From JoNova

By Jo Nova

Lets build an industry on a niche fashionista item where the main selling point is that it “makes the weather nicer”?

No one, bar anyone, believes China gives a toss about reducing carbon dioxide emissions, not when China burns four times as much coal as the second largest coal burning nation on Earth, and they are increasing the rate they build new coal plants. China won’t be buying our sacred Green Steel to make their own cars and bridges.

Where is this imaginary market for Green Steel?

The only “need” for Green Steel on earth is because it’s a fashion accessory at UN events, or because some people believe it can change the weather. There is no intrinsic benefit, it’s not shinier or stronger, it just has more social scoring points, or bragability if you go to inner-city upmarket arts parties. Technically, according to the experts, owning green steel will confer benefits like extending winter for a few more days a year (theoretically). I can’t see that catching on.

This is a market that the bottom could fall out of any day

In May, only 13% of UK Voters said Net Zero goals were more important than their cost of living. So 87% of the market is already not interested in buying Green Steel instead of normal steel. And that 13% “peak” is only maintained with bullying, censorship and non-stop propaganda by the legacy media. Imagine how fast that niche group would shrink if word spreads that Net Zero policies are killing birds and whales and hurting the poor?  Or that thousands of scientists are skeptics — including men who walked on the moon and won Nobel Prizes (Vale Ivar Gievar!).

Half of Australia doesn’t want to pay a single cent on Net Zero targets. The IPA research showed barely 7% of the population are willing to spend anything meaningful. So 93% of Australians don’t want “green steel”. The 7% figure who might hypothetically pay more for “weather changing steel” can only shrink from here.

The only market for Green Steel in China is the one we make, sorry, we fake here at home, with government decrees, forced carbon markets, subsidies, and Soviet rules.

In the EU there is a small premium paid for green steel, but they have a carbon market and targets. In the US where people are now more free to choose their favourite steel, the green steel market is “stagnant”.

Devastatingly, Fastmarket reports that the differential paid for green steel was “$0” per short ton (per long ton too!).

That’s how much people in the US are willing to pay voluntarily for green steel. Nothing.

There may come a time soon, when it will be negative. Don’t give me that…

In a survey of car manufacturers, they were only ordering enough “fossil free” steel to cover 2% of the global car market by 2030.

If Australia tries to make wind-solar-battery-power “Green Steel” five minutes later, China will start nuclear power green steel, and wipe out our market

If the gormless West taxes and subsidizes the population into paying more for green steel, China will be only too happy to profit from selling niche fashionista pointless items to the West. If we delude ourselves that it is a market with “hundreds of thousands of jobs” — a moment later, China will process green steel with electric arcs powered by “low emission” nuclear plants.

Our fantasia wind-powered-solar-biomass-battery made token-smelters will be out-competed in a minute. By 2030 China is aiming to be the worlds largest nuclear power. Think about that…

REFERENCES

Source: coal consumption — OWID

Photo by Jamie Street on Unsplash