2023-12-05 Financial news by Cision Sverige AB
Alfa Laval is partnering with Outokumpu to cut carbon emissions
The agreement with Outokumpu, one of Alfa Laval’s main stainless-steel suppliers, will enable a shift from regular stainless steel to steel with half the original carbon footprint. The steel (Circle green®), made from high-quality recycled material, will be used in Alfa Laval's heat exchanger production. The shift is a vital part of Alfa Laval’s work towards a net-zero future.
Most of the Alfa Laval steel purchased from Outokumpu, a global steel manufacturer, will now be the low carbon stainless steel variety. This change applies to heat exchangers used in the energy transition towards a more sustainable energy supply, including energy efficiency, waste heat recovery, and heat pumps. These heat exchangers are currently produced in large quantities with the potential for future growth.
Since Alfa Laval's heat exchangers can contain up to 80 percent stainless steel, this shift is significant. Considering that global steel production accounts for 7 percent of the world's CO2 emissions, opting for alternative steel with a lower carbon footprint will make a big impact on society's goal of reducing carbon emissions.
The change is part of Alfa Laval’s multi-channel plan to be carbon neutral by 2030. In addition, it also supports the company’s suppliers and customers in reaching their carbon-neutral targets. By reducing the carbon footprint upstream in Scope 3, through the use of Circle green steel, Alfa Laval enables customers to cut down on their Scope 3 downstream emissions. It is a win-win as it is all interconnected.
Outokumpu is the global leader in stainless steel. The foundation of our business is our ability to tailor stainless steel into any form and for almost any purpose. Stainless steel is sustainable, durable and designed to last forever. Our customers use it to create civilization’s basic structures and its most famous landmarks as well as products for households and various industries.
Outokumpu employs approximately 8,500 professionals in close to 30 countries, with headquarters in Helsinki, Finland and shares listed on Nasdaq Helsinki.
Circle green steel
Circle Green product line with up to 93% lower carbon footprint than the industry average* is the first commercial towards-zero stainless steel in the market. It was created to accelerate the green transition and extremely advanced circular economy. To achieve such a low level of emissions, Outokumpu uses 100 percent low-carbon electricity, low-carbon raw materials, such as recycled steel, and reinvented production processes, such as electric arc furnaces.
This is Alfa Laval
Alfa Laval is a world leader in heat transfer, centrifugal separation and fluid handling, and is active in the areas of Energy, Marine, and Food & Water, offering its expertise, products, and service to a wide range of industries in some 100 countries. The company is committed to optimizing processes, creating responsible growth, and driving progress to support customers in achieving their business goals and sustainability targets. Together, we are pioneering positive impact.
Alfa Laval has 20,300 employees. Annual sales in 2022 were SEK 52.1 billion (approx. EUR 4.9 billion). The company is listed on Nasdaq Stockholm.
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