That caveat is aimed at giving more flexibility to countries highly reliant on coal power, such as G7 member states Germany and Japan.

Tata Steel and ISM said in a joint statement on Wednesday,May 1.

"Optimizing the variety and adjusting the structure of products are critical amid fierce market competition."

China has been stepping up construction of new energy storage in recent years to build a new power system in the country amid its green energy transition, said authority.

Over a three-year period, the company sold more than 11.9 million tons of high-quality steel products, with approximately 4.8 million tons exported worldwide.

The exports increased by 49% year on year to 1.28 million tonnes in 2022, but dropped slightly by 4% to 1.23 million tonnes in 2023.

Shougang has exported its electrical steel to more than 24 countries and regions.

Members of the European Parliament (MEPs) have adopted Net-Zero Industry Act, which plans to allocate funds towards the production of net-zero technologies.