A report published by the Grantham Research Institute on Climate Change and the Environment at the London School of Economics and Political Science highlights that Europe is the world’s top financer of low-carbon steel development.
Steel production causes between 7% and 9% of global greenhouse gas emissions. Governments recognise the importance of reducing emissions from steel and are creating financing initiatives to support low-carbon steel production. The report notes that support for greener steel is greater in Europe than elsewhere. For example, Germany has pledged 7 billion euros for low-carbon steel development, and France, Belgium, and the Netherlands also show significant financial commitments. This demonstrates Europe’s ambitious climate goals related to carbon emissions.
The UK government has committed to supporting the UK steel industry, including transitioning to greener steel.
However, the report states that many countries have a gap between announcing low-carbon policies and providing actual financial support. It proposes the establishment of an international fund to finance low-carbon steel projects, especially in developing countries.
The report’s author, Sangeeth Selvaraju, said:
“There is an opportunity to decarbonise the steel sector in Europe and developing countries, but it requires global action and ambition.”
He advocates for replacing old steel plants nearing the end of their lifespan with new low-carbon steel facilities.
A warehouse equipment manufacturer needs a steady supply of steel for producing manual handling and storage equipment. In the near future, more of this steel will be from low-carbon emission steel plants.
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