On Wednesday, German luxury car manufacturer Mercedes- Benz has announced that it has joined hands with Swedish steel manufacturer SSAB. In the coming days, the luxury car brand aims to use fossil-fuel-free steel for producing its vehicles.
Keeping pace with a large section of the global automobile industry the partnership comes as part of Mercedes-Benz’s plan to become a sustainable and carbon-neutral luxury car brand.
Under this partnership, to produce vehicle prototypes and body shells Mercedes-Benz will use the fossil-fuel-free steel supplied by SSAB. The implementation of fossil-fuel-free steel will commence next year.
On the other hand, SSABs planning to supply the market with fossil-free steel at a commercial scale in 2026. The HYBRIT system will be used by the company to replace coking coal, which is traditionally needed for iron ore-based steel manufacturing. Instead of coking coal, it will use electricity and hydrogen.
Over the next two decades, Mercedes-Benz aims to become completely carbon dioxide neutral across its various operations. By 2039, the luxury car marquee expects its new passenger vehicle fleet will become carbon dioxide-neutral along the entire value chain.
Interestingly, Mercedes-Benz is not the first car major that is attempting to make cars with fossil-fuel-free steel. Swedish luxury car giant Volvo Cars too joined hands with SSAB this year in June. The two companies aim to explore the development of fossil-fuel-free steel for use in the automotive industry.
In the near future, other car manufacturers around the world are also expected to take similar steps, as the two large auto manufacturing companies aiming for sustainable green manufacturing solutions.