voestalpine, Mercedes-Benz, and TSR launch circular economy project

With a unique flagship project, voestalpine, together with Mercedes-Benz and TSR Recycling, aims to demonstrate the technical feasibility of circular economy projects.

With a unique flagship project, voestalpine, together with Mercedes-Benz and TSR Recycling, aims to demonstrate the technical feasibility of circular economy projects in the premium segment—from the recycling of post-consumer scrap (“old scrap”) into high-quality scrap to further processing in the steel-producing industry into high-quality steel grades and use in the automotive industry. In this way, the steel and technology Group is making an important contribution to sustainability and at the same time evaluating new opportunities for its increasing demand for scrap in connection with the transformation to green steel production.

In accordance with its greentec steel plan, voestalpine is replacing two blast furnaces, one in Linz and one in Donawitz, with an electric arc furnace (EAF) starting in 2027. Depending on the quality requirements, a mix of liquid pig iron, briquetted sponge iron (hot briquetted iron, HBI), and scrap will be used in the two electric arc furnaces. Scrap is therefore a valuable raw material and plays a key role in transitioning to green steel production.

“voestalpine has been working successfully for decades on closing loops in production in order to conserve resources and secure the supply of raw materials. This unique cooperation with Mercedes-Benz and TSR Recycling shows us further opportunities and potential in the circular economy and is another important puzzle piece on the road to green steel production,” said Herbert Eibensteiner, CEO of voestalpine AG.

“Being able to produce high-quality steel grades using low-emission production processes is one of the major technological challenges in the transition to green steel production. We are conducting intensive research on various processes and are developing solutions together with our customers and suppliers so that we can continue to expand our leading position in the production of high-quality steel grades despite the change in technology,” said Hubert Zajicek, Member of the Management Board of voestalpine AG and Head of the Steel Division.

Turning old into new: using old scrap in the premium segment

Steel is a material that can be recycled again and again with almost no loss of quality. For this reason, the so-called high-quality pre-consumer scrap (“new scrap”) already plays an important role in steel production today. However, the increasing demand for recycled materials due to the European steel industry’s switch to green steel production cannot be fully covered by new scrap. It will therefore be necessary in future to increasingly utilize old scrap which, in comparison to new scrap (which is usually very pure), requires a great amount of processing and sorting before it can be reused to produce high-quality steel grades. In this specific joint flagship project of voestalpine, Mercedes-Benz, and TSR, the less pure post-consumer scrap is being reprocessed so that it can be used as high-quality steel of the highest grade as a side panel in the Mercedes A-Class sedan.

Share this story

Green Steel World Editorial Team

Green Steel World Editorial Team

News brought to you by our editorial team. We are a knowledge platform – driving technology to the global green steel community. If you wish to contribute your press, please contact us.