ArcelorMittal confirms the construction of an electric arc furnace in Dunkirk, France: a Euro1.3 billion investment supporting an important step in its decarbonisation
MWN-AI** Summary
ArcelorMittal has officially announced the investment of €1.3 billion for the construction of an electric arc furnace (EAF) at its Dunkirk steelmaking site in France, a significant step towards the company's decarbonisation goals. This initiative was highlighted during a visit from French President Emmanuel Macron, who underscored the importance of government support in fostering a sustainable steel industry. The EAF is expected to have a capacity of 2 million tonnes per year and will produce steel with 66% less CO2 emissions compared to traditional blast furnaces.
Funding for the project will be bolstered by Energy Efficiency Certificates, accounting for half of the investment needed. ArcelorMittal's leaders, including CEO Aditya Mittal, expressed their gratitude for governmental support and emphasized the regulatory changes by the European Commission that protect the EU steel market. The introduction of a Tariff Rate Quota (TRQ) mechanism aims to limit unfair imports, enhancing the competitive landscape for European producers. The recent contract with EDF for a long-term supply of low-carbon electricity is also seen as pivotal for the project's feasibility.
The announcement comes alongside a new €500 million electrical steel production unit planned for ArcelorMittal's Mardyck plant, marking the largest investment in the region over the past decade, excluding decarbonisation efforts. The combination of these initiatives reflects ArcelorMittal's commitment to developing a sustainable presence in Europe, while boosting energy efficiency and supporting the electrification needs in various sectors, including automotive and renewable energy. By focusing on eco-friendly practices, ArcelorMittal aims to lead in producing innovative, cleaner steel that aligns with global sustainability objectives.
MWN-AI** Analysis
ArcelorMittal's recent confirmation of a €1.3 billion investment in an electric arc furnace (EAF) at its Dunkirk site is a potent strategic move towards decarbonization and enhancing competitiveness in the European steel market. This investment illustrates the company’s commitment to reducing carbon emissions while positioning itself favorably in an increasingly eco-conscious world. The planned EAF, scheduled for startup in 2029, aims to produce steel with a carbon footprint significantly lower than traditional methods.
Investors should take note of the regulatory backdrop that supports this investment. Recent proposals from the European Commission, such as implementing the Tariff Rate Quota (TRQ) mechanism and reforming the Carbon Border Adjustment Mechanism (CBAM), signify governmental efforts to protect the European steel industry from unfair imports. If these measures are fully realized, they could restore equitable market conditions, thereby enhancing ArcelorMittal’s profitability prospects in the region.
The company's ability to secure a long-term low-carbon electricity supply with EDF is another critical aspect that could bolster operational efficiency and lower production costs. This shows a proactive approach in managing energy expenses, which is vital amid fluctuating energy prices and increased scrutiny of carbon emissions.
As ArcelorMittal moves forward with this EAF project and potentially explores further EAFs across Europe, the company could very well become a leader in green steel production—a segment likely to see heightened demand given increasing global sustainability standards.
Given these dynamics, investors might consider positioning themselves favorably in ArcelorMittal shares, especially as market sentiments are likely to shift positively with advancements in cleaner production technologies. However, close monitoring of regulatory developments and their impacts on market operations is advised to manage potential risks effectively.
**MWN-AI Summary and Analysis is based on asking OpenAI to summarize and analyze this news release.
10 February 2026, 12:15 CET
ArcelorMittal today confirms the construction of an electric arc furnace (EAF) at its steelmaking site in Dunkirk – a strategic €1.3 billion investment which marks a major step in the decarbonisation of ArcelorMittal’s steel production in France.
ArcelorMittal is delighted to welcome the French President, Emmanuel Macron, to its Dunkirk site today. President Macron, accompanied by Roland Lescure, Minister for the Economy, Finance and Industrial, Energy and Digital Sovereignty, and Sébastien Martin, Minister Delegate for Industry, will be received by Reiner Blaschek, CEO of ArcelorMittal Europe – Flat Products, Anne van Ysendyck, Head of Government Affairs and Environment, Alain Le Grix de la Salle, Chairman of ArcelorMittal France, and Bruno Ribo, CEO of ArcelorMittal France.
The start-up of this 2-million-tonne EAF is scheduled for 2029. It will produce steel with three times less CO2 compared with a blast furnace (0.6 tonne CO2 per tonne of steel in the EAF based on a mix of scrap, HBI/DRI and hot metal). Its funding will be supported by Energy Efficiency Certificates (CEE), a regulatory mechanism that promotes energy savings and CO? reduction. The amount of support will represent 50% of the €1.3 billion investment.
Confidence in policy developments
In recent months, the European Commission has published important regulatory proposals, in particular with regard to (1) limiting unfair imports through the Tariff Rate Quota (TRQ) mechanism which will limit the quantity of imports and impose additional duties to importers that are above the limits and (2) reforming the Carbon Border Adjustment Mechanism (CBAM).
ArcelorMittal appreciates the progress made by the European Commission to better protect the European steel industry. It is now important to implement the TRQ and adapt the CBAM to close the remaining loopholes as swiftly as possible. Assuming the measures are fully implemented as envisaged, ArcelorMittal expects them to restore fair and competitive conditions in the European steel market, thus securing a sustainable future for steel production within the European Union. Another critical factor is the recent signing of a contract with EDF to secure a long-term supply of low-carbon, competitive electricity. This represents a major step in ArcelorMittal France’s energy strategy.
These three developments combined give us the confidence to now confirm this investment.
Aditya Mittal, CEO of ArcelorMittal, commented:
“I am delighted we are now able to launch this €1.3 billion investment in Dunkirk, which underscores our Group’s long-term commitment in France. I must thank President Macron and the French government who – very early on – understood the challenges the European steel industry was facing. Their support, and in particular their efforts to drive changes to the mechanisms defending the steel market, will benefit the entire steel industry in Europe, starting here in Dunkirk.”
Geert van Poelvoorde, CEO of ArcelorMittal Europe, commented:
“The decision to proceed with building an EAF in ArcelorMittal Dunkirk, to produce low-carbon emissions steel at scale for our customers, has been made possible because we now have the conditions in place to make this project a success. The new tariff-rate quota will stem the tide of unfair imports into the EU, while the CBAM is now operating to create a more level playing field for European producers. In France, the support of the government and public authorities has been vital. We will now focus on steering the Dunkirk EAF project to completion and commercial success.
“We will review the possibility of building further EAFs elsewhere in Europe, taking a cautious attitude that is consistent with our economic decarbonisation approach. Having a strong steel industry in each European country in which we operate is a crucial foundation for thriving industry, and I hope that the conditions created in France can be replicated elsewhere so that we have a strong business case to invest further in the future.”
Reiner Blaschek, CEO of ArcelorMittal Europe – Flat Products, commented:
“Today marks an important milestone for ArcelorMittal with the launch of this major decarbonisation investment in Dunkirk. The effective implementation of the announced measures is crucial to the success of the project. ArcelorMittal is investing and transforming its operations to secure the long-term future of steel production at the heart of the European Union, serving its European customers”.
In its Mardyck plant close to Dunkirk, this quarter ArcelorMittal is also starting up a new electrical steel production unit. With a €500 million investment, this new plant equipped with state-of-the-art technologies represents the group’s largest investment in Europe in the last 10 years, excluding decarbonisation. ArcelorMittal is thus expanding its product offering in Europe to support the electrification of uses in the industrial and automotive sectors.
ENDS
About ArcelorMittal
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ArcelorMittal is one of the world’s leading integrated steel and mining companies with a presence in 60 countries and primary steelmaking operations in 14 countries. It is the largest steel producer in Europe, among the largest in the Americas, and has a growing presence in Asia through its joint venture AM/NS India. ArcelorMittal sells its products to a diverse range of customers including the automotive, engineering, construction and machinery industries, and in 2024 generated revenues of $62.4 billion, produced 57.9 million metric tonnes of crude steel and 42.4 million tonnes of iron ore. Our purpose is to produce smarter steels for people and planet. Steels made using innovative processes which use less energy, emit significantly less carbon and reduce costs. Steels that are cleaner, stronger and reusable. Steels for the renewable energy infrastructure that will support societies as they transform through this century. With steel at our core, our inventive people and an entrepreneurial culture at heart, we will support the world in making that change.
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ArcelorMittal is listed on the stock exchanges of New York (MT), Amsterdam (MT), Paris (MT), Luxembourg (MT) and on the Spanish stock exchanges of Barcelona, Bilbao, Madrid and Valencia (MTS).
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http://corporate.arcelormittal.com/?
| ArcelorMittal Investor Relations contact information | |
| General | +44 20 7543 1128 |
| Retail | +44 20 3214 2893 |
| Bonds/Credit | +33 171 921 026 |
| Bonds/Credit | +33 171 921 026 |
| ArcelorMittal Corporate Communications contact information | |
| Paul Weigh | |
| Tel: | +44 20 3214 2419 |
| press@arcelormittal.com |
FAQ**
How will the construction of the electric arc furnace at Dunkirk impact ArcelorMittal AMSYF's ability to compete in the European steel market given the new tariff-rate quota and Carbon Border Adjustment Mechanism reforms?
What specific long-term benefits and revenue growth does ArcelorMittal AMSYF expect from the €1.3 billion investment in low-carbon steel production at the Dunkirk EAF?
How does the new contract with EDF for low-carbon electricity supply influence operational costs for ArcelorMittal AMSYF and the feasibility of future investments in similar technologies?
In light of the strategic developments for ArcelorMittal AMSYF in Europe, what potential opportunities exist for the company to expand its electrical steel production beyond the Dunkirk facility?
**MWN-AI FAQ is based on asking OpenAI questions about ArcelorMittal (OTC: AMSYF).
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