The steel industry is essential to global development but is also a major contributor to greenhouse gas emissions, accounting for about 7% of global emissions. To mitigate this impact, the industry must transition to more sustainable production methods. This study examines traditional steel production processes, such as Blast Furnace-Basic Oxygen Furnace (BF/BOF) and Electric Arc Furnace (EAF), alongside emerging technologies like Hydrogen Direct Reduction (H-DR). It analyses the challenges of retrofitting existing steel plants for hydrogen use compared to the construction of new facilities. Additionally, the different types and colours of hydrogen, their respective production methods, costs, and their role in making hydrogen-based steelmaking economically viable, are explored.