Cargotec has entered a partnership with high strength steel producer SSAB to use fossil free steel for its products.
In 2016, SSAB worked with Swedish government owned mining company LKAB and power company Vattenfall to develop a new method of making iron and steel. The introduction of its Hydrogen Breakthrough Ironmaking Technology (HYBRIT), replaced the need for coking coal, traditionally used in the production of iron ore based steel, with sustainable 'green' electricity and hydrogen. This process is also said to virtually eliminate carbon dioxide emissions.
SSAB is currently converting the furnace at its Oxelösund facility into an electric arc furnace with fossil free steel scheduled to be ready on a commercial scale by 2026. Cargotec has said that is has yet to decide which products the steel will be used for but that it will likely be its cargo handling equipment - mostly Kalmar and perhaps Hiab.
SSAB president Martin Lindqvist, said: “We are happy to welcome Cargotec as a partner for fossil free steel products. Close collaboration with the development of a fossil free value chain means we contribute to strengthening our customers’ competitiveness and to reducing their carbon footprint. Together, we also ensure the best solutions for end users.”
Cargotec chief executive Mika Vehviläinen, added: “I am proud that we are paving the way in the cargo handling industry through commitment to using fossil free steel and have this unique opportunity to work with a forerunner in fossil-free steel development. This is an important step toward our vision of becoming a leader in sustainable cargo flow.”