Low-carbon steelmaking faces high initial costs, market risks: Worldsteel

摘要

Reducing carbon emissions from steelmaking will likely see high initial costs and steel trade risks as first-mover producers saddled with high conversion costs compete with incumbents, according to industry group World Steel Association Investments needed for making low-carbon steel with new plants and processes may lead to cost increases, which typical steel production margins would struggle to cover, Asa Ekdahl, head of environment and climate change at Brussels-based Worldsteel, said in a May 19 webinar. Ekdahl referred to the International Energy Agency data estimating lower-emissions steelmaking would lead to a 10%-50% cost increase compared with traditional steel routes today. The changes to lowcarbon steelmaking imply new policies and consumer behavior.