Gestamp, a leading multinational in automotive components (Tier 1 supplier), and Hydnum Steel, a new-generation flat steel producer, have signed an agreement to use clean steel produced with renewable energy and green hydrogen for automotive manufacturing — a major milestone in the decarbonisation of the mobility and steel value chain.
Under the partnership, Gestamp’s recycling subsidiary Gescrap will supply high-quality scrap from its stamping operations to Hydnum Steel’s Puertollano plant, where it will be transformed into ultra-low CO₂ steel through electric arc furnaces powered by renewable energy and green hydrogen instead of natural gas. The resulting clean steel will be reincorporated into Gestamp’s production cycle, strengthening its circular economy strategy and supporting automakers’ transition toward the Net Zero Car.
Hydnum Steel’s upcoming Puertollano facility — the first of its kind in the Iberian Peninsula — will be a flagship project for industrial decarbonisation, combining green hydrogen, full scrap traceability, advanced digitalisation, and a zero-discharge water system. The process will reduce CO₂ emissions by up to 98% compared to conventional steelmaking.
According to Javier Imaz, Gestamp’s Chief Purchasing Officer, the agreement “marks another step forward in our efforts to decarbonize the automotive industry and strengthens our circular economy model.” Gilles Mirol, Chief Marketing Officer of Hydnum Steel, added that the collaboration “reflects the commitment of both companies to advancing a sustainable and efficient European industry.”
