Automakers have grappled with steel costs for decades
Auto sector’s green steel ambitions hinge on location
First delivery to Volvo highlights industry’s appetite for green steel—but the rise of electric vehicles is likely to impact overall demand
Chinese-owned automaker Volvo took delivery of its first shipment of green steel in August in a landmark development for industry. The steel was produced in northern Sweden, using technology based on green hydrogen from low-carbon electrolysis in a joint venture between an electrical utility, an iron ore miner, and a steelmaker. Small in volume and expensive, the unique product is a proof-of-concept for decarbonizing steel—one of the hardest-to-abate sectors. Global steel production accounts for 7-8pc of total global emissions. But the challenge for the auto industry and the steelmakers supplying them will be identifying the locations where electrolysis from renewables can come together easi
Also in this section
13 March 2025
Government awards €1.21b of funding to seven large-scale projects as it chases capacity target of 12GW by 2030
12 March 2025
Speakers at this year’s CERAWeek conference noted the growing interest in green hydrogen, but hurdles such as cost remain to its adoption at scale
11 March 2025
A reassessment of clean hydrogen’s growth trajectory is underway, but the energy vector’s long-term potential to decarbonise remains intact
10 March 2025
Collaboration has become crucial to success as projects turn out to be more complex and expensive than previously thought, industry figures tell Dubai conference
