SSAB and Scania pioneer a transformative agreement, signing a letter of intent to completely decarbonize steel deliveries from SSAB to Scania’s heavy-duty vehicles by 2030. SSAB's Fossil-free™ steel, slated for significant ramp-up from 2026, plays a pivotal role in fostering a sustainable transport system, reflecting a bold commitment within the First Movers Coalition to reduce carbon footprints in challenging sectors.
In a landmark development, SSAB and Scania solidify their commitment to decarbonize steel deliveries, charting a path towards sustainability in heavy-duty transport. The letter of intent outlines a radical plan for 100% decarbonized deliveries from SSAB to Scania's vehicles by 2030, making it one of the most ambitious agreements in SSAB's longstanding partnership with a customer. Recognizing the pivotal role of SSAB as Scania's primary steel supplier, this initiative aligns with the First Movers Coalition's goals, leveraging purchasing power to drive innovative clean technologies in challenging sectors.
CEO of SSAB, Martin Lindqvist, emphasizes the game-changing impact of fossil-free steel in heavy transport, citing its equivalent quality and technical properties to traditional steel while being produced sustainably. The agreement aligns with SSAB's broader plan to deliver Fossil-free™ steel to the market at commercial scale in 2026 and achieve largely fossil-free operations by 2030. The manufacturing process, based on HYBRIT technology, substitutes coking coal with fossil-free electricity and hydrogen, resulting in water instead of carbon dioxide as a by-product.
Scania's CEO, Christian Levin, expresses pride in the agreement, aligning with Scania's commitment to driving the shift towards a sustainable transport system. As part of Scania's broader strategy, the agreement addresses carbon emissions within key supply chain "hotspots," including steel, marking a significant step towards achieving a substantial reduction in overall emissions by 2030.
In conclusion, the agreement between SSAB and Scania to decarbonize steel deliveries by 2030 signifies a bold move towards sustainability in the heavy transport sector. Fueled by SSAB's commitment to deliver fossil-free steel at scale, the partnership aligns with Scania's broader strategy to significantly reduce carbon emissions in critical supply chain areas. This collaboration exemplifies the power of industry leaders joining forces to drive impactful change and foster a greener future.