Abstract: This paper studies pure technological efficiency, scale efficiency, technological change and total factor productivity change of Chinese listed steel companies based on DEA model over the period of 2001-2006. The results show that the growth of steel corporations' total factor productivity is mainly promoted by the technology change rather than the efficiency change, and most of steel corporations do not reach their optimal scale. The paper also points out the development of steel industry should focus on the improvement of technology change and pure technology efficiency. Meanwhile, steel industry should implement centralized scale production to promote the increase of steel industry total factor productivity.