United Kingdom Green Steel Market Size, Share, and COVID-19 Impact Analysis, By Production Technology (Natural Gas DR, Electric Arc Furnace, and Hydrogen-Based DR), By End-use (Building & Construction, Automotive, Renewable Energy Infrastructure, Home Appliances, and Others), and United Kingdom Green Steel Market Insights, Industry Trend, Forecasts to 2035

United Kingdom Green Steel Market Size Insights Forecasts to 2035

• The United Kingdom Green Steel Market Size was estimated at USD 22100.30 Million in 2024
• The Market Size is Expected to Grow at a CAGR of around 5.24% from 2025 to 2035
• The United Kingdom Green Steel Market Size is Expected to Reach USD 38773.10 Million by 2035

According to a Research Report Published by Spherical Insights & Consulting, the United Kingdom Green Steel Market Size is anticipated to reach USD 38773.10 million by 2035, growing at a CAGR of 5.24% from 2025 to 2035. The increasing demand for sustainable manufacturing practices and the steel sector's attempts to lower its ecological impact are major factors driving this expansion.

Market Overview

The United Kingdom green steel market refers to the marketplace focused on the production and application of environmentally friendly and sustainable production techniques that drastically lower the process's overall greenhouse gas emissions. Manufacturers are better able to comply with carbon emission regulations because of this. Green steel is essentially steel that is made without the use of fossil fuels. It is made using a process that is carbon-neutral and produces no greenhouse gases. The reduction of iron ore in blast furnaces is where the majority of carbon emissions from steel manufacture take place. Green steel is anticipated to lower carbon emissions and be a useful instrument for accomplishing different nations' long-term sustainable development objectives. Green hydrogen, which is produced without the use of fossil fuels and from renewable sources, is used to make green steel. Green steel market growth has been greatly aided by growing government initiatives and consumer and industry drive for sustainable products. Production techniques include carbon capture, utilization, and storage (CCUS), hydrogen-based steelmaking, and electric arc furnace (EAF) technologies are used to accomplish this. Green steel production ensures sustainability by lowering waste output and minimizing the need to rely on fossil fuels for energy generation. The final product has all the qualities of steel that is made with standard production techniques.

Report Coverage

This research report categorizes the market for the United Kingdom green steel market based on various segments and regions and forecasts revenue growth and analyzes trends in each submarket. The report analyses the key growth drivers, opportunities, and challenges influencing the United Kingdom green steel market. Recent market developments and competitive strategies such as expansion, product launch, and development, partnership, merger, and acquisition have been included to draw the competitive landscape in the market. The report strategically identifies and profiles the key market players and analyses their core competencies in each sub-segment of the United Kingdom green steel market.

Driving Factors

The market for United Kingdom green steel is driven by the combination of strategy plan, technical potential, and environmental policy. The legally enforceable goal of the government to achieve net-zero by 2050 is one of the important considerations. Additionally, growing demand for greener supply chains is coming from industries including offshore wind, construction, and automobiles. The government is promoting significant investments in hydrogen-based direct reduction iron (DRI) and electric arc furnaces (EAF) through programmes like the £2.5 billion National Wealth Fund, steel decarbonization grants, and advantageous public procurement laws. Furthermore, the UK generates more than 11 million tonnes of scrap steel yearly, making the case for circular steel manufacturing compelling from an economic standpoint. Further, the UK's manufacturing competitiveness depends strategically on domestic green steel capacity due to growing international pressure for carbon border adjustments and green trade norms.

Restraining Factors

The market expansion could be impeded by the high industrial power prices, the inadequate infrastructure already in place for hydrogen production and distribution, policy uncertainty, and short finance cycles with delays in establishing a clear plan.

Market Segmentation

The United Kingdom green steel market share is classified into production technology, and

• The electric arc furnace segment held the largest market share in 2024 and is anticipated to grow at a significant CAGR over the forecast period.

The United Kingdom green steel market is segmented by material type into natural gas DR, electric arc furnace, and hydrogen-based DR. Among these, the electric arc furnace segment held the largest market share in 2024 and is anticipated to grow at a significant CAGR during the forecast period. The widespread usage of it can cut greenhouse gas emissions considerably compared to conventional steel production techniques. Utilizing renewable energy sources like solar, wind, and tidal energy can help electric furnaces operate more efficiently.

• The building & construction segment held the largest market share in 2024 and is anticipated to grow at a substantial CAGR over the forecast period.

The United Kingdom green steel market is divided by end use into building & construction, automotive, renewable energy infrastructure, home appliances, and others. Among these, the building & construction segment held the largest market share in 2024 and is anticipated to grow at a substantial CAGR over the forecast period. This is because there is a growing need for energy-efficient and sustainable structures. The recycled content and lower carbon footprint of green steels complement the industry's increasing emphasis on environmental responsibility. By enabling architects and builders to quantify and reduce environmental effects, life cycle assessment (LCA) and building information modeling (BIM) tools are also encouraging the use of green steel.

Competitive Analysis:

The report offers the appropriate analysis of the key organizations/companies involved within the United Kingdom green steel market along with a comparative evaluation primarily based on their product offering, business overviews, geographic presence, enterprise strategies, segment market share, and SWOT analysis. The report also provides an elaborative analysis focusing on the current news and developments of the companies, which includes product development, innovations, joint ventures, partnerships, mergers & acquisitions, strategic alliances, and others. This allows for the evaluation of the overall competition within the market.

List of Key Companies

• British Steel
• GFG Alliance / Liberty House
• Northern Industries Group
• Materials Processing Institute
• Primetals Technologies
• SeAh Wind
• Others

Recent Developments:

• In July 2025, Tata Steel UK's £1.25 billion electric arc furnace (EAF) project in Port Talbot, South Wales, had its groundbreaking ceremony formally headed by Tata Group Chairman Natarajan Chandrasekaran. The building of what is anticipated to be the largest low-carbon steelmaking facility in the UK has begun.

Key Target Audience

• Market Players
• Investors
• End-users
• Government Authorities 
• Consulting and Research Firm
• Venture capitalists
• Value-Added Resellers (VARs)

Market Segment

This study forecasts revenue at United Kingdom, regional, and country levels from 2020 to 2035. Spherical Insights has segmented the United Kingdom green steel market based on the below-mentioned segments:

United Kingdom Green Steel Market, By Production Technology

• Natural Gas DR
• Electric Arc Furnace
• Hydrogen-Based DR

United Kingdom Green Steel Market, By End Use

• Building & Construction
• Automotive
• Renewable Energy Infrastructure
• Home Appliances
• Others