Noida, Uttar Pradesh Jul 7, 2025 (Issuewire.com) - Driven by the persistent need to cut carbon emissions and meet sustainability goals, the worldwide steel industry is undergoing a drastic change. Green steel is ready to transform the direction of steel manufacturing as companies, governments, and people give environmental responsibility more weight.
Unlike traditional coal-based methods, green steel is produced employing new technologies and renewable energy sources that greatly reduce carbon emissions. These include hydrogen-based reduction, erudite recycling methods, and electric arc furnaces driven by renewable energy.
Among the most carbon-intensive industries worldwide, steelmaking accounts for around 7% of global CO2 emissions; hence, the fundamental idea is to lower its environmental footprint.
As per market research for green steel, production of hydrogen-based green steel could reach 46 million tons by 2035, which represents 2.5% of global steel production. However, high hydrogen costs, problems with the relevant infrastructure, and policy uncertainty may slow down progress. Carbon tax schemes and policies encouraging less emission steel are accelerating green steel initiatives.
Key Drivers Of The Green Steel Market
- Adoption of hydrogen-based direct reduction and electric arc furnaces is accelerating. Artificial intelligence and machine learning are also being used to maximize production, lower waste, and greatly reduce emissions.
- Used worldwide, artificial intelligence/machine learning could lower at least 40 million tons of CO2 equivalent, equivalent to Portugal's annual consumption of fossil fuel.
- Policymakers are using incentives and public funding to make green steel competitive with conventional steel, therefore speeding the changeover.
- With major companies such as General Motors and BMW including green steel into their supply chains, the automotive, building, and electronics industries are progressively requesting low-carbon steel.
Opportunities And Challenges:
Opportunities
The green steel revolution is pouring significant investments into new plants, technologies, and digital solutions, opening new roads for growth and efficiency.
Regions with abundant renewable energy, such as Europe and parts of Asia-Pacific, are emerging as leaders in green steel production.
Challenges
- Though this gap is expected to narrow as technologies mature and scale grows, green steel production has a cost premium of about 20 - 30% more than conventional techniques.
- For new infrastructure, remodelling of already operating sites, and staff training, the change calls for significant capital expenditure.
Outlook
Decarbonization of heavy industry will be helped by the Green Steel Market. With forecasts showing the market could reach USD 318.18 billion by 2034 and a worldwide push for net-zero emissions, green steel is becoming an industry standard. Green steel will be essential in creating a robust, low-carbon global economy as technology progresses and sustainability takes front stage in corporate plans.
Media Contact
Metalogic PMS sujeet@metalogicpms.com https://mymetalogic.com/
