Abstract: Rare earth treated steel can significantly affect the mechanical properties，high temperature oxidation resistance，corrosion resistance，weldability and magnetic property of steel，the function mechanism of rare earth elements in steel and its effect on performance of the steel were summarized. The research and development progress，the production status and the application of rare earth treated steel at home and abroad were reviewed in recent years. At the same time，some troubles on production of the rare earth treated steel were mentioned，and the trend and the prospect on developing the rare earth treated steel were proposed.

Key words: steel, rare earth, inclusion, performance, application