By replacing the blast furnace process with an electric arc furnace in Luleå, SSAB can reduce its carbon dioxide emissions by approximately 90 percent - equivalent to around 7 percent of Sweden's total emissions. The investment is a crucial step in the transition to fossil-free steel production and is primarily financed by SSAB with its own funds.

The Industrial Leap funding applies to a project aimed at developing technical solutions for electrification and energy efficiency in the finishing processes for steel slabs in Luleå - processes that are currently carried out using natural gas and propane.

"It is encouraging that the Swedish Energy Agency supports our transition. The Industrial Leap is an important tool for driving technological development and reducing the climate impact of industry," says Carl Orrling, EVP, Head of Technology and Transition Office, SSAB.

The project enables a future reduction in emissions equivalent to approximately 169,000 tonnes of CO₂ equivalents per year, along with an energy saving of around 555 GWh. It includes detailed design of processes, grid connection, control systems and infrastructure, and will run from May 2025 to June 2026.

In addition to the climate benefits, the investment in Luleå strengthens SSAB's competitiveness through lower fixed costs, shorter lead times and increased production flexibility. The new steel mill will have a capacity of 2.5 million tonnes per year and will include two electric arc furnaces, advanced secondary metallurgy, integrated hot rolling, and a cold rolling complex with galvanizing and annealing.

SSAB has previously been granted SEK 1.45 billion through the Just Transition Fund and the Swedish Agency for Economic and Regional Growth to replace the blast furnace with an electric arc furnace up to the continuous casting stage. The new project focuses on finishing steps such as hot rolling, cold rolling and galvanizing - parts of the process that have not previously received public funding.

SSAB Borlänge continues to play a key role in the company's strategy as one of three Swedish production sites and actively contributes to SSAB's climate goals - including the ambition for a climate-neutral Borlänge by 2030.

For further information, please contact:
Charlotte Lindevall, Head of External Communication, charlotte.lindevall@ssab.com, phone: +46-703 44 59 73