Abstract: A new way for making industrial pure iron is put forward. It includes three steps-hot metal granulation,solid state decarbonization and electric furnace melting down. The influence of time, temperature, mixture gas composition and granulated pig iron size on decarbonization ratio has been stuided. The optimum decarbonization index is obtained. The qualified industrial pure iron whose carbon content is below 0.025% has been made in laboratory. This new technique has evident economic benifit and provides a new way to explore new product for medium and small scale iron and steel works.