Germany has urged the European Union to introduce policies that significantly increase the use of low-emission steel in the automotive sector, arguing the move is essential for aligning industrial policy with Europe’s climate-neutrality goals.
In a joint letter to European Commission President Ursula von der Leyen, 11 German state premiers pressed for stronger regulatory coherence between the steel and automotive industries.
Kerstin Maria Rippel, CEO of the German Steel Federation (WV Stahl), welcomed the initiative, noting that low-emission steel is critical for safeguarding Europe’s industrial base while advancing climate objectives. She emphasized that market-based incentives across the full value chain—starting with basic materials—are needed to support competitiveness and long-term investment.
One proposed mechanism is to allow automakers to credit certified low-emission steel toward EU fleet emissions targets, a policy Rippel described as a way to strengthen value creation, competitiveness, and climate protection simultaneously.
Rippel added that the European steel industry is prepared to contribute to the transition but requires a stable regulatory framework that enables large-scale investment and integrates strategies between steel and automotive producers.
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