Electrical steel is a vital core material in magnetic devices. For example, these devices include transformers, ballasts, amplifiers, voltage stabilizers, relays, rectifiers, and electromagnetic switches. In recent years, three forces have driven demand. Specifically, they are the rise of new energy power systems, the national dual-carbon strategy, and the growth of smart manufacturing. As a result, grain-oriented silicon steel (CRGO) has become the center of attention in transformer core applications.
Against this backdrop, Baosteel continues to advance its CRGO work. As a leading domestic manufacturer of oriented silicon steel, the company pushes R&D and mass production forward. In addition, its focus covers high magnetic induction, low core loss, and thin-gauge products. Notably, Baosteel has achieved domestic breakthroughs in high magnetic induction CRGO (Hi-B). Consequently, these grades now serve high-end equipment manufacturing projects, including State Grid, UHV substations, and large-scale industrial power distribution.
Meanwhile, MOOPEC is committed to agile, high-efficiency material solutions. We tailor them to customer needs for core customization and small-batch development. For instance, our offer includes fast prototyping, import substitution, and process adaptability. Moreover, we provide full technical support and reliable delivery, from material selection and sample production to cutting processes.
I. Development History of CRGO and Its Evolution in China
Historically, grain-oriented electrical steel was first patented in 1934 by Goss in the United States. The principle is straightforward. In short, it controls grain orientation through cold rolling. This reduces hysteresis loss and enhances magnetic performance. Later, the emergence of Hi-B grades further improved transformer efficiency.
In recent years, domestic manufacturers have invested continuously, and Baosteel is the clearest example. As a result, China now mass-produces high-performance CRGO with B8 ≥ 1.95T. In fact, core loss reaches ≤ 0.90W/kg at 0.23mm thickness. Therefore, these advancements have steadily narrowed the gap with global leaders such as JFE and Nippon Steel.
II. Baosteel CRGO Production Process Overview
From Iron Ore to Magnetic Testing
In practice, Baosteel’s CRGO production mainly uses an advanced continuous casting and rolling method. The main steps are as follows:
iron ore smelting → blast furnace ironmaking → converter steelmaking → refining → continuous casting → slab rolling → double cold rolling → annealing → coating → magnetic testing
For premium products, each stage is precisely controlled. Temperature, atmosphere, and impurity content are all monitored. As a result, grain orientation and consistency stay superior.
Technological process
Key Technologies Behind the Process
Four technologies matter most in this process:
- Integrated blast furnace and converter process: it optimizes molten iron composition and therefore enhances steel purity.
- Refining and casting control: this stage manages composition and temperature, thus ensuring slab quality.
- Cold rolling and annealing optimization: both steps are tuned, which in turn improves magnetic properties.
- Specialized annealing furnaces and coating: this stage enhances surface quality and, in turn, magnetic induction.
This rigorous process ensures excellent magnetic performance and consistency. Consequently, Baosteel’s CRGO meets the high standards of transformers, motors, and other demanding applications.
III. Industry Trends: New Processes and Applications
Green Manufacturing and Thinner Gauges
Baosteel now supports mass production of 0.18mm–0.23mm Hi-B steel. As a result, these grades are ideal for high-frequency and wound core transformers.
Innovative Short-Process Technologies
Globally, processes such as CSP (Compact Strip Production) are under R&D. Thin-strip casting and rolling is another. Both aim to reduce energy consumption and streamline production. Meanwhile, Baosteel is deploying such lines at its Qingshan base.
Functionality Upgrades
Functionality upgrades are moving in five directions. First, core loss is now 15%–40% lower. Second, magnetic induction reaches B8 2.03T. Third, ultra-thin gauges go down to ≤0.15mm. In addition, 6.5% high-silicon steel serves EV drive motors and aerospace power supplies. Finally, eco-friendly inorganic coatings are replacing traditional solvent-based adhesives.
IV. Application Trends and Key Steel Grades
Mainstream Baosteel CRGO Grades in China (2025)
Chinese transformer builders rely on a stable set of Baosteel CRGO grades:
- 500kV and above transformers: B30ZH100, B27ZH90
- ±500kV converter transformers: B27ZDKH85, B23ZDKH90
- 110–220kV class: B30ZH120, B27ZH100
- 10kV distribution transformers: B30Q130 (S9), B27ZH100 (S11)
International Equivalents
For import substitution, the following grades are the closest equivalents:
- JFE: 20JGH090, 20JGH095 (for wound cores), JGS Hi-B series
- Nippon Steel: ZDKH/ZDMH series (with laser scribing)
- Terni (Italy): M0H100-23 (laser domain refined)
V. Our Value-Added Services
As an authorized Baosteel service partner, we support R&D, pilot runs, and small-batch customers. Our capabilities include:
- Rapid material substitution advice: cross-referencing with JFE, Nippon Steel, and others.
- Small-batch sampling: from 50kg to 10 tons, with samples ready in 3 days and delivery in 7.
- Core stamping and cutting optimization: layout-based scrap reduction.
- Data support: core loss and magnetic induction tests, plus furnace batch traceability.
We have helped clients across the Middle East, Europe, and Southeast Asia replace imported materials. This matters most for critical projects in efficient power distribution, UHV networks, and railway transportation. In each case, Baosteel’s high-induction, stable CRGO grades delivered the result.
Global demand for high-efficiency, low-carbon-loss power systems keeps growing. Therefore, cold-rolled oriented electrical steel will play an increasingly critical role. We are committed to making material selection easier and prototyping faster. We also aim to make service more dependable, supporting every stage from concept to delivery.
Contact us for material data, processing plans, and sample quotations. Let high-performance silicon steel create higher value for your products.
Appendix: Advantages Under U.S. Trade Policy in 2025
The Tariff Situation
In 2025, the U.S. government reinstated and intensified the 25% import tariff on Chinese steel products, including CRGO. As a result, this policy continues to raise costs for U.S.-based manufacturers, especially in medium- and high-end transformer production. Moreover, U.S. domestic electrical steel capacity remains limited. Supplies of high-performance thin-gauge CRGO (0.23mm and below) are notably tight. Consequently, industry consensus holds that some key processes still rely heavily on imports.
Baosteel CRGO Export Advantages
Four advantages stand out for export customers.
1. Tariff exemption potential. Under Section 232, specific steel grades may qualify for exemption. In fact, some CRGO products from China have been approved in the past. Although not all Baosteel grades may currently qualify, our team can help evaluate exemption possibilities. We can also streamline the application process.
2. Strong green compliance potential. Baosteel has launched several eco-friendly, high-efficiency CRGO grades that meet international energy-saving standards. In addition, we are helping clients assess compliance with U.S. green procurement programs. One example is the EPA Federal Green Purchasing Guidelines. As a result, competitiveness in federal bids improves.
3. Thin-gauge shipping benefits. Baosteel’s 0.18mm CRGO grades are now stably available. Compared with thicker alternatives, thinner materials can cut packaging and shipping volume by around 30%. Consequently, ocean freight and import tax bases both fall.
4. Established processing and logistics routes. Customers can complete slitting, welding, or re-sheeting at processing centers in Vietnam, Thailand, or Mexico. With proper trade declarations, origin adjustments may be possible for compliant tariff reduction. We welcome inquiries for an initial assessment.
A Dual Win: Performance and Risk Control
In today’s complex global trade environment, Baosteel CRGO wins market recognition through product performance. It also helps customers mitigate policy risks through flexible supply and customs strategies. Overall, the outcome is secure supply plus cost optimization.
We warmly invite global clients to reach out to the MOOPEC team. Ask us for project-specific material substitution advice and customs route analysis. Together, let’s build a “high-performance, low-risk, strong-delivery” CRGO supply solution. We also support customers in crafting practical customs clearance paths and trade strategies. The goal is to reduce overall procurement risk.
In the current policy landscape, choosing Baosteel CRGO means more than guaranteed product performance. Ultimately, it is a dual win for supply security and cost control.
