Heavy vehicle manufacturer Scania has unveiled that before 2030, it will have transitioned to only using zero-emission steel in its vehicles.
Scania has signed a letter of intent with Swedish metal maker SSAB that outlines a plan to decarbonise all steel deliveries, with smaller amounts from 2026 onwards before escalating deliveries of this product up until the 2030 deadline.
“I’m glad and proud that we have reached this agreement. Scania’s purpose is to drive the shift towards a sustainable transport system,”says Scania CEO Christian Levin.
“To fulfil that purpose, we take action across the value chain together with partners as SSAB, who is at the forefront in the transition to a sustainable steel industry.
SSAB is Scania’s main supplier of steel for its vehicles, with this new deal becoming the boldest of intentions agreed between SSAB and a customer.
SSAB CEO Martin Lindqvist says they are looking forward to contributing to more sustainable value chains.
“Fossil-free steel will be a game-changer in heavy transport. It has the same high quality and technical properties as traditional steel. And, while being produced in a sustainable way, it can also be recycled just like steel has always been.”
Scania has outlined an industry-leading strategy to, by 2030, significantly reduce the carbon emissions within four “hotspots,” constituting approximately 80 percent of the supply chain emissions: batteries, steel, aluminium and cast iron.
SSAB plans to deliver its fossil-free steel to the market at commercial scale in 2026 and for its operations to be largely fossil-free around 2030.