The State of the Steel Industry in 2024

The U.S. steel industry has reduced CO2 emissions by 37% since 1990, it recycles more than 14 million tons of steel each year (steel is the world’s most recycled material), and advances in steelmaking technology mean the alloy can be made with less than half the energy required 40 years ago, according to manufacturer Federal Steel Supply. 

More than 70% of the country’s steel is now produced in more energy-efficient electric arc furnaces (EAFs), which use an electric current to melt recycled and scrap steel and iron instead of traditional, coal-fired blast furnaces.

Green Steel

The concept of green steel is gaining traction. This eco-friendly steel is manufactured with low or zero carbon emissions and is largely made in EAFs or hydrogen plants. The world’s first green steel plant in northern Sweden has secured $7 billion in funding and may kickstart operations next year. Fueled by hydrogen produced with renewable electricity, the process will reduce carbon emissions by up to 95% compared with blast furnaces.

Many of the world’s largest steel manufacturers plan to increase their use of electric or hydrogen-powered furnaces. However, producing green steel is expensive, and a report by the NGO Global Energy Monitor has described the journey to decarbonize as stagnant despite being vital if countries are to meet net-zero targets.

Other Steel Tech Innovations

Sustainability and technological innovation come hand in hand. Progress in digitization and automation is improving quality, efficiency, and optimization across the steel sector, enabling, for example, advanced monitoring sensors and predictive maintenance. 

3D printing allows for easier complex and custom steel product production, with less waste and reduced energy consumption. Research and development activity has led to the development of high-strength steels, which are lighter, more durable, and invaluable to automotive and aerospace manufacturers.
The future of steel is likely to see manufacturers continue to integrate transformative technologies into their production processes, giving rise to smart factories that operate with greater flexibility, sustainability, and innovation.