ArcelorMittal: Bremer steel mill remains coal instead of hydrogen era!

ArcelorMittal: Bremer steel mill remains coal instead of hydrogen era!

Bremen, Deutschland - The salt in the soup of the Bremen economy could be in danger: Wolfgang Gerke, a respected expert in corporate strategies, has sharply criticized ArcelorMittal's decision to reject the conversion of the Bremen steelworks to hydrogen production for the time being. Gerke described this step as "sneaky" and "a mess". This decision is surprising for many, especially for the Bremen Senate and the CDU, which had relied on the changeability of the location.

An ambitious project was on the brink. Arcelormittal finally had the momentum to leave the coal and coke behind and to venture the jump to hydrogen production. However, with a cancellation of a project of a billion, which also affected the transformation in Eisenhüttenstadt, uncertainty germinates. As the Tagesschau , funding of 1.3 billion euros were on the table, but the defects in economy and a low availability of the hydrogen led to the course change of the group.

Why the decision is so painful

The decision of ArcelorMittal to reject the changeover was noticeably increased at a time when the pressure due to rising CO2 certificates and high energy costs. Forecasts assume that conventional steel production in Europe, and thus in Bremen, could no longer be viable in about five years. Gerke suspects that the group tries to maintain conventional production methods for as long as possible to maximize the profits before the Scots are closed.

The scope of this decision not only affects the jobs in Bremen, but also has a broader width effect on the German steel industry. Finally, this sector makes a significant contribution to the CO2 emissions of the country. Mayor Andreas Bovenschulte has already emphasized that the decarbonization of the steel mill was "without alternative".

A look into the future

What helps in this situation? The experts agree: a determined collaboration of everyone involved is required. As the oliver wyman analysis, innovative approaches in steel production could not only help to lower the CO2 emissions, but also the technology leader in Germany secure. However, a committed network of politics, business and research is needed to put this determination into practice.

The Bremen Senate has launched a special fund of 250 million euros. With the support of the federal government, a total of 1.3 billion euros would have been available to advance the transformation of the steel mill. But now the question arises: How is it going? The Bremen Senate is disappointed and has already made critical voices loud in politics.

The coming years could be crucial for whether Bremen remains as a business location or slips into insignificance. The hope of a gradual changeover to more environmentally friendly production methods remains - because a green steel could be the key to a sustainable future. But without the willingness of the actors to dare to make new things and raising cooperation, this dream could burst faster than you think.