Porsche's Green Aspirations: Steeling for Sustainability

PorscheImage Source: H2GS


Porsche AG is partnering with H2 Green Steel to incorporate CO₂ reduced steel into their sports cars by 2026. The steel, made with renewable electricity and hydrogen, aims to further reduce Porsche's carbon footprint. Up to 35,000 metric tons of this steel will be used annually, making this a noteworthy step in Porsche’s journey toward carbon neutrality.


Porsche and Swedish start-up H2 Green Steel have inked a deal aimed at enhancing the sustainability of Porsche's automobiles. The agreement focuses on supplying Porsche and its direct suppliers with CO₂ -reduced steel, slated to begin in 2026.

H2 Green Steel plans to initiate its steel production by the end of 2025 in Boden, Sweden. The company boasts an innovative manufacturing technique that relies on hydrogen and electricity sourced from renewable energies. The result is steel production that is almost entirely free of CO₂ emissions, boasting up to 95% lower CO₂ emissions than traditional steel produced with coking coal.

Porsche intends to use up to 35,000 metric tons of H2 Green Steel's low-emission steel annually. To put this into perspective, Porsche utilized 220,000 metric tons of steel in their vehicles in 2022. The introduction of low-carbon steel marks a significant stride in reducing the company's overall carbon footprint.

Barbara Frenkel, an Executive Board Member for Procurement at Porsche AG, states that CO₂ -reduced steel plays a pivotal role in Porsche's sustainability strategy. She notes that steel remains a crucial material in sports car manufacturing despite the increasing use of aluminum for lighter construction.

Porsche aims to attain a carbon-neutral balance sheet by 2030, emphasizing the significance of energy, processes, and materials in their supply chain. As Frenkel mentions, part of their decarbonization initiative includes pushing their direct suppliers to increase the use of recycled materials and green electricity.

Henrik Henriksson, CEO of H2 Green Steel, remarks that Porsche’s order for near-zero emission steel not only boosts their company but also nudges the steel industry towards sustainability. With Porsche being an iconic brand committed to a sustainable future, this order represents a key demand shift within the automotive industry.


Porsche’s partnership with H2 Green Steel symbolizes a notable advancement in automotive sustainability. By incorporating nearly carbon-neutral steel, Porsche is actively contributing to an industry-wide shift toward a greener future.

SteelGuru Business News