The steel industry emits the most carbon dioxide in Sweden in general – and the steel mill in Luleå in particular with its seven percent.
Now the blast furnace and the coking plant will be removed and replaced by an electric steel plant.
– That the steel industry reduces emissions while maintaining competitiveness is crucial for industrial employees and for the Swedish economy. It is important for Norrbotten and for Sweden, says Elisabeth Backteman, Director General of the Agency for Growth, in a press release.
Then the steel mill will reach full capacity
With EU funds from the “Fund for a fair transition” and state co-financing, it is the Agency for Growth that is granting SEK 1.45 billion for the transition.
– The support contributes to fossil-free steel production in line with the EU’s goal of climate neutrality by 2050 at the latest, says Elisabeth Backteman.
Ebba Busch: Will create new jobs
The new steel plant is expected to be in use towards the end of 2028 and reach full capacity in 2029. The support has been approved by the EU Commission.
– The transition to fossil-free steel is an important part of creating new jobs. Swedish companies lead the development and here the state has an important role to support and remove obstacles, says Minister of Energy and Industry Ebba Busch (KD).