Competition and Climate Policy in the Steel Transition

This research paper examines the influence of subsidies and renewable energy costs on the competitiveness of low-carbon steelmaking in the United States and the European Union, analyzing the tension between industrial policy and climate action.

• Subsidies have a more significant impact on reducing the costs of low-carbon steelmaking than the costs of renewable energy, which may create competitive advantages for regions with more aggressive industrial policies.
• The study identifies a conflict between the goal of maintaining a level playing field among competitors and the goal of accelerating climate mitigation efforts.
• The authors utilized a bottom-up techno-economic model to analyze subsidy intervention points across the steel supply chain and compare them against labor, energy, and raw material costs in four specific locations: Ohio, West Virginia, Germany, and Spain.

APA

Stockholm Environment Institute (2025). Competition and Climate Policy in the Steel Transition. https://www.sei.org/publications/competition-and-climate-policy-in-the-steel-transition/

Chicago

Stockholm Environment Institute. Competition and Climate Policy in the Steel Transition. 2025. https://www.sei.org/publications/competition-and-climate-policy-in-the-steel-transition/.

Wikipedia

{{cite report |author=Stockholm Environment Institute |title=Competition and Climate Policy in the Steel Transition |date=11 February 2025 |url=https://www.sei.org/publications/competition-and-climate-policy-in-the-steel-transition/ |access-date=17 August 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{stockholmenvironmentinstitute2025competition, author = {{Stockholm Environment Institute}}, title = {{Competition and Climate Policy in the Steel Transition}}, institution = {Stockholm Environment Institute}, year = {2025}, month = feb, url = {https://www.sei.org/publications/competition-and-climate-policy-in-the-steel-transition/}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }