ISMR September 2025 | Page 82

FOCUS ON SUSTAINABILITY

MAKING AN IMPACT

Matthew Ekholm outlines the EU’ s ESPR Working Plan and its immediate impact upon the steel sector. Steel manufacturers who delay action not only risk non-compliance but also the loss of their competitive edge.

All images: Shutterstock. com.
“ EU steel manufacturers that align with the ESPR can prove low-carbon intensity and high recyclability via the regulation’ s Digital Product Passport( DPP) mandate, placing them at an advantage for procurement criteria.”
By
Matthew Ekholm,
DPP and Circularity Specialist, Protokol

About the author

As digital product passport and circularity specialist at Protokol, Matthew Ekholm is responsible for Protokol’ s DPP offering. A former director of circular services at a multi-national packaging company and a former operations manager for Circular Economy Transformation, he has years of experience in helping companies to develop new circular business models and unlock new opportunities through an increased focus on sustainability and circularity.

The European Union( EU) brought the‘ Ecodesign for Sustainable Products Regulation( ESPR)’ into force last summer, a regulation that is focused on advancing product circularity in the EU marketplace. However, it seems that many businesses across the EU still do not feel a sense of urgency to comply.

Now that the regulation’ s first Working Plan has been published this April, the‘ Energy Labelling Working Plan 2025-30’, the steel sector in particular needs to start paying close attention. As the Working Plan ranks iron and steel amongst the first industries for ESPR action, alongside the delegated acts( providing a detailed breakdown of regulatory requirements for the industry) expected in 2026, there is an increased urgency for this sector to begin preparation for compliance.
This movement from the EU, and its focus on fostering greater circularity amongst the steel industry, is not a surprise. With nearly two billion tons of steel produced worldwide each year, it accounts for around 7 % of human greenhouse gas emissions, more than Russia or the entire European Union.
If the industry is to reverse these tides, action is needed now from all parts to ensure that the sector has a long, eco-friendly future.
Europe’ s circularity ambitions
As the European Commission aims to accelerate economic circularity across Europe, the EU’ s Circular Economy Action Plan( CEAP), the framework upholding the ESPR regulation, aims to reduce pressure on natural resources, prevent the production of waste and toxic materials and ensuring that sustainable materials remain the key source circulating in the marketplace.
The ESPR adds another layer of regulatory complexity, as it defines the standards and criteria for the environmental performance of products sold within the EU. Moreover, the ESPR’ s Digital Product Passports( DPPs) mandate will apply to all target industries and is set to ensure that products circulating in the specified sectors meet the required sustainable criteria.
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