voestalpine supplies first CO₂-reduced premium steel

2021-12-07 |

greentec steel is voestalpine’s ambitious phased plan for the long-term decarbonization of steel production. As a first step, the Group is now offering a CO2-reduced Edition of all the flat steel products manufactured by its Steel Division in Linz. As a result of an innovative raw materials mix and even more efficient processes, the direct emissions generated during the manufacture of voestalpine’s greentec steel Edition products have been reduced by around 10 percent. We are currently processing several customer orders, and the signs are that there will be significant demand for sophisticated greentec steel Edition products such as hot-rolled steel strip, isovac electrical steel, and phs-ultraform.

voestalpine is helping to achieve the global climate goals with greentec steel.

We are already working at full speed at our sites in Linz and Donawitz to develop technical scenarios which will drive forward the decarbonization of steel production. By manufacturing and supplying CO₂-reduced steel, we have achieved an important first milestone on the path to green steel production by 2050.

Herbert Eibensteiner, CEO of voestalpine AG

This step of directly saving 10 percent of the carbon emissions compared to conventional production methods is achieved by modifying the reducing agent and the charge, as well as by maximizing the share of scrap, and converting to green electricity. Continuously applying optimization measures will successively reduce carbon emissions, gradually approaching the inherent limits of the process. At the same time, voestalpine steel maintains its high-quality standards.

All products have the excellent material and processing properties for which voestalpine is internationally valued. This allows us to offer a high quality, transparent solution for all our customers who are looking for an immediate, verifiable, and above all significant reduction in their carbon footprint.

Hubert Zajicek, Member of the Management Board of voestalpine AG and Head of the Steel Division

Green steel production by 2050

In a next significant intermediate stage in the voestalpine phased plan, the partial replacement of the existing blast furnace route with a hybrid-electric steel pathway could reduce carbon emissions by around a third by 2030. Here liquid pig iron and sponge iron (HBI) join scrap as the most important pre-materials for tomorrow’s carbon-neutral production of high-quality steel. In parallel, the voestalpine Group is intensively researching into so-called breakthrough technologies in order to successively increase the use of green hydrogen in the steel production process over the long term and achieve carbon-neutral steel production by 2050.

Steel Division

As a global manufacturer of high-quality steel products, the Steel Division of the voestalpine Group is a driving force toward a clean future worth living. It has been setting environmental benchmarks in steel production for years, working simultaneously on future hydrogen-based options to help bring about steelmaking routes low in CO2. The Steel Division is the first point of contact for major automotive manufacturers and suppliers worldwide when it comes to high-quality steel strip. It is also one of the most important partners to the European white goods and mechanical engineering industries. The Steel Division produces heavy plates for applications under the most extreme conditions in the energy sector, supporting the oil & gas industry and renewable energy generation with custom solutions. It operates the world’s most advanced direct reduction plant in Corpus Christi, Texas, USA, producing high-quality pre-materials (HBI) used in steel production for both Group companies and external entities alike. In the business year 2020/21, the Steel Division generated revenue of EUR 4.2 billion, reported an operating result (EBITDA) of EUR 487 million, and had around 10,400 employees worldwide.

The voestalpine Group

voestalpine is a globally leading steel and technology group with a unique combination of materials and processing expertise. voestalpine, which operates globally, has around 500 Group companies and locations in more than 50 countries on all five continents. It has been listed on the Vienna Stock Exchange since 1995. With its premium products and system solutions, it is a leading partner to the automotive and consumer goods industries as well as the aerospace and oil & gas industries; it is also the world market leader in railway systems, tool steel, and special sections. voestalpine is fully committed to the global climate goals, and its greentec steel program represents a clear plan for decarbonizing the production of steel. In the business year 2020/21, the Group generated revenue of EUR 11.3 billion, with an operating result (EBITDA) of EUR 1.1 billion; it had about 48,700 employees worldwide.