The Bureau of International Recycling (BIR) has issued a warning that current “green steel” classification methods could undermine global decarbonization efforts in the steel industry.
Steel production is responsible for around 8% of global emissions and nearly 30% of industrial emissions, making accurate measurement of carbon intensity critical.
BIR specifically criticized the use of “sliding scale” methodologies, which adjust emission thresholds rather than strictly measuring actual carbon output. The organization warned that this approach could create a dual-standard system and misrepresent the true environmental impact of steel production.
According to BIR, such frameworks may allow higher-emission producers to still qualify as “green steel,” particularly those with lower scrap usage, thereby distorting market incentives.
The organization emphasized that this could penalize scrap-based production routes, which are essential for circularity and resource efficiency, ultimately weakening their role in emissions reduction.
BIR called for transparent, verifiable, and comparable carbon intensity standards, alongside clear differentiation between primary and secondary steelmaking methods, stressing that a one-size-fits-all model could hinder both decarbonization and circular economy progress.
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