Voestalpine to switch to green steel production via EAFs by 2027

Austrian steelmaking group Voestalpine intends to replace coal-fuelled blast furnaces with climate-friendly electric-arc furnaces (EAFs) powered by green electricity at its sites in Linz and Donawitz by 2027, the company said in a press release on Wednesday March 23

Implementation of the project to decarbonize steel production will allow the company to reduce carbon emissions by as much as 30%, Voestalpine said. “This will correspond to a saving of around 3-4 million tonnes per year of CO2, or almost 5% of Austria’s annual carbon emissions,” it added.

According to the project plan, Voestalpine will start to clear the necessary areas and convert infrastructure at Linz and Donawitz in the summer of 2022, to allow the start of EAF construction in 2024. The two EAFs should commence operations by early 2027, it said.

The estimated investment during the first phase from 2022 to 2024 will be in the low triple-digit million-euro range, with total investment estimated around €1 billion ($1.1 billion), according to the statement.

But the final decision to invest in EAFs will be taken by Voestalpine’s supervisory board in 2023, the company said.

“A market for green steel is emerging in Europe. A particular driver behind this development is the European automotive industry,” Herbert Eibensteiner, chairman of the management board, said.

Over the long term, Voestalpine intended to achieve carbon-neutral steel production using green hydrogen, it said, and it has already undertaken intensive research into promising breakthrough technologies.

What to read next
This price assessment aims to enhance transparency in the Indonesian coke market. Fastmarkets has observed a significant volume of Indonesian coke entering the global market in recent months, establishing Indonesia as a key exporter of coke worldwide since 2023. In the first seven months of 2024, Poland, China and Indonesia were the top three coke exporters globally.  […]
Due to the Commemoration of Atatürk, Youth and Sports Day on Monday May 19, these prices will be published instead on May 20, in accordance with Fastmarkets’ policy. This change was not initially noted on Fastmarkets’ 2025 pricing schedule. The pricing schedule has now been updated. The affected prices are:MB-STE-0093 steel scrap, auto bundle scrap, […]
The Mexico Metals Outlook 2025 conference explored challenges and opportunities in the steel, aluminum and scrap markets, focusing on tariffs, nearshoring, capacity growth and global trends.
The recent US-China agreement to temporarily reduce tariffs is a major step for global trade, with tariffs on US goods entering China dropping from 125% to 10% and on Chinese goods entering the US decreasing from 145% to 30% starting May 14. While this has boosted markets and created optimism, key industries like autos and steel remain affected, leaving businesses waiting for clearer long-term trade policies.
The prices in question are: MB-STE-0100 Steel scrap, HMS 1&2 (80:20 mix), export, fob main port UK, $ per tonneMB-STE-0099 Steel scrap shredded, export, fob main port UK, $ per tonneMB-STE-0095 Steel scrap shredded, import, cfr delivered Turkish port, $ per tonneMB-STE-0420 Steel scrap, HMS 1&2 (80:20 mix), fob Rotterdam, $ per tonne. Increasing the frequency of assessment of […]
The US-UK trade deal removes Section 232 tariffs on British steel and aluminium, reduces automotive tariffs and sets a framework for addressing global trade issues.