Decarbonization of steel in the EU is unstable, but supports incoming
The process of decarbonization of the EU steel industry is gaining momentum, despite delays from the region's leading steel producers, as the industry prepares to receive long-awaited support from the European Commission.
The industrial transition of the European steel industry has largely failed to meet expectations, especially after leading steel companies such as ArcelorMittal and Salzgitter announced earlier this year the postponement of the green reconstruction due to lack of investment and arguments in favor of the fact that European steel companies cannot simultaneously decarbonize. and to remain competitive in the global market in the current conditions. market conditions.
But, as the European Commission announced last week, conditions in the European steel market may be about to change significantly, as the Commission proposes to "restore" the balance of steel supplies to the EU for more than a decade to a 13% share of imports, which could lead to a level that preceded the growth of global overcapacity for steel production in 2014-2015, and its impact on steel prices in the EU, which are currently at a low level.
Many European steel producers continue to advance their decarbonization plans: Stahl-Holding-Saar Group (SHS Group) announced that, together with its subsidiaries Dillinger and Saarstahl, the Power4Steel project, have received 1.7 billion euros in financing to fully finance the modernization of direct reduction cast iron production based on hydrogen for steel smelting in electric arc furnaces. (H2-DRI-EAF). Tata Steel's division in Maubeuge, France, is also investing in optimizing its steel painting lines, replacing existing natural gas-fired incinerators with new optimized electrical technologies. Salzgitter, which postponed the last stages of its SALCOS decarbonization project in September, is still working on savings at other parts of its supply chain by agreeing to decarbonize iron ore shipping as part of an effective partnership with Oldendorff Carriers. The new steel company Hydnum has also entered into a round-robin supply agreement with automotive manufacturer Gestamp.
New standards for environmentally friendly steel
They can not only reduce the availability of imports, but also increase domestic steel prices in Europe in accordance with the Commission's proposals, but also in accordance with its European Steel and Metals Plan. (ESMAP), the European Commission has also planned to implement a policy of supporting the leading market by the end of the year.
This policy or regulatory proposals will enable the implementation of