LAKSHMI MITTAL is clearly the key figure in the global steel industry. The prime ministers of Canada, Belgium and India – Justin Trudeau, Alexander De Croo and Narendra Modi, respectively – were all personally involved when ArcelorMittal, of which Mittal is executive chairman, held events in their country.
Mittal, at 72, heads what is described as “the world’s leading steel and mining company”. When Mittal Steel took over Arcelor in the summer of 2006 to form ArcelorMittal, his aim was to consolidate the steel industry, which he has done to a very great extent.
Meanwhile, his son, Aditya Mittal, the chief executive officer of ArcelorMittal, has assumed responsibility for decarbonising the steel industry. He has promised net zero will be achieved by 2050. Aditya, who looks very boyish at 47, will find it a sobering thought he will then be aged 74.
From a financial perspective, 2022 was “very much a year of two halves”, according to the company. “ArcelorMittal delivered a very strong performance in the first half of the year, and then started to see the impact of a market slowdown in the second half of 2022 as a consequence of the Ukraine war, inflation, high energy costs, recessionary fears, slowdown in steel consumption and falling steel prices.”
Steel is an industry which emits a great deal of carbon dioxide into the atmosphere because of the use of coke in the smelting of iron ore. That has been the traditional method ever since man learnt to make steel. But the search for new technology is well under way.
It was this attempt to decarbonise steel making that took Mittal to the ArcelorMittal plant in Hamilton, Ontario, Canada, in October 2022 when Trudeau turned up with several Canadian ministers.
Trudeau said: “ArcelorMittal Dofasco’s steel plant is not just a cornerstone of the Canadian economy and the Hamilton community – it’s an example to the world of what clean innovation will look like. By investing in ArcelorMittal Dofasco’s project to produce clean steel, we’re investing in the future of this plant and this industry. Together, we’re delivering real results: good, middle-class jobs, a strong economy, and clean air for today and generations to come.”
In response, Mittal declared: “Today is a historic moment for our company. This is the first full-scale decarbonisation project we have broken ground on since announcing our commitment to achieve net zero by 2050 and reduce carbon emissions intensity by 25 per cent by 2030.
“To have Prime Minister Trudeau with us here today, accompanied by senior members of his government and members of the Ontario government, is an honour and reflects the significance of today’s event for Canada and for the global steel industry.
“This project will transform how we make steel in Hamilton by introducing coal free, lower-carbon technologies. It will enable us to make significant progress this decade, reduce our emissions in Hamilton by approximately 60 per cent and lay strong foundations for near zero steelmaking. It will also ensure that Hamilton’s rich history of steelmaking endures, and that ArcelorMittal Dofasco is able to produce the advanced steel solutions Canada needs to support its own vision of transitioning to a net zero economy.
“Today’s event marks an important step towards that goal. To reach this point is not straightforward – we are here because of collaboration, because of understanding, because of partnership and because of support. We believe that what we are starting here today in Canada can become a model for the rest of the world in how to decarbonise steel.”
Aditya, who was also present, followed his father by saying: “ArcelorMittal’s ambition is to lead the decarbonisation of the steel industry. Steel is a critical material that will sit at the heart of a decarbonised economy. It is a vital material for the renewable energy infrastructure, the electric vehicles and the low carbon buildings that will build our zero-carbon world. The scale of this opportunity is significant, and we want to ensure that we can meet the demand this opportunity will bring with growing volumes of increasingly lower-carbon steel.”
Others who spoke included François-Philippe Champagne, Minister of Innovation, Science and Industry; Doug Ford, Premier of Ontario; Filomena Tassi, Minister responsible for the Federal Economic Development Agency for Southern Ontario; and Vic Fedeli, Ontario’s Minister of Economic Development, Job Creation and Trade.
The Mittals have a private jet so there is no problem in getting round the world. The scene shifted in December 2022 to Ghent, Belgium, where ArcelorMittal inaugurated its flagship carbon capture and utilisation project.
The prime minister of Belgium, Alexander De Croo, welcomed Mittal’s initiative: “I am pleased to see ArcelorMittal is taking bold and innovative steps by decarbonising its steel production at its new installation in Ghent. This is an important step in the fight against climate change while safeguarding our future competitiveness and securing Belgian jobs. By investing in clean energy technologies, ArcelorMittal is not only helping to lower carbon emissions, but it is also setting the standard for the industry. The only way forward is cleaner production that leads to better products.”
The Mittals are used to rubbing shoulders with the world’s political elite.
First, Mittal spoke: “ArcelorMittal Ghent is widely regarded as one of the finest steel plants in Europe, staffed by talented, committed and forward-thinking people. We intend to ensure that reputation endures into the future and I believe the work being undertaken here lays the ground for what the steel plant of the future will look like.
“This is a steel plant which is embracing the latest innovative technologies; which is using sources of circular carbon; which captures and re-uses as many of its waste products as possible, recycling them into something of value; and which is preparing for a future when green hydrogen will remove the need to use any fossil carbon. It is a strong example of what is possible with energy, effort and of course, brilliant scientific minds. It also demonstrates what can be achieved through partnership, so I must thank the Belgian and Flemish governments …for the support they are providing towards our efforts to transition to net-zero steelmaking.”
He was followed by his son: “The imperative to accelerate the road to net zero has never been greater. Given the scale of the challenge, it’s important to be open to all technology solutions and certainly, at ArcelorMittal we are open to all technologies that can take steelmaking to near zero.
“The investments we are planning here at Ghent are a great testament to that.
“We have worked closely together with a wide group of stakeholders here in Belgium and indeed also more broadly across Europe, on the conditions and infrastructure that support the investment in these types of technologies and the transition to net zero. I want to thank everyone who has supported our efforts and made today – the inauguration of the European steel industry’s first carbon capture and utilisation plant – possible.”
As in Canada, various ministers added their thoughts, among them, Vincent Van Peteghem, Deputy Prime Minister of Belgium and Minister of Finance; Tinne Van der Straeten, Belgian Minister of Energy; Jo Brouns, Flemish Minister of Economy, Innovation, Work, Social Economy and Agriculture; Matthias Diependaele, Flemish Minister of Finance and Budget, Housing and Immovable Heritage; and Lydia Peeters, Flemish Minister of Mobility and Public Works.
Others who made speeches included Carina Van Cauter, Governor of East-Flanders, and Mathias De Clercq, Mayor City of Ghent
India was somewhat different. The drama took place in late October 2022 at Hazira in Modi’s home state of Gujarat, where ArcelorMittal and Nippon Steel have set up a joint venture. Now, output was being increased from 9 million tonnes a year to 15 million tonnes a year, thereby creating 60,000 extra jobs.
Modi spoke via video link, as he congratulated “Lakshmi Mittalji and bhai Aditya and their entire team”.
He thanked them for making a vital contribution to India. He pointed out that a strong steel sector makes “a massive contribution in roads, railways, airport, ports, construction, automotive, capital goods, and engineering products”.
The Prime Minister noted that along with the expansion, a totally new technology was coming to India which would be a huge help in the electric vehicle, automobile and other manufacturing sectors. “I am sure that this project of ArcelorMittal and Nippon Steel India will prove to be a milestone in the vision of ‘Make in India’. This will give new strength to our efforts for a developed and self-reliant India in the steel sector.”
He added: “We currently produce 154 million tonnes of crude steel. Our target is to achieve 300 million tonnes production capacity in the next 9-10 years.
“I am glad that the Hazira project is also placing a lot of emphasis on the use of green technology”, the prime minister said.
Mittal, who had long dreamed of opening a plant in the country of his birth, said: “We are proud to have reached this important juncture to deepen our contribution to the growth of India’s steelmaking industry and the country’s vision not only for Atmanirbhar Bharat (self-reliant India) but also a Bharat that manufactures for the world. This project will be one of the largest investments in Gujarat in recent years and we remain impressed by the scale of the state's ambition and the pace of its progress in becoming a global manufacturing hub."
Aditya confirmed: “Expansion to 15 million tonnes per year is the natural next step for Hazira, a plant we have always said holds great potential to capture the growth opportunities presented by a growing domestic steel market in a rising Indian economy. Our own growth, in Hazira and across India, will be responsible growth, including an unwavering commitment to decarbonising our steel and the wellbeing of our people and communities, starting with safety.”
Some heavyweights from Indian politics were present, among them Bhupendra Patel, the chief minister of Gujarat, and Jyotiraditya Scindia, the Union steel minister.
In their private lives, the Mittals have made substantial donations to charity. They have given $5 million to support earthquake relief efforts in Turkey and Syria. The donation was split equally between the Disasters Emergency Committee (DEC) and Médecins Sans Frontières (MSF).
Mittal was born in Sadulpur in Rajasthan on 15 June 1950. He graduated in commerce from St Xavier’s College in Kolkata, and began his career working in his family’s steelmaking business in India before moving to Indonesia in 1976 to set up a small steel company. In 1995, keen to expand, he shifted to London.
His contribution to business and the global steel industry has been widely recognised. In 1996 he was awarded “Steelmaker of the Year” by New Steel in the United States and in 1998 the “Willy Korf Steel Vision Award” by World Steel Dynamics. He was named Fortune magazine’s “European Businessman of the Year” in 2004 and “Business Person of the Year” by the Sunday Times, “International Newsmaker of the Year” by Time Magazine and “Person of the Year” by the Financial Times in 2006. In 2007, he was presented with a Fellowship from King’s College London, the college’s highest award.
In 2007 he also received the Dwight D. Eisenhower Global Leadership Award, the Grand Cross of Civil Merit from Spain and was named AIST Steelmaker of the year. In January 2008, Mittal was awarded the Padma Vibhushan, India’s second highest civilian honour, by the President of India.
Meanwhile, Aditya was named “European Business Leader of the Future” by CNBC Europe in 2008 and ranked fourth in Fortune magazine’s “40 under 40” list in 2011. Together with his wife Megha, he is a significant supporter of the Great Ormond Street Children’s Hospital in London, having funded the Mittal Children’s Medical Centre. He holds a bachelor’s degree in economics from the Wharton School in Pennsylvania, United States, where he met his wife, although both were born in nursing homes in Kolkata.
Also on the board of ArcelorMittal is Mittal’s 42-year-old daughter, Vanisha, who is married to the businessman Amit Bhatia. Their destination wedding in France in 2004 was a spectacular affair.
