BIR calls for fair standards, circular solutions in defining ‘green steel’

The organization has released a position paper that warns against “sliding scale” or “benchmarking” approaches in favor of creating conditions that enable sustainable production through various policy actions.

hot slab of steel

Laurentiu Iordache | stock.adobe.com

The Bureau of International Recycling (BIR), Brussels, has released its position on “green steel,” urging a fair, science-based approach to reflect emissions performance to ensure the full benefits of recycling are recognized in steel sector decarbonization.

The organization, which represents more than 30,000 companies across 71 countries, has issued its policy paper as policymakers globally work to define what constitutes “green steel.”

Steel production accounts for approximately 8 percent of global energy sector emissions and 30 percent of industrial emissions, the BIR notes, adding that, despite a universal definition of “green steel,” it is widely understood to refer to steel produced with low or near-zero carbon emissions based on carbon intensity measurements.

According to the “BIR Position Paper on Green Steel,” current methodologies, particularly those using “sliding scale” or “benchmarking” approaches, risk labelling higher-emission steel that often is produced from virgin raw materials as green while overlooking steel made from recycled content via electric arc furnace (EAF) technology. The organization says these methodologies undermine transparency while also risking misdirecting incentives and public procurement funding away from genuine low-carbon production routes.

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"Steel made from recycled materials via EAF technology can cut emissions by up to 74 percent compared to traditional blast furnace production,” BIR President Susie Burrage says. “It is crucial that policy frameworks properly reflect this reality. We are not asking for special treatment but for a level playing field where environmental claims are backed by real data, and where the role of recycling in decarbonization is fully valued."

Definitions of green steel should be based on total life cycle emissions, BIR says, and not just production method or feedstock origin. It also calls for public procurement rules to actively support circularity by requiring minimum recycled content in steel used for public construction, transport and infrastructure projects.

“Public policy has a critical role to play in scaling up low-carbon steelmaking," BIR Director General Arnaud Brunet says. "However, this must be done with a clear understanding of the benefits of recycling. Global trade in recycled steel is essential to ensuring supply to producers committed to decarbonization, and restricting it only slows progress.”

Although emerging technologies could offer long-term solutions, the BIR states in its paper that making recycled steel in EAFs provides an immediate pathway to emissions reductions of up to 74 percent compared with primary steel production using iron ore.

However, the BIR notes the risks posed by trade barriers that limit the cross-border flow of recycled steel, such as disrupting global supply chains, reducing recycling rates in exporting countries and delaying the deployment of circular steelmaking solutions in key markets. The organization, therefore, urges policymakers to avoid these restrictions in favor of creating conditions that enable sustainable production through a number of policy actions:

  • ensuring green steel standards are based on actual, measurable emissions;
  • reject export restrictions on recycled steel that hinder global decarbonization;
  • using public procurement and incentives to reward low-carbon, circular steel;
  • investing in better collection and sorting infrastructure to increase recycling rates; and
  • including the recycling sector in green steel policymaking and standard-setting.

“The recycling industry is a key partner in the transition to a cleaner, more circular economy,” Burrage adds. “Getting the green steel framework right is not just about fair competition—it's about making sure the policies we adopt truly deliver on their climate and resource-efficiency promises.”

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