Source: European Parliament
Question for written answer E-002051/2025
to the Commission
Rule 144
Flavio Tosi (PPE), Massimiliano Salini (PPE), Letizia Moratti (PPE)
Presented in March 2025, the EU steel action plan aims to make the European steel industry more competitive, but does not provide a clear definition of the term ‘green steel’. The absence of objective criteria for production processes (their carbon footprint, the type of energy and raw materials they use) makes it impossible to introduce a labelling system that incentivises low-emission processes.
This legal vacuum is also reflected in the current design of the EU’s Carbon Border Adjustment Mechanism (CBAM), which does not guarantee a level playing field between EU producers and importers. Basing CBAM on the Emissions Trading System’s (ETS) free allocation benchmarks – which unfortunately take into account the process used rather than the product’s actual carbon footprint – will grant seamless access to the European market to third country steel products made using gas and virgin raw materials (DRI-EAF). Such a state of affairs would put the companies that use recycled scrap and renewable energies – which have to buy ETS credits for all their emissions – at a disadvantage.
In the light of the above:
- 1.Will the Commission provide a legal basis for green steel that is based on a product’s actual carbon footprint?
- 2.Will it amend CBAM to prevent any distortions that will harm circular steelmaking processes for flat and long products?
- 3.How will the Commission push for decarbonised steel to be included in industrial policies and public tenders?
Submitted: 21.5.2025