Life is priceless, and science knows how to optimize it
Activities
June 26, 2025
Humanity stands at a critical turning point in its history. Climate change, once confined to scientific reports or future projections has become a daily reality.
The year 2024 was the hottest ever recorded, with an average temperature exceeding pre-industrial levels by more than 1.5°C, according to data from the European Union’s Copernicus program.
The increasing number of natural disasters, the accelerated melting of glaciers, rising sea levels, and major climate disruptions all testify to the scale of the phenomenon. The main cause is well known: greenhouse gas emissions from human activities—chief among them, heavy industry.
Decarbonizing our production methods is therefore not a choice, but a collective and urgent responsibility. Life is priceless, and every ton of CO₂ avoided is one less debt passed on to future generations.
Climate Emergency: An Existential Responsibility
With the effective implementation of the CBAM in 2026, a new logic will shape procurement decisions. Until now, importers often
In this context, the steel industry holds a strategic position. Steel is everywhere: in our buildings, our means of transport, our machinery, and our everyday objects. Yet its production alone accounts for around 8% of global CO₂ emissions, according to the International Energy Agency.
Faced with this reality, the European Union has positioned itself as a visionary leader. By introducing the Carbon Border Adjustment Mechanism (CBAM), it becomes the first economic zone to fully integrate environmental costs into trade. This bold and structural decision sends a clear signal to the market: only responsible and innovative producers will remain competitive in the new low-carbon economy.
The UK and EU: Pioneers of Steel Decarbonization
The reality of global industry nevertheless requires a degree of pragmatism. Today, most flat steel is still produced through the blast
Europe is not alone in this effort. The United Kingdom has demonstrated remarkable foresight in green steel. It was the first country to concretely encourage the consumption of low-impact steel by including strict environmental criteria in its public procurement specifications. Moreover, the English culture—both pragmatic and civic-minded—favors responsible consumption and encourages businesses to commit to cleaner value chains. Industrial players thus find both economic and social motivation to invest in reducing their carbon footprint.
On the technological front, progress is notable. Steelworks operating with Electric Arc Furnaces (EAF) can now produce nearly all grades of steel, including flat products. When powered by a mix of renewable electricity and recycled scrap or low-carbon DRI, these furnaces can reduce emissions per tonne by more than a factor of five.
However, the transition to flat steel via EAF is not without challenges. Production costs can remain high, especially in regions where green energy is more expensive, and due to scrap prices that are often disconnected from iron ore prices. Furthermore, end users—such as car manufacturers or construction companies—must adapt certain technical parameters, particularly in forming lines, to accommodate the specific properties of this type of steel.
EAF Flat Steel: Leading the Way in Decarbonization
With the effective implementation of the CBAM in 2026, a new logic will shape procurement decisions. Until now, importers often prioritized raw purchase price. Tomorrow, they will need to account for the total cost of acquisition, including the cost of imported carbon.
This shift calls for a new purchasing culture—a more strategic approach that evaluates suppliers not only on price but also on certified carbon footprint, transparency, and ability to anticipate regulatory developments. An academic approach, based on reliable data and a rigorous understanding of the legal framework, will be essential to guide companies through this shift. This is not only a matter of compliance—it is an opportunity to secure long-term competitiveness.
CBAM, Hidden Costs, and Strategic Procurement Decisions for Industries
The reality of global industry nevertheless requires a degree of pragmatism. Today, most flat steel is still produced through the blast furnace route, with a carbon footprint often exceeding 2 tonnes of CO₂ per tonne of liquid steel. Globally, flat steel production capacities below 500 kg of CO₂ per tonne remain limited—estimated at just 20 million tonnes—and are concentrated among a few innovative producers, often equipped with high-efficiency EAFs.
During the CBAM’s transitional phase (2026–2032), before the large-scale rollout of new low-carbon European projects, Europe will need to continue importing steel. In this context, EAF producers—especially those specializing in flat steel—emerge as key partners to ensure supply chain continuity, reduce CBAM duties, and control climate impact.
Global Low-Carbon Flat Steel Capacity: A Strategic Issue
For its part, Morocco has been committed to an ambitious environmental strategy for over two decades. Driven by its energy policy and strong dedication to preserving natural resources, the Kingdom has implemented policies aimed at reducing carbon emissions at all levels. Its steel industry is already largely decarbonized.
For example, Maghreb Steel—Morocco’s national champion in the sector—produces steel using an Electric Arc Furnace powered by over 95% renewable electricity and uses up to 100% scrap metal as raw material. This model embodies what modern, resilient, and climate-aligned steelmaking can look like.
On a global scale, choosing to produce 100% clean steel is neither a luxury nor a marketing stance—it is an act of collective survival. It involves governments, industries, investors, and citizens alike. Only by doing so can we continue to build, connect people, and innovate—without jeopardizing the very foundations of life on Earth
Rafik Namir
Head of Green Steel, and sustainable sourcing