The effect of adding nitrogen enriched vanadium alloy (Nitrovan 12) into 20MnSi steel was investigated on the mechanical properties of the steel above.The results show under same vanadium content condition,the tensile strength and yield strength of Nitrovan 12 addded steel increase by 135 MPa and 117.5 MPa respectively compared to 80FeV added steel. Under the Same or similar Strength condition, the amount of Vanadium addition can be reduced by over 33.3% using Nitrovan 12 compared to 80FeV.By adding Nitrovan 12 alloy into the steel,the cheap nitrogen element can be fully used. The nitrogen promotes precipitation of V(C,N) in V-bearing steel and improves the effect of Vanadium precipitation strengthening.Based on the experiment results, the economical grade Ⅲ reinforcing bars was developed.