The Global Steel Climate Council (GSCC) is an international coalition of steel producers and stakeholders committed to achieving a 1.5 degree scenario by the year 2050 and establishing a global steel standard that leads toward a cleaner future.
Accelerate Progress to Reduce Emissions
We have the technology to cut steel emissions by 70% today. The GSCC is leading the way to make this the standard for all steel.
Historically, steelmakers have produced steel using an extractive, blast furnace process from mined coal and iron ore. In the steel industry, this is referred to as an “integrated process.” However, in recent decades, hundreds of steelmakers have invested in Electric Arc Furnace (EAF) technology, a circular process that uses recycled steel as the primary input and produces significantly lower carbon emissions.
Steel industry stakeholders and global policy makers are currently considering a dual standard for emissions—one standard for steel made from extractive production processes and another for steel made from circular processes. This is a mistake. Having a dual standard that rewards high-emission steelmakers, harms the environment and disincentivizes steelmakers from changing their production process. We already have the technology to reduce carbon emissions, now our mission is to lead the way toward a truly effective low-emission steel standard that accurately counts carbon emissions – not production methods.
5 Key Principles
The primary focus of the GSCC is to establish a standard, focusing on the following guiding principles:
- Reducing GHG emissions from the global steel industry.
- Establishing a standard that is technology/production method agnostic.
- Establishing a standard that has a system boundary that includes Scope 1, 2 and 3 emissions.
- Establishing a standard that aligns with a science-based glide path to achieve a 1.5 degree scenario by the year 2050.
- Providing relevant information on sustainable steelmaking to appropriate decision makers.
What's at stake for the steel industry and global carbon emissions
The world needs steel. Steel is an essential engineering material for the global economy. It is a critical material used to manufacture our vehicles, build our infrastructure, construct our buildings and factories, produce our energy and much more. Steel is also driving the transition to a greener economy with the production of electric vehicles, wind turbines, solar arrays and other clean tech products.
The world needs to lower emissions. The GSCC is leading the charge to reduce carbon emissions and encourage investments in lower emission technology as part of the global effort to decarbonize economies and societies. An October 2022 report by the United Nations shows that countries are not on track to limit carbon emissions to 1.5 degrees Celsius by the end of the century. Steel producers around the world are at different stages in their efforts to reduce emissions and achieve sustainable production. EAF producers are leading the way – this process emits 78% fewer carbon emissions than integrated steel manufacturers.
We already have the technology. Steelmakers have become more efficient and producing a ton of steel today requires only 40% of the energy it did in 1960. Because the United States has converted more quickly than other competitors, the U.S. steel industry is 37% less carbon intensive today than the European industry. This means that the technologies already exist to cut global emissions by over 70%. And new technologies are on the horizon that will reduce emissions even further.
We have the technology to cut emissions by over 70% today. So why aren’t we? Tweet
We need a global standard. Numerous groups and companies – including the GSCC – are advocating for a global standard to measure and report steel carbon emissions. However, some in the U.S. and European Union are advocating for a standard that features a “sliding scale” for measuring carbon emissions. This would result in a dual standard for emissions — one standard for steel made from extractive production processes and another for steel made from circular processes. This is a mistake.
Having a dual standard that rewards high-emission steelmakers, harms the environment and disincentivizes steelmakers from changing their production process. It would permit higher-emitting integrated steel producers to classify their steel products as “green” even if they are produced with significantly higher carbon emissions than those using the EAF process. The GSCC’s mission is to lead the way toward a truly effective low-emission steel standard that accurately counts carbon emissions – not production methods.
The U.S.-EU negotiations should not create a double standard and a slippery slope toward a dirtier environment. We can do better. Tweet
We must avoid greenwashing. Creating a dual standard allows high-emissions integrated processes to be labeled as “green” and prioritized at the expense of cleaner EAF processes is a form of greenwashing. This will discourage innovation and disincentivize high-carbon steelmakers from making changes in their production process. A truly effective green-steel standard must be one in which actual, attained carbon emissions are measured, and the standard must apply equally to all producers on a global basis.
99% of steel co-products can be repurposed for other use, recycled to reclaim materials within them or recycled as energy sources. Tweet
We can accomplish this. The standard must lead to everyone in the global steel industry working to reduce carbon emissions. This can be achieved by creating a science-based emissions standard based on actual emissions that would apply to all producers equally on a global basis. Without this, higher emission processes are incentivized to remain the same, delaying efficiencies and the carbon footprint. Establishing a standard should incentivize actions that will generate the largest decrease in carbon emissions, such as greening the electric grid to make EAF production even more carbon-efficient, and developing advanced reduced iron (DRI) and carbon capture, utilization and sequestration (CCUS) technologies.
More than 90% of the water used in American EAF steel mills is processed, cleaned and returned to the environment. Tweet
A New Coalition of Steel Producers
All of our member companies at the GSCC are committed to enhancing steel production with a safer, cleaner, emission-reducing process.
CELSA GroupCELSA Group is Europe's leading producer of low-emission, circular steel and the #1 circular supply chain. It recycles scrap to produce steel in electric arc furnaces, and uses the most environmentally sustainable and energy efficient technology. LEARN MORE
Commercial Metals CompanyCMC is a global metals and construction solutions company committed to delivering industry-leading customer service, providing an environment where our employees can succeed, improving our communities and creating value for our investors. LEARN MORE
Institute of Scrap Recycling Industries (ISRI)ISRI is the Voice of the Recycling Industry™, promoting safe, economically sustainable and environmentally responsible recycling through networking, advocacy, and education. LEARN MORE
Nucor CorporationNucor is North America’s largest & most diversified steel and steel products company forged around a vision for leading the industry by providing unparalleled customer care, building trusted partnerships, and producing sustainable products. LEARN MORE
Steel Dynamics, Inc.Steel Dynamics is one of the largest and most diversified steel producers and metal recyclers in the United States. The company operates using a circular manufacturing model, driven by the passion and dedication of its innovative teams. LEARN MORE
Steel Manufacturers AssociationThe Steel Manufacturers Association is the largest steel association in America. They are stewards for safety and sustainability by representing the electric arc furnace (EAF) steel industry, which accounts for 70% of domestic steel made today. LEARN MORE
Members & Supporters
Alton SteelAlton Steel operates a 200-ton electric arc furnace and a 14" bar mill. They have the capacity to melt 750,000 tons of steel in the melt shop per year and to roll 400,000 tons of steel bars in a 14" rolling mill. LEARN MORE
Arkansas SteelASA is a provider of products to a number of businesses and is the leading producer of railroad tie plates in North America. The company is ISO 9001 and ISO 14001 Certified. LEARN MORE
Arvedi GroupThe Arvedi Group is one of Europe’s most significant steelmaking realities, operating in the production of hot-rolled pickled, galvanized and pre-painted coils, carbon and stainless steel tubes and stainless steel precision-rolled strip. LEARN MORE
BeltrameOperating in the steel sector for over a century, the AFV Beltrame Group manufactures rolled sections for construction, shipbuilding and excavation. LEARN MORE
Bureau of International Recycling (BIR)BIR is the only global recycling industry federation and a world leader in the supply of raw materials and a key pillar for sustainable economic development, representing more than 30,000 companies around the globe. LEARN MORE
Cascade SteelFor over 50 years, Cascade Steel Rolling Mills has been providing the Western U.S. and Canada with high quality steel products produced from recycled scrap metal at our state-of-the-art electric arc furnace steel mill. LEARN MORE
Charter ManufacturingCharter Manufacturing Company, Inc. is a privately held family of market-leading metals manufacturing businesses. They focus on customer intimacy, employee engagement and continuous improvement to drive competitive advantage. LEARN MORE
Evraz North AmericaEVRAZ North America is a leading producer of engineered steel products for rail, energy and industrial end markets with deep American roots and a long legacy of operational success in the United States and Canada. LEARN MORE
ECGAECGA is the voice of EU carbon and graphite producers, including a wide variety of specialty graphite and carbon products for applications ranging from electric motors to modern battery technology. LEARN MORE
EMR GroupEMR plays a pivotal role in the provision of sustainable materials globally. Having grown from a single site in Rochdale, UK to become one of the world’s largest metal recycling companies, EMR is committed to providing a reliable, personal service. LEARN MORE
Liberty Steel USALIBERTY serves both regional markets in the Mid-West and South East as well as customers nationwide in the construction, infrastructure products, transportation, agricultural, automotive and machinery manufacturing sectors. LEARN MORE
MarienhütteAs Austria's sole manufacturer of reinforcing steel, Marienhütte is responsible for reliably supplying the Austrian construction industry with high-quality reinforcing steel. LEARN MORE
MEGASAThe MEGASA GROUP is a family-run business specialized in the production and distribution of long steel products. LEARN MORE
Optimus SteelOptimus Steel produces a wide range of high-quality wire rods, coiled rebar, and billets. This mill has been recognized with awards for safety, community service, outstanding engineering, environmental improvement, and quality management. LEARN MORE
OvakoOvako is a leading European manufacturer of engineering steel for customers e.g. in the bearing, transportation and manufacturing industries. LEARN MORE
PittiniThe Pittini Group is a steel producer with a strong international orientation that focuses its production processes on electric furnaces. They produce more than 3 million tons of steel annually. LEARN MORE
RivaRiva Group is specialized in the production of long products and quality steels – an area in which it has established strong International leadership with over 60 years of experience. LEARN MORE
Sterling Steel (Leggett & Platt)The Leggett & Platt Wire Group brings together Drawn Wire, and International Wire groups to supply high-quality wire and wire products to customers across the globe. LEARN MORE
TenarisAs a leading manufacturer of pipes and related services for the world's energy industry, Tenaris’ manufacturing system integrates steelmaking, pipe rolling and forming, heat treatment, threading and finishing across 16 countries. LEARN MORE
Vallourec Star USAWith 2,300 people in 20 manufacturing facilities and service operations in the U.S., Canada and Mexico, Vallourec North America primarily serves the local offshore and onshore oil & gas market. LEARN MORE
New steel coalition pushes for a standard to measure carbon emissions
The GSCC — is challenging the “sliding scale” proposal that the United States and European Union are considering as they negotiate a new emissions standard for steel production.
To Whom it May Concern
A letter from University of Cambridge ahead of the COP27 meetings on steel and how the IAE definition of "Near Net Zero Emissions" materials production.
An EAF Steelmaking Emission Analysis
This independent assessment of EAF steelmaking emissions was provided to compare EAF emissions to their US and global iron and steelmaking peers.
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