SSAB to decarbonise all steel deliveries to Scania

Truck maker Scania and SSAB have signed a letter of intent to decarbonise all steel deliveries from SSAB to Scania’s heavy-duty vehicles by 2030, Kallanish hears from the companies.

Deliveries of SSAB’s proprietary “fossil-free steel” is targeted to ramp up rapidly from smaller amounts starting in 2026 and will be key in the shift towards a sustainable transport system, the steelmaker says.

SSAB is Scania’s main supplier of steel for its vehicles. The new deal, a next step in the long-standing relationship, caters for radically lowered climate emissions, the partners claim. SSAB notes that the ambition for 100% decarbonised deliveries is among the boldest of intentions agreed between SSAB and any customer. It moreover marks an ambitious plan within the First Movers Coalition, where Scania and SSAB are members to reduce the carbon footprint in hard-to-abate sectors.

Scania has outlined an industry-leading strategy to significantly reduce the carbon emissions by 2030 within four “hotspots”, constituting approximately 80% of supply chain emissions: batteries, steel, aluminium and cast iron.

The supply chain decarbonisation strategy and targets initially encompass Scania’s production in Europe but will gradually be extended to its production in China and Latin America, Scania says.

Christian Koehl Germany