Progressives Call for Embrace of 'Green Steel' Manufacturing
"It's time that the steel industry take the growing need and demand for fossil-free steel seriously," said one advocate.
Progressive organizers on Wednesday urged steelmakers to swiftly adopt the clean manufacturing methods needed to achieve a shift from coal-based steel to "green steel."
At the Great Designs in Steel conference held in a Detroit suburb, Public Citizen and Mighty Earth activists used a series of digital ads and mobile billboards to call on industry insiders and automotive executives to accelerate the nascent transition from dirty to clean steel by fully embracing low- to zero-carbon production processes—one of many changes that scientists say are necessary to avert the worst consequences of the fossil fuel-driven climate crisis.
"Steel manufacturing remains one of the most energy-intensive and polluting aspects of making a vehicle, but there are solutions to clean it up," Erika Thi Patterson, supply chain campaigns director at Public Citizen, said in a statement. "As companies and governments work to meet net-zero climate commitments, it's time that the steel industry take the growing need and demand for fossil-free steel seriously and embrace the cleaner technologies that exist today."
"Insiders at this conference," Patterson continued, "need to recognize the inevitability of green transportation and move in that direction quickly and forcefully."
"It's time steelmakers ditch the dirty blast furnaces of the past and invest in fossil-free steel today for the health and future of our climate, communities, and steel producers' viability and own financial health."
At the conference venue, mobile billboards denounced steelmaker Cleveland-Cliffs Inc.'s recent announcement that it plans to stick with coal-powered blast furnaces in the near term. Rival company U.S. Steel, by contrast, is ramping up the use of lower-emission electric arc furnaces at its mini-mills.
Billboards with the message, "Cleveland-Cliffs: Ditch the past, embrace the Green Steel future!" circled the venue for the duration of the meeting.
"As a sponsor of the Great Designs in Steel conference, Cleveland-Cliffs must end its commitment to dirty blast furnaces that release significant climate and health-harming pollution," said Matthew Groch, senior director for decarbonization at Mighty Earth. "Instead of embracing the future and investing in low-carbon steel production, Cliffs has doubled down on blast furnaces, announcing plans to reline a blast furnace at its Burns Harbor, Indiana facility, extending the plant's life by an estimated 18 years."
"As the auto industry works to decarbonize its steel supply chain," said Groch, "Cleveland-Cliffs' dirty steelmaking locks the company into high-emission technologies for decades."
As The Times of Northwest Indianareported recently:
Blast furnaces used to be the primary method of steelmaking in the United States. But they have lost much of their business over the last several decades to mini-mills, which are cheaper to operate, often located in southern and rural areas, and usually not unionized, cutting down on steelmakers' labor costs by paying workers lower wages.
Mini-mills now account for an estimated 70% of domestic steel production, according to the Steel Manufacturers Association. As the long-vacant merchant mills at Gary Works attest, mini-mills have long since seized entire segments of the market like rebar for construction.
But integrated steelmaking has persisted, largely because new steel is needed to serve automakers and other industries that demand stronger and higher-quality steel products.
However, according to Public Citizen's newly launched FAQ webpage on the subject, clean manufacturing techniques are capable of delivering the higher-grade steel required by electric vehicle (EV) makers.
"Green primary steel is produced from iron ore without coal or other fossil fuels," the webpage states. "A proven method of ironmaking known as direct reduced iron (DRI) can be powered by green hydrogen to produce fossil-free steel."
"Automotive-grade steel has certain properties, including low levels of residual elements like copper and nickel, which affect mechanical performance," the webpage continues. "These impurities are difficult to remove through simple metallurgical processes, but direct reduced iron (DRI) facilities can produce green automotive-grade steel with even lower levels of residual elements than blast furnace steel."
"Fossil-free steel is possible today," it adds. "Facilities using this technology are currently under construction in Europe. Still, the U.S. has no new facilities in the works [or] plans for new facilities, and current DRI plants are reliant on methane gas."
The webpage laments that "even though steelmaking can be decarbonized by using cleaner, more sustainable technologies, most new (primary) steel is still made using 14th-century blast furnace technology that burns coal, harming our health and climate."
"In the United States, eight remaining integrated steel mills burn massive amounts of coke made from coal in blast furnaces to make iron and steel," according to Public Citizen. "Each steel mill emits roughly as much carbon dioxide as a coal-fired power plant."
"As more and more countries and steel buyers seek to reduce their emissions, blast furnaces could become obsolete in the coming years, leaving the steel industry with stranded assets worth between $345 billion and $518 billion."
The toxic pollution, such as heavy metals and particulate matter, that blast furnaces spew into nearby areas "has been linked to serious harms for people including premature death, and increased rates of chronic obstructive pulmonary disease (COPD), asthma, lower respiratory tract infections, cardiac disease, and cancer," the progressive advocacy group notes. "Because steel mills have historically been built in or adjacent to low-income communities and communities of color, these communities have borne the brunt of the health hazards related to steel mill air pollution and water contamination."
"With the introduction of new policies like the Inflation Reduction Act and other public investments in decarbonization across the globe, building new blast furnaces or extending the life of existing ones is a misguided move," the webpage points out. "Market demand for green steel is rising. Steelmakers can gain a competitive edge by investing in green steel today."
Moreover, it warns that "as more and more countries and steel buyers seek to reduce their emissions, blast furnaces could become obsolete in the coming years, leaving the steel industry with stranded assets worth between $345 billion and $518 billion."
Wednesday's action at the Great Designs in Steel conference comes on the heels of the launch of the 'Lead the Charge' campaign, of which Public Citizen and Mighty Earth are members. To help achieve its goal of ensuring that EVs "aren't manufactured in a way that harms people and the planet," the campaign maintains a scorecard that tracks human rights and environmental issues throughout the EV supply chain.
As of March, just two automakers had set goals for the use of fossil-free steel, the campaign found.
"It's time steelmakers ditch the dirty blast furnaces of the past and invest in fossil-free steel today for the health and future of our climate, communities, and steel producers' viability and own financial health," says Public Citizen's new webpage.
To expedite the green steel transition, the group advocates for the following:
- Steelmakers must develop and disclose clear targets and plans for producing 100% fossil-free steel;
- Major steel buyers like automakers must develop and disclose targets for purchasing 100% green steel to send a powerful demand signal to green steel producers, investors, and policymakers; and
- Policymakers need to establish incentives and increase public support for steelmakers to upgrade their operations to green steel production.
As for the lower union density found in the steel industry's mini-mills compared with its few remaining merchant mills, there's no reason why lawmakers couldn't enact policies to turn the shift to green steel into a win-win opportunity to boost unionization.
Notably, the United Auto Workers is currently withholding its endorsement of U.S. President Joe Biden in the early stages of the 2024 race in an attempt to secure concessions that would make the EV transition a just one for labor.