Steel producer HKM is taking a significant step toward greener production. A new central facility has been ordered for its site in Duisburg, set to become the core of a steelmaking process with considerably lower carbon emissions. According to the plans, it will be the largest electric arc furnace in Germany.
Moving away from the blast furnace
Pig iron has traditionally been produced in blast furnaces, which rely on large amounts of coal and release substantial volumes of carbon dioxide. An electric arc furnace works differently: it melts scrap and other raw materials using electrical energy. When that power comes from renewable sources, emissions per tonne of steel drop sharply compared with the conventional route.
Relevance for manufacturing
Steel is a fundamental material for countless sectors, from the automotive industry and mechanical engineering to construction and energy technology. Buyers increasingly demand materials with a smaller carbon footprint, driven by stricter regulations and their own sustainability targets. A shift to lower-CO2 steel at a major producer therefore has consequences across the entire supply chain.
The investment fits into a broader transformation within the European steel industry, in which companies are gradually converting their operations to meet climate goals. Deploying electric arc furnaces requires not only new equipment but also reliable access to large amounts of green electricity and adapted logistics for raw materials such as scrap.
- Location: Duisburg
- Goal: low-CO2 steel production
- Notable: reportedly the largest electric arc furnace in Germany
With this order, HKM signals its commitment to a more climate-friendly production process. For suppliers and industrial customers, it means the availability of lower-emission steel is likely to grow further in the coming years.