SSAB to supply green steel to Cargotec

Ssab (a Swedish steel producer) and Cargotec (a leading provider of cargo and load handling solutions) have agreed to use hydrogen made fossil-free steel in the cargo handling industry.

Both partners agreed to start working toward using Ssab’s fossil-free steel in Cargotec’s cargo handling equipment. The partnership will benefit both parties and end-users.

Martin Lindqvist, President and CEO of Ssab, said, “Close collaboration with the development of a fossil-free value chain means we contribute to strengthening our customers’ competitiveness and to reducing their carbon footprint. Together, we also ensure the best solutions for end-users.”

Mika Vehviläinen, CEO of Cargotec, said, “We are paving the way in the cargo handling industry through commitment to using fossil-free steel and have this unique opportunity to work with a forerunner in fossil-free steel development.”

Cargotec goal

Steel and steel components are the main contributors to the CO2 footprint at Cargotec’s scope 3 (value chain) upstream emissions. The total CO2 footprint comprises upstream emissions, which account for over a third of Cargotec’s total emissions,  emissions from own operations (scope 1 and 2), and emissions from the use phase of the products (scope 3 downstream). Fossil-free steel has a significantly lower environmental impact and hence, contributes towards a carbon-neutral value chain.

SSAB green steel

Ssab, Lkab and Vattenfall developed Hybrit (Hydrogen Breakthrough Ironmaking Technology) in 2016, to develop a technology for fossil-free iron- and steelmaking. In July 2021, Ssab Oxelösund rolled the first fossil-free steel produced using Hybrit technology, i.e., reduced by 100% fossil-free hydrogen instead of coal and coke, with good results. Ssab aims to supply the market with fossil-free steel by 2026 at an industrial scale after converting its Oxelösund blast furnaces into an electric arc furnace and using Hybrit technology.