SteelWatch

Nippon Steel’s latest coal-based blast furnace closure highlights its lack of tangible green transformation plans

January 11, 2025: Nippon Steel’s East Japan Works, Kashima steelworks. SteelWatch / FINE Co.,Ltd.

Tokyo, Japan, 31 March 2025 – Reacting to the closure of Nippon Steel’s Kashima coal-based blast furnace closure in Ibaraki, Japan, Roger Smith, Asia Lead for the international climate organisation SteelWatch, says:

“The global steel industry, including in Asia, is in a rapid race to decarbonise with an urgent need to shift to non-coal-based steelmaking technologies. The decommissioning of one of Nippon Steel’s two blast furnaces in the Kashima Works is a step forward, but Nippon Steel has only secured meaningful emissions reductions so far by shutting down assets. For the company to decarbonise domestic operations it will need to swiftly eliminate coal-based production, and transform its plants to near zero emissions.”

Nippon Steel has 10 blast furnaces remaining in operation in Japan, and the company has announced a plan to convert the Yawata blast furnace to an electric arc furnace by 2030. The company has not released a roadmap regarding the other 9 blast furnaces other than that by 2050 they would be converted to either an electric arc furnace, a direct reduction furnace, or a so-called “Super COURSE50” coal blast furnace with hydrogen.  

SteelWatch has pointed out that the company’s reliance on coal-based technologies are “false solutions” that will only prolong fossil fuel-based steelmaking (1). For Nippon Steel to remain globally competitive, it is necessary to set a decarbonisation path for all blast furnaces in line with the 1.5C Paris Climate Agreement limit and present a transition plan.

ENDS

Contact:

Roger Smith, SteelWatch Asia Lead, [email protected]

Notes:
1)  SteelWatch report regarding SuperCOURSE 50 and Nippon Steel’s decarbonisation plans
https://steelwatch.org/reports/too-little-too-late-corporate-climate-assessment-of-nippon-steel-2024/ 

2) Kyodo News “Nippon Steel ends operation of Kashima Works No.3 blast furnace on March 31, marking a turning point in the downsizing of its domestic production” Mar. 27, 2025. (Japanese) https://nordot.app/1277885510443975512?c=302675738515047521

3. Nippon Steel’s GX (Green Transformation) Initiatives (English)
https://www.nipponsteel.com/en/ir/library/pdf/20250313_100.pdf

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