Inter-fuel substitution in the Chinese iron and steel sector

Russell Leigh Smyth, Paresh Narayan, Hongliang Shi

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36 Citations (Scopus)


China s iron and steel sector is the largest in the world and has been the backbone of Chinese heavy industry. This sector is also a major consumer of energy and, in particular, coal. As a result, the iron and steel sector in China is a major contributor to greenhouse gas emissions and other pollutants. In this paper we examine the potential for inter-fuel substitution between coal, electricity, natural gas and oil in the Chinese iron and steel sector and find that these energy inputs are substitutes. The finding that these alternative energy sources are substitutes for coal suggests that China has the potential to switch from coal to cleaner energy sources; hence, retaining the ability to fuel its iron and steel sector, while reducing the adverse environmental implications.
Original languageEnglish
Pages (from-to)525 - 532
Number of pages8
JournalInternational Journal of Production Economics
Issue number2
Publication statusPublished - 2012

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