German Finance Minister proposes summit on steel

German Finance Minister Lars Klingbeil has proposed holding a “steel summit” with companies, trade unions, and state governments to preserve jobs in the sector, according to Deutsche Presse-Agentur (dpa).

The proposal was made last week amid the cancellation of green projects in the country. Last week, ArcelorMittal Europe announced that it was abandoning plans to convert its steel mills in Bremen and Eisenhüttenstadt to climate-neutral production due to high energy costs and the refusal of state subsidies.

Klingbeil appealed to Economy Minister Katerina Reiche to involve all players in the negotiations, he said at a party event.

«The focus now must be on demonstrating the prospects for ‘green steel’ in Germany. We want Germany to be a strong industrial center. Green steel is important for future viability,» the minister said.

Klingbeil added that questions are now arising about how long the funding programs will last, how they are designed, and whether there are transitional options.

As GMK Center reported earlier, the German Ministry of Economy expressed regret over ArcelorMittal’s statement that it had refused €1.3 billion in state aid for green projects.

At the same time, Thyssenkrupp said it was sticking to its plans to build a €3.5 billion green steel plant in Duisburg. However, as the company noted, for the transformation to be successful under economically viable conditions, it is necessary to adjust the framework conditions and accelerate the expansion of the relevant infrastructure, especially with regard to the hydrogen network and ensuring competitive energy prices. In addition, the Salzgitter and Stahl-Holding-Saar projects are continuing.