[Auto] BMW Group invests in innovative method for CO2-free steel production

[SougarLord]

 

In the next few years, Boston Metal plans to expand the new method for steel production on an industrial scale. The investment is part of the BMW Group's far-reaching sustainability activities aimed at significantly reducing CO2 emissions across the entire supplier network.

 

“We systematically identify the raw materials and components in our supplier network with the highest CO2 emissions from production. Steel is one of them, but it is vital for automobile production, which is why we have set ourselves the goal of continuously reducing CO2 emissions in the steel supply chain. By 2030, CO2 emissions should be approximately two million tonnes lower than the current figure, ”said Dr. Andreas Wendt, member of the Board of Management of BMW AG responsible for Purchasing and Supplier Network.

 

With its versatile properties, steel is one of the most important materials in automobile production and will be no less important for future generations of vehicles. Even with the dynamic increase in electromobility, steel will continue to be an important building material for car bodies and many components. The BMW Group pressing plants in Europe process more than half a million tonnes of steel per year.

 

Using electrons instead of carbon for steel production

The blast furnaces used in conventional steel production generate carbon dioxide. Start-up Boston Metal uses electricity for its new technology, which, using an electrolysis cell, produces pig iron which is then processed into steel. If electricity from renewable energy is used for this process, the steel production is carbon-free. The young company will build demonstration facilities for this process over the next few years and further develop it for use on an industrial scale. The BMW Group established close contact with Boston Metal as early as last year in the context of its own research activities and through from BMW Startup Garage. The company is now investing in the startup as part of its BMW i Ventures activities. Tadeu Carneiro, President and CEO of Boston Metal: “Our investors span the entire steel value chain, from mining and iron ore companies to the end customer, and validate Boston Metal's innovative process to produce high-grade steel. quality, at a competitive cost and at scale. "

 

Innovative technologies and green energy use in steel production

Investing in new technologies is one of the many steps the BMW Group is taking to meet its ambitious targets for the steel supply chain. For example, low carbon production is an important award criterion for all contracts.

 

"It is important to us that our partners are firmly committed to sustainable action and use low-carbon production technologies," added Wendt. “The use of green energy also has a great impact. We are already working with suppliers that only use green energy for the steel they produce for us. "

 

Production of closed loop material and increased use of recycled steel

To safeguard raw material stocks, the BMW Group has set itself the goal of further increasing its share of recycled raw materials, so-called secondary raw materials, by 2030 and using raw materials multiple times in a circular economy.

All steel waste produced in pressing plants, for example when the interiors are drilled, are either reused through a direct material cycle or returned to the steel producer via steel traders and processed into new steel. The use of secondary material substantially reduces CO2 emissions compared to primary material, conserves natural resources and also reduces the amount of energy required for production.

 

Commitment to environmental and social standards in the value chain

As part of its involvement with ResponsibleSteel, the BMW Group was actively involved in the development of a sustainability standard that covers environmental and social standards throughout the entire value chain, starting at the mine. The sustainability standard for production sites in the steel industry was published in 2019 as part of a multi-stakeholder process and now forms the basis for certification.

 

ResponsibleSteel, a not-for-profit organization, is the steel industry's first global multi-stakeholder standards and certification initiative.