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Based on the main companies in china‟s iron and steel industry, this paper computed the industrial environmental efficiency by using DEA model; combined with Tobit regression, empirical researched the relationship between the environmental efficiency, firm size, and productivity difference. The empirical results showed that the firm size had no significant impact on the environmental efficiency and industrial productivity. The environmental efficiency mainly has been influenced by the policy and profitability of the company, and large size iron and steel firms face on the diseconomies of scale situation, small to medium size groups did not show up the increasing returns to scale.

Keywords

Scale, Environmental Efficiency, Industry Regulation, Market Competition.
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