ArcelorMittal announced back in November 2024 that it could not move forward with final investment decisions for new Direct Reduced Iron (DRI) and Electric Arc Furnace (EAF) facilities in Europe, citing challenging conditions across policy, energy, and market landscapes.
The steelmaker had secured a €1.3 billion ($1.5 billion) support package from the German federal government to help drive its decarbonization plans in Bremen and Eisenhüttenstadt. However, the agreement required construction on the DRI-EAF units to begin by June 2025—an increasingly unrealistic target under the current economic climate.
With that deadline looming, ArcelorMittal Germany has formally informed the government that it cannot proceed with the planned investments. The company pointed to ongoing market instability and economic headwinds specific to low-emission steelmaking as key barriers.
Looking ahead, ArcelorMittal will shift its focus at the Bremen and Eisenhüttenstadt sites to detailed planning for electric arc furnace infrastructure. This preparatory work aims to ensure the projects are ready to advance when market conditions become more favorable.
