The European Union has removed a proposed emissions-intensity label for steel from the draft of its upcoming “Made in Europe” industrial legislation, according to the latest version of the policy document. The measure had initially been planned as part of efforts to accelerate the transition toward low-carbon industrial production across the region.
Earlier drafts of the legislation had proposed a voluntary emissions label for steel products, along with a methodology for calculating the carbon footprint associated with steel manufacturing. The label was intended to help buyers distinguish between conventional steel and lower-emission alternatives, potentially encouraging the use of greener materials in construction and manufacturing.
However, the latest draft no longer includes this provision. The move is considered a setback for steelmakers investing heavily in low-carbon and green steel technologies, many of whom had supported the introduction of a clear emissions classification system to boost demand for environmentally responsible steel products.
Industry groups had argued that such a label would provide transparency in the market and encourage procurement of steel produced with lower carbon emissions. It was also expected to support companies that are transitioning to cleaner production processes by giving their products greater visibility in the marketplace.
Concerns within the European Commission regarding regulatory complexity and overlapping compliance frameworks appear to have influenced the decision. Policymakers reportedly worried that a dedicated emissions label for steel could duplicate requirements, as the EU is already developing broader product-labelling rules addressing environmental performance.
Instead of introducing a specific label for steel, the draft indicates that the EU may promote the use of low-carbon steel through public procurement policies and sustainability standards linked to government-supported projects. These measures could help create demand for greener materials without introducing an additional standalone certification framework.
The proposed legislation forms part of the EU’s wider strategy to strengthen domestic industry while accelerating decarbonisation across key sectors, including steel, energy, and heavy manufacturing. The draft law is still under discussion and may undergo further revisions before the final version is formally presented.