Cost allocation and incentive mechanisms for environmental protection in the iron ore / steel supply chain

The research project “Cost allocation and incentive mechanisms for the environment, climate protection and resource conservation along global supply chains” (project number 3722 14 101 0) commissioned by the German Environment Agency investigated (dis)incentives for and barriers to the implementation of environmental measures as well as the exchange of information between different actors along selected global supply chains. The project focused on five supply chains from raw material to the end product that represent key sectors of the German industry with a high potential for environmental and human rights risks: cotton-readymade garments; tin – tin solder; natural rubber – car tyres; coffee – coffee for consumption; iron ore – quality steel for automotive industry. It aimed to provide guidance to business and policy makers to facilitate the practical implementation of effective environmental upgrade measures along these global supply chains and to allocate the distribution of the resulting cost and benefits more equitably. 

This report consolidates the research findings for the iron ore/steel supply chain. It is a compilation of texts already published in other reports with the purpose of informing decision makers in the iron and steel industry.