Updated
Updated · Bloomberg · May 11
Global Steel Industry Expands 319 Million Tons of Coal Capacity as Green Shift Falters
Updated
Updated · Bloomberg · May 11

Global Steel Industry Expands 319 Million Tons of Coal Capacity as Green Shift Falters

9 articles · Updated · Bloomberg · May 11
  • 319 million tons of annual coal-based blast furnace capacity is under development globally, up 5% from a year earlier, according to Global Energy Monitor's latest steel-sector report.
  • Coal reliance is deepening because steelmakers are still spending on blast furnaces while underinvesting in cleaner production methods, putting the industry's decarbonization plans in doubt.
  • Another 80 million tons of existing facilities is being overhauled, taking total coal-linked capacity additions and upgrades far beyond the 141 million tons scheduled for retirement.
  • That imbalance suggests the sector's pipeline still favors long-lived coal assets, complicating efforts to align steel production with broader green-transition goals.
As steel giants bet billions on old coal technology, is the dream of a hydrogen-powered 'green steel' future already dead?
With Asia building a new coal-fired steel empire, can the EU's carbon border tax truly force a global green shift?

Coal-Based Steel Expansion Threatens $500 Billion in Stranded Assets and Global Climate Targets: Urgent Need for Green Steel Transition

Overview

The global iron and steel industry is one of the most energy-intensive sectors and stands as the largest single industrial source of greenhouse gas emissions, responsible for about 11% of global CO₂ emissions. Much of this impact comes from traditional coal-based blast furnace production, which is far more carbon-intensive than newer methods like electric arc furnaces. As steel production remains heavily concentrated in Asia, especially China, any expansion of coal-based steel capacity has an immediate and severe impact on climate goals, making the industry's transition to cleaner technologies urgent for global climate stability.

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