I. Policy Focus: Intensified Special Support Under the Guidance of Residential Industrialization

As the core form of prefabricated housing, steel-structure residential buildings have established a precise support system characterized by “national policy guidance + local pilot programs + complementary standards,” driving the industry’s transformation from “demonstration pilots” to “large-scale promotion.”

At the national level: The “14th Five-Year Plan for Science and Technology Development in Housing and Urban-Rural Construction” explicitly identifies “key R&D on critical technologies and components for steel-structure residential buildings” as a priority area. The revised edition of the “Design Standard for Steel-Structure Residential Buildings” (GB 51249-2017) enhances its adaptability to residential scenarios by introducing new specific requirements for sound insulation, thermal insulation, and waterproofing. The “Opinions on Accelerating the Development of Affordable Rental Housing” stipulate that “affordable housing should prioritize prefabricated construction methods such as steel structures,” and by 2025, the proportion of steel structures in prefabricated residential buildings must reach over 20%.

Local Implementation: Shanghai provides a subsidy of 400 yuan per square meter for steel-structure commodity residential buildings, and 100% of affordable housing projects adopt steel-structure systems. Hunan is promoting the construction of “Demonstration Cities for Steel-Structure Residential Buildings”; cities such as Changsha and Zhuzhou require that steel structures account for at least 15% of newly built residential buildings by 2024. Zhejiang has issued the “Standards for Calculating the Assembly Rate of Steel-Structure Residential Buildings,” under which projects with an assembly rate exceeding 75% can enjoy floor area ratio incentives.

Special Incentives: The central government provides financial support of up to 15 million yuan for demonstration projects of steel-structure residential buildings. Real estate developers constructing steel-structure residences can benefit from a 10% reduction in the regulatory ratio for pre-sale funds. Green finance policies are tilted toward steel-structure residential buildings, and individuals purchasing such homes can enjoy mortgage interest rate reductions ranging from 5% to 10%.

II. Market Uprising: Rising Housing Demand Spurs the Boom of Niche Segments

Driven by policy and fueled by growing consumer demand for “green and healthy living,” the steel-structure housing market is rapidly expanding, giving rise to a development pattern characterized by “leading property developers taking the lead, supported by regional cluster ecosystems.”

Scale Data: According to statistics from the Residential Division of the China Steel Structure Association, China's steel-structure residential market reached 186 billion yuan in 2023, representing a year-on-year increase of 58% and accounting for 16.9% of the total steel-structure construction market. The market is projected to exceed 400 billion yuan by 2025, with a compound annual growth rate surpassing 45%. By 2030, the market size is expected to reach 1.2 trillion yuan, with commodity residential buildings, affordable housing, and self-built rural homes accounting for 45%, 35%, and 15% of the market share, respectively.

Industrial chain layout:

Upstream: Baowu Steel and Ansteel Group have launched high-strength steel grades specifically designed for residential use (yield strength ranging from 460 MPa to 690 MPa), which reduce carbon emissions by 22% compared to conventional steels. They have also developed specialized components, such as earthquake-resistant connectors and anti-corrosion coatings, to complement these steels.

Midstream: Hangxiao Steel Structure, Yuanda Residential Construction, and China State Construction Engineering Corporation (CSCEC) are leading the production of steel-structure residential modules. Hangxiao Steel Structure’s “Steel Tube Bundle Residential System” boasts an annual production capacity of 200,000 units, with a prefabrication rate exceeding 95%. Component manufacturers are stepping up their support: North New Materials has launched specialized thermal insulation partition panels for steel-structure residences, while Oriental Rainbow has developed waterproofing systems tailored to steel-structure building nodes.

Downstream: Property developers such as Vanke, Poly, and Greentown are developing steel-structure residential product lines. Vanke’s “Steel Home” series saw over 8 million square meters of new construction starts in 2024. In Greentown’s steel-structure residential projects, resale premiums for second-hand homes have reached 12% to 18%. In the affordable housing sector, steel structures already account for 40% of Beijing’s shared-ownership housing and Shanghai’s public rental housing. The rural market is rapidly expanding; Shandong and Anhui provinces have launched steel-structure prefabricated home packages for rural self-construction, with costs per unit reduced by 8% to 10% compared to traditional brick-and-concrete structures.

III. Core Values: A Dual Upgrade of Residential Experience and Low-Carbon Performance

Compared to traditional brick-concrete and concrete residential buildings, steel-structure residences achieve precise value breakthroughs tailored to specific living scenarios:

1. Low-Carbon Environmental Protection and Sustainability: Steel-structure residential buildings have a recyclability rate of up to 98%, reducing construction waste by 90% compared to concrete buildings. A steel-structure residential community spanning 100,000 square meters can cut its lifecycle carbon emissions by 35%-40% compared to conventional communities—equivalent to an annual reduction of approximately 12,000 tons of CO₂. In 2023, the green electricity usage rate in steel production reached 32%, and further potential for carbon reduction will continue to be unlocked in the future.

2. Comprehensive improvement in living quality:

Flexible space: With a design that eliminates load-bearing walls, interior spaces can be freely divided, increasing the usable floor area by 5%-8% (resulting in an additional 6-10㎡ of usable space for the same total building area).

Safe and Comfortable: With an earthquake resistance rating of 8 degrees or higher and a 30% improvement in wind-load resistance, this design is ideal for regions prone to earthquakes and typhoons. It features a new enclosure system that delivers sound insulation of over 45 dB—15 dB better than conventional housing—and ensures indoor temperature fluctuations remain within ±3℃, meeting the thermal performance requirements of extremely cold regions.

Healthy and Livable: Steel structural components are free of harmful substances such as formaldehyde. New eco-friendly enclosure materials ensure that indoor air quality meets standards in 99% of cases, and demonstrate remarkable moisture-proof and mold-resistant performance in humid regions.

3. Construction and Operation Advantages: Utilizing a factory-prefabricated + on-site assembly model, the construction period is shortened by 40% to 60% compared to traditional residential buildings (a 100,000-square-meter residential community can be built in just 8 to 10 months). Component precision errors are ≤1mm, reducing dust and noise pollution during construction by 70%. Post-construction renovations are convenient, allowing for upgrades to residential functions (such as adding elevators or expanding space). The building’s service life is extended to over 100 years, and operation and maintenance costs are reduced by 20% to 25%.

IV. Development Bottlenecks: Multiple Constraints on Housing Fit and Market Awareness

Steel-structure residential buildings still face unique challenges specific to residential settings as they are scaled up for wider adoption.

Insufficient technical compatibility: The technology for connecting enclosure systems with steel structure nodes still needs optimization. Some projects suffer from inadequate thermal insulation performance and poor waterproof sealing. In cold regions, the thermal bridge effect in steel-structure residential buildings has not yet been fully addressed, necessitating additional increases in insulation layer thickness and driving up construction costs.

Cost and Supply Chain Constraints: The large-scale production of steel structural components and enclosure systems specifically designed for residential use is insufficient, resulting in initial construction costs that are 8% to 15% higher than those for concrete-based housing. In small- and medium-sized cities, the supply chain for steel-frame residential buildings is incomplete, and the transportation radius for components is limited—beyond 300 kilometers, transportation costs rise significantly.

Standards and Cognitive Biases: Different enterprises lack unified standards for steel-structure residential systems, and the commonality of components and parts is insufficient (with a commonality rate of only 38%), making later repairs and replacements particularly challenging. Moreover, consumers hold misconceptions about the fire resistance, corrosion resistance, and sound insulation performance of steel-structure homes, resulting in an acceptance rate of less than 40% in third- and fourth-tier cities as well as rural markets.

Design and Talent Gaps: Architects lack sufficient experience in spatial design and aesthetic expression for steel-structure residential buildings, and some projects suffer from the issue of “overemphasis on industrialization but insufficient attention to human-centered design.” There is a shortage of versatile professionals who possess both expertise in steel-structure technology and residential design; among industry practitioners, only 32% meet the required standards for specialized skills in residential design.

V. Future Trends: Deep Integration of Standardization, Humanization, and Intelligentization

Steel-structure residential buildings will evolve toward greater adaptability, lower costs, and enhanced user experience, all centered around the needs of different living scenarios.

1. Technological innovation focuses on residential suitability: The cost of a new composite enclosure system—such as an integrated structure combining steel frame, vacuum-insulated panels, and decorative panels—has dropped by 20%, while its thermal insulation and soundproofing performance has improved by another 15%. Cold-formed thin-walled steel structure technology has been optimized to better suit lightweight construction scenarios like self-built rural homes and small-scale apartments. Fire- and corrosion-resistant technologies have been upgraded, with the service life of nano-composite fire-retardant coatings extended to 30 years and their costs reduced by 30%.

2. Popularization of Standardization and Modularization: The state will introduce universal standards for prefabricated steel-structure residential components, raising the universal adoption rate of core components to 70% by 2025. Modular steel-structure housing will become mainstream, with integrated kitchen, bathroom, and smart-home modules achieving a penetration rate of 60%, and construction periods further shortened by another 25%.

3. Deep Integration of Green and Smart Technologies: By combining steel-structure residential buildings with Building Integrated Photovoltaics (BIPV) and energy-storage technologies, we are creating “zero-carbon homes” whose annual power generation from a single household can meet 50% to 70% of its electricity needs. Digital twin technology is being applied to residential operations and maintenance, enabling real-time monitoring of the stress status of steel structures and indoor environmental quality, thus facilitating intelligent control and regulation.

4. Market Penetration and Scenario Expansion:

Urban Markets: The proportion of mandatory steel structures in affordable housing and talent apartments will increase, reaching an estimated 60% by 2027. In the renovation of older residential communities, steel-structure retrofitting and age-friendly renovation solutions will be promoted.

Rural Markets: Launching low-cost, standardized prefabricated steel-frame housing packages tailored to rural living needs; by 2030, the penetration rate of steel-frame residential buildings in rural areas is expected to reach 25%.

5. Two-way driving by policy and market: Local governments will further increase subsidies for steel-structure residential buildings and promote a combined incentive model of “carbon emission reduction trading + green finance.” Real estate developers will establish standardized product lines for steel-structure residences, leveraging economies of scale to reduce costs, with steel-structure homes achieving “cost parity” with concrete homes by 2026. Meanwhile, consumer education will continue to deepen, and the low-carbon, safe, and flexible advantages of steel-structure residences will gradually gain market recognition.