Washington D.C., USA – The US steel industry, capable of reducing annual emissions by 70 million tonnes through green steel adoption, is currently navigating significant policy inconsistencies and economic hurdles. Green steel in the US is defined by a strict emissions threshold of no more than 0.7 tCO₂e per tonne.
A January 2025 executive order froze $500 million in grants for blast furnace upgrades, reflecting a broader deprioritization of decarbonization projects without immediate financial returns. While some grants were later reinstated, ongoing litigation could delay widespread green steel adoption by 2-3 years. Furthermore, US buyers are reluctant to pay premiums, with green steel's domestic price differential remaining at $0 per short ton despite higher production costs ($1,100–$1,300 per ton compared to $930.40 for traditional hot-rolled coil). Unlike Europe, there are currently no green steel offtake agreements from US automakers.
