Leading steel producer ArcelorMittal has revised its long-term decarbonization strategy to make it "flexible and adaptable," as outlined in the group's 2025 Sustainability Report, with future investments in electric arc furnaces (EDPS) being reviewed only after the completion of existing conversion projects.
According to the report, the steel group "intends to consistently implement capital-intensive decarbonization projects to maintain financial discipline" and therefore will not initiate further investments in the EAF until "Dunkirk is nearing completion."
The Dunkirk EAF Project
In February, ArcelorMittal announced an investment of 1.3 billion. Investments in the construction of a new steel mill in Dunkirk with a capacity of 2 million tons per year, which is currently the starting point for the group's future projects on decarbonization of steelmaking plates. As described in the report, the new EDP will replace the smaller of the two blast furnaces at the site (BF3) when it is fully operational, and it is expected to reach full capacity by 2030-2031, with first production starting in 2029.
The new EDP will be able to produce flat rolled products with 0.6 t CO2e/t emissions using 60% recycled steel scrap, 20% direct reduction cast iron (DRI) and 20% cast iron obtained from a surviving blast furnace.
ArcelorMittal is also continuing to modernize and expand production in Luxembourg, Spain and the United States and expects to increase steel production for EDP production worldwide by 3.4 million tons by the end of 2026.
A new strategy for sustainable development?
McCloskey's Global Green Steel Profiles and accompanying commentary illustrate how the scale and ambition of ArcelorMittal's decarbonization commitments have diminished over time, as the Dunkirk transformation project initially included eco-friendly DRI production facilities and projects at its facilities in Germany have been completely suspended.
Although the steel group claims to have reduced carbon dioxide emissions by 47% since 2018, it clarifies that this reduction is largely due to the sale of assets and their decommissioning during this period, with the average carbon intensity of these assets being about 2.5 t CO2e/t compared to the group's assets after the sale consumption of 1.79 t CO2e/t
As stated in the report, ArcelorMittal is "reviewing" its decarbonization strategy "to reduce risks and take advantage of the economic opportunities associated with the new values that the transition to energy brings." The strategy is divided into three themes:
- Investments in renewable energy sources
- Materials and solutions
- Conversion of operations
Backed up by his
