The path to price parity in Europe’s green steel market

Fastmarkets

Feb 19

As Europe accelerates industrial decarbonization, the balance between emerging low-emissions supply and buyers’ willingness to pay is becoming the key determinant of green steel pricing. Recent market...

Source Link

Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

Most Discussed

{"basename":"","ssrTDKData":{"titleTemplate":"%s - Tiger Brokers","title":"Tiger Brokers | Global Stocks, Options & Futures Trading App","description":"Tiger Brokers, one-stop investment in US stocks, SGX stocks, HK stocks, A-shares & other global assets. One of the best stock trading platforms in Singapore.","keywords":"tiger brokers,tiger trade,tiger brokers singapore,broker online,stock trading in singapore,share trading singapore,brokerage firm singapore,trading app,stock broker singapore,stock trading platforms,trading account","social":{"ogDescription":"Tiger Brokers, one-stop investment in US stocks, SGX stocks, HK stocks, A-shares & other global assets. One of the best stock trading platforms in Singapore.","ogImage":"https://c1.itigergrowtha.com/portal5/static/media/og-logo.be62fbe1.png","ogUrl":"https://www-web.itiger.com/news/2612285189"},"companyName":"Tiger Brokers"},"pageData":{"isMobile":false,"isTiger":false,"isTTM":true,"region":"SGP","license":"TBSG","edition":"fundamental"},"isCrawlerRequest":true,"__swrFallback__":{"@#url:\"https://stock-news.skytigris.cn/v3/news\",params:#id:\"2612285189\",edition:\"fundamental\",auth_exemption:1,,,undefined,":{"share":"https://ttm.financial/m/news/2612285189?lang=en_US&edition=fundamental","thumbnail":"","is_english":true,"pubTime":"2026-02-19 13:00","share_image_url":"https://static.laohu8.com/e9f99090a1c2ed51c021029395664489","id":"2612285189","market":"us","top_or_hot":-1,"title":"The path to price parity in Europe’s green steel market","media":"Fastmarkets","content":"<div>\n<p>As Europe accelerates industrial decarbonization, the balance between emerging low-emissions supply and buyers’ willingness to pay is becoming the key determinant of green steel pricing. Recent market...</p>\n\n<a href=\"https://www.fastmarkets.com/insights/the-path-to-price-parity-in-europes-green-steel-market/\">Source Link</a>\n\n</div>\n","source":"fastmarkets_highlight","html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>The path to price parity in Europe’s green steel market</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; line-height:1.5; color:#999; background:transparent; }\n.wrapper{ overflow:hidden;word-break:break-all;padding:10px; }\nh1,h2{ font-weight:normal; line-height:1.35; margin-bottom:.6em; }\nh3,h4,h5,h6{ line-height:1.35; margin-bottom:1em; }\nh1{ font-size:24px; }\nh2{ font-size:20px; }\nh3{ font-size:18px; }\nh4{ font-size:16px; }\nh5{ font-size:14px; }\nh6{ font-size:12px; }\np,ul,ol,blockquote,dl,table{ margin:1.2em 0; }\nul,ol{ margin-left:2em; }\nul{ list-style:disc; }\nol{ list-style:decimal; }\nli,li p{ margin:10px 0;}\nimg{ max-width:100%;display:block;margin:0 auto 1em; }\nblockquote{ color:#B5B2B1; border-left:3px solid #aaa; padding:1em; }\nstrong,b{font-weight:bold;}\nem,i{font-style:italic;}\ntable{ width:100%;border-collapse:collapse;border-spacing:1px;margin:1em 0;font-size:.9em; }\nth,td{ padding:5px;text-align:left;border:1px solid #aaa; }\nth{ font-weight:bold;background:#5d5d5d; }\n.symbol-link{font-weight:bold;}\n/* header{ border-bottom:1px solid #494756; } */\n.title{ margin:0 0 8px;line-height:1.3;color:#ddd; }\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nThe path to price parity in Europe’s green steel market\n</h2>\n\n<h4 class=\"meta\">\n\n\n2026-02-19 13:00 GMT+8&nbsp;&nbsp;&nbsp;<a href=https://www.fastmarkets.com/insights/the-path-to-price-parity-in-europes-green-steel-market/><strong>Fastmarkets</strong></a>\n\n\n</h4>\n\n</header>\n<article>\n<div>\n<p>As Europe accelerates industrial decarbonization, the balance between emerging low-emissions supply and buyers’ willingness to pay is becoming the key determinant of green steel pricing. Recent market...</p>\n\n<a href=\"https://www.fastmarkets.com/insights/the-path-to-price-parity-in-europes-green-steel-market/\">Source Link</a>\n\n</div>\n\n\n</article>\n</div>\n</body>\n</html>\n","isBrief":false,"type":0,"news_type":1,"symbol":"BK4096","symbol_name":"电气部件与设备","start_time":0,"source_url":"https://www.fastmarkets.com/insights/the-path-to-price-parity-in-europes-green-steel-market/","article_id":"2612285189","we_media_id":null,"thumbnails":[],"rights":{"source":"fastmarkets_highlight","url":"https://www.fastmarkets.com/insights/the-path-to-price-parity-in-europes-green-steel-market/","rn_cache_url":null,"directOrigin":true},"url":"https://stock-news.laohu8.com/highlight/detail?id=2612285189","pubTimestamp":1771477200,"columns":[],"sourceInfo":{"source_id":"fastmarkets_highlight","name":"Fastmarkets"},"weMediaInfo":null,"summary":"Europe’s green steel premiums face pressure from CBAM and EU ETS costs. Understand pricing dynamics and path to price parity through 2035.","collect":0,"end_time":0,"defaultTopTitle":"fastmarkets.com","property":[],"viewcount":null,"language":"en","relate_stocks":{"BK4096":"电气部件与设备","EAF":"Graftech International Ltd.","BK4551":"寇图资本持仓","CEE":"东欧与苏联基金"},"translate_title":"欧洲绿色钢铁市场平价之路","themeId":null,"isJumpTheme":false,"ttsUrl":null,"symbols_score_info":{"EAF":1,"CEE":1},"content_text":"As Europe accelerates industrial decarbonization, the balance between emerging low-emissions supply and buyers’ willingness to pay is becoming the key determinant of green steel pricing. Recent market developments highlight how both macro-driven demand pressures and structural policy support are shaping premium formation in the region. \nPremiums suffer as volumes remain nominal \nDespite the presence of an established green steel market, adverse market conditions and wider macroeconomic softness contributed to a weak 2025 in the European flat-rolled green steel market. Overall market activity remained subdued, with traded volumes below 200,000 tonnes and continued downward pressure on premiums. Fastmarkets’ green flat steel premiums (<0.8 tCO₂ per tonne of steel) fell to €125 per tonne in the latest assessment, down from €160 per tonne a year earlier. Moreover, three-digit premiums have largely been achieved through offtake agreements, as spot market activity has been virtually non-existent since the start of 2026. \nPressure was evident even among lower-cost alternatives. Fastmarkets’ flat steel reduced carbon emissions (1.4-1.8 tCO2/tonne steel) premium fell by 50% within the past three months and now commands just €25 per tonne premium indicating buyers’ prioritisation of cost over incremental emissions reduction. \n\nPolicy tailwinds meet cost headwinds\nStrong long-term policy tailwinds will reshape the competitive landscape for both domestic and imported steel over the coming decade.  \nThe phase out of free allowances under the EU ETS and the introduction of the Carbon Border Adjustment Mechanism (CBAM) will structurally change cost bases, improving the relative competitiveness of low-emission steel. While this creates strong long-term foundations for the market, it is likely to lead to near-term friction as buyers adjust to new compliance requirements and take a more cautious approach to procurement.\nAt the same time, momentum on the demand side is gradually building. Alongside industry coalitions and growing corporate Scope 3 commitments, the EU’s forthcoming Industrial Accelerator Act marks a decisive shift toward demand creation. By embedding green public procurement, clearer carbon standards and streamlined permitting, the Act aims to unlock delayed investments and strengthen long-term demand for low-carbon steel.\nOn February 10, Leading European steelmaker ArcelorMittal has confirmed plans to build an electric-arc furnace (EAF) in Dunkirk, France; the €1.3 billion ($1.5 billion) project is expected to benefit from state support through the Energy Efficiency Certificates (CEE) mechanism. The company said recent EU policy developments have given the company confidence to confirm the investment in an EAF. However, the producer only confirmed one 2 million tpy EAF, as opposed to initially planned two EAFs with combined capacity of 4 million tpy of crude steel and 2.5 million tpy DRI module. \nHowever, cost remains a key barrier to the steel transition in Europe. Electrification is expected to be the primary pathway to low-emissions steel, yet power prices across the region remain elevated, while key inputs for DRI production — particularly natural gas and hydrogen — continue to face similar cost pressures. Persistently high input and compliance costs could delay final investment decisions, slowing the rollout of new low-carbon steel capacity until clearer cost visibility and stronger demand support emerge.\nAs a result, the pace and scale of the transition will be shaped by these competing forces. Companies’ willingness and ability to pay green premiums will ultimately determine the strength of demand signals. At current levels, these premiums remain challenging for large segments of the market, though they are expected to become more manageable as the cost gap gradually narrows over time.\nPrices are forecasted to rise with positive premiums till 2035\nOur forecasts point to rising HRC prices across all production routes, driven by higher input and compliance costs. The impact is most severe for blast furnace production, where CBAM and EU ETS costs are set to bite the hardest. \nLow-emission steel is still forecasted to command a premium in a supply constrained market, with wide sources of voluntary and mandated demand competing for electric-arc-furnace produced flat steel. However, this premium is expected to narrow over time, as expanding EAF capacity eases supply constraints and conventional steel faces higher compliance costs, with a 23% green steel premium in 2025 falling to just 8% in 2035.","kind":"highlight","is_publish_news":true,"is_publish_highlight":false,"is_publish_live":false,"is_publish_wemedia":null,"editions":null,"column":"","sentiment":"0","news_tag":"","news_rank":0,"symbols":[],"gpt_button":0,"need_auth":false,"code":"91000000","status":"200"}}}