【SMM Steel】Germany approved its Climate Protection Program 2026, allocating ~€2.9bn to support industrial electrification, decarbonization, and circular economy. The German Steel Industry Association welcomed the direction but noted a lack of concrete measures in key areas like rail infrastructure, which could limit progress. It also urged establishing "Made in Europe" criteria to protect competitiveness.

[SMM Steel] On March 31, 2026, the India Green Steel Coalition (IGSC) released a white paper warning that India’s steel industry faces a structural domestic supply shortfall of 40-50 million mt of scrap. While the government aims to increase the scrap usage ratio to 50% by 2047, total demand is expected to exceed 200 million mt. The coalition highlighted that without formalized recycling infrastructure, India's reliance on volatile imports will increase, potentially jeopardizing national decarbonization goals.

India’s steel market in 2026 is expected to remain balanced, with demand slightly outpacing supply. Domestic consumption will absorb most output, while imports decline overall and exports increase modestly as a balancing mechanism. Supported by strong growth and infrastructure investment, India is transitioning toward a demand-led steel market with solid long-term potential.

[SMM Steel] The IndiaGreen Steel Coalition (IGSC) stated that India must strengthen its domestic scrap collection and processing infrastructure to support the transition toward secondary steelmaking. India currently consumes around 41 mt of scrap, accounting for 23% of crude steel production, while demand could exceed 200 mt by 2047 as scrap use targets rise to 50%. However, a potential 40–50 mt supply gap may increase reliance on imports, making scrap a strategic resource for India’s decarbonization and green steel transition.

The European Commission will update Emissions Trading System (ETS) free allocation benchmarks and utilize the Market Stability Reserve to curb carbon price volatility "within days". President von der Leyen announced a medium-term ETS review to establish a "realistic trajectory" for free allowances beyond 2034. The EU is also proposing a $35 billion "ETS Investment Booster" fund to finance decarbonization projects, prioritizing lower-income states. To address soaring energy costs, the Commission plans to allow member states to reduce grid charges for energy-intensive industries and mandate lower taxes on electricity compared to fossil fuels. This follows intense pressure from steelmakers and EU nations demanding an urgent ETS overhaul by July.

【SMM Steel】New Zealand is fast-tracking a 200,000 t/y EAF structural steel plant in Waikato by National Green Steel Ltd. to cut import reliance. The proposal includes a scrap shredder, EAF, and dedicated solar farm as part of the country's steel decarbonization plan. NZ Steel expects to start a new EAF at Glenbrook in Q2 2026. Australia's Sims Ltd. will supply scrap.