ArcelorMittal stops hydrogen project: blow for Bremen's steel industry!

ArcelorMittal stops hydrogen project: blow for Bremen's steel industry!

Bremen, Deutschland - in Bremen there is a bitter disappointment for industry: the Oldenburg Energy group EWE has placed its plans to create a system to produce green hydrogen at the middle of the middle of the power plant. This decision, which was announced on June 24, 2025, happened in view of the current market conditions that forced EWE to examine other options. The goal of using hydrogen as a building block for climate -neutral steel production in Bremen seems to have moved far away. Buten un inland reports that steel production in the region would be dependent on this green hydrogen in order to significantly improve the CO2 balance.

The withdrawal of EWE comes at the same time as the announcement of the Steel Group ArcelorMittal, its originally planned changes to the use of green hydrogen in the works in Bremen and Eisenhüttenstadt. These projects that were already difficult to do with billions had to be stopped because the economy is not given and the availability of hydrogen remains low. According to the Tagesschau, high energy costs and the competition with cheaper providers from China are additional load factors for the industry.

difficult conditions for the steel industry

The steel industry, for which Germany is considered an important place of production, is currently difficult. It is the largest CO2 issuer in Germany and contributes around 20% to greenhouse gas emissions. Around 200 million tons of CO₂ equivalents are produced annually. While companies such as Thyssenkrupp try to achieve CO₂ reduction through innovative technologies at the Duisburg locations and elsewhere, many traditional companies seem to fail because of the need for this transformation. This reports the BDEW.

ArcelorMittal had promised funding from the federal government and the state of Bremen in the amount of 1.3 billion euros in order to be able to modernize their production facilities. But now the question remains open how steel production can be continued without sustainable energy sources. Mayor and Bremen Senate commented concerns about the decision and described them as a severe blow for the business location and the many employees in the industry.

outlook for the future

The cancellations and withdrawals of the companies throw a shadow on the plans for a climate -neutral industry in Bremen. As the responsible ministries assess, it will also be a challenge for other manufacturers to achieve the CO2 reduction targets set by 2030. Under these circumstances, it is essential that the state relies on the development and promotion of hydrogen technologies in order to make steel production in Germany more environmentally friendly and to remain competitive in the long term. This is the only way to add space on the mark in the future, even if the conditions are currently rough.

The wind blows not only in Bremen, but through the entire steel industry, and the question remains who can tear the wheel around. What is certain is that experts and politics urgently need to pull together in order to meet the challenges of the industry and to bring about sustainable changes.