With the rapid growth of China's economic construction, China's iron and steel industry has also developed rapidly. In 2004, China's steel output reached a record high of 272 million tons, becoming the world's largest iron and steel country. After the rapid development in recent years, the steel industry has gradually shown the lack of demand for natural resources, tons of production energy consumption is too large, environmental pollution, strict state control and other contradictions. As the "second mining industry" of iron and steel industry, scrap steel resource has the advantages of energy saving, pollution reduction, environmental protection, recycling, low cost of smelting, and its influence will be more and more significant. In recent years, the supply of scrap steel is increasing year by year, and its function is gradually expanding. In 2004, it exceeded 50 million tons, making the resources further recycled.
Domestic steel scrap mainly comes from the social steel scrap recycling institutions, the social recycling of steel scrap accounted for about 60% of the amount of steel scrap, is the main source of steel scrap in China; The second is the steel scrap produced by the steel mill; In addition, although China has become the largest steel producing country, the total steel reserves in China are not very sufficient, so the total amount of domestic steel scrap still can not meet the demand for steel scrap steelmaking, about 1/4 of the volume depends on import, to make up for the shortage of domestic steel scrap resources. Electric furnace steelmaking is the main consumption of scrap steel resources, and with the further expansion of electric furnace steelmaking in the steel industry, the demand for scrap steel resources will be further expanded.
