Chrome, nickel set to benefit as China’s decarbonization push spurs stainless steel capacity growth: 2022 preview

With decarbonization remaining a top priority in China’s ferrous and non-ferrous industries, stainless steel - due to its durability and full recyclability - stands out as a sustainable material that is set to gradually grow in popularity in the coming years, according to market sources.

At the same time, opportunities for stainless steel producers in the country to expand their capacity given this increased popularity would also drive fresh demand for upstream products such as nickel pig iron (NPI) and ferro-chrome, sources added.
The average carbon dioxide (CO2) emissions from steel production is about 1.85 tonnes CO2 per tonne of steel produced, according to the World Steel Association (WSA). This compares with an average of 2.23 tonnes for each tonne of stainless steel produced.
“But considering its durability, stainless steel is obviously environmentally friendly,” Shaoliang Zhong, deputy director general of the WSA's Beijing office, said at the China Stainless and Special Alloy Industry Forum in October.

For example, to achieve a 150-year lifecycle for a piece of machinery, the CO2 emissions will be 3.3 tonnes for each tonne of stainless steel used, while that for one tonne of carbon steel will be 4.3...

Published

Jessica Zong

Siyi Liu

Yingchi Yang

January 07, 2022

11:15 GMT

Shanghai