The iron and steelmaking industry faces the dilemma of the need to decrease their greenhouse gas emissions to align with decarbonization goals, while at the same time fulfill the increasing steel demand from the growing population. Replacing fossil coal and coke with biomass-based carbon materials reduces the net carbon dioxide emissions. However, there is currently a shortage of charcoal to fully cover the demand from the iron and steelmaking industry to achieve the emission-reduction goals. Moreover, the transportation and energy sectors can compete for biofuel usage in the next few decades. Simultaneously, our society faces challenges of accumulation of wastes, especially wet organic wastes that are currently not reused and recycled to their full potentials. Here, hydrothermal carbonization is a technology which can convert organic feedstocks with high moisture contents to solid fuels (hydrochar, one type of biochar) as an alternative renewable carbon material. This work studied the differences between a hydrochar, produced from lemon peels (Lemon Hydrochar), and two types of charcoals (with and without densification) and an Anthracite coal. Characterizations such as chemical and ash compositions, thermogravimetric analyses in nitrogen and carbon dioxide atmospheres, scanning electron microscope analyses of carbon surface morphologies, and pyrolysis up to 1200 °C were performed. The main conclusions from this study are the following: (1) hydrochar has a lower thermal stability and a higher reactivity compared to charcoal and Anthracite; (2) densification resulted in a reduction of the moisture pickup and CO2 reactivity of charcoal; (3) pyrolysis of Lemon Hydrochar resulted in the formation of a large amount of tar (17 wt%) and gas (39 wt%), leading to its low fixed carbon content (27 wt%); (4) a pyrolyzed hydrochar (up to 1200 °C) has a comparable higher heating value to those of charcoal and Anthracite, but its phosphorous, ash, and alkalis contents increased significantly; (5) based on the preliminary assessment, hydrochar should be blended with charcoal or Anthracite, or be upgraded through slow pyrolysis to fulfill the basic functions of carbon in the high-temperature metallurgical processes.