Energy Efficiency, GHG Emissions, Industrial - September 19, 2023
Volvo Group Adds Green Steel
Volvo Group entered into an agreement to purchase near zero-emission steel to reach a net zero GHG emission value chain by 2040.
Under the long-term agreement, Volvo Group will purchase near zero-emission steel from H2 Green Steel’s new plant in Boden in northern Sweden. Production is scheduled to start at the end of 2025 with deliveries to the Volvo Group starting mid-2026.
“Collaborations which support our work to reduce emissions are crucial on the path towards net zero. Steel is a big contributor to the footprint of our products, and working together with both established and new players for developing decarbonized materials is key to advancing our progress in sustainable transport and infrastructure solutions,” says Andrea Fuder, Chief Purchasing Officer of Volvo Group, in a statement.
As commercial vehicles increasingly run on electrified solutions, the environmental footprint from the supply network and production becomes increasingly important.
The Volvo Group is a founding member of the First Movers Coalition, which has a goal to transition at least 10% of all steel purchased per year to near zero emissions by 2030.