Luxembourg-headquartered steel giant ArcelorMittal has temporarily postponed its investments in the decarbonization of its operations in France, due to the EU’s uncertain policies, according to a report by Reuters.
The company has not reached a final conclusion as to whether it will replace two out of three blast furnaces at its Dunkirk plant with green hydrogen-based facilities. As SteelOrbis reported previously, the French government had approved government support worth €850 million for ArcelorMittal’s €1.7 billion decarbonization program at its Dunkirk and Fos-sur-Mer sites by 2030.
“We are operating in a difficult market, and there are a number of policy uncertainties that are impacting the industry. We need an effective carbon border adjustment mechanism, as well as more robust trade defense measures, to strengthen the business case,” the statement made by the company to Reuters read.
Additionally, the company is awaiting the European Commission’s decision on its Steel and Basic Metals Action Plan.