Climate-neutral steel on the brink: There is a lot at stake

Thyssen expresses doubts about the production of “green steel”. That would be a devastating signal for eco-transformation.

The ThyssenKrupp Steel steelworks in Bruckhausen in North Rhine-Westphalia Photo: Jochen Tack/imago

The federal government is investing a lot of money in the green transformation of industry. And she also has good ideas, as the climate protection agreements from Habeck show. With these contracts, the state relieves companies of investment risks – once the profit zone is reached, the money flows back to the state. But: What if, despite all the help, managers or investors are not interested in converting their production facilities to be climate-friendly? Simply because it is more lucrative to take the fossil fuel business as long as it generates profits and then wind it down. Or because they are suspicious of climate protection.

This is not a theoretical scenario, as the discussions about green steel from ThyssenKrupp show. The board is considering abandoning the pilot project for the production of climate-friendly steel using hydrogen – also under pressure from the questionable Czech investor Daniel Křetínský, who has bought into ThyssenKrupp. The billionaire became rich through investments in the energy sector and represents the opposite of climate protection.

The pilot project for the production of climate-friendly steel is not only important for Economics Minister Habeck, who has thrown himself into the breach. ThyssenKrupp is set to receive a massive two billion euros from the state for the flagship production facility. This is a good investment. Green steel symbolizes the feasibility of the climate-friendly restructuring of the industry. Now the model threatens to become a warning sign that green transformation is impossible – that would be devastating. The restructuring needs positive examples as guides; It will only succeed if many people believe it to be possible.

There is a lot at stake: Can and should the Federal Republic remain a strong industrial country or not? How this question is answered should under no circumstances be left to the discretion of a climate-disdaining billionaire. A smart step could therefore be for the federal government to buy his share in the company.