The decarbonisation of the iron and steel industry is expected to significantly increase electricity consumption due to higher levels of electrification and the partial shift to hydrogen as an iron reductant. This study aims to consolidate existing knowledge on demand response (DR) strategies and apply them to a modelling analysis of two new low-carbon technologies: hydrogen-based direct reduction of iron with electric arc furnace technology (H₂-DRI-EAF) and blast furnace basic oxygen furnace technology retrofitted with carbon capture (BF-BOF-CCUS). The study applies a cost optimisation approach to plant configurations with varying parameters relevant for flexibility, such as electrolyser and storage sizes, and considers multiple price profiles to account for uncertainties in future electricity prices. The results show that the potential for DR in H₂-DRI-EAF plants is 3–27 times higher than in BF-BOF-CCUS plants, with electricity cost savings potentials of 35% and 3%, respectively. The profitability of investing in electrolyser overcapacities is strongly dependent on future power system configurations, as electricity prices have the most significant impact on these investments. The study also highlights the importance of flexibility options in the iron and steel industry, particularly for batch processes like scrap steel melting in electric arc furnaces (EAFs). Previous research has primarily focused on DR potential for existing manufacturing processes and future low-carbon processes. This study provides a comprehensive overview of DR potential in the iron and steel industry, identifies potential bottlenecks, and highlights future directions in the context of decarbonisation and electrification. The modelling analysis assesses the DR potential of H₂-DRI-EAF and BF-BOF-CCUS under different power system configurations and electricity pricing scenarios. The results indicate that the DR potential strongly depends on the installed overcapacity of electrolyzers and H₂ storage, and that historical prices are insufficient for assessing future DR potential due to the uncertainty of future electricity prices.The decarbonisation of the iron and steel industry is expected to significantly increase electricity consumption due to higher levels of electrification and the partial shift to hydrogen as an iron reductant. This study aims to consolidate existing knowledge on demand response (DR) strategies and apply them to a modelling analysis of two new low-carbon technologies: hydrogen-based direct reduction of iron with electric arc furnace technology (H₂-DRI-EAF) and blast furnace basic oxygen furnace technology retrofitted with carbon capture (BF-BOF-CCUS). The study applies a cost optimisation approach to plant configurations with varying parameters relevant for flexibility, such as electrolyser and storage sizes, and considers multiple price profiles to account for uncertainties in future electricity prices. The results show that the potential for DR in H₂-DRI-EAF plants is 3–27 times higher than in BF-BOF-CCUS plants, with electricity cost savings potentials of 35% and 3%, respectively. The profitability of investing in electrolyser overcapacities is strongly dependent on future power system configurations, as electricity prices have the most significant impact on these investments. The study also highlights the importance of flexibility options in the iron and steel industry, particularly for batch processes like scrap steel melting in electric arc furnaces (EAFs). Previous research has primarily focused on DR potential for existing manufacturing processes and future low-carbon processes. This study provides a comprehensive overview of DR potential in the iron and steel industry, identifies potential bottlenecks, and highlights future directions in the context of decarbonisation and electrification. The modelling analysis assesses the DR potential of H₂-DRI-EAF and BF-BOF-CCUS under different power system configurations and electricity pricing scenarios. The results indicate that the DR potential strongly depends on the installed overcapacity of electrolyzers and H₂ storage, and that historical prices are insufficient for assessing future DR potential due to the uncertainty of future electricity prices.