Collaboration with Baosteel sets new benchmark for steel emissions data collection; Plaza 66 Pavilion Extension in Shanghai achieves a 35% reduction from baseline steel emissions
HONG KONG SAR / SHANGHAI, CHINA – Media OutReach Newswire – 27 November 2024 – Spearheading the effort to decarbonize real estate across China, Hang Lung Properties Limited (SEHK stock code: 00101) (“the “Company” or “Hang Lung”) is using nearly 100% low carbon emissions steel for all above ground structural plates (to be manufactured into columns and beams) and reinforcing bars of its Pavilion Extension at its flagship Plaza 66 mall in Shanghai. This marks the first commercial real estate project in mainland China to incorporate low carbon emissions steel, sourced from Baoshan Iron & Steel Co., Ltd. (“Baosteel”), achieving a 35% reduction in the steel’s embodied carbon compared to conventional steel alternatives.
“The steel procurement in our Plaza 66 Pavilion Extension project is an exciting moment for Hang Lung,” said Mr. Adriel Chan, Chair of Hang Lung Properties. “Thanks to our collaboration with Baosteel, a leader in steel decarbonization in China, as well as with other industry partners, we have set a new benchmark for steel emissions reductions in the real estate sector. Hang Lung will continue to implement sustainable practices across our value chain, including the application of low carbon emissions steel on other development projects, such as Westlake 66 in Hangzhou.”
To meet Hang Lung’s stringent low carbon emissions steel tender specifications for the project, the main contractor and Baosteel collaborated closely to provide accurate product-level carbon emissions data with the Company. This collaboration set a new industry standard for transparent, traceable and trusted emissions data. Baosteel calculated the products’ carbon footprint through Baosteel intelligent Carbon Data platform using a lifecycle analysis model developed by Shanghai E-Carbon Digital Technology Co., Ltd. (“EC-Digital”). This data was verified by TÜV SÜD, a global third-party certification body.
Notes to Editors:
1. Hang Lung’s Leadership in Decarbonization Commitments
Hang Lung was the first real estate company in mainland China and Hong Kong to obtain validation from the Science-Based Targets initiative (SBTi) for its net zero targets in accordance with SBTi’s Net Zero Standard in December 2022.
Hang Lung was the first real estate company in mainland China and Hong Kong to join Climate Group’s SteelZero initiative in December 2023, according to which the company commits to transitioning to using 50% lower emission steel by 2030 and setting a clear pathway to using 100% net zero steel by 2050.
2. BeyondECO®
BeyondECO® is Baosteel’s groundbreaking mass-produced low carbon emissions steel product that reduces emissions through a combination of renewable energy and recycled steel scrap. The exact combination of these contributing factors varies from product to product. For example, the reinforcing bars used in the Plaza 66 Pavilion Extension project achieved carbon emission reduction of more than 50% through a combination of 100% renewable energy and 60% recycled scrap.
Explainer: Low carbon emissions steel in Hang Lung’s Plaza 66 Pavilion Extension project
Breakdown of steel emissions reductions by type of steel (above ground)
