India's state-owned steelmaker, the Steel Authority of India Limited (SAIL), recently announced it has officially launched green hydrogen steelmaking trials. The company is also simultaneously implementing a number of low-carbon measures, including carbon capture, utilization & storage (CCUS), biochar injection, and renewable energy, demonstrating its commitment to green steel.

According to standards released by the Indian Ministry of Steel at the end of 2024, steelmaking qualifies as green if its CO2 emissions are below 2.2 tons per ton; those below 1.6 tons will receive a five-star rating. By replacing traditional high-carbon fuels with hydrogen, SAIL aims to significantly reduce its current average emissions of 2.5 to 3 tons per ton of crude steel, gradually aligning itself with global green steel benchmarks.

This move not only addresses export pressures posed by the EU's Carbon Border Adjustment Mechanism (CBAM) but also gives SAIL a head start in the international market. Through early trials, the company can obtain low-carbon certification, attract green financing, and establish brand leadership. While green hydrogen steelmaking still faces challenges from high costs and limited renewable energy supply, SAIL, with its five integrated steel mills and annual production capacity exceeding 21 million tons, is well-positioned to absorb initial investment and ramp up production.