Steel industry is one of the important industries which contributes towards infrastructure, transportation and manufacturing. It is one of the biggest emitters of carbon dioxide (CO2), making sustainability in steel production is the global priority. This paper explores the environmental impact of the steel production and challenges in achieving sustainability. The respondents are managers working in manufacturing organisation and specifically in the steel manufacturing companies.This paper explores the views of the managers working in steel manufacturing Industries. The result shows that the factors affecting environment are CO2 emissions, water usage, resource depletion and waste generation. The challenges faced in the steel manufacturing industry to achieve sustainability are technological dependency on coal, high energy demand, economic competitive and recycling & material efficiency.