The Netherlands is ready to help accelerate the decarbonization of Tata Steel

The Dutch government has expressed its readiness to help accelerate the decarbonization of the Tata Steel Ijmuiden steel plant, a subsidiary of global steelmaker Tata Steel, and provide subsidies for relevant projects. Reuters reports this with reference to a statement by the country’s Ministry of Economy.

The steel plant, located on the Dutch coast west of Amsterdam, is one of the largest sources of greenhouse gas emissions in the Netherlands. According to recent studies, the plant’s operations have a significant impact on the health of people in the region.

Last year, Tata Steel unveiled a decarbonization plan for the Dutch plant, which includes replacing the blast furnace with an electric arc furnace and closing the coke unit by 2029. However, the company said that government subsidies are needed to realize its plans.

The Dutch government has said it intends to reach an agreement with Tata Steel as soon as possible if the company can accelerate its plans.

«This option will improve the living conditions of people living in the region in the short term and reduce CO2 emissions, while preserving jobs and the economic and strategic value of the company,» the Ministry of Economy said in a statement.

Hans van den Berg, CEO of Tata Steel Netherlands, expressed his gratitude for the support the government is ready to provide, but the agreement has not yet been discussed.

As GMK Center reported earlier, in early February 2024, Tata Steel Ijmuiden announced the restart of blast furnace No. 6 after a 10-month downtime due to maintenance and force majeure.

The capacity of the steel plant in Ijmuiden is estimated at 6 million tons of pig iron per year from two blast furnaces. BF No. 6 is capable of producing 2.5 million tons of pig iron per year. Steel production at the plant is estimated at 7.5 million tons per year. The company specializes in the production of cold-rolled, hot-dip galvanized and painted coils, as well as tinned products.

In 2023, the Netherlands reduced steel production by 24.9% compared to 2022, to 4.7 million tons. As a result, the country ranked 33rd in the WorldSteel global ranking of steel producing countries.