ArcelorMittal has confirmed plans to proceed with a €1.2 billion ($1.3 billion) investment in a new electric arc furnace (EAF) at its Dunkirk site in France. The project marks a key step in the company’s decarbonisation strategy and represents one of its largest single investments in low-emission steel production.
The development comes despite a broader slowdown in the European steel industry, which is facing its worst downturn since the 2009 financial crisis. ArcelorMittal had postponed several decarbonisation initiatives across Europe but remains committed to progressing the Dunkirk project, supported by close cooperation with the French government.
The EAF project is part of a wider €2 billion investment programme aimed at modernising and reducing emissions across ArcelorMittal’s French operations. Additional investments include €254 million in Dunkirk, €53 million in Fos, and €500 million for a new electric steel unit in Mardyck, due to be completed by the end of 2025.
The company has linked the timing of its broader decarbonisation plans to the implementation of stronger EU trade protections, including a fully operational Carbon Border Adjustment Mechanism (CBAM) and a proposed 15% cap on steel imports.
