Climate-neutral steel

The steel sector is responsible for approximately 30% of industrial greenhouse gas emissions in Germany – and, by extension, for 7% of national emissions. This makes the steel industry one of the most emission-intensive subsectors of the economy. The rapid and systematic decarbonisation of the steel industry is thus essential for achieving Germany’s climate targets.

At the same time, the future of steel production is closely intertwined with the future of the German economy: The steel industry is responsible for 80,000 jobs domestically, and many other sectors depend on its products. One thing is clear: To preserve German and European competitiveness, policymakers must act rapidly to establish market and regulatory conditions that encourage investment in climate-neutral steel manufacturing.

The policy paper answers the following questions:

• Which technologies enable low-emission steel production?
• Which policy measures can support the transformation of the steel industry in Germany and the EU?
• How can German companies remain internationally competitive during the transition to climate neutrality?
• How can industrial transformation within Germany contribute to the rise of a climate-neutral steel sector internationally?