Porsche and the Swedish energy startup H2 Green Steel have signed an agreement for the supply of CO₂-reduced steel. The aim is to further improve the emissions balance of Porsche vehicles by using CO₂-reduced steel.
H2 Green Steel plans to produce steel
using renewable energy in Boden, Sweden, starting end of 2025. From
2026, Porsche and various direct Porsche suppliers of production
material are to be supplied with low-emission steel from H2 Green Steel.
The
material would have one of the lowest carbon footprints on the market.
H2 Green Steel relies on an innovative production process with hydrogen
and electricity from renewable energy sources. Production of the steel
is therefore almost CO₂-free. According to H2 Green Steel, this results
in up to 95% lower CO₂ emissions than conventional steel production with
coking coal. Up to 35,000 tons of the low-emission steel produced in
Sweden are to be used per year for the series production of Porsche
vehicles. By way of comparison: in 2022, 220,000 tons of steel were used
in Porsche vehicles.
"Porsche is working towards a
carbon-neutral balance sheet across the value chain for its cars by
2030. CO₂-reduced steel plays a key role in our sustainability strategy.
With the steel from H2 Green Steel, we aim to further reduce the CO₂
emissions caused by this important material," explains Barbara Frenkel,
Executive Board Member for Procurement at Porsche AG.
The
proportion of steel in Porsche’s vehicles has been continuously reduced
in recent years. In the meantime, Porsche is increasingly relying on
aluminium for lightweight construction. However, steel remains one of
the key elements in sports car construction, however, due to its the
excellent mechanical properties. "Energy, processes and materials
account for a significant share of CO₂ emissions in the supply chain.
That is why we want to increase the use of recycled materials and green
electricity in the production processes of direct suppliers as part of
our decarbonisation efforts," comments Barbara Frenkel.
