Scania and SSAB have signed a letter of intent to decarbonise all steel deliveries from SSAB to Scania’s heavy-duty vehicles in 2030. Deliveries of SSABs 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.
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 100 percent ambition for decarbonised deliveries is among the boldest of intentions agreed between SSAB and a customer. It moreover marks an ambitious plan within the First Movers Coalition, where Scania and SSAB are members to reduce the carbon footprint in hardto-abate sectors. Through this partnership, Scania and SSAB are committed to use their purchasing power to create early markets for innovative clean technologies.
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. SSAB Fossil-free steel is manufactured using the HYBRIT technology, which replaces the coking coal traditionally used for iron ore-based steelmaking with fossilfree electricity and hydrogen. The by-product is water instead of carbon dioxide.