The French government and steelmaker ArcelorMittal have agreed on a $1.97 billion investment to cut greenhouse emissions at the latter’s Dunkirk steel plant, finance ministry officials have announced.
The French government's subsidy package, which could be up to €850 million euros, had already been cleared by the European Commission and is part of President Emmanuel Macron's strategy to cut emissions at France's 50 most polluting sites according to a report by Reuters.
The money will finance electric furnaces and a direct reduction plant, which will cut French carbon emissions from the industrial sector by 5.7%, the finance ministry said in a statement.
As part of the initiative, ArcelorMittal also plans to sign a letter of intent with Electricite de France SA (EDF) for a long-term supply contract of nuclear power.
Bruno Le Maire, France’s Finance Minister, emphasized the economic and ecological significance of this investment for France. Le Maire, having recently been reappointed to his ministerial role, is set to visit EDF’s nuclear plant in Gravelines and the Dunkirk steel factory.