Australia and China have signed a memorandum of understanding to establish a formal policy dialogue on steel decarbonisation, marking a significant step in bilateral cooperation on reducing emissions across the iron and steel value chains. The agreement fulfills a commitment made during Australian Prime Minister Anthony Albanese’s visit to China in July 2025.
Value chain emissions, low-emission markets and policy alignment
The policy dialogue will concentrate on several priority areas:
- decarbonization pathways for iron and steel value chains.
- decarbonized iron and steel markets and trade.
- respective domestic policy settings and opportunities for cooperation.
With steelmaking responsible for up to nine percent of global greenhouse gas emissions and demand for low-emissions steel set to grow significantly in the coming decades, coordinated action is seen as essential to accelerating global decarbonisation.
Australia will host the inaugural meeting of the policy dialogue in 2026.
