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China's first million-ton-level near-zero carbon steel production line is now operational in Zhanjiang, Guangdong, managed by a Baosteel subsidiary. The facility employs hydrogen-based technologies to minimize fossil fuel use in steel production, featuring a hydrogen shaft furnace with a capacity of 1Mt, an electric furnace, and a continuous casting line.

This project utilizes hydrogen metallurgy and electric smelting, replacing coke with hydrogen. Operational data show that the facility meets metallization targets for direct reduced iron (DRI), which will be used alongside scrap steel to produce low-carbon slabs.

The production line aims to reduce carbon emissions by 50% to 80% compared to traditional methods, potentially cutting emissions by over 3.14Mt/y. Meanwhile, Mexico's steel industry demonstrates efficiency with 48% lower emissions per ton than the global average, largely due to its use of Electric Arc Furnaces.