Saturday, June 12, 2021
News Mercedes-Benz Invests in Green Steel Startup

Mercedes-Benz Invests in Green Steel Startup

Cleaner steel for cleaner cars

  • New steel foundry uses emissions-free process

  • Benz wants zero-carbon supply chain by 2039


Mercedes-Benz has just announced that it will be partnering with a new startup to introduce carbon-free steel. Well, carbon emissions-free steel, as it works to redesign the automaker’s supply chain to help improve company sustainability and reduce emissions from more than just the tailpipe.

The automaker has taken an equity stake in Swedish startup H2 Green Steel (H2GS), and it calls that step “an important signal to accelerate change in the steel industry and increase the availability of carbon-free steel.” Without an exact figure, Mercedes-Benz said it has invested “a single-digit million amount.”

H2GS makes its steel using hydrogen and energy from renewable sources instead of the traditional use of coking coal. The company says the hydrogen added releases the oxygen from the iron ore but instead of the CO2 emissions from burning coal produces only water. The company was formed last year and aims to produce five million tons of fossil-free steel per year by 2030.

Benz says that around 50 percent of a typical sedan is steel, and that accounts for 30 percent of CO2 emissions involved in the production of the vehicle. Typical steel production releases more than two tons of CO2 per ton of steel, Mercedes says, while this new method produces zero.

It’s the latest step in the automaker’s efforts to produce its vehicles in a carbon-neutral way, and suppliers making up more than 85 percent of the company’s purchasing volume have agreed to supply only CO2-neutral products in the future.

Trending Now

New Hybrid Ferrari F171 “Dino” Coming In 2022

Will feature a hybrid-V6 powertrain. It will be Ferrari’s second hybrid model. Ferrari is working on the next phase of its evolution. While electrification...

Legendary AC Cobra Reborn With Massive Electric Power

The only visual difference is the absence of side-pipes and V8 noises. Available power range from 308- to 617 horsepower. Range varies from...

General Motors Dropping Stop-Start from Pickups, SUVs Related to Chip Shortage

No semiconductors means features get prioritised in new ways Buyers will get discount from MSRP As automakers work to mitigate the production shortages caused...

Bentley Heads to Pikes Peak With 750hp Biofuel Continental GT3

Bentley for the clouds gets company's biggest wing ever Runs on fuels with 85 percent fewer emissions Bentley is headed back to the clouds....

Volkswagen Multivan is Today’s Coolest Forbidden Fruit

Seven passengers, unlimited cool for Caravelle replacement Loaded with convenience features like a flip middle seat and sliding console Volkswagen has replaced its popular...

LEAVE A REPLY

Please enter your comment!
Please enter your name here

This site uses Akismet to reduce spam. Learn how your comment data is processed.