SynopsisSchaeffler, a motion technology company, is deepening its partnership with H2 Green Steel, a Swedish startup. They have agreed to increase Schaeffler's equity stake to €100 million, the most the company has ever invested in a minority stake. This move builds on their strategic technology partnership and off-take agreement. Together, they aim to develop green steel products for electromobility, enhance production efficiency, and reduce CO₂ emissions by up to 95% compared to conventional steel.ArticleSchaeffler, a leading motion technology company, is reinforcing its collaboration with Swedish startup H2 Green Steel. This intensified partnership stems from a recent equity funding round in which Schaeffler has committed to invest an additional €65 million, increasing its total stake in H2 Green Steel to €100 million. This marks the largest equity investment Schaeffler has ever made in a minority stake in another company.As part of their strategic technology partnership, Schaeffler will contribute its expertise to the development of innovative steel products, particularly green e-steel tailored for electromobility. The collaboration will also focus on creating new applications for sustainable rolling bearing solutions in production processes, striving to maximize efficiency through top-tier components and integrated condition monitoring solutions.Digitalization and circular economy are key areas where the two companies will leverage each other's strengths. The aim is to harness their combined innovative power to drive progress in these critical domains.Klaus Rosenfeld, CEO of Schaeffler AG, emphasizes the importance of collaboration for sustainability: "Achieving sustainability across the entire value chain requires cooperation between strong partners who are willing to move forward together with commitment and determination. Schaeffler and H2 Green Steel are both pioneers with true innovative power, and we are now synergizing these strengths even further."Their increased capital stake and strategic technology partnership follow the off-take agreement initiated in 2021, marking a significant step in their journey to work more closely together. Together, they are making a substantial contribution to the global transformation of the steel industry and a substantial reduction in CO₂ emissions.Schaeffler is dedicated to becoming completely climate-neutral by 2040. By 2030, the company aims to achieve both climate neutrality in its own production processes and a 25 percent reduction in supply chain emissions. This involves a strong focus on decarbonizing materials, with steel being a crucial component. The green steel acquired from H2 Green Steel stands out for its impressive environmental credentials, boasting up to 95%fewer embodied CO₂ emissions than conventionally produced steel.Andreas Schick, Chief Operating Officer of Schaeffler AG, highlights the significance of this partnership: "For Schaeffler, steel is the decisive lever for decarbonizing our supply chain. The partnership with H2 Green Steel takes us a long way towards our target of climate neutrality. We are proud to be the world’s first tier 1 supplier to be working with H2 Green Steel as a strategic technology partner."ConclusionSchaeffler's expanded partnership with H2 Green Steel reflects their commitment to sustainable steel production. With increased equity investment, they aim to develop green steel for electromobility, enhance production efficiency, and significantly reduce CO₂ emissions compared to conventional steel. This partnership aligns with Schaeffler's goal of becoming climate-neutral by 2040 and underscores the importance of collaboration in achieving sustainability.
SynopsisSchaeffler, a motion technology company, is deepening its partnership with H2 Green Steel, a Swedish startup. They have agreed to increase Schaeffler's equity stake to €100 million, the most the company has ever invested in a minority stake. This move builds on their strategic technology partnership and off-take agreement. Together, they aim to develop green steel products for electromobility, enhance production efficiency, and reduce CO₂ emissions by up to 95% compared to conventional steel.ArticleSchaeffler, a leading motion technology company, is reinforcing its collaboration with Swedish startup H2 Green Steel. This intensified partnership stems from a recent equity funding round in which Schaeffler has committed to invest an additional €65 million, increasing its total stake in H2 Green Steel to €100 million. This marks the largest equity investment Schaeffler has ever made in a minority stake in another company.As part of their strategic technology partnership, Schaeffler will contribute its expertise to the development of innovative steel products, particularly green e-steel tailored for electromobility. The collaboration will also focus on creating new applications for sustainable rolling bearing solutions in production processes, striving to maximize efficiency through top-tier components and integrated condition monitoring solutions.Digitalization and circular economy are key areas where the two companies will leverage each other's strengths. The aim is to harness their combined innovative power to drive progress in these critical domains.Klaus Rosenfeld, CEO of Schaeffler AG, emphasizes the importance of collaboration for sustainability: "Achieving sustainability across the entire value chain requires cooperation between strong partners who are willing to move forward together with commitment and determination. Schaeffler and H2 Green Steel are both pioneers with true innovative power, and we are now synergizing these strengths even further."Their increased capital stake and strategic technology partnership follow the off-take agreement initiated in 2021, marking a significant step in their journey to work more closely together. Together, they are making a substantial contribution to the global transformation of the steel industry and a substantial reduction in CO₂ emissions.Schaeffler is dedicated to becoming completely climate-neutral by 2040. By 2030, the company aims to achieve both climate neutrality in its own production processes and a 25 percent reduction in supply chain emissions. This involves a strong focus on decarbonizing materials, with steel being a crucial component. The green steel acquired from H2 Green Steel stands out for its impressive environmental credentials, boasting up to 95%fewer embodied CO₂ emissions than conventionally produced steel.Andreas Schick, Chief Operating Officer of Schaeffler AG, highlights the significance of this partnership: "For Schaeffler, steel is the decisive lever for decarbonizing our supply chain. The partnership with H2 Green Steel takes us a long way towards our target of climate neutrality. We are proud to be the world’s first tier 1 supplier to be working with H2 Green Steel as a strategic technology partner."ConclusionSchaeffler's expanded partnership with H2 Green Steel reflects their commitment to sustainable steel production. With increased equity investment, they aim to develop green steel for electromobility, enhance production efficiency, and significantly reduce CO₂ emissions compared to conventional steel. This partnership aligns with Schaeffler's goal of becoming climate-neutral by 2040 and underscores the importance of collaboration in achieving sustainability.
