DUNKIRK, FRANCE – ArcelorMittal has announced a renewed €1.2 billion investment to construct a new electric arc furnace (EAF) in Dunkirk, marking a significant step forward in its French decarbonization roadmap and reaffirming its commitment to sustainable steel production in Europe.
This latest funding brings ArcelorMittal’s total investments in France to €2 billion, as the company positions itself at the forefront of green industrial transformation amidst shifting European Union trade and climate policy dynamics.
“The leadership of the French Government has been key in defending the steel industry in France and Europe,” the company stated, crediting the supportive policy environment for reinvigorating long-stalled decarbonization plans.
A Turning Point for European Steel
The European steel sector, recovering from its worst crisis since the 2009 financial downturn, has seen renewed optimism following the European Commission’s Steel and Metal Action Plan, launched in March 2025. The plan promises enhanced trade defense mechanisms and a strengthened Carbon Border Adjustment Mechanism (CBAM)—two critical instruments aimed at leveling the global playing field for EU steel producers.
ArcelorMittal, one of the world’s largest steelmakers, had previously paused elements of its decarbonization strategy due to deteriorating market conditions. Now, with revised EU steel safeguard measures taking effect on April 1, 2025, the company says the landscape is stabilizing.
“European steelmakers now understand the urgent need to adapt. A robust CBAM and tighter import limits—capped at 15% of market demand—would help prevent carbon leakage and unfair competition,” the company emphasized.
Accelerating French Green Steel Projects
In addition to the €1.2 billion Dunkirk project, ArcelorMittal is allocating:
- €254 million for further upgrades at Dunkirk,
- €53 million in Fos-sur-Mer, and
- €500 million for a new electric steel production unit in Mardyck, which is set to be completed by the end of the year.
These investments underscore the company’s long-term vision for cleaner, more competitive steelmaking in France, and its strategic alignment with both EU decarbonization goals and industrial resilience.
Looking Ahead
Executives and analysts tracking Europe’s green industrial push view ArcelorMittal’s announcement as a bellwether for broader momentum across the sector. The company anticipates all necessary regulatory and market conditions to align after the summer, paving the way for groundbreaking on the Dunkirk EAF.
As ArcelorMittal resumes its decarbonization trajectory, the company is poised to play a pivotal role in reshaping the future of European steel—balancing climate responsibility with economic competitiveness.
