What does “green steel” really mean?
With rising customer demand, stricter regulations, and a surge in sustainable investments, interest in “green steel” is stronger than ever. But without an official definition, how can we tell the difference between real progress and greenwashing?
What is green steel?
The good news? Both steel producers and steel customers are increasingly open to changes in the steel industry. There are many promising initiatives, but one major challenge remains: there’s still no clear definition of sustainably produced steel.
The term green steel is widely used to describe steel made with lower emissions, but what does it really mean? The reality is that the industry lacks universal standards, leaving room for interpretation. Many companies market their steel as green, yet the criteria behind these claims can be vague or inconsistent. In some cases, steel is labeled green even when only a fraction of the production process is sustainable, while the rest remains carbon-intensive.
Why defining green steel matters
Without a clear benchmark, green steel risks becoming a buzzword rather than a real solution. Some manufacturers may claim sustainability even when the reduction in CO2 emissions is minimal or non-existent. For example, if only 10% of a steelmaker’s output is lower-emission steel, but the other 90% follows traditional, high-emission processes, is it truly green? In the race to combat climate change, transparency matters more than ever.
"Today, companies can claim their steel is green even if the contribution to CO2 reduction is negligible. Uncomfortable facts can be omitted at a time when there’s an urgent need to combat climate change. Everyone buying and using products containing steel has the right to see the facts behind climate change promises. Green statements are not enough," says Johan Anderson, Market Development at SSAB. "The responsibility of the steel industry is not just to remove the carbon footprint, but also to show exactly how it’s done.”
On the bright side, steel customers and end-users are demanding more transparency. The call for hard numbers and scientific proof is putting pressure on steelmakers to back up their claims.
"Customer demand for decarbonized steel and products with less cimate impact is real. It encourages and pushes us as steelmakers to go all the way, virtually eliminating the product’s carbon footprint," Anderson adds.
A path to truly sustainable steel
Steel production is one of the largest contributors to CO2 emissions, responsible for around 7% of global emissions. But the good news is that solutions exist.
One of the most effective strategies is steel recycling, which has reached an impressive 90% in many parts of the world. However, recycled steel alone isn’t enough – it currently meets just. That’s why the industry must also focus on transitioning to a quarter of global demand truly sustainable steelmaking processes.
As companies source steel, it’s crucial not to take green labels at face value. Instead, they must dig deeper, investigate what’s behind the claims, and demand scientific proof. Because in the fight against climate change, facts – not just promises – will make the real difference.
How can you find out if a product really is “green”?
- Make sure you find out what’s behind the “green steel” statement, including choice of report methods or key figures.
- Request scientific methods for CO2 intensity reporting directly from the suppliers, with a clear description of the value-chain covered, i.e. an Environmental Product Declaration.
- Before you decide to buy a product, scrutinize and compare it to high-rated alternatives.
Why fossil-free steel is the only true “green” solution
With no official definition of “green steel,” it’s the technology and process behind it that determine whether a steel product is truly sustainable.
The HYBRIT® technology is a game changer, virtually eliminating the carbon footprint and redefining what sustainable steel should be.
At the heart of this revolutionary process is water. Using fossil-free electricity, water is split into hydrogen and oxygen. The hydrogen then removes oxygen from the iron ore, producing only water as a by-product – no CO2, no pollution. That water is then reused to create more hydrogen, forming a natural, closed-loop system. No fossil fuels, no emissions, no compromises.
3 reasons why SSAB’s fossil-free steel is a true “green” alternative
No fossil fuels, no CO2 emissions
Traditional steelmaking based on iron ore relies on coal and coke, making it one of the largest industrial sources of CO2 emissions. HYBRIT® technology replaces these with hydrogen, completely removing coal from the equation.
H2O instead of CO2
When hydrogen replaces coal in the reduction process, the only by-product is water. And even that isn’t wasted – it’s reused to produce more hydrogen, keeping the process entirely circular.
A path to zero CO2 emissions
When hydrogen is produced using fossil-free electricity - also known as green hydrogen – the entire steelmaking process becomes virtually emission-free. This isn’t just lower-carbon steel. It’s truly fossil-free steel.
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