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SSAB and Shape announce partnership on fossil-free steel for automotive applications

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Author: Sarah Holtkamp

SSAB and Shape announce partnership on fossil-free steel for automotive applications
(Source: SSAB)

SSAB has entered an agreement with U.S.-based Shape Corp., that is a tier-one automotive supplier of lightweight body structures. They now will deliver fossil-free steel crash management and body structure systems to market.

Shape will be testing SSAB’s fossil-free steel for use in automotive applications. This is the first steel product made of hydrogen-reduced sponge iron utilizing HYBRIT technology.

“We are excited to welcome Shape as our first partner for fossil-free steel in the U.S. and look forward to jointly explore ways to mitigate climate change,” says Martin Lindqvist, President and CEO at SSAB. “Demand for fossil-free steel is increasing, which is one of the reasons for SSAB to bring forward its green transition with the ambition to largely eliminate carbon dioxide emissions around 2030.”

“Shape continues to lead the industry with innovative, lightweight solutions for next generation vehicles,” says Mark White, president and CEO at Shape Corp.

“Additionally, we have established a bold sustainability goal to be a carbon free company by 2035. Our long-standing partnership with SSAB is built on years of collaboration and mutual respect between our companies. I am extremely excited to partner with SSAB to commercialize their new fossil free HYBRIT steel technology and to be first to market in crash management and body structure applications for our customers. We see this as a win for our customers, a win for the environment and a win for Shape!”

Fossil-free steel to the market

SSAB aims to deliver fossil-free steel to the market in commercial scale during 2026. The company works with iron ore producer LKAB and energy company Vattenfall as part of the HYBRIT initiative. This is due to develop a value chain for fossil-free iron- and steel production. The company is replacing the coking coal traditionally used for iron ore-based steelmaking with fossil-free electricity and hydrogen. This process virtually eliminates carbon dioxide-emissions in steel production.

Shape has pledged to reduce its global carbon emissions 30% by 2030, also they want to be fully carbon free by 2035. The partner aims to be carbon free in its production, as they will reduce end user carbon emissions. This happens through lightweighting of the products Shape provides to its customers, mitigating climate change effects.