Euskadi promotes the Basque Zirkular Metals project with the aim of leading Europe’s new circular steel industry

• The project aims to place the region among the European leaders in the circular transformation of steel and metals. It strengthens strategic autonomy, access to key materials and the Basque industry’s capacity for innovation.
• It will focus on six industrial sectors in Euskadi: steelmaking, automotive, sustainable mobility, wind energy, advanced manufacturing and construction.
• The initiative expects to mobilise nearly €25 million and will involve 11 industrial leaders, five industrial clusters and members of the Basque Science, Technology and Innovation Network to accelerate the transition towards more circular and competitive metal.
• The aim of the Transformative Project is to make progress towards higher-value, low-carbon metal products, reduce dependence on foreign raw materials and anticipate new European requirements for circularity and decarbonisation.
• Basque Zirkular Metals is a project designed with the sector from the outset and will be implemented through demonstration projects to address challenges such as access to high-quality scrap, technological improvement, material traceability, ecodesign, new business models and anticipation of regulatory requirements, with the aim of advancing the “Made in Europe” model promoted by the EU.
• The first milestone for Basque Zirkular Metals in 2026 is to put the Digital Product Passport into operation in Euskadi, the European Union requirement that makes digital traceability mandatory for steel, aluminium and other metal products.
• This new Transformative Project is the sixteenth to be presented of the 25 pledged by the Basque Government under the Industry Plan – Euskadi 2030. Of the 16, six are privately led, and this is the tenth led by the public sector.

The Basque Government Minister for Industry, Energy Transition and Sustainability, Mikel Jauregi, today presented Basque Zirkular Metals, one of the publicly led Transformative Projects of the Industry Plan – Euskadi 2030, to position Euskadi among the European regions recognised as leaders in the circular transformation of steel and metals.

The initiative expects to mobilise nearly €25 million and will bring together 11 industrial leaders, five industrial clusters and members of the Basque Science, Technology and Innovation Network to promote solutions that strengthen competitiveness, strategic autonomy and decarbonisation in six industrial sectors in Euskadi: steelmaking, automotive, sustainable mobility, wind energy, advanced manufacturing and construction. ArcelorMittal Sestao, Sidenor, Grupo Tubacex, Gescrap, CAF, Gestamp, Gamesa Gearbox, Haizea Wind Group, Viuda de Sainz, Etxetar and FMD Carbide will take part in the project, alongside BRTA, EHU and TKNIKA; and the Siderex, AFM, Buid:INN, Acicae and Aclima clusters.

Jauregi stressed that the Basque Zirkular Metals project is Euskadi’s response to one of the main challenges facing European industry: ensuring a competitive, innovative and low-carbon steel value chain.

Basque Zirkular Metals represents a strategic commitment for Euskadi to lead the circular transformation of metal in Europe. The aim is to strengthen industrial competitiveness, secure access to strategic materials and create new opportunities for innovation, investment and quality employment. “Europe’s industrial future will increasingly depend on its ability to make better use of the materials available. With this Transformative Project, we aim to place Euskadi among the leading European regions in the circular transformation of steel and metals. It is a circularity project that improves competitiveness and drives decarbonisation in our industry,” said Basque Government Minister Mikel Jauregi.

Steel and metals are part of the historic core of the Basque industrial model and continue to play a decisive role in its economic activity. They account for 49% of industrial gross value added and more than 110,000 jobs in Euskadi. In addition, annual metal consumption reaches 10 million tonnes and accounts for 63% of the carbon footprint of the materials used by Basque industry.

The Basque Zirkular Metals project addresses the challenge of advancing strategic autonomy in metal and steel. It is based on a central idea: the need to make better use of existing materials, increase the availability of secondary raw materials and improve access to high-quality scrap. It will help reduce Europe’s dependence on raw material supplies and generate higher-value products.

This new publicly led Transformative Project is the sixteenth to be presented of the 25 pledged by the Basque Government under the Industry Plan – Euskadi 2030. Of the 16, six are privately led and ten are led by the public sector.

Key aspects of the project

The project will initially focus its activities on six industrial sectors that are important to Euskadi: steelmaking, automotive, sustainable mobility, wind energy, advanced manufacturing and construction. These sectors depend on the availability, quality and price of steel and other metals, so their future competitiveness is closely linked to Euskadi’s ability to develop circular solutions and anticipate the transformation of the European market.

The Basque Zirkular Metals project stems from a process of listening to and collaborating with industry. During the first half of 2026, the Basque Government held more than 50 bilateral meetings with industries and industrial clusters. This dialogue made it possible to identify project priorities such as access to high-quality scrap, technological improvement, material traceability, ecodesign, new business models and anticipation of regulatory requirements. All of this will help advance the “Made in Europe” model promoted by the EU.

The project’s implementation includes demonstration projects led by the industrial leaders and aimed at improving the competitiveness of Basque SMEs. The project’s first major milestone will be to promote the digital traceability of steel, aluminium and other metal products subject to the new European Digital Product Passport requirement.

From the outset, the project will help industries understand where the materials they use come from and the route they take before becoming new products. It will also encourage products to be designed to last longer, be easier to repair and generate fewer emissions and less waste. In addition, initiatives will be launched to reuse products and materials instead of throwing them away, giving them a second life where possible.

The project will also encourage industries from different sectors to work together, from those that recycle materials to those that transform them or use them to manufacture new products. Finally, industries and professionals will receive training to prepare them for the new European regulations.

The project aims to place Euskadi among the leading European regions in the circular transformation of steel and metals, alongside Lombardy (Italy), Flanders (Belgium), Grand Est (France), North Rhine-Westphalia (Germany) and the Swedish region of Central Sweden.

 Transformative Projects of the Industry Plan

The Industry Plan – Euskadi 2030 set out 23 publicly and privately led Transformative Projects. Two new privately led Transformative Projects have been added to these: “Zero Emissions Marine Boat” and “Hidrogeles inteligentes para Nanomedicina”.