Mercedes-Benz To Source Eco-friendly Steel From SSAB

Mobility Outlook Bureau
01 Sep 2021
05:51 PM
1 Min Read

Instead of coking coal, SSAB uses hydrogen to reduce iron oxide to crude iron, a crucial step towards a complete green steel value chain with virtually no CO2 emissions.


Mercedes-Benz

As part of its strategy to get a green steel supply chain, Mercedes-Benz has partnered with the Swedish steel manufacturer SSAB for CO2 free steel. 

The partnership with SSAB is another important step towards this goal, with which the company accelerates the development and production of CO2-free steel in Europe.

As per the agreement, both the partners set the course today, to introduce green steel into the vehicles at the earliest. 

According to the OEM, the first prototype parts for body shells made of CO2 free steel are already planned for next year.

For steel production, the partner relies on hydrogen made from water and fossil-free energy. Instead of coking coal, hydrogen is used to reduce iron oxide to crude iron, a crucial step towards a complete green steel value chain with virtually no CO2 emissions. A pilot plant for fossil-free steel is already operating today, the company said. 

From 2026, SSAB aims to supply the market with fossil-free steel on an industrial scale.

Mercedes-Benz said that the company would be ready to go all-electric – everywhere market conditions allow by the end of the decade. With this strategic step from 'Electric first' to 'Electric only', Mercedes-Benz is accelerating the transformation to an emission-free and software-driven future.

By 2039 at the latest, the Mercedes-Benz new passenger car fleet will become CO2 neutral along the entire value chain, including the supplier network. Together with all of its steel suppliers, the company pursues the goal of a green steel supply chain.  

Share This Page