Global Recycling Day: Analysing the role of scrap in steelmaking through the years
To mark Global Recycling Day, Matthew Wenban-Smith reflects on the history of steel recycling and what it tells us about the transition to a net-zero steel economy in the future.
When it comes to recycling, it is worth taking the long view. For the first few thousand years, iron and steel recycling meant reworking rather than re-melting. The development of the blast furnace around one thousand years ago made it possible to convert steel scrap into liquid metal. And the first commercial Electric Arc Furnace (EAF), capable of using 100% scrap, was built in 1906.
Smaller, less costly to build, and more flexible to operate than blast furnaces, the spread of EAFs through the 20th century was limited only by the availability of scrap and electricity.
In the US, as demand for new steel approached saturation and as the steel in infrastructure and buildings constructed 40 or 50 years previously became available for recovery and recycling, scrap-based EAF production began to replace blast furnace steelmaking, even as the blast furnaces themselves used more scrap. Blast furnace production peaked in 1969, and no new blast furnace has been built in the US since 1980 (Construction Physics, 2023). Today, around 70% of steel in the US is made in EAFs (American Iron and Steel Institute, 2021).
The same pattern of increasing demand, met initially from primary production and then later through a growing reliance on scrap, is now playing itself out in Europe and China, is set to take off in south Asia, and it is to be hoped will roll out across Africa. Steel production globally is projected to peak in the second half of the 21st century, with scrap supply following 30 or 40 years after that.
The growth of scrap-based production has been driven by economics, of course, rather than by any concerns about the climate or greenhouse gas emissions – but that doesn’t make it any less welcome. A tonne of steel made entirely from scrap has around one-fifth of the greenhouse gas emissions of a tonne of steel made from iron ore.
Does that mean we can all relax, and recycle our way out of the climate crisis? Sadly not.
The American Iron and Steel Institute (AISI) estimates that the USA now recycles between 70% and 80% of all of its potentially available scrap (AISI, 2021). The World Steel Association (worldsteel) puts the global recycling rate even higher than that, at around 85% for end-of-life scrap.
Then why, despite these impressive recycling rates, is there currently only enough scrap to meet around one-third of the global demand for steel? The main reason is that scrap availability reflects the level of steel production a generation ago, rather than today. Steel production in 1985 was around 720 million tonnes. Today it is around two billion tonnes. Even without taking account of end-of-life recovery and furnace yield losses there is no way to make those numbers add up.
As demand for steel levels off in the future, a higher proportion of that demand will be met from scrap. In its ‘Sustainable Development Scenario’, in which the end-of-life recycling rate rises to 90%, the IEA estimates that there would be enough scrap to meet 45% of the demand for steel in 2050 (IEA, 2020). That is something to celebrate. But to put it the other way around, it would mean that 55% of the world’s steel – perhaps 1.2 billion tonnes of it – would still be made directly from iron ore.
To have any chance of limiting climate change to ‘well below 2 degrees’ and at the same time respecting the aspirations of 9 to 10 billion people, two things therefore need to happen. Firstly, the vast majority of primary steel will need to be made using ‘near zero’ emission sources of iron – using hydrogen-based direct reduction iron (DRI), direct electrolysis, biofuels, carbon capture or other new processes. And secondly, the electricity used in steelmaking will need to be generated with near zero emissions, whether it is used to power electric arc furnaces, hydrogen production, or direct electrolysis.
Those are the twin challenges for policy makers, steelmakers and steel users, and they apply across the whole sector.
To meet those challenges, they, and we, need to be able to compare the GHG emissions performance of all steelmaking on a like-for-like basis, whether steel is made from 100% scrap, 100% primary iron, or from any ratio of inputs in between – an approach pioneered in the ResponsibleSteel Production Standard, and recommended by the IEA, German Steel Association and others.
So let’s hear it for the recyclers, but also for the ‘near zero’ power generators, and the ‘near zero’ iron innovators.
And for a successful transition to a net-zero steel economy.
By Matthew Wenban-Smith
International Women's Day: Celebrating women working across the steel supply chain
In the second half of the twentieth century, women's participation in the global workforce grew remarkably. In the United States, female participation in the workforce surged from around 33% in 1948 to over 50% by the late 1970s (U.S. Bureau of Labor Statistics). Similarly in Europe, countries like France and Germany saw a rise from around 45% in the 1960s to over 60% by the 1980s (OECD, 2021). And in South America, Brazil also witnessed significant progress, with participation growing from approximately 18% in 1960 to 40% in 1980 (World Bank, 2020).
Despite these advancements, industries like steel, mining, and metals remained predominantly male-dominated. A 2019 broad analysis of 66 global steel, metals, and mining companies revealed that women made up between just 3% and 29% of the workforce (S&P Global). Within the steel industry specifically, women account for only about 15% of the workforce, a figure that has remained largely unchanged over the past decade (World Steel Association, 2020). These figures illustrate the persistent challenges to achieving gender diversity within the steel and metals sectors, underscoring the need for continued progress.
As workplaces evolve and diversity initiatives gain momentum, more women are entering and excelling in traditionally male-dominated sectors. Their contributions are driving innovation, improving workplace culture, and challenging longstanding societal barriers.
In recognition of International Women’s Day, ResponsibleSteel is spotlighting a few of the women who are driving change across the steel supply chain – celebrating their impact, resilience, and leadership and emphasising the need for greater diversity and inclusion in the metals sector.
Above image courtesy of Borçelik
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Elle Gatto
Assistant Team Leader - Finished Product Shipping, ArcelorMittal Dofasco
Elle has been with ArcelorMittal Dofasco for just over five years. As an Assistant Team Leader in Finished Product Shipping, she's passionate about working on the floor and ensuring steel moves efficiently. Her department is the last line of defense - she takes great pride in knowing that her role contributes to guaranteeing that only the highest-quality steel reaches customers. For Elle, being part of a team that keeps production running smoothly is rewarding and motivating, and she's looking forward to continuing to grow in the industry.
What is it like to be a woman in the steel industry?
"Being a woman in the steel industry has its challenges, but also presents unique opportunities for growth and leadership. It's empowering to contribute to an industry that is traditionally male-dominated, proving that diversity leads to stronger teams and more creative solutions. While there may be moments of being one of the few women in the room, I see it as a chance to break barriers and inspire the next generation of women in manufacturing and engineering fields."
Stefania Bonaiuti
Supplier Carbon Neutral, SKF
Stefania began her 28-year journey at SKF working in bearing product lines and later serving as the marketing manager for steel-related offerings. Currently, she focuses on Supplier Carbon Neutral deployment. Her career spans sustainability projects aimed at achieving net zero carbon emissions. Her experience in the steel industry and commitment to promoting sustainable practices continue to play an important part in advancing SKF's sustainability initiatives. She values the diverse perspectives women bring to the industry and actively supports gender balance and leadership development programmes at SKF.
What are your hopes for the future of the steel industry?
"Over the years, I have encountered many women in this field who brought diverse perspectives and innovative solutions, which are valuable in an evolving industry. Therefore, ensuring gender diversity remains crucial.
The future of the steel industry holds immense potential, rooted in sustainability, innovation, and inclusivity. Embracing cutting-edge technologies will enhance efficiency and reduce environmental impact. At SKF, we drive innovation with steel products that support our customers' sustainability goals. Collaboration within the industry and with other sectors is essential for sustainable change. We are proud to be part of initiatives like ResponsibleSteel, SteelZero, and RE100. By sharing knowledge and leveraging each other's strengths, we can tackle challenges effectively and drive the industry towards a more sustainable and prosperous future."
It's empowering to contribute to an industry that is traditionally male-dominated, proving that diversity leads to stronger teams and more creative solutions. - Elle Gatto, ArcelorMittal Dofasco
Tuana Çabuk
Production Engineer - Continuous Galvanizing Line, Borçelik
Tuana graduated with a degree in Mechanical Engineering. She has been working as a Production Engineer in the Continuous Galvanizing Line at Borçelik for two years. As a production engineer, she takes part in projects related to occupational safety, production processes, and quality performance of the lines she is responsible for.
What is it like to work in the steel industry?
"The steel industry is highly competitive and involves production processes that require advanced technology. As a result, it demands strong expertise in both engineering and production. Being actively involved in production processes and participating in various projects helps me to develop myself to be a better engineer. Since the steel industry is dynamic and requires technical proficiency, I believe that taking an active role in the manufacturing field, especially as a production engineer, provides a significant advantage.
Although the workforce is predominantly male, I take pride in contributing to the industry and promoting diversity as a female engineer. Gender diversity is a crucial issue, but I believe it should not be measured by having an equal number of men and women in every setting. Instead, it should be achieved by ensuring equal opportunities and a fair working environment for everyone. I feel fortunate to work in an organisation that supports this principle."
Dr. Ankita Gangotra
Senior Manager, World Resources Institute US
Ankita leads WRI's efforts to decarbonise the industrial sector through technology and policy innovation. Her work focuses on decarbonising the cement and steel industries, climate-oriented trade policies, green procurement standards, and fostering international cooperation. Ankita’s work includes advising U.S. policymakers and supporting industrial decarbonisation efforts in countries like India. Previously, she was a postdoctoral research fellow at Georgetown University, where she researched technology and policy options for industrial decarbonisation in the U.S.
What is it like to be a woman working on steel and heavy industry?
"I was apprehensive when starting work on the steel and industrial sector more broadly due to its male-dominated nature, but I’ve been inspired by the incredible women working on steel decarbonisation and their fierce advocacy. It’s been empowering to be surrounded by such passionate colleagues who are driving meaningful change. I hope we can accelerate the pace of steel decarbonisation while ensuring a just and equitable transition that benefits both communities and workers in the sector."
It's been very nice being a mentor and a point of call for other women. I like to think I've made other women in the industry proud. - Ashlea Muscat, BlueScope
Ashlea Muscat
Operations Manager Painting and Finishing Department, BlueScope
Ashlea joined the industry as a cadet in 2014 straight from university. After eleven years in the industry, she now runs the coil painting and finishing department at BlueScope’s Port Kembla Steelworks, looking after 126 people across 3 units and leading on day-to-day management, development, and process improvement across the department. Women now make up over 22% of BlueScope's site operators, a significant increase from 3% in 2017.
How did you get started in the steel industry?
"I first began in the industry as a cadet and I love all of the problem solving and challenging roles that I've held. It's been very nice being a mentor and a point of call for other women. I like to think I've made other women in the industry proud."
Aimee Boulanger
Executive Director, Initiative for Responsible Mining Assurance
Aimee has worked on mining issues for over 25 years, with substantial experience in directly affected communities. She has served IRMA’s leadership since 2011 and her role is to guide an organisation which is fully accountable to multi-stakeholder leadership, creating market value for more responsible business practices while ensuring credibility and accountability to all stakeholders.
What are your hopes for the future of the steel and mining sectors?
"I hope for a future where companies that create the products we rely on every day are valued not just for what they make, but for how they make it, ensuring that people, their lands, and their wellbeing are respected at every step. This means greater transparency in industries like mining and steel, so we acknowledge our shared impact and work together to reduce harm. And as we do, I hope we centre the voices of women—whose leadership, labour, and lives are so often overlooked—so that the benefits of industry are shared more equitably by all."
I hope for a future where companies that create the products we rely on every day are valued not just for what they make, but for how they make it... And as we do, I hope we centre the voices of women—whose leadership, labour, and lives are so often overlooked—so that the benefits of industry are shared more equitably by all. - Aimee Boulanger, IRMA
Angelica Olsson
Manager - Safety and Sustainability, Outokumpu
Angelica has worked her whole career in different types of industries. Before joining Outokumpu, she worked for several years in the paper industry as well as in the sawmill industry. She's held various positions, but she has the most experience in Supply Chain Management. She joined Outokumpu in 2018 and her first role was as a Safety Engineer for fire and security issues. Since 2022, she has worked as a Safety & Sustainability Manager.
What is it like to work in the steel industry?
"The steel industry has been by far the most interesting and challenging industry that I’ve worked in. The products we produce are fascinating and we all need to work every day to ensure that the way we produce steel is safe and sustainable. In my role as a Safety & Sustainability Manager, I’m fortunate to work with a great team of safety and sustainability engineers, and together we work hard every day, enabling our mills to produce safe and sustainable stainless steel. I really feel that the work we do makes a difference."
Marnie Bammert
Independent Consultant to ResponsibleSteel
Marnie is an independent consultant with 20 years of experience in developing, implementing and communicating sustainability certification and verification programmes. She has worked with ResponsibleSteel since early 2018. Marnie started her journey in the field of sustainability with oekom Research AG, a rating agency specialised in sustainable and ethical investments. She then moved to the Marine Stewardship Council (MSC), holding various positions including Deputy Director Europe. Since then, Marnie has worked as a consultant on projects ranging from protected areas to infrastructure, mining and nature-based solutions.
Why did you first begin working on the steel industry?
"People tend to focus on GHG emissions when discussing sustainability challenges of the steel sector. But the climate crisis cannot be solved in isolation. Working with ResponsibleSteel, I wanted to raise awareness for other important issues that the sector faces - human and labour rights, biodiversity, water stewardship, to name just a few. They are all connected to the climate question. I am proud to have played an instrumental part in creating the ResponsibleSteel Standard since it brings all of those issues together."
I envision a future for steel where much greater systems thinking, as well as intra- and inter- sector collaboration, drives progress - all enriched by the leadership of women. - Jen Carson, Climate Group
Jen Carson
Head of Heavy Industry, Climate Group
Jen Carson leads the strategy and growth of Climate Group's SteelZero and ConcreteZero. With a decade's worth experience working in the sustainability sector, she works to accelerate heavy industry decarbonisation. Jen joined Climate Group in 2021 after leading energy market research as an Associate at Delta-EE in Australia. Previously, she held various roles at Delta-EE, including creating its first cross-technology research service, as well as at The Carbon Trust, Dunelm Energy, and Kier Group.
What are your hopes for the future of the steel industry?
"I envision a future for steel where much greater systems thinking, as well as intra- and inter- sector collaboration, drives progress - all enriched by the leadership of women. By elevating the contribution of the demand side, and championing a competitive, decarbonised future, we will build a resilient steel industry that sets new standards for what is and isn't acceptable."
In conversation with IRMA and ResponsibleSteel: Exploring the role of standards in driving a responsible transition in steel and mining
ResponsibleSteel and the Initiative for Responsible Mining Assurance (IRMA) are collaborating on a joint project to better understand the social impacts of the net-zero transition for the steel and mining sectors and how standards can help guide good practice. This project is possible thanks to a grant from the ISEAL Innovations Fund, which is supported by the Swiss State Secretariat for Economic Affairs SECO.
We have asked the two project leads, Haruko Horii, Standards Manager at ResponsibleSteel, and Davidzo Muchawaya, Africa Regional Lead at IRMA, to answer a short Q&A for readers to better understand the project itself.
Q: Haruko, what is the vision for the project?
With this project, we want to understand the social impacts of the transition to net zero and what role standards can play in guiding good practice.
The term ‘just transition’ is used by different people in different ways. We need to determine what this looks like for the mining and steel sectors. What exactly is a just transition? Whose transition are we discussing? Workers, local communities or supply chains? What is the scope of transition? These are some of the questions we need to consider.
Decarbonisation could have adverse social impacts such as job losses or displacement and significant effects on weakening the economic viability of affected communities. Initial research has shown that communities are facing significant social impacts caused by the transition to low-carbon practices. For instance, thousands of people have lost their jobs as a result of shifting from blast furnace technology to electric arc furnaces. These job losses have in turn impacted the wider community’s economic stability, community identity, and overall well-being.
These are the types of issues we aim to identify through this project, assessing how voluntary sustainability standards (VSS) can address them, identifying gaps, and outlining steps for future, more detailed work that could lead to larger-scale initiatives. We’ll test our findings by engaging with workers, unions, business leaders, community organisations, and other relevant stakeholders to identify an agreed approach and create practical guidance for players in the mining and steel industry.
Q: Davidzo, what do ResponsibleSteel and IRMA have in common, and why are they collaborating on a just transition?
We believe in the power of collaboration and mutual recognition. This project is just one of many examples of how different voluntary sustainability standards can complement and leverage each other's work. Specifically, ResponsibleSteel leverages the assurance system of standards such as IRMA’s at mine site level, while focusing on the steel production aspects. Importantly, both ResponsibleSteel and IRMA were founded on a multi-stakeholder governance system, which has been recognised as a leading practice both by industry and NGOs. This model is recognised as best practice to ensure transparency, accountability, and inclusivity.
The collaboration specific to a just transition is born out of the necessity to ensure two hard-to-abate sectors, steel and mining, address the realities workers and communities are facing in our changing world as many existing mine and steelmaking sites face adaptation or closure. Given the varying impacts of decarbonisation across regions, IRMA and ResponsibleSteel are uniquely positioned to provide frameworks that apply across these different contexts since they are both standard-setting organisations operating globally. What is more, they are able to consider both decarbonisation and the potential social impacts of the transition at the same time.
Q: How do each of you respectively integrate just transition into your standards?
Haruko: Standards are going to play a critical role in promoting accountability during the transition ensuring they are fair and equitable. Although there is no explicit reference to a just transition in the current ResponsibleSteel International Production Standard, there are some elements to address the transition under Principle 4: Decommissioning and Closure, which requires consultation with key stakeholders to minimise any adverse impacts of site closures. In future, the scope of this principle could be expanded to address issues related to site closures, or the Production Standard could adopt a different approach by providing a just transition framework giving steel producers guidelines and tools to navigate an equitable transition with workers and affected communities. We plan to discuss these approaches with stakeholders in the next phases of the project. Integrating practices into the Production Standard will help ensure the industry’s transition is both environmentally and socially just.
Davidzo: As for the IRMA Standard for Responsible Mining, multiple chapters and requirements articulate what best practices could and should be for mining operations wishing to ensure a just transition for workers and affected communities. A prominent example is the requirement to involve affected communities and stakeholders in the development, design, and implementation of the mine rehabilitation and closure plan. Going beyond minimum transparency, the IRMA Standard outlines a series of requirements dedicated to the adequate estimation and financing of mine closure and post-closure. Research shows that mining operations often leave behind environmental and social liabilities, without taking charge of costs associated with the rehabilitation or appropriate closure of the sites thereby foregoing an adequate transition.
Crucially, the role played by both ResponsibleSteel and IRMA would not be the same without their multi-stakeholder governance systems. Thanks to the decision making process that takes into account private sector players as well as rights holders and labour unions, they can ensure that the voices of all parties are heard and taken into account in an equal way - hopefully adding the “just” element to “transition”.
Q: Davidzo, who is the main audience for this project?
The main audience for this project is workers and labour unions, as workers are most directly affected by the transition. Operators, from mining companies to steelmakers, are also key since, as employers, their actions and decisions will be critical to the social impacts of the transition, alongside national and subnational governments. Local communities impacted by the transition, NGOs that aim to act in their interests and standard-setting organisations are also key stakeholders.
Q: Haruko, is there a specific geographic focus for the project?
While just transition challenges and opportunities vary from country to country and even from site to site, the project is truly global as it strives to bring the complexities of these different realities to light. We aim to engage with stakeholders across different regions during the project to hear about the realities of the transition in different contexts. More information on this to come!
To find out more about IRMA, visit responsiblemining.net. To find out more about the project background, visit this page on the ISEAL website.
Davidzo Muchawaya is the Regional Lead for Africa at the Initiative for Responsible Mining Assurance (IRMA), where she leverages her extensive 15-plus years of experience in responsible sourcing and sustainability to further IRMA's vision. This vision aims to create a world where the mining industry respects the human rights and aspirations of affected communities, provides safe, healthy and supportive workplaces, minimizes environmental harm, and leaves positive legacies. Davidzo's responsibilities include leading the development and implementation of strategies for regional outreach to extend and deepen engagement with a broad spectrum of stakeholders, such as civil society organizations, labour unions, and communities impacted by mining activities. Davidzo plays a role in facilitating the dissemination of IRMA's audit reports and implementing awareness initiatives to enhance understanding of the IRMA system among stakeholders.
Davidzo is currently co-leading an ISEAL-funded project that explores how voluntary sustainability standards can drive a responsible transition in the steel and mining sectors. The project aims to understand the social impacts of the industry's shift toward a low-carbon economy and the role of multi-stakeholder systems initiatives in ensuring a socially responsible transition.
Haruko Horii has 9 years of experience in the sustainability sector, including work with NGOs and a social auditing consultancy firm. In her previous roles with standard-setting organisations, she has worked on various social topics such as living wage, social impact assessment, and gender equality, while ensuring the team’s compliance with standard-setting best practices. Haruko is trained in social auditing (SA8000) and social impact assessment (IAIA). She has worked as a social auditor and consultant, assisting global companies in promoting human rights by developing social responsibility policies and strategies, and establishing assurance mechanisms through capacity-building activities, social audits, and assessments.
Haruko holds a Master’s degree in International Development from Wageningen University in the Netherlands.
Borçelik: Our Greatest Strength
“We see our human resources as our greatest strength.” Worker well-being is a crucial part of creating a sustainable industry. This means not only ensuring a healthy and safe working environment, but also providing the care, opportunities, and respect that every individual deserves and needs in order to thrive. Derya Demirer, Director of Human Resources and Corporate Communications for Borçelik, discusses the strides the company is making to promote equality, support professional growth, and put worker well-being first.
Borçelik, a special collaboration between Borusan Group, a leading conglomerate in Turkey, and ArcelorMittal, the world’s largest steel producer, proudly stands as Turkey’s biggest galvanized flat steel producer. We wholeheartedly embrace and endorse Borusan Group’s sustainability vision, which revolves around three key pillars: climate, people, and innovation. At Borçelik, we integrate initiatives aligned with these focal points into our core business operations, ensuring a holistic and responsible approach to our endeavours.
The Borçelik Technical Academy (BTA), established with the aim of supporting the professional development of Borçelik employees, is deeply committed to creating value for society. It welcomes individuals who are eager to enhance their expertise in the fields of metal, machinery, transportation, logistics, communication, chemistry, petroleum, rubber, and plastics. Moreover, BTA dedicates itself to designing a unique curriculum for technical high school students, empowering students to become highly skilled professionals and promoting diversity in the industry.
Gender equality holds immense significance for us at Borçelik. We are proud to lead the way in introducing innovative initiatives for our industry in Turkey. One such initiative is our “No Job Too Tough for Women” project, implemented in collaboration with the BTA, which establishes a comprehensive programme to enable female employees to work in the predominantly male-dominated steel industry.
Furthermore, we actively engage in the Gender Lens initiative as a key participant within Borusan Group’s Equal Borusan Platform. Through this initiative, we implement a wide range of practices to foster gender equality. These include offering private health insurance with maternity coverage to both male and female employees, ensuring uninterrupted utilization of maternity and paternity leave, providing support programmes for maternity and postnatal care, granting leave on important occasions like the first day and last day of school for colleagues with children, organizing well-being activities, implementing hybrid work arrangements, and establishing an accessible Ethics Line to report any gender equality violations.
We also offer childcare assistance to our female employees with children aged 0-66 months. Moreover, we engage in the Borusan Equality School project initiated by the Borusan Group, which aims to raise awareness about equality. Through continuous gender equality-focused training programmes, we strive to foster awareness and understanding both within and beyond our company.
At Borçelik, we remain dedicated to our sustainability endeavours, focusing on climate, people, and innovation. We prioritize the well-being of individuals and embrace the concept of “Inspiring the Future by Inspiring the World.” Our dedicated efforts revolve around fostering the healthiest and safest work environments for our workers. Recognizing our workforce as our greatest asset, we have developed comprehensive programmes to enhance their competencies and promote their overall welfare. Central to our approach is the utilization of cutting-edge technology to continuously improve working conditions and establish a secure atmosphere within our facilities.
Through innovative solutions, we strive to create a workplace that ensures the safety and satisfaction of our employees. We are committed to conducting inspiring projects that set the benchmark across the industry.
By Derya Demirer, Director of Human Resources and Corporate Communications, Borçelik
Derya Demirer is an experienced Human Resources Professional who has an undergraduate degree in Industrial Engineering. Her areas of expertise includes performance management, talent and career management, organisational design and diversity and inclusion studies. She is currently working for Borçelik as Human Resources and Corporate Communications Director.
ResponsibleSteel hosting event at upcoming 14th Clean Energy Ministerial in Goa
ResponsibleSteel is hosting a critical meeting at the upcoming 14th Clean Energy Ministerial (CEM14) demonstrating the role of the ResponsibleSteel International Standard in impacting policy, finance and the energy transition to accelerate decarbonisation in India’s steel industry at pace and scale. The event will take place from 9:00 to 10:30 am (IST) on Saturday, July 22nd.
India is the second-largest producer of steel after China and according to the IEA, the Indian steel industry is projected to triple by 2050. Currently, the steel industry accounts for around 12% of India’s emissions. The country’s push to meet its net zero targets will rely heavily on the decarbonisation of its steel sector. That is why ResponsibleSteel will bring together key stakeholders from government, downstream, and the steel industry to discuss the challenges and solutions needed to achieve an equitable and just transition in India.
The event will feature keynotes from Shri. Nagendra Nath Sinha, Secretary for the Indian Ministry of Steel, Shri. Alok Sahay, Secretary General & Executive Head of the Indian Steel Association, and Annie Heaton, CEO of ResponsibleSteel, as well as a panel discussion between representatives from the Ministry of Steel, JSW Steel, and SteelZero.
Topics of discussion will include:
- The main challenges facing the Indian steel industry as it moves to a “greener” future
- The role the ResponsibleSteel Standard and certification programme can play to help accelerate the decarbonisation of India’s steel industry
- The importance of driving alignment on frameworks and near-zero definitions
- The investments, innovations and new policies needed to speed up a decarbonised future
Learn how more about CEM14 and how you can register to join us in Goa here!
Jindal Steel & Power Joins ResponsibleSteel
Jindal Steel & Power has become the latest steelmaker to join ResponsibleSteel, demonstrating their commitment to our mission to be a driving force in the socially and environmentally responsible production of net-zero steel, globally.
Jindal Steel & Power (JSP) is an industrial powerhouse with a presence in steel, power, mining and infrastructure sectors in India and abroad. Led by Mr Naveen Jindal, the company’s success has been based on overarching goals to promote innovation, set new standards, enhance capabilities, and support company stakeholders.
ResponsibleSteel CEO, Annie Heaton commented, “We’re delighted to welcome Jindal Steel & Power to ResponsibleSteel. This is yet another prime example of the growing commitment of Indian steelmakers to building a more sustainable industry. As one of the largest steel-producing countries in the world, India has a critical role to play in driving steel decarbonisation. With JSP, we now have nearly 40% of India’s steelmaking capacity in our membership. We look forward to working closely with JSP as we continue to accelerate the rollout of the ResponsibleSteel International Standard globally.”
ResponsibleSteel steelmaking members commit to starting the certification process of at least one steelmaking site against the ResponsibleSteel International Standard within one year of joining. As one of the largest steel producers in India with a turnover of more than $7.6 billion, JSP has a significant presence in sectors like mining, power generation, and infrastructure. Through technologies like Coal to Liquid & Coal Gasification, JSP has worked to become a trailblazer and drive innovation in the steel industry.
Mr Bimlendra Jha, Managing Director for JSP stated, “By associating with ResponsibleSteel, JSP has reiterated its commitment to a more sustainable future by incorporating environment-friendly initiatives and technologies. JSP has been an ardent advocate and practitioner of sustainable development since its inception and is wholeheartedly committed to improving its sustainability performance. We aim to incorporate sustainability into our businesses by strengthening our economic, social & environmental pillars by mitigating the impact of our operations.”
Thyssenkrupp Materials Processing Europe Achieves First ResponsibleSteel Certification
Following an independent audit conducted by DNV, thyssenkrupp Materials Processing Europe’s El Puig site has successfully obtained ResponsibleSteel certification. This is the organisation’s first certification globally and is an unprecedented milestone as the first steel-cutting service centre to obtain the certification.
The El Puig Steel Service Centre was founded in 1989 as a joint venture and has belonged to thyssenkrupp Materials Processing Europe since July 2016. This achievement was the result of a collective effort by the entire El Puig team to fulfil the 12 principles of ResponsibleSteel’s International Standard Version 1.1, covering a wide range of ESG criteria.
Oliver Bensing Carvalhal, CEO of thyssenkrupp Materials Processing Europe S.L, said, “This ResponsibleSteel certification reflects our commitment to our environment as well as acts as a differentiating factor between our competitors and us and endorses our path to a sustainable and decarbonised production process for future generations. It is not an easy task, but this is what responsible management is about, combining economic development, social inclusion, environmental sustainability and transparency to contribute to creating a more sustainable future for people and the planet. This certification positions us as a reference steel cutting service centre worldwide.”
Thyssenkrupp has set targets for 2030 to reduce the sum of its direct emissions (Scope 1) and its emissions from purchased energy (Scope 2) by 30% compared to 2018. Furthermore, the company aims to reduce indirect emissions from its value chain by 16%.
ResponsibleSteel CEO, Annie Heaton, commented: “We’re delighted to have thyssenkrupp’s El Puig site join the growing ranks of ResponsibleSteel certified sites. This achievement, the first for thyssenkrupp Materials, demonstrates their commitment to our mission to drive the responsible production of net zero steel and the importance of managing sustainability impacts all along the value chain. The site has worked to create a culture which promotes worker safety and wellbeing and has made significant environmental strides. Most notably, El Puig has reduced its water consumption rate by 40% and has already made progress reducing emissions, having lowered CO2 emissions by 25.6% between 2017 and 2021.”
Read the public audit summary here.
May 2023 Newsletter
Please view the May 2023 newsletter by clicking the link below:
From Commitment to Action: World Biodiversity Day 2023
We face a global biodiversity crisis. Biodiversity losses are running at unprecedented levels with up to a million species facing extinction in coming decades. The maintenance of biodiversity is an important and shared responsibility. That’s why the ResponsibleSteel International Standard requires sites to take stock of the risks and impact they have on biodiversity. Anne Sophie Pellier, Senior Programme Manager at Fauna & Flora and ResponsibleSteel Board Member, discusses how the steel industry is working to protect biodiversity.
World Biodiversity Day 2023 feels very significant. We are riding on a new wave of optimism with the adoption of the Kunming-Montreal Global Biodiversity Framework, setting out a goal to halt and reverse nature loss by 2030 – putting nature visibly and measurably on the path of recovery.
This comes at a critical time. We understand nature’s vital contributions to our planet and to society, and its interconnections with climate change. Yet nature is under threat like never before. Biodiversity loss stands in the World Economic Forum’s top five global risks, reflecting the potential for significant negative impacts for humanity within the next 10 years; for our food, water, economy, health and well-being.
We must act together and swiftly, putting nature loss on a par with climate change and aligning our new goal for nature with the net-zero Paris Agreement. If we fail to do so, the consequences will be catastrophic.
The business community is critical to this; not only due to the scale of its impact, but because biodiversity loss directly translates into business risk. Loss of ecosystem resilience, reputation damage and supply chain disruption can all have an impact.
Fauna & Flora: Why we value our membership of ResponsibleSteel
Fauna & Flora is a nature conservation charity protecting the diversity of life on Earth; for the survival of species and habitats, the planet and people. We have a long history of working with businesses, supporting them to put biodiversity at the heart of decision-making.
Being a member of ResponsibleSteel enables us to come together with other stakeholders to influence the industry’s commitment to biodiversity and help drive the development of the standards necessary for sector-wide change.
We are encouraged by the significant steps the industry is already taking to protect nature. At an operational level, steel companies are developing biodiversity plans, aiming to minimise negative impacts on biodiversity and to restore sites no longer used. Some are investing in reforestation and habitat restoration projects locally to offset residual impacts on biodiversity, and are seeking to reduce their supply chain impacts through the sustainable sourcing of raw and recycled materials.
As companies invest in reducing their carbon emissions and transitioning to more sustainable energy sources, this also brings positive benefits for biodiversity. In addition, we’ve seen how some are engaging in sectoral and company-specific partnerships, to share good practice and create consistency across the industry.
Achieving our 2030 ambitions for nature: what next for the steel industry and biodiversity?
If the steel industry is to build on this progress and continue to push boundaries, companies need to further integrate biodiversity into core business practices, and commit to becoming nature positive. Companies need to go beyond mitigation and identify opportunities to invest in habitat restoration where mining has caused damage, and to support conservation initiatives in regions of high biodiversity value. Importantly, companies must be transparent about their impact on biodiversity and support progress towards conservation goals.
If we are to spearhead the transformational change so urgently needed, companies should use their influence to engage and educate employees, customers and other stakeholders on the importance of protecting and restoring nature and the role they can play.
If we are to reverse nature loss at the scale and pace needed, progress should be underpinned by collaboration – with other businesses, government, civil society and local communities – to exchange knowledge and identify solutions to our shared challenges.
By Anne-Sophie Pellier, Senior Programme Manager in Corporate Sustainability, Fauna & Flora
Anne-Sophie Pellier works in partnership with businesses to bring about positive change for biodiversity, providing them with best practices for avoiding and mitigating their impact on nature’s assets. She has worked in biodiversity conservation and sustainable development for local communities for 13 years in Southeast Asia, Latin America and Europe, during which she developed her expertise on ecosystem services and natural capital. She joined the ResponsibleSteel Board in 2022.
New ResponsibleSteel 'meet the expert' webinar series
We're delighted to invite members to the first two in a new series of ResponsibleSteel’s ‘Meet the Expert’ webinars.
Our series will kickoff on Friday, May 26th with a deep dive briefing by the International Energy Agency (IEA) industrial decarbonisation team on the latest IEA report to the G7 on ‘Emissions Measurements and Data Collection for a Net Zero Steel Industry.’
Webinar: Emissions Measurements and Data Collection for a Net Zero Steel Industry
Date: Friday, May 26th
Time: 7:30 EDT (NYC)/ 12.30 BST (London) / 20:30 JST (Tokyo) / 21:30 AEST (Melbourne)
In addition, the World Steel Association (worldsteel) will share their plans to review their own CO2 methodology, and ResponsibleSteel CEO Annie Heaton will outline ResponsibleSteel’s work on furthering GHG alignment as part of the Steel Breakthrough Agenda.
This webinar will be an exclusive opportunity for ResponsibleSteel members to hear from the IEA, worldsteel, and ResponsibleSteel on building a robust, globally aligned framework for measuring progress towards a net zero steel industry.
Our second member-only webinar on Tuesday, May 30th in partnership with the International Labour Organization (ILO), will explore labour standards in the steel industry, particularly the implementation of the ResponsibleSteel International Standard across different labour contexts.
Webinar: Labour Rights and the ResponsibleSteel International Standard
Date: Tuesday, May 30th
Time: 8:00 EDT / 1:00 BST / 14:00 CEST / 17:30 IST / 21:00 JST / 22:00AEST
Representatives from ArcelorMittal Brazil and Borçelik will also join to discuss potential challenges to implementing the Standard which is based on the ILO Core Conventions.
This webinar will be an exclusive opportunity for ResponsibleSteel members to hear from the ILO, ResponsibleSteel and two ResponsibleSteel members on the importance of ensuring robust labour standards in the industry and the role the ResponsibleSteel Standard plays in this.
Both webinars will include Q&A sessions following the speaker presentations and ample opportunity for a broad and dynamic discussion with members.
If you are interested in participating please contact us.
Working together to ensure the health and safety of workers in an evolving steel industry
Industrial processes can be inherently hazardous, and when accidents or work-related illnesses occur they can have serious consequences. Consequently, the first priority of any steel site should be the health and safety of workers. That is why Occupational Health and Safety is a crucial component of the ResponsibleSteel International Standard. Patrick Correa, Director for Base Metals and Mechanical Engineering for IndustriALL Global Union, discusses how we must work together to continue to ensure the health and safety of workers in an evolving industry.
The Global Day for Safety and Health at Work is an opportunity to raise awareness about the importance of workplace safety and health for employees across all industries, not least in the steel sector, where workers face a variety of hazards and risks.
Steel production is a complex and demanding process that involves exposure to high temperatures, heavy machinery, hazardous chemicals, and other physical and environmental hazards. Steelworkers face a range of potential health and safety risks, including burns, cuts, respiratory problems, hearing loss, and more.
To address these risks and promote a safe and healthy workplace for all, robust occupational health and safety (OHS) measures are essential. This can include implementing safety protocols and guidelines, providing training and education on workplace hazards, conducting regular safety inspections, and ensuring workers have access to appropriate personal protective equipment (PPE).
Unions play a key role in advocating for health and safety. By joining a union, workers can leverage collective bargaining power to negotiate for safer working conditions, better PPE, and other crucial protections.
But despite improved OHS in the sector, increasing automation, changing job requirements, evolving health and safety risks and a lack of investments from companies to ensure adequate OHS policies and resources, pose new challenges.
As more tasks become automated, the nature of steelworkers’ jobs will change and with that, the risks and hazards they face. Unions and employers must work together to identify and address emerging OHS concerns, like potential risks associated with robotic machinery.
As our understanding of workplace hazards and their impact on worker health and well-being continues to evolve, it is critical that OHS measures keep pace. This means that workers, unions, and employers must remain vigilant and proactive in identifying and addressing emerging risks, such as those associated with new chemicals or materials.
The Global Day for Safety and Health in the workplace is an important reminder of the critical importance of occupational health and safety in the steel sector. By promoting robust OHS measures together with the unions and addressing emerging challenges and opportunities, we can ensure a safer and healthier workplace for all steelworkers.
By Patrick Correa, Director for Base Metals and Mechanical Engineering, IndustriALL Global Union
Patrick Correa has worked in international trade unionism for 25 years, including as International Director of the CGT Métallurgie in France. He has been a member of the executive committee of IndustriALL Global Union and IndustriALL Europe and European trade union coordinator for Renault, GE Power, Engie, Nexans and Lisi. Patrick has a Master 2 degree in labour law from the University of Paris II Pantheon-Assas.
April 2023 Newsletter
Please view the April 2023 newsletter by clicking the link below:
Collective Creativity will Strengthen Sustainability
The United Nations designated 21 April as World Creativity and Innovation Day, citing that the “concept of creativity is open to interpretation, from artistic expression to problem-solving in the context of economic, social and sustainable development.” Dietmar Grimm, Vice President of Corporate Strategy & Sustainability Solutions for Trimble, discusses why we urgently need to capitalise on today’s innovations to drive future change.
Now, more than ever, creativity and innovation are needed to accelerate efforts to achieve the UN’s Sustainable Development Goals (SDGs). Trimble is committed to ensuring that our mission, solutions, and initiatives align with and support the objectives of the SDGs. And joining forces with industry initiatives like ResponsibleSteel underscores that alignment.
Innovation has always been and always will be at the heart of Trimble. For almost 50 years, the company has pushed the boundaries of technology to help our customers work better, faster, safer, cheaper, and greener across the industries we serve. These are not separate goals, but actually five, highly intertwined principles. Trimble’s contribution toward helping customers operate more efficiently enables them to operate more sustainably. Examples include reducing idle time on machinery, lowering fuel consumption and emissions and reducing construction waste – all through data driven insights and decisions.
In the world of steel, our design software has enabled some of the most intriguing and intricate designs for buildings, bridges, and other structures. Technology provides endless possibilities to architects to come up with designs that really push the limits. That same technology now needs to give us the input to drive down carbon emissions across all of the construction continuum. All phases that make up an asset’s lifecycle – design, build, operate – carry emissions. That’s why our Sketchup design software portfolio includes tools that help designers make the most environmentally-friendly design decisions at the earliest possible stage, taking into consideration the effects of a building’s orientation, the local climate, the use of materials, the number and type of windows, and the application of HVAC technology. All with an eye to creating designs with the smallest environmental footprint over the long term.
We incorporated a carbon calculator in our Tekla structural design software and worked with the One Click LCA automated life cycle emissions assessment software to offer our users enhanced visibility of the environmental impact of their structural designs. And it is also why Trimble strives to connect the traditionally separated workflows within the construction industry: to make data flow across projects to provide short- and long-term insights.
With the wider steel and construction industries being some of the largest industrial emitters of CO2, industry-wide sharing of data is crucial. With more data availability, designers can more readily come up with awe-inspiring and creative designs that still ensure our cities’ livability for decades to come. Working together with the wider industry in bodies like ResponsibleSteel has the potential to spark some interdisciplinary thinking. Many solutions to the global sustainability challenges are still years out. But we have opportunities to drive real emissions down already today if we build on the successes we already accomplished to make even more deliberately sustainable choices in all aspects of business operations. We need to challenge ourselves — on this day even more than on others — to dig deep into our collective wells of innovation and creativity and find new and lasting solutions together.
By Dietmar Grimm, VP Corporate Strategy & Sustainability Solutions, Trimble Inc.
As VP Corporate Strategy and Sustainability Solutions at Trimble, Dietmar Grimm is helping the company drive profitable systems change across industries to a more productive, efficient, and sustainable, low-carbon, diverse, and equitable future for all communities.
Harassment has no place in a ResponsibleSteel-certified site: Jana Loos on ArcelorMittal Bremen’s zero tolerance for harassment
ArcelorMittal Bremen in Germany was one of the first sites to become certified against the ResponsibleSteel Standard. As part of the certification process, the site had to address issues involving workplace harassment which had been raised by several female employees. Jana Loos, leader and spokesperson for ArcelorMittal Bremen’s anti-harassment project explains how the site tackled these issues and why it is so important to be vigilant and help to empower and support those who might be at risk.
A female worker received feedback from her team leader: “I like how you told the whole team that you won’t continue to tolerate their sexist comments towards you. However, my wife would never have allowed this to happen in the first place.”
Oftentimes, sexual harassment in the workplace does not constitute an overt criminal offence but is more subtly pervasive. In many cases, clumsy communication crosses the boundaries of what is appropriate in a professional environment. Or it transforms a normal social situation into an awkward one – simply because of one word too much, one touch in the wrong place or too long a gaze.
A while back, several women working at ArcelorMittal Bremen’s steel factory had the courage to disclose their experiences and seek help. A group of health experts, working council members and labour union members found the official processes wanting and united to tackle the issue. Shortly after, ArcelorMittal Bremen founded a project group to implement the social management standards required to obtain certification against the ResponsibleSteel Standard. This was the deciding factor that gave the topic the significance it needed.
The ResponsibleSteel Standard includes requirements which ensure a site identifies any risks, takes the necessary action to address such risks, and monitors the outcomes to determine where improvement is needed. Principle 6 of the recently updated ResponsibleSteel International Standard V2.0 specifically aims to make sure that “certified sites respect the rights of workers and support worker well-being.” Certified sites make the commitment to uphold labour rights and human rights, including maintaining a zero-tolerance policy for workplace harassment. Furthermore, certified sites must have effective procedures in place to understand and address any concerns raised by workers or their representatives.
Now, a few years later, ArcelorMittal Bremen has a contact person and a broad communications campaign on harassment. Trainings on the topic are implemented at all levels – comprising a seminar for new apprentices, leadership training and an awareness guide for all employees.
However, the path has not been smooth. With female staff making up only 8.6% of the workforce, some employees do not understand and even ridicule the topic. One male employee commented: “I, for my part, would like to be harassed one day!” The project team often need to stand up to such uninformed or hostile attitudes and provide basic education around these issues. The most important aim is a respectful working environment. There is no need to slander a specific person for a rude comment. Instead, the project group focuses on the empowerment of women – their approach is to equip women with the knowledge and training they need to tackle harassment situations confidently as well as raise overall awareness of the situation.
Since the beginning of the project, a noticeable change has taken place. Sexual harassment is a topic that is being talked about – even by the management board during official staff meetings with around 1,000 attendants. The goal is not “zero cases reported” – because this does not equal “zero cases” in actuality. In an atmosphere of mutual respect and encouragement, people experiencing harassment will have the courage to speak up and talk about their experiences. Therefore, the goal must be “as many cases reported as possible”.
We encourage any other organization to walk a similar path and provide their staff with all they need to tackle harassment situations. We firmly believe that this is a very important aspect of producing “responsible steel.”
By Jana Loos, Project Leader, ArcelorMittal Bremen
Please note: In the text, we only mention women being harassed by men, because this is the only constellation, we have come across so far in our organization, but we are fully aware that members of the LGTBQ+ community are exposed to similar harassment and of course, men might be harassed as well.
Maximising Circular Economics for Decarbonising Steel
The climate challenge for the steel industry is now well-established. Steelmaking currently accounts for between 7% and 9% of global CO2 emissions. We have not only the opportunity to do things differently across the industry, but it is vital if we are to drastically reduce the amount of emissions emitted from the steel value chain, and so have a real and lasting impact on people and the planet.
Steel is often talked about as the world’s most circular material. Maximising the recovery and use of recycled steel (i.e. scrap steel) is a critical lever and the most natural way to drive decarbonisation in the steel industry. The rates of scrap recovery today are extremely high – the highest of all materials. Worldsteel estimates that steel is recovered at a rate of 85% on average – far more from some product markets. Still, there is always opportunity for further progress. And yet, frustratingly, scrap alone is just not sufficient to meet global steel demand, and even if the use of scrap was maximised, published models tell us that it won’t provide more than half of what we need to get us to net zero by 2050 (International Energy Agency, 2020).
Clearly, as more and more buildings, cars and washing machines reach the end of their useful life, we must ensure that every last tonne of scrap is recovered, in order to produce lower-footprint steel products. But this alone will not be enough if we are serious about net zero by 2050.
It is absolutely vital that we also incentivise the decarbonisation of the only other alternative, the reduction of iron ore, however this is done, and however much scrap is available to complement it. And this is why the ResponsibleSteel International Standard adopts a ‘sliding-scale’ approach to incentivise decarbonisation across all steelmaking, regardless. In effect, our thresholds provide an equitable and effective mechanism for assessing progress on core decarbonisation across the sector and have been echoed and endorsed in numerous reports, proposals and schemes, by the International Energy Agency (IEA), Science Based Targets Initiative (SBTi), the Sustainable Steel Principles, the German Steel Federation and the Australian Green Buildings Council.
There is also a third dimension here. Let’s not forget that to maximise the progress to a net zero world, we need product design to create more value from every tonne of steel we produce and so reduce demand overall. A car made with stronger steel requires less material. Ball bearings that last longer will not need to be replaced so often. In each market, therefore, policymakers will need to reward product design that lengthens the product lifetime, reduces the amount of steel needed for a given purpose, and rewards the reuse and remanufacturing of steel products.
All these three elements – scrap recycling, demand efficiency, and decarbonisation progress – will be needed to get the steel sector to net zero within the next three decades. But how much the first two of these levers can contribute will be critical to understanding the scale of the decarbonisation progress challenge. In the coming months, ResponsibleSteel will be publishing further analysis of both scrap availability and steel demand to shed further light on what is undoubtedly the industry’s biggest challenge.
