However, by 2030, near-zero emissions steel at scale can be achieved by using ambitious, innovative technologies and collaboration between steel purchasers, producers and companies providing enabling technologies. But significant barriers exist in the production process, substantially increasing costs. For instance, iron and steel production facilities are costly and designed for longevity, complicating their replacement.

Green premiums on lower-carbon products may disincentivize potential buyers, making it harder for steelmakers to invest in greener production processes since they must have confidence that their customers will bear at least some of this burden. In addition, not all the technology needed to produce near-zero emissions steel is currently available commercially. Some methods are still in the nascent stages of development and unprepared for large-scale implementation.

One avenue towards achieving near-zero emissions in steel production involves electrifying key processes e.g. using hydrogen in the direct reduction of iron. However, this transition necessitates renewable energy sources that have not yet been scaled to meet such demands.