Ovako and FNsteel has signed a major partnership, starting in 2025, to enhance Europe's wire rod production with a focus on reducing carbon intensity.
The partnership will leverage Ovako's manufacturing processes at its Smedjebacken mill, and will see the mill managing the production flow of the low carbon footprint steel raw material used by FNsteel to manufacture premium wire rod through the company’s processing facility. The contract will last for a minimum of two years, commencing in 2025.
“Together, FNSteel and Ovako Smedjebacken are well positioned to deliver bespoke processed products with leading CO2-performance to the market''.
Nicholas Källsäter, president, business unit, SmeBox
“After an extensive period of joint testing and quality assurance measures, we are confident that Smedjebacken is well-equipped to supply FNsteel with substantial volumes of the highest quality”, said Nicholas Källsäter, president, business unit SmeBox. “Together, FNSteel and Ovako Smedjebacken are well positioned to deliver bespoke processed products with leading CO2-performance to the market”, Nicholas concluded.
"This collaboration is not just about producing steel. It's about reshaping our industry's future.''
Marcus Hedblom, president and CEO of Ovako
Marcus Hedblom, president and CEO of Ovako, stated: "This collaboration is not just about producing steel. It's about reshaping our industry's future. FNsteel's leadership in driving this change is remarkable, and together, we are setting the course for a more sustainable steel production landscape."
FNsteel's managing director, Matthijs van der Schoot, echoed this sentiment, added: "Our commitment to sustainability is unwavering. This partnership with Ovako is an exciting milestone on our journey, which will allow us to produce low embodied carbon wire rod products from our processing facility. FNsteel is proud to take this step towards a more sustainable future."