Germany urges automakers to source more domestic steel to protect national industry

Wednesday, 18 February 2026 14:27:15 (GMT+3)   |   Istanbul

Germany’s Federal Environment Minister Carsten Schneider has called on the country’s automotive industry to source more raw materials domestically, stressing the importance of maintaining a strong national steel sector, according to German media reports.

Schneider said large corporations should show more “local patriotism” when it comes to procurement. He argued that Germany needs a functioning domestic steel industry to remain economically independent and competitive, adding that government support for producers such as Thyssenkrupp is essential as they move toward decarbonized production.

Priority for European steel over low-cost imports

The minister also expressed support for prioritizing European suppliers. He rejected proposals to source steel components from countries such as Saudi Arabia, where energy costs are lower, and carry out only final processing in Germany.

Instead, Schneider advocated the creation of lead markets for steel produced using green hydrogen. He pointed to the railway sector’s recent purchase of European green steel for tracks as an example that could be replicated in the automotive industry.

Incentives under discussion to boost green steel use

According to the minister, carmakers have so far been reluctant to adopt green steel at scale. To address this, he suggested introducing new incentives.

One proposal under discussion in Brussels would allow manufacturers that continue to sell plug-in hybrid vehicles after 2035 to offset additional emissions by using green steel in production. Schneider acknowledged that not all industry players support this approach but said it reflects the German government’s position in EU negotiations.

ElifKefeli
Elif Kefeli
Editor

I graduated from Yeditepe University’s Department of Translation and Interpreting Studies in 2017. I joined SteelOrbis in 2021, where I currently work as a content specialist. I am writing news reports and industry-related content with a special focus on decarbonization, green steel, sustainability, and recycling.


Similar articles

VDA: Global passenger car market grows 4 percent in 2012

07 Dec | Steel News

USWC containerized export scrap prices stable for second week

29 Jul | Scrap & Raw Materials

US rebar imports up 21.3 percent in May 2026 from April

29 Jul | Steel News

New round of steel import quotas reduced by 11 percent in Brazil

29 Jul | Steel News

US OCTG exports down 39.6 percent in May 2026 from April

29 Jul | Steel News

Turkey's attempts to hike local and export rebar prices unsuccessful so far as demand still mainly low

29 Jul | Longs and Billet

Ex-Asia billet trading more active with sales seen to SE Asian and MENA regions

29 Jul | Longs and Billet

Turkey sees higher interest in local billet amid threatened supplies from Black Sea/Azov Sea, lack of prompt cargoes

29 Jul | Longs and Billet

Local Chinese stainless steel prices fluctuate slightly

29 Jul | Flats and Slab

Daily iron ore prices CFR China - July 29, 2026

29 Jul | Scrap & Raw Materials