ArcelorMittal, one of the world’s largest steel producers, has confirmed an ArcelorMittal green steel investment delay in Germany. The company decided to postpone final investment decisions on new Direct Reduced Iron (DRI) and Electric Arc Furnace (EAF) projects in Europe due to continued policy, energy, and market challenges. This delay affects plans at its Bremen and Eisenhüttenstadt facilities, originally announced in November 2024.
The German federal government approved a €1.3 billion ($1.5 billion) support package to help fund ArcelorMittal’s decarbonization projects. However, the funding required construction to begin by June 2025, a deadline that has become unrealistic under current economic pressures.
ArcelorMittal cited ongoing energy market volatility and policy uncertainty as major challenges slowing green steel progress in Europe.
Through ArcelorMittal Germany, the company informed the government it cannot proceed with construction as planned. It noted that market instability and economic headwinds in the low-carbon steel sector are key factors behind the ArcelorMittal green steel investment delay. These challenges reflect the broader difficulties faced by the steel industry’s transition to more sustainable production models.
Despite these obstacles, ArcelorMittal remains focused on its long-term sustainability strategy and continues developing solutions to reduce emissions.
Following the ArcelorMittal green steel investment delay, the company plans to intensify preparations for electric arc furnace development at Bremen and Eisenhüttenstadt. This planning ensures both sites are ready to advance when market and policy conditions improve.
Learn more about ArcelorMittal’s global sustainability goals and low-carbon steel projects on the official ArcelorMittal Sustainability page.