The World Steel Association (worldsteel) said that scrap steel plays an important role in reducing carbon emissions, saving resources, and promoting economic development, but due to the "dual carbon" goals of various countries and stricter recycling regulations, the steel industry will face higher adaptation requirements in the scrap steel processing link.

Scrap steel can be 100% recycled, and the recycling process includes classification, crushing, melting, refining, and casting. New scrap steel (industrial scraps) has less pollution and higher value, while depreciated scrap steel is relatively complex.

Although scrap steel processing technology has improved in recent years, some steel grades are still difficult to produce from scrap steel. The average life of steel products also limits the supply of scrap steel. For example, the life of construction materials is long, which leads to a delay in the conversion of steel into usable scrap steel.

Worldsteel predicts that the global supply of depreciated scrap steel will reach 900 million tons by 2050. Among them, the steel used for industrialization in China in the early 21st century will become an important resource support for the steel industry.