Climate Policy Engagement Analysis
Climate Policy Engagement Overview: China Iron and Steel Association (CISA) appears to have communicated a positive top-line position on climate policy, but has limited engagement with specific climate policies. The organization appears to have a mixture of positive and negative engagement on the low-carbon energy transition.
Top-line Messaging on Climate Policy: CISA appears to have communicated a positive top-line position on climate policy. It recognized some of the science of climate change in a May 2021 article published on China Steel News, a news media outlet managed by the association. In a November 2021 press release, CISA supported the Paris Agreement. In a July 2021 press release, the Chairman of CISA, Shen Bin, backed China’s 2060 carbon neutrality target. In an interview reported by the National Business Daily in March 2021, the vice president of CISA, Li Xinchuang, called for government policy to guide the low-carbon transition of the steel sector.
Engagement with Climate-Related Regulations: CISA appears to have limited but positive engagement with climate regulations. As of January 2023, CISA appears to have not disclosed its position on any specific climate regulations, either in its organizational reporting or on its website. In a July 2021 press release, the Chairman supported the iron and steel sector to participate in emissions trading under a carbon market quota allocation scheme. In a July 2021 press release, CISA suggested formulating government policy to address the overcapacity issue in the steel sector in the long term. In an interview reported by National Business Daily in March 2021, the vice president of CISA appeared to support introducing carbon emission standards for the iron and steel sector.
Positioning on Energy Transition: CISA has communicated a mixed position on the energy transition away from coal in the steelmaking process. In an April 2022 press release, CISA called for government support to develop a number of technologies to decarbonize steel production, including electric arc furnaces and CCUS. As reported by Xinhua Finance in December 2022, the organization 1106366 an expanded role for hydrogen in steelmaking, however, without communicating the need to decarbonize hydrogen production. In an interview reported by National Business Daily in March 2022, while supporting the low-carbon transition in the steel sector, CISA did not appear to support timely efforts to replace coking coal with green hydrogen, citing concerns for cost and availability of technologies.