At its annual general meeting, the DWV HySteel expert commission set the goals and activities for 2024. The third key issues paper was published as the highlight. This consists of 10 core demands on politics to sustainably secure value creation and employment in the German steel industry.
The German steel industry is facing an epochal challenge: Despite its significant contribution to value creation and employment in Germany, it is also one of the largest emitters of greenhouse gases.
In order to achieve the climate goals and secure the long-term competitiveness of Germany as a business location, a radical transformation is necessary. The HySteel members will discuss how the transformation will succeed within the DWV expert commission. Together they have drawn up a key points paper on this.
Central demands of the paper
Massive investments in renewable energies and the ramp-up of the hydrogen market economy are necessary to ensure a secure supply of green electricity and green hydrogen. There is also a need for a clear political framework that creates incentives for investments and offers long-term planning security for steel producers. In addition, green lead markets must be created and mandatory quotas for low-emission steel products introduced in order to enable a socially viable introduction. Funding and government subsidies are absolutely needed for hydrogen projects and the transformation of the steel industry in order to provide the important boost.
The results of the HySteel labor market study from last autumn make it clear that, from a business perspective, green steel can be produced competitively and profitably in Germany in the future. However, the framework conditions must be designed in such a way that a complete transformation, including the pig iron stage, is successful. If, on the other hand, part of the value chain - the pig iron stage - is only partially transformed, there is a risk of significant negative effects on employment and value creation in Germany.
Securing jobs
Supporting this transformation is crucial to securing jobs, driving innovation and positioning Germany as a pioneer in climate-neutral production. In addition, it is essential to accelerate the ramp-up of a hydrogen market economy in order to create the basis for a sustainable energy supply.
Coordinated action
A coordinated and concerted effort from government, industry and society is required to overcome this challenge. Targeted promotion of innovations, investments and infrastructure measures can ensure that the German steel industry remains a driving force for growth, employment and prosperity in the future.
It is therefore urgently necessary that the German federal government provides sufficient financial resources and creates a political framework that successfully stimulates and secures long-term investments in climate-neutral production processes and the ramp-up of a hydrogen market economy.
“The transformation of the steel industry is not only an ecological and technical challenge, but also an economic, structural and social necessity. We appeal to the federal government to continue to support this transformation with all its might and thereby secure the future viability of the German economy as a whole. It is time to take bold steps and shape a sustainable future together,” explains Clemens Orlishausen, head of the HySteel expert commission.