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Energy and Global Warming-challenges for the steel industry: Arcelor case

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Despite historical commitment and constant efforts to improve its competitiveness, the steel industry faces significant threats stemming from European rules of the game designed to "open the market of power generation" and to implement the Kyoto protocol on global warming. We believe that the current implementation is not intelligent, even endangering industry and creating an unfair distortion of competition for our industry. We don't only blame the Commission; we are at least partly responsible for this situation. We must learn this lesson and reinforce our efforts to prepare our long-term future. We must proactively contribute, we must establish dialogue amongst all stakeholders, and we must stress education. Aside from its other merits, the Steel Technology Platform is now-the right vehicle for anticipation and dialogue, which will allow coherence and fairness in preparing future rules of the game. In any case, do we have other options? Buying or building two nuclear plants to cover our net purchases of electricity at low cost and minimal CO_2 emission, or negotiating directly a block of Natural Gas with a producing country, are not realistic. Therefore, the only other option we cannot discard as a backup solution, is to produce our semis outside Europe. Keeping this alternative open is and will remain one of our major orientations in our growth strategy.

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