In Jiaocheng, the city is known for its ubiquitous "sky lanterns" that float above coke plant chimneys, a unique and eye-catching landscape. However, this visual spectacle comes at a cost—these lanterns symbolize the inability to recycle and the environmental challenges faced by the local coking industry. As resource depletion and environmental pressures mount, the state has implemented a series of macro-control measures targeting the coking sector. Experts argue that the only viable path forward for coking enterprises is to embrace the "coal-coking-chemical" integration model, focusing on deep processing and extending the industrial chain. This shift has led to a new trend in the industry: moving from traditional coking to chemical production. At the Shanxi Provincial Enterprise Development High-Level Forum, economist Zhong Pengrong emphasized the need for coking companies to diversify their investments, as single-focused operations often lead to losses. Currently, the recovery rates of by-products like coke oven gas, coal tar, and crude benzene in Shanxi are low, resulting in significant pollution and waste. Only a small percentage of revenue comes from chemical production, highlighting the industry’s reliance on traditional methods. The economic structure of many counties in Shanxi heavily depends on coal-based industries, including coking, which accounts for over 70% of local income. However, many coking plants still lack proper environmental facilities, leading to non-compliant emissions and serious ecological damage. Despite recent clean-up efforts, outdated technologies continue to cause unnecessary waste and pollution. In areas like Luliang, the sight of red flames from uncontrolled gas combustion is common, with many small-scale plants still operating without proper recycling systems. According to data from the China Coking Industry Association, despite a decline in soil and modified coke output, the total volume remains high, with vast amounts of coke oven gas wasted annually. This not only causes economic loss but also contributes significantly to air pollution. With nearly 80 billion cubic meters of gas produced yearly, around 25 billion are wasted, costing over 5 billion yuan annually. The inefficiency of the industry reflects its lack of modernization and sustainable practices. As national policies push for stricter regulations, the future of traditional coking enterprises is uncertain. The closure of Shougang’s blast furnace highlights the potential risks for smaller, less efficient producers. Over the years, numerous policies have been introduced to phase out outdated capacities and promote cleaner production. In response, the industry is evolving, shifting from "coke-only" to integrated chemical production. Shanxi’s coking industry is undergoing a transformation, aiming to become a major player in the coal chemical sector. By 2011, the province aims to reduce the number of coking enterprises and increase their average scale, while improving gas utilization and reducing water consumption. Projects like methanol-gasoline production are being prioritized, with plans to build the largest such base in the country. These developments reflect a broader strategy to move away from simple coking toward high-value-added chemical production. Companies like Shanxi Coking Group are leading the way, investing in advanced technologies to process coal tar and produce multiple chemical products. Their projects demonstrate the potential for deep processing and environmental sustainability. Other firms are following suit, building large-scale facilities to extract valuable by-products and reduce waste. This shift is not just about survival—it's about redefining the industry’s role in the modern economy. With energy conservation and emission reduction becoming central to national policy, the coking industry must adapt or risk obsolescence. The future lies in innovation, integration, and sustainable development. By embracing chemical production and deep processing, coking companies can transform their operations, create new value, and contribute to a greener, more efficient industrial landscape.

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