German company Salzgitter receives state funding

German steelmaker Salzgitter will receive low-carbon steel funding from the government, which will support the first phase of the company's three-stage decarburization plan to produce 1.9 million tons of unrefined mild steel by the end of 2025.

Several steelmakers in the EU have warned in recent years that the costs of decarburizing the energy-intensive industry cannot be borne by companies alone, and governments must bear some of the costs. Cooperation between governments and businesses will help countries meet the commitments of the Paris climate agreement.

ArcelorMittal Europe received a loan from the European Investment Bank and applied to the EU Innovation Fund for a decarbonization plan, ThyssenKrupp received German federal funding, and steelmaker Dillinger received similar funding from the French government.