In October 2014, the EU heads of state and government agreed on an ambitious European energy and climate policy framework for the period 2020 to 2030. This included a CO2e reduction target of 43% by 2030, compared to 2005 levels, for those sectors covered by the EU ETS. They also indicated that this scheme should not impose undue CO2e costs on European industries like steel that have to compete globally so long as they are operating efficiently – something that will be assessed against a ‘best plant’ benchmark. This would mean that those production and manufacturing sites that are not so efficient will have to buy additional carbon allowances on the market and so will have an incentive to improve their carbon efficiency to the level expected. We believe that this will benefit European society as a whole, and will also enable us to continue contributing to significant emission reductions in Europe through innovation, in both our processes and products.