Ford signs deals with three European steelmakers

Ford in Europe has announced further steps to secure supply of low-carbon steel for its future products and help reach its carbon neutrality target by 2035.

The carmaker has signed memorandum of understandings (MoUs) with its strategic suppliers, Salzgitter Flachstahl, Tata Steel Nederland and thyssenkrupp Steel Europe, to secure supply of low-carbon steel.

As a first application, Ford plans to use the low-CO2 steel for the production of its all-new, all-electric, medium-sized crossover vehicle, starting in 2023, the carmaker tells Kallanish. The cars will be assembled at the Cologne Electrification Centre from 2023.

Ford says it targets carbon neutrality across its European footprint of facilities, logistics and suppliers by 2035. To reach this, it is analysing the whole value chain. Major updates to the Cologne Electrification Centre, with new energy efficient solutions, will save more than 2,000 tonnes of CO2 and more than 2,600 MWh of electric energy per year, it claims.

Tata Steel Nederland, in a statement of its own, notes that Ford will be the first customer committed to offtake the green steel that Tata Steel plans to produce via the hydrogen route, which is labelled with the brand name Zeremis.

Christian Koehl Germany