The steel sector is leading the shift to sustainable industrial practices, which contributes significantly to global carbon emissions. Based on a qualitative review technique, this research investigates the idea of “green steel”—steel made using low-carbon technologies, namely through integrating renewable energy sources and hydrogen-based direct reduced iron (H-DRI) processes. The study identifies significant potential for India, a rapidly expanding steel manufacturer, and critically examines the current breakthroughs, emerging technologies, and regulatory frameworks driving the global green steel transition. In addition to the economic and social aspects of sustainable growth, the analysis emphasizes the environmental advantages of green steel, such as notable decreases in greenhouse gas emissions. High manufacturing costs, technological preparedness, infrastructural needs, and policy deficiencies remain significant obstacles. According to the study, mainstreaming green steel production requires significant legislative incentives, international cooperation, research and development projects, and strategic investments. In India, implementing green steel practices boosts industrial competitiveness, fosters long-term sustainability, and aligns with national climate goals. The results highlight that green steel is a strategic route for the world and Indian steel industries to attain a resilient and sustainable future, in addition to being a technological advancement.