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ENVIRONMENT

Swedish cars scrapped overseas

The number of cars scrapped in Sweden has halved over the past two years and is at its lowest level since the mid-1990s, according to a new report in the Dagens Nyheter (DN) daily.

Experts warn that Swedish cars are being dumped overseas, in Eastern Europe and Africa, where environmental regulations are less stringent.

“Only one third are scrapped within the regularl Swedish system,” said Bertil Moldén, president of industry organization Bil Sweden, to the newspaper.

During the peak year of 2001, 285,000 cars were scrapped within the Swedish system. In 2009 only 125,000 were processed according to Bil Sweden figures cited by DN.

And according to Bil Sweden, tougher Swedish environmental regulations are to blame for the increasing export of cars ready for the scrap heap.

“One third of the cars go to the black market in Eastern Europe, one third to African countries and the remaining third into the regular Swedish system,” said Bertil Moldén to the newspaper.

Since June 1st 2007, the scrapping of cars in Sweden has been coordinated by Refero, which operates the car manufacturers’ joint system and lists local operators.

While the previous premium paid to owners to encourage the scrapping of old cars was removed in June 2007, it remains free of charge to scrap cars in Sweden.

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ENVIRONMENT

Sweden’s SSAB to build €4.5bn green steel plant in Luleå 

The Swedish steel giant SSAB has announced plans to build a new steel plant in Luleå for 52 billion kronor (€4.5 billion), with the new plant expected to produce 2.5 million tons of steel a year from 2028.

Sweden's SSAB to build €4.5bn green steel plant in Luleå 

“The transformation of Luleå is a major step on our journey to fossil-free steel production,” the company’s chief executive, Martin Lindqvist, said in a press release. “We will remove seven percent of Sweden’s carbon dioxide emissions, strengthen our competitiveness and secure jobs with the most cost-effective and sustainable sheet metal production in Europe.”

The new mini-mill, which is expected to start production at the end of 2028 and to hit full capacity in 2029, will include two electric arc furnaces, advanced secondary metallurgy, a direct strip rolling mill to produce SSABs specialty products, and a cold rolling complex to develop premium products for the transport industry.

It will be fed partly from hydrogen reduced iron ore produced at the HYBRIT joint venture in Gälliväre and partly with scrap steel. The company hopes to receive its environemntal permits by the end of 2024.

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The announcement comes just one week after SSAB revealed that it was seeking $500m in funding from the US government to develop a second HYBRIT manufacturing facility, using green hydrogen instead of fossil fuels to produce direct reduced iron and steel.

The company said it also hoped to expand capacity at SSAB’s steel mill in Montpelier, Iowa. 

The two new investment announcements strengthen the company’s claim to be the global pioneer in fossil-free steel.

It produced the world’s first sponge iron made with hydrogen instead of coke at its Hybrit pilot plant in Luleå in 2021. Gälliväre was chosen that same year as the site for the world’s first industrial scale plant using the technology. 

In 2023, SSAB announced it would transform its steel mill in Oxelösund to fossil-free production.

The company’s Raahe mill in Finland, which currently has new most advanced equipment, will be the last of the company’s big plants to shift away from blast furnaces. 

The steel industry currently produces 7 percent of the world’s carbon dioxide emissions, and shifting to hydrogen reduced steel and closing blast furnaces will reduce Sweden’s carbon emissions by 10 per cent and Finland’s by 7 per cent.

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