless steel, special steel, seamless steel pipe, cast pipe and other fields. We will encourage cross-regional and cross-ownership mergers and reorganization of iron and steel enterprises, change the "small disorderly" situation of the iron and steel industry in some areas, and strengthen the endogenous driving force for the development of enterprises. Guide the independent hot rolling and coking enterprises in Beijing, Tianjin, Hebei and its surrounding areas to participate in the merger and reorganization of iron and steel enterprises in an orderly manner. Policy support for capacity replacement shall be given to enterprises that have completed substantive mergers and restructuring in the construction of smelting projects. Financial institutions are encouraged to actively provide comprehensive financial services to iron and steel enterprises that carry out merger and reorganization, layout adjustment, transformation and upgrading in accordance with the principles of risk control and commercial sustainability. We will properly do a good job in the placement of workers in the merger and reorganization of iron and steel enterprises.

(8) orderly development of electric furnace steelmaking. Promote the high-quality and efficient utilization of scrap resources and guide the development of electric furnace steelmaking in an orderly manner. Implement policies such as differential capacity replacement and environmental protection management for full scrap EAF steelmaking projects. Encourage qualified blast furnace-converter long process enterprises to transform and develop electric furnace short process steelmaking. We will encourage small and medium-sized electric furnace steel enterprises that meet the requirements of energy conservation, environmental protection and technical standards and specifications around central cities and urban clusters to produce products that meet the needs of the regional market and coordinate the consumption of urban and surrounding wastes. We will actively develop new electric furnace equipment and speed up the improvement of the relevant standard system for electric furnace steelmaking. We will promote the integrated development of scrap recovery, disassembly, processing, classification and distribution, and further improve the construction of scrap processing and distribution system. Encourage areas with favorable conditions to carry out the construction of demonstration areas for the development of electric furnace steel and explore the application of new technologies and equipment. About 8 dominant benchmark electric furnace steelmaking and scrap processing and distribution enterprises are selected to form an industrial model that can be popularized.

(9) to further promote green and low carbon. Implement the carbon peak implementation plan of the iron and steel industry, and promote the coordinated treatment of pollution reduction and carbon reduction as a whole. We will support the establishment of a low-carbon metallurgical innovation alliance, formulate an action plan for hydrogen metallurgy, and accelerate the research and application of low-carbon smelting technology. We will support the construction of a carbon emission data management system for the whole process of iron and steel production and participate in the national carbon emissions trading. We will carry out diagnostic services for industrial energy conservation and support enterprises to increase the proportion of green energy use. We will comprehensively promote the transformation of ultra-low emissions in the iron and steel industry, speed up the clean transportation of iron and steel enterprises, and improve differential electricity tariff policies that are conducive to green and low-carbon development. Actively promote the coupling development of iron and steel with building materials, electric power, chemical industry, non-ferrous materials and other industries, and improve the comprehensive utilization efficiency of solid waste resources such as steel slag. We will vigorously promote the utilization of enterprises' comprehensive wastewater, urban domestic sewage and other unconventional water sources. Promote green consumption, carry out pilot projects of steel structure housing and rural housing construction, optimize the steel structure building standard system, establish and improve the evaluation system of steel green design products, and guide the upgrading of steel in downstream industries.

(10) vigorously develop intelligent manufacturing. We will carry out an action plan for intelligent manufacturing in the iron and steel industry, promote the application of technologies such as 5G, industrial Internet, artificial intelligence, commercial passwords and digital twins in the iron and steel industry, break through a number of key common technologies of intelligent manufacturing in the fields of iron ore mining and iron and steel production, select a number of promotion and application scenarios, and cultivate a number of high-level professional system solution suppliers. Carry out the demonstration and promotion of intelligent manufacturing and create a number of intelligent manufacturing demonstration factories. Build the big data Center of the iron and steel industry and improve the ability of data resource management and service. Relying on leading enterprises to promote multi-base collaborative manufacturing, to achieve the optimization of the whole industry chain under the framework of industrial Internet. Encourage enterprises to vigorously promote intelligent logistics, explore the application of new generation information technology in all aspects of production and marketing, and constantly improve efficiency and reduce costs. Construct the intelligent manufacturing standard system of the iron and steel industry, and actively carry out the research on basic commonness, key technologies and industry application standards.

(11) greatly improve the quality of supply. Establish and improve the product quality evaluation system, speed up the upgrading of steel products, promote quality classification and classified evaluation in aerospace, marine and marine engineering equipment, energy equipment, advanced rail transit and automobiles, high-performance machinery, construction and other fields, continuously improve the stability and consistency of physical quality of products, and promote the physical quality of steel products. We will support iron and steel enterprises to aim at the upgrading of downstream industries and the development direction of strategic emerging industries, focusing on developing small quantities and many varieties of key steel, such as high-quality special steel, special alloy steel for high-end equipment, and steel for core basic parts. we will strive to break through about five key new iron and steel materials every year to better meet market demand. Encourage enterprises to firmly establish a sense of quality first and brand leadership, further promote user-centered service-oriented manufacturing, and carry out large-scale customization, remote operation and maintenance services, networked collaborative manufacturing, e-commerce and other new business type, to enhance the added value of products and services.

(12) to improve the ability to guarantee resources. Make full use of two kinds of resources in both domestic and international markets to establish a stable and reliable diversified raw material supply system. We will strengthen the basic guarantee capacity of domestic mineral resources, promote the development of domestic key mine resources, support the construction of intelligent mines and green mines, strengthen the standardized management of the iron ore industry, and establish a system for iron ore energy reserve and mineral land reserve. Promote the application of comprehensive separation and utilization technology of refractory ores, and promote the comprehensive development and utilization of vanadium titanium magnetite. Encourage enterprises to carry out port mixed ore business, increase port inventory, and give full play to the buffer effect of port inventory on resource security. In accordance with the principle of marketization, strengthen international cooperation in the development of iron ore resources. We will improve the construction of the iron ore futures market, strengthen the supervision of the futures market, and improve the reasonable pricing mechanism for iron ore.

(13) to raise the level of essential safety. Compacting the main responsibility of enterprises, based on source prevention, from the industry planning, industrial policies, regulations and standards, administrative licensing and other aspects to guide enterprises to strengthen production safety management. Iron and steel enterprises should improve and improve the safety risk prevention and control mechanism, continue to promote the standardization of production safety, fully implement the safety production responsibility system, thoroughly carry out the investigation and treatment of hidden dangers of safety risks, and eliminate backward and high-risk technology and equipment. we will implement the application of online monitoring and early warning technology for major hazard sources, and prevent and contain the occurrence of major and serious accidents. Implement the main responsibility of network security, vigorously improve the security of commercial password applications, enhance the security protection level of industrial control systems, formulate emergency response plans, and actively deal with the security challenges brought about by the integration of emerging technologies.

(14) to maintain fair market order. Strengthen the standardized management of production and operation of iron and steel enterprises, strengthen the restriction of quality, equipment, environmental protection, energy consumption and safety, strengthen the supervision after the event, and realize the dynamic adjustment of "in and out". We will strengthen the construction of the integrity system of enterprises, create a fair and honest market environment, punish unauthorized new production capacity, fake and shoddy products, and illegal pollution discharge in accordance with the rules and regulations, and bring them into the joint punishment mechanism. Give full play to the role of industry organizations, enhance the awareness of corporate social responsibility and the spirit of industry self-discipline, avoid disorderly and vicious competition, and maintain the smooth operation of the industry. We will establish an evaluation system for the high-quality development of enterprises, promote standardized and classified management of production and operation in iron and steel enterprises, and support the development of "benchmarking, tapping potential, technological transformation and upgrading". To build a number of iron and steel demonstration enterprises with representative achievements and high development quality in the fields of new materials, intelligent manufacturing, green and low carbon.

(15) raise the level of opening up and cooperation. We will take the lead in implementing high-quality standards, speed up the translation and transformation of international standards and Chinese standards, promote the mutual recognition of international inspection, testing and certification results, and guide the coordinated "going out" of Chinese iron and steel products, equipment, technology and services. Resource products and semi-finished products such as pig iron, direct reducing iron, recycled iron and steel raw materials, billets and ingots are encouraged to be imported. Encourage domestic and foreign iron and steel, mining and shipping enterprises to strengthen cooperation and build a global steel industry ecosystem with complementary advantages and mutual benefit.

III. Safeguard measures

(16) strengthen organization and implementation. The relevant departments of various localities should strengthen overall planning and coordination, strengthen supervision during and after the event, and promote the implementation of all kinds of work in detail. Relevant enterprises should push forward the relevant work pragmatically in accordance with their own reality and in accordance with their main objectives and key tasks. Industry organizations should give full play to their role as bridges and links, strengthen guidance and services to enterprises, reflect new situations and problems in a timely manner, and put forward policy suggestions.

(17) strengthen policy coordination. Strengthen policy convergence and strengthen industrial and financial cooperation. We will give full play to the role of the national industry-finance cooperation platform, actively support enterprises to undertake the tasks of tackling key technological problems and cutting-edge technological breakthroughs, and guide and encourage social capital to increase investment in new materials, intelligent manufacturing, green manufacturing, and resource security. Pay attention to demand guidance and standard guidance, promote the downstream steel industry to improve the requirements of design specifications and standards, and guide the consumption upgrading of iron and steel products. Promote the iron and steel industry to disclose environmental information in accordance with the law and accept social supervision.

(18) strengthen the propaganda of public opinion. Strengthen the interpretation and promotion of policies to form a good environment of public opinion. Widely publicize the good experience and good practices of high-quality development of the iron and steel industry, set a model, learn advanced, maintain and enhance the social image of the iron and steel industry, and enhance the sense of mission, responsibility and honor of the whole industry to promote high-quality development. We will strengthen supervision by public opinion, expose violations of laws and regulations in a timely manner, and strengthen negative warnings.

Ministry of Industry and Information Technology

National Development and Reform Commission

Ministry of Ecological Environment

January 20, 2022