ACCR Company Engagement Kobe Steel, Ltd.
Kobe Steel was founded in 1905 and is predominantly engaged in steel manufacturing.
More than 90% of Kobe Steel’s greenhouse gas emissions come from steelmaking. It also operates a number of coal and gas-fired power plants. The company has acknowledged reducing its emissions is a “top management priority” and that to “increase corporate value” it aims to transition to carbon neutrality by 2050. However, investors remain concerned that the current plan lacks the ambition and transformative approach necessary for significant emission reductions.
Kobe Steel is investing in new technology to facilitate its decarbonisation. In April 2023, it announced a partnership with investor Mitsui and Co. to explore the possibility of developing a Direct Reduced Iron (DRI) facility in Oman.
ACCR commenced engagement with Kobe Steel in 2023.
Details of Kobe Steel’s announced steel and iron decarbonisation projects, which feature in ACCR’s global coverage of the steel sector’s emission reduction efforts, can be found here.