Australia has formalised a new partnership with China to accelerate steel-sector decarbonisation, signing a memorandum of understanding (MoU) that will establish a bilateral policy dialogue on cutting emissions across the iron and steel value chain.
The agreement, signed by Australia’s Department of Industry, Science and Resources and China’s Ministry of Industry and Information Technology, underpins the Australia–China Policy Dialogue on Steel Decarbonisation. Leaders committed to the initiative during prime minister Anthony Albanese’s visit to China in July 2025.
The policy dialogue will create a structured forum for both nations to exchange insights and explore opportunities to decarbonise steel and ironmaking – sectors that together contribute up to 9 per cent of global emissions. With demand for low-emissions steel expected to grow sharply in coming decades, officials view cooperation as essential for global climate efforts.
The dialogue will focus on three core areas: pathways for decarbonising iron and steel processes; the development of markets and trade for low-emissions steel; and sharing domestic policy settings to support collaboration and innovation.
Under the agreement, Australia will host the inaugural dialogue in 2026.
