
Stage set for German steel industry to become major green hydrogen offtaker
Author: Staff
Commodity: Energy Transition
Topic: Energy Transition, Environment and Sustainability
Europe’s steel industry is set to be a significant consumer of renewable hydrogen and German steelmakers in particular have some of the most advanced plans in the region to tap the new green energy source.
Potential future demand from the German steel sector could amount to 850,000 metric tons per year by 2030, according to German steel association WV Stahl, with producers planning to connect to a national hydrogen pipeline network now under construction, as well as producing their own green hydrogen from electrolyzers onsite, saving 28 t of CO2 per metric ton of hydrogen.
The German government expects total hydrogen demand of 95-130 TWh (2.85 million-3.90 million t/y) by 2030, with 40-75 TWh from new demand.
Carbon-accounted hot-rolled coil steel commanded a Eur120/t premium to the Platts conventional HRC assessment of Eur615/t ex-Ruhr.
Source: S&P Global Commodity Insights
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