Together with our partners and customers, SSAB aims to create a fossil-free value chain, from the mine to the end-product.
In 2016, SSAB, LKAB (Europe’s largest iron ore producer) and Vattenfall (one of Europe’s largest energy companies) joined forces to create HYBRIT – an initiative that endeavors to revolutionize steelmaking. Using HYBRIT technology, SSAB aims to replace coking coal, traditionally needed for ore-based steelmaking, with fossil-free electricity and hydrogen. The result will be the world’s first fossil-free steelmaking technology, with virtually no carbon footprint.
The steel industry is one of the highest CO2-emitting industries, accounting for 7% of CO2 emissions globally. A growing global population and expanding urbanization are expected to trigger a rise in global steel demand by 2050. Recycled scrap will not sufficiently meet the growing demand for new steel. The carbon footprint in the steel industry is thus a challenge for Europe and the rest of the world. Sweden has unique conditions for this kind of project, with good access to fossil-free electricity, the highest-quality iron ore and a specialized, innovative steel industry. SSAB has also started to investigate the possibilities of broadening the initiative to include Finland.
All production sites will be converted
SSAB will cut our CO2 emissions in Sweden by 25% by as early as 2025, through the conversion of the blast furnaces in Oxelösund, Sweden, to an electric arc furnace. Between 2030-2040, the plan is to convert the blast furnaces in Luleå, Sweden and Raahe, Finland to eliminate most of the remaining CO2 emissions.
The company anticipates that our Iowa operations will be powered by renewable energy by 2022. Our Americas operations will be able to offer fossil-free steel products starting in 2026, utilizing sponge iron developed using HYBRIT technology in Sweden. At the same time, SSAB has started the process of phasing out fossil fuels used in rolling mills and heat treatment plants throughout the company, to reach the goal of becoming fossil-free by 2045.