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BUSINESS

Sixt takes aim at new transport trends

Car rental firm Sixt says it is branching out into new businesses in order to keep up with the increasingly creative ways Germans are organising their travel.

Sixt takes aim at new transport trends
Photo: DPA

From car sharing, long term leasing, organized-hitchhiking websites such as Mitfahrgelegenheit, to bike rental, there have never been so many ways to get around in Germany.

Sixt, which primarily offers standard short-term car rental, is concerned about becoming overtaken by the alternatives.

Thorsten Haeser, member of Sixt’s executive board told the Financial Times Deutschland newspaper on Tuesday, the company was going to expand into different areas.

“Whatever the trend, we are on it,” he said, promising more choice and flexibility for customers who no longer want to go between four or five providers to get different travel services.

And although Sixt is already offering a more long term leasing scheme, Haeser told the FTD he wanted to offer more options.

But this could also mean pushing car manufacturers and rental companies into the same market, the FTD suggested.

Haeser said he thought the market was big enough for all, and said that he “would not find it confrontational,” if more manufacturers began to dabble in the car rental market.

The FTD said there had been talk of Sixt being bought out for some time. If it were to happen, said Haeser, the idea that a car manufacturer would take it over was “pure speculation.”

He told the paper that he believed no manufacturer would throw themselves into a large scale car-rental venture, as “it is a completely different business model.”

“We shall see what the future holds,” he added.

The Local/jcw

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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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