Metalmakers adopt green extraction methods to cut emissions by 40%

Metalmakers are racing to replace century‑old smelting with greener, cheaper methods, a shift that could cut emissions by up to 40 percent. In a recent MIT Tech Review piece, analysts point out that the industry’s next wave of innovation will come from processes that use hydrogen, electricity, or recycled waste instead of coal. The move is driven by the need to meet climate targets and the rising cost of fossil fuels.

The urgency comes from two fronts. First, the world is tightening carbon limits, and steel and aluminium plants are the biggest industrial emitters. Second, supply chains for critical metals like cobalt, nickel, and lithium are fragile. Disruptions in China and the Middle East have shown how quickly demand can outpace supply. Older smelting routes are energy‑hungry, use blast furnaces that burn coal, and produce large volumes of CO₂.

New technologies are already in pilot stages. Hydrogen reduction of iron ore can cut CO₂ by 70 percent, and several companies are building 100‑ton‑per‑day plants in Europe and the United States. Electrolytic iron, which uses renewable electricity to split iron ore, has reached commercial viability in Japan and is being tested in South Korea. In aluminium, electrolytic smelting powered by solar and wind can replace the 90 percent CO₂ emissions of the Hall‑Héroult process. Battery recycling is also gaining traction, with facilities that recover 90 percent of lithium and cobalt from spent cells. Investors are pouring $2 billion into green‑metal startups, and governments are offering tax credits for low‑carbon production.

Scaling these innovations will require new infrastructure and policy support. Governments must update regulations to allow hydrogen and electrolytic plants in regions with high carbon costs. Utilities need to expand renewable capacity near mines and smelters. If the industry can hit the 2030 target of 30 percent emission reductions, it will not only meet climate goals but also secure a more resilient supply of essential metals for electric vehicles and data centres. The next decade will decide whether the metals sector can keep up with the planet’s need for clean growth.