In September 2025, the German steel industry achieved an important milestone with the introduction of the Low Emission Steel Standard (LESS). Several major steel companies were among the first to receive certification under this new system, which enables a transparent classification of CO₂-reduced steel.
The LESS Standard is a six-tier classification system that evaluates steel production processes based on CO₂ emissions and scrap content. The scale ranges from class E (conventional production) through the low-emission categories D to A, up to the highest level “Near Zero,” which identifies almost emission-free steel products. Introduced in spring 2024, the system is managed by LESS AISBL, a non-profit association based in Brussels. It builds on methodologies of the International Energy Agency (IEA) and was already acknowledged by the G7 ministers in 2022 as a solid starting point.
Key Assessment Criteria
The standard evaluates steel products according to three main criteria:
- Climate performance, rated on a scale from E to A, plus the “Near Zero” class
- The scrap content, which indicates the share of recycled material in production
- The Product Carbon Footprint (PCF), capturing measurable CO₂ emissions across the value chain
Assessments are carried out by external, accredited certifiers such as TÜV Nord, ensuring independence and credibility.
First Certifications of Leading Steel Companies
- Salzgitter Group: Several subsidiaries, including Salzgitter Flachstahl GmbH and Peiner Träger GmbH, received LESS classifications. SALCOS® products mostly achieved class C, with some even reaching A and B.
- ThyssenKrupp Steel: Hot-rolled steel from conventional production was classified as D. In the future, the company aims to reach class A with its hydrogen-based bluemint® direct reduction products, and ultimately “Near Zero,” once upstream processes are also decarbonized.
- GMH Group: As one of the pioneers in LESS certification, Georgsmarienhütte GmbH achieved class B, while other products were rated C and D. The company has long relied on electric arc furnaces with a high proportion of recycled scrap.
Technological Background
The classifications are based on different technologies. Electricity-based processes such as electric arc furnaces using large scrap shares already perform well today. For the highest ratings, hydrogen-based direct reduction is considered the key technology. At the same time, optimized conventional routes, such as blast furnace processes, can also achieve improved evaluations through targeted enhancements.
Significance and Outlook
LESS is intended to establish a green lead market that quickly integrates CO₂-reduced basic materials into diverse value chains. For the first time, customers in steel processing now have consistent information to align their purchasing decisions with climate targets.
According to the industry, the technical foundations are in place. It is now up to policymakers to further adapt the regulatory framework and foster green markets so that the transformation toward climate-friendly steel production can take hold.
The first certifications in September 2025 mark the beginning of the practical application of the LESS Standard, with the participating companies positioning themselves as pioneers of a broader transformation – both nationally and internationally.
