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World Steel Association: Governments Must Consider Steel's Importance When Setting Carbon Policies

In a position paper published July 29, the association, which represents 170 producers, said that governments need to consider the importance of having a strong industrial base and the particular role steel plays in supporting that base.

“The steel industry is (carbon dioxide) and energy intensive by nature, but what needs to be clearly acknowledged is the central role it plays in enabling many other industry sectors to mitigate (carbon dioxide) emissions in their applications and products and also in providing solutions to many of the challenges posed by a growing global population," said Edwin Basson, the association's director general, in a statement.

"Therefore, the role of the steel industry needs to be considered within the context of progressive industrial policy and governments need to engage with the steel industry when developing a carbon policy that could impact the industry,"

The association said that as policies are developed worldwide, it will be important for those polices to be consistent and cohesive.  

"Steel is a highly competitive industry, and about 35 percent  of steel is traded internationally, thus a global level playing field is a necessary condition. Fair competition should not be compromised due to inequity in carbon policy," Basson said.  

He also said that polices should consider the entire life cycle of products when creating new regulations.

"Unlike with energy production, the carbon emissions profile of materials is very variable and extended over a long lifetime. Steel, which has low manufacturing emissions when compared to low density materials such as aluminum and carbon fiber, also provides benefits for generations to come since it can be recycled over and over again without loss of properties and with a considerable carbon benefit," the paper stated.

Basson also said the industry must at least maintain the pace of breakthrough-technology development, but to do so, the financial burden must be shared by the private sector and governments.

The position paper is available by clicking here.