12 February 2026 – While Europe’s largest steel producer secures approximately €650 million in subsidies in France for two new electric arc furnaces (EAFs) costing €1.3 billion, thousands of jobs are reportedly set to be relocated from Europe to India – where the company also plans to nearly triple its CO2-intensive blast furnace capacity by 2030.
The Two Faces of Europe’s Steel Giants
While Europe’s largest steelmaker, ArcelorMittal, receives around €650 million in subsidies in France for two new EAFs-an investment of €1.3 billion that has not yet been realized – and while the French government, the European Commission, and the company itself celebrate this as a major step toward decarbonization, the group is simultaneously planning to relocate or eliminate 5,600 administrative jobs within Europe.
According to media reports, ArcelorMittal has already hired approximately 400 employees in India as part of this process.
Push for a “Buy Europe” policy appears contradictory
In this context, the French president’s push for a “Buy Europe” policy appears, at the very least, contradictory. Viewed through this lens, it resembles more a “Buy France” strategy – preferably financed through “joint European debt,” but without placing the burden on the Grande Nation itself.
CO2-Intensive Blast Furnaces Expanding in India
While Europe attempts to maintain the appearance of green ambition, ArcelorMittal-the largest steel producer outside China-is continuing to expand CO2-intensive blast furnace capacity in India.
At its Hazira mill alone, capacity is being increased from 9 million tonnes to 15 million tonnes per year. By 2030, the company intends to nearly triple its steelmaking capacity in India.
This raises an obvious question: where do the allegedly dangerous global steel overcapacities – so frequently cited in Europe as justification for protectionist measures – actually originate?
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