Volvo gets world's first fossil-free steel, plans to industrialise by 2026

The first fossil-free steel in the world has been delivered by Swedish steelmaker SSAB Oxelösund to its first customer, Volvo Group. The product was manufactured in northern Sweden, using the Hybrit technology, which was developed by SSAB in partnership with iron-ore miner LKAB and utility Vattenfall. The technology uses 100% fossil-free hydrogen instead of coal and coke.

Volvo to deliver with SSAB steel from 2026

According to Volvo's endeavour, they intend to deliver fossil-free steel to the market and demonstrate the technology on an industrial scale as early as 2026. Volvo has said that this year, it will start manufacturing the first concept vehicles and machines with steel from SSAB using hydrogen. Plans for smaller-scale serial production are to start in 2022 and gradual escalation towards mass production will follow. The carmaker and steelmaker will work together on research and development to optimise the use of steel in Volvo’s products concerning weight and quality. Together, the two companies will develop several products of fossil-free steel to reach serial production within a few years.

“Newly made fossil-free steel from SSAB will be an important complement to the traditional and recycled steel used in Volvo’s trucks, construction equipment and other products,” Volvo announced in a media statement. “Fossil-free steel will be made by a completely new technology using fossil-free electricity and hydrogen. The result will be a much lower climate impact and a fossil-free value chain. The steel industry considers that the need for steel will grow significantly in the long term and that newly made fossil-free steel will be needed to meet this demand.”

Hydrogen Breakthrough Iron-making Technology

HYBRIT stands for Hydrogen Breakthrough Ironmaking Technology and it was created in 2016. However, it was in June 2021 when the companies developing it were able to showcase the world’s first hydrogen-reduced sponge iron produced at Hybrit’s pilot plant in Luleå. This was the raw material used to manufacture the so-called ‘green steel.’ To produce the pellets, Hybrit supplied LKAB’s existing plant in Malmberget with a special tank for bio-oil as well as associated piping systems, making it the world’s first fossil-free pellet plant. Volvo believes that by using the Hybrit technology, SSAB has the potential to reduce Sweden’s total carbon dioxide emissions by approximately 10% and Finland’s by approximately 7%.

Image Credits - AP