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In spite of environmental issues related to cadmium and its electroplating process, electroplated cadmium is still extensively used in the aerospace and defense sectors. This trend is likely to continue especially for high strength steels because cadmium provides the best known corrosion and embrittlement protection for this application. Consequently, the environmental concerns related to the cadmium electroplating have been addressed using an alternative Zero-waste Physical Vapor Deposition (Z-PVD). This method does not use liquids, it recycles cadmium in situ, and is free of hydrogen embrittlement. The Z-PVD process is now in commercial production for the aerospace fasteners. The quality of the coatings has been at least equal to that of the electroplated cadmium.