Article

China is rapidly advancing its hydrogen-based steelmaking capabilities, with Baowu's DRI plant now operational and a new green hydrogen project launched, while Sweden's Stegra faces a funding crisis, needing over $1 billion to complete its green steel plant. This situation underscores a slowdown in Europe's green steel transition, raising concerns that Europe may lag behind China, which has already exceeded its 2025 green hydrogen targets. Stegra's project is 60% complete and has secured offtake agreements, but its financial struggles could further impede Europe's shift from coal to direct reduced iron (DRI) production.