ArcelorMittal

InfluenceMap Score
D+
Performance Band
56%
Organisation Score
50%
Relationship Score
Sector:
Metals & Mining
Head​quarters:
Luxembourg, Luxembourg
Official Web Site:
Wikipedia:

Climate Lobbying Overview: ArcelorMittal is lobbying on climate change policy with mixed positions, becoming more positively engaged in recent years. The company is highly engaged with climate policy, particularly in the European Union. The company appears generally supportive of ambitious climate action in its top-line messaging, but has consistently lobbied against ambitious reforms to the EU Emissions Trading System.

Top-line Messaging on Climate Policy: ArcelorMittal appears to support climate policy in its top-line messaging. In a review of its alignment with industry associations in January 2022, the company stated support for limiting temperature rise to 1.5°C in line with the IPCC. In response to an EU public consultation in November 2021, it supported the EU’s goal of climate neutrality by 2050. However, it suggested in its 2021 Annual Report that net-zero by 2060 is an unrealistic timeline for developing economies. ArcelorMittal has taken mixed positions on the need for climate change regulation. In its 2021 Annual Report, published in March 2022, it seemed to stress that climate policy should take into account the risks of unilateral action and carbon leakage, yet in its 2021 Integrated Annual Review, published in May 2022, the company was supportive of the need for climate policy to align the steel sector with the UN Paris Agreement. ArcelorMittal supported the UN Paris Agreement in a review of its alignment with industry associations in January 2022.

Engagement with Climate-Related Regulations: ArcelorMittal appears to engage negatively with key climate regulations in the EU. In November 2021, in a comment on the EU Commission’s proposed reforms to the EU ETS in the Fit for 55 Package, ArcelorMittal did not support any reforms apart from an increase of the Linear Reduction Factor, although only until 2030. In a comment on the EU Commission’s proposal for a Carbon Border Adjustment Mechanism in November 2021, ArcelorMittal did not support the proposed reduction of the free allocation of emissions allowances alongside the policy’s introduction, advocating for maintenance of current levels until at least 2030. In the same response, it also supported export rebates to compensate exporters of products outside the EU. The company signed several open letters in May and June 2022 advocating to the European Parliament to oppose ambitious proposals for an EU Emissions Trading System (EU ETS) reform and a Carbon Border Adjustment Mechanism, which would reduce the free allocation of emissions allowances in the EU ETS, suggesting they would “further increase unilateral regulatory costs and harm the competitiveness of European industries.”

In response to an EU public consultation in February 2021, ArcelorMittal was unsupportive of reforms to increase the ambition of the Energy Efficiency Directive, and advocated that reforms should focus on sectors other than the steel sector. The CEO Aditya Mittal stated support for policies to support renewable energy production, including subsidies, in the company’s Climate Action Report 2 published in July 2021. However, in October 2021 in a meeting with the EU Commission, ArcelorMittal advocated for recycled carbon fuels to be included in the Renewable Energy Directive reform. In June 2022, on its corporate website, the company advocated for a global low-emissions standard for steel products in order to incentivize decarbonization of the sector. In a comment on the Draft Taxation Laws Amendment Bill in September 2022, ArcelorMittal South Africa advocated for a weaker carbon tax in South Africa, calling for increased free allocation of emissions allowances.

Positioning on Energy Transition: ArcelorMittal appears to take a mixed position on the transition of the energy mix. On its corporate website, accessed in June 2022, the company supported funding for green hydrogen and increased use of scrap steel to decarbonize the steel sector, including transitioning from blast furnaces to electric arc furnaces using fossil gas in the the short term with a view to transition to green hydrogen longer term. It also supported producing steel using fossil fuels and carbon capture and storage. In a review of its alignment with industry associations in January 2022, ArcelorMittal advocated for increased access to “sufficient, affordable” clean energy and to incentivize the consumption of zero-carbon emissions steel. However, in response to an EU public consultation in February 2021, ArcelorMittal did not support phasing out fossil fuels in heating systems.

Industry Association Governance: ArcelorMittal retains leadership positions in multiple industry associations negatively lobbying on climate policy across the world, including Eurofer, the International Federation of Industrial Energy Consumers (IFIEC) and the National Association of Manufacturers. In March 2022, the company released a review of its industry association memberships and their alignment with climate policy, finding misalignment with the American Petroleum Institute and committing to not renew membership of the association. ArcelorMittal found “partial alignment” with several other organizations, including the National Association of Manufacturers, but did not take further action.

A detailed assessment of the company's industry association review can be found on our CA100+ webpage here.

InfluenceMap collects and assesses evidence of corporate climate policy engagement on a weekly basis, depending on the availability of information from each specific data source (for more information see our methodology). While this analysis flows through to the company’s scores each week, the summary above is updated periodically. This summary was last updated in Q4 2022.

QUERIES
DATA SOURCES
1NSNSNSNSNSNS
22NS1211
01NS111NS
11NSNSNS11
0NA1NANANANS
000-1011
-1-10-1-10NS
-1NSNS-1NSNSNS
01NS-1NS1NS
1110110
010NSNSNSNS
1NS0NANANANS
0NSNSNSNSNSNS
Strength of Relationship
STRONG
 
 
 
 
 
 
 
WEAK
 
48%
 
48%
 
61%
 
61%
 
51%
 
51%
 
51%
 
51%
 
45%
 
45%
 
29%
 
29%
 
43%
 
43%
 
69%
 
69%
 
42%
 
42%
 
51%
 
51%
 
61%
 
61%
 
49%
 
49%

How to Read our Relationship Score Map

In this section, we depict graphically the relationships the corporation has with trade associations, federations, advocacy groups and other third parties who may be acting on their behalf to influence climate change policy. Each of the columns above represents one relationship the corporation appears to have with such a third party. In these columns, the top, dark section represents the strength of the relationship the corporation has with the influencer. For example if a corporation's senior executive also held a key role in the trade association, we would deem this to be a strong relationship and it would be on the far left of the chart above, with the weaker ones to the right. Click on these grey shaded upper sections for details of these relationships. The middle section contains a link to the organization score details of the influencer concerned, so you can see the details of its climate change policy influence. Click on the middle sections for for details of the trade associations. The lower section contains the organization score of that influencer, the lower the more negatively it is influencing climate policy.