US govt priortises production, consumption of clean steel

The US government is stepping up efforts to encourage production and procurement of low-carbon steel and aluminium. In line with this, the government, on 15 Feb’22, announced that it would implement measures to strengthen its competitiveness in the manufacturing sector ensuring a low-carbon footprint.

Policies to promote carbon emission reduction: To help reduce emissions in the metals manufacturing industry, the government has introduced a joint initiative for assuring eco-friendly process and avoiding dumping of low-cost products from countries with high carbon emissions. This will also help when EU set up a quota-based import system.

With this, the government shall also help in reduction of emissions from countries harbouring carbon-intensive production capacities, including China.

Formation of ‘Buy Clean Task Force’: The US goverment has also announced that it would form a ‘Buy Clean Task Force’ and introduced the ‘Clean Purchase’ clause. This task force will be entrusted with the task of encouraging procurement of building materials produced in a sustainable way using Federal funds for major developmental projects.

Also, the government is expecting more participation in the ‘First Mover Coalition’ which was launched at COP26. This coalition will likely target business participation in steel, shipbuilding, commercial vehicles, and aerospace sectors at the intial stage. Later on this will encompass other industries such as aluminium, cement, chemical and carbon removal.

Investment in R&D hubs: Apart from the above, the US government is boosting the research and development of clean steel. For this it has announced support for building hydrogen hubs, development of carbon capture technology and industrial decarbonization research.

“The US government supports low-carbon manufacturing and clean steel, aluminum, and cement based on the ‘Build Back Better Act’, and mentioned that it is increasing production of electric vehicles, wind turbines and solar panels to strengthen competitiveness”, said a report in SteelDaily.

~This article has been published under an article exchange agreement between SteelDaily and SteelMint.