India is witnessing a strong shift towards low‑carbon steel production as part of its broader decarbonisation strategy. Green steel demand in the country is projected to reach nearly 4.5 million tonnes by 2030, driven largely by the infrastructure and construction sectors adopting sustainable technologies.
The transition to green steel is being supported by the deployment of renewable energy in steelmaking, hydrogen‑based reduction processes, and the use of scrap‑based electric arc furnaces. These measures are aimed at reducing the industry’s heavy carbon footprint while meeting the growing steel requirements of large‑scale infrastructure projects, industrial corridors, and urban development.
Government policies encouraging sustainable construction, along with increasing pressure from global supply chains to meet climate targets, are accelerating this shift. Infrastructure projects—such as highways, bridges, metro networks, and housing—are emerging as major end‑use sectors for green steel, as developers and contractors seek to align with environmental compliance standards and net‑zero commitments.
Leading steel producers are investing in pilot projects for hydrogen‑based steelmaking and exploring carbon capture technologies to meet domestic and export‑market expectations. Industry experts believe that the early adoption of green steel technologies will position India as a competitive player in the global low‑carbon steel market, especially as international buyers increasingly prioritise eco‑friendly materials.
As the demand for infrastructure continues to rise, integrating sustainable steel production methods with ongoing construction growth offers a dual benefit—supporting economic expansion while achieving climate goals. The projected increase in green steel demand highlights the crucial role of policy support, industry investments, and technological advancements in shaping a low‑carbon future for India’s steel sector.
