Chandragupt Prakash Mangal, Managing Director, Mangalam Worldwide

Sustainability decisions are set to play equal or even more prominent roles than capacities in determining the future outlook of India’s steel industry. India’s steel industry is at a crucial and defining pivot point—where the evolution of the industry needs to happen while being more environmentally responsible. As India moves along its path to achieving its net-zero ambitions, there has been a corresponding need to shift focus from “grow and sell more” to “reduce and make more efficiently and with more resilience to climate change impacts.” Sustainability, through green stainless steel, has emerged at the forefront of this shift.

This transition is not merely a response to regulatory pressures but a strategic rethinking of how steel can be produced, consumed, and recycled more responsibly. As global customers, investors, and governments increasingly place sustainability at the core of decision-making, Indian steel manufacturers are being called upon to demonstrate measurable progress toward cleaner and more efficient production practices.

Why Stainless Steel?

Sustainability is intrinsic to the nature of stainless steel. It is one of the few materials used in industry that is recycled multiple times without any degradation of strength, robustness, and performance. A number of Indian players are already using a large percentage of recycled material, thereby lowering the dependence on mining virgin material and resulting in lower emissions throughout the entire life cycle. This enables stainless steel to be directly aligned with the production planning of environmentally conscious manufacturers.

In addition, stainless steel’s durability and corrosion resistance make it a preferred material for long-life applications across infrastructure, transportation, water management, and renewable energy projects. Its ability to reduce maintenance costs and extend asset life further strengthens its sustainability credentials, making it a material of choice for long-term development goals.

Government policies are further fueling the change. The Green Steel Framework set out by the government helps set the targets for green steel based on the emission intensity, concurrently promoting the adoption of renewables and the exploration of pilot projects for the production of low-carbon fuels like green hydrogen.

Policy clarity and direction play a critical role in accelerating industry-wide adoption. By encouraging cleaner production pathways and incentivising innovation, these initiatives are helping create an ecosystem where sustainability-driven investments become economically viable rather than cost-intensive. This alignment between policy intent and industrial action is essential for scaling green stainless steel production across India.

On the other hand, overall trends within the metal industry are also supporting the economic rationale for this particular transition. The demand for various infrastructure, manufacturing, and renewable energy projects has helped boost the prices of base metals. As overall commodity demand is likely to remain healthy due to the economic reforms of GST 2.0, the overall metal industry is expected to remain on the path to healthy growth in the coming years of 2026.

This demand-led growth provides an opportunity for producers to integrate sustainability into expansion plans rather than treating it as a parallel or secondary initiative. By embedding green practices into capacity additions and modernisation efforts, the industry can ensure that growth and sustainability advance together.

Where Growth Meets Sustainability

The integration of renewable sources and low-carbon technology is no longer a concept. The Indian metal industry that has adopted these solutions is already experiencing the resultant business advantages, including reduced emissions and better use of energy. As the demand increases from the renewable sector, transportation, and infrastructure, the need for sustainable and robust materials continues to gain prominence.

Manufacturers investing in energy-efficient furnaces, waste heat recovery systems, and renewable power sourcing are witnessing improved operational efficiencies alongside environmental benefits. These measures not only reduce carbon footprints but also help mitigate exposure to volatile energy costs, strengthening long-term competitiveness.

Green stainless steel has additional long-term positioning advantages. Infrastructure projects and development policies led by governments are increasingly turning to more eco-friendly materials, while regulatory demands are changing rapidly. Companies that are more responsive to these demands are much better positioned for satisfying local demand, finding higher-end use markets, and delivering in the midst of rapidly changing global trade regulations and sustainability trends.

Furthermore, as global markets move toward mechanisms such as carbon border adjustments and stricter disclosure norms, early adopters of green stainless steel will be better equipped to navigate compliance requirements and maintain access to export markets. Sustainability, in this context, becomes a strategic differentiator rather than a constraint.

Nevertheless, the challenges are there—particularly in scaling up the usage of renewable resources, adoption of green fuel in a major way in industry, and development of infrastructure that would enable this. The green movement for stainless steel in India essentially establishes beyond doubt the linkage between industrialisation and sustainability, proving that they need not be conflicting goals. The year ahead will be critical in determining how fast intent translates into execution, with investments in renewable energy integration, low-carbon technologies, and enabling infrastructure shaping up the pace of transition.

Collaboration across industry, policymakers, technology providers, and financial institutions will be key to overcoming these challenges. Shared learnings, pilot projects, and phased implementation can help de-risk the transition while maintaining production stability and cost efficiency.

India can continue on this trajectory through sustained innovation and policy alignment, positioning green stainless steel not as a compliance-driven initiative but as a long-term growth engine. With the right momentum, the stainless steel industry can become a key tool for the next phase of India’s economic expansion.