ArcelorMittal Calls for Stronger EU Support for Green Steel Transition

ArcelorMittal, the world's leading steel producer, has called for stronger European Union (EU) support to facilitate the transition to green steel. The company, which has set ambitious targets to reduce its carbon emissions and achieve net-zero by 2050, is advocating for policy initiatives and regulatory changes to create a more favorable environment for decarbonization investments.

The current European policy, energy, and market environment has not been conducive to ArcelorMittal's plans to invest in lower carbon emissions "hydrogen ready" DRI-EAF facilities. The slow evolution of green hydrogen, non-competitive natural gas-based DRI production, weaknesses in the Carbon Border Adjustment Mechanism (CBAM), limited customer willingness to pay premiums for low-carbon emissions steel, and an unfavorable regulatory environment have hindered the company's efforts to accelerate the transition to green steel.

ArcelorMittal is advocating for several policy initiatives and regulatory changes to address these challenges. These include the review of the CBAM, the anticipated review of the steel safeguards, the publication of the Steel and Metals Action Plan, the Green Deal Industrial Plan, and regulation to stimulate demand for low-carbon emissions steel. Additionally, the company is calling for stronger trade protection measures to support the European steel industry during the transition.

The company's call for stronger EU support aligns with its long-term decarbonization strategy and net-zero targets. By investing in lower carbon emissions facilities, using green hydrogen and natural gas as interim solutions, strengthening the CBAM, and meeting customer demand for low-carbon steel, ArcelorMittal aims to achieve its goal of net-zero emissions by 2050.

In conclusion, ArcelorMittal's call for stronger EU support for the green steel transition highlights the need for policy initiatives and regulatory changes to create a more favorable environment for decarbonization investments. By addressing the current challenges and advocating for targeted policy support, the company aims to accelerate the transition to green steel and achieve its long-term decarbonization goals.