After a cabinet briefing, government spokesperson Isabel Rodríguez emphasized that the agreement marks a milestone for the nation, highlighting its significance for a strategic sector like steel and its role in driving a broader shift toward sustainability. The aid package supporting the steel group’s transformation in Asturias is planned within the Perte industrial decarbonization program, reinforcing the commitment to modernize facilities while reducing environmental impact.
Towards the end of January, the government reported a positive preliminary notification from the European Commission’s DG Competition. The notification follows ArcelorMittal’s request for support to advance the modernization of its Asturias facilities, signaling alignment with European decarbonization goals.
Rodríguez also stressed the project’s employment benefits, noting the maintenance of more than 6,000 jobs and the project’s distinctive role in introducing hydrogen renewable energy into the steel sector. He described the initiative as unique in Spain and anticipated that similar endeavors could unfold across Europe and neighboring regions. He also highlighted Spain’s position as a leading country where this important project will take shape.
Production of green steel using hydrogen
The transformation will enable ArcelorMittal to produce green steel at industrial sites in Asturias and the Basque Country, leveraging hydrogen generated from renewable energy sources.
Beyond decarbonizing its own operations, the plan aims to accelerate the decarbonization of related sub-industries and other sectors connected to steel production.
ArcelorMittal’s strategy outlines several steps to boost competitiveness through new investments. These include a modern electric furnace at the Gijón plant, a green hydrogen direct reduced iron ore (DRI) facility at the same site, and the potential installation of another electric furnace at Avilés. The company is also involved in the HyDeal initiative, which seeks to position the Cantabrian coast as a premier hub for green hydrogen production and distribution, further strengthening Spain’s role in the European energy transition.