Main Characteristics of Electric Arc Furnace Steelmaking

Main Characteristics of Electric Arc Furnace Steelmaking

While electric arc furnace (EAF) steelmaking offers numerous advantages, its competitiveness in China—particularly for ordinary steel and long products—remains constrained by high scrap and electricity costs. As a result, EAF production currently holds a leading role mainly in the manufacture of special steels, characterized by small batch sizes, diverse grades, and high alloy content.

Globally, many short-process EAF producers have adopted high-productivity, high-power furnaces. Furthermore, the traditional three-stage operation that included a dedicated reduction period is increasingly being replaced by integrated process routes incorporating secondary refining. These developments, along with more advanced and rational supporting facilities, have contributed to a year-on-year increase in the global share of EAF steel output.

China, as a developing economy, is still in the early phase of large-scale infrastructure development, and a period of mass scrap recovery has not yet been fully realized. Additionally, the country’s power supply remains unevenly developed, with electricity prices still relatively high. Consequently, the growth of EAF steelmaking in China has been slower compared to that of basic oxygen furnace (BOF) production. Although the absolute output of EAF steel continues to rise, its proportion in China’s total steel production has been declining annually—a trend that contrasts with the global shift toward EAF-based steelmaking.

Looking ahead, improvements in China’s power infrastructure, accumulation of scrap steel resources, and stronger policies on environmental protection and resource management are expected to support a more favorable environment for EAF steelmaking. In time, these developments will likely enable more comprehensive technological advancement and wider adoption of electric arc furnace steelmaking in China.

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