Stefan Rauber, CEO of Stahl-Holding-Saar, the German parent company of the Dillinger and Saarstahl steel mills, said on 29 May that the company was facing the "most difficult period" in its history due to increasing scrap shortages and expected production costs.
Rauber will take over as CEO on 7 July, replacing Karl-Ulrich Kohler.
Responding to a call to announce a change in supervisory board leadership, the company said the energy transition and shift to less carbon-intensive steel would be an unprecedented 10-year challenge.
Asked whether the company expects to face scrap shortages as more European steelmakers switch to more intensive EAF scrap production, Rauber said it is already facing material and scrap shortages and will face even greater shortages in the future.
Asked whether the company expects a shortage of green steel or low carbon steel, he said that the market is very small in terms of tonnage.
The company is still waiting for funding from the government to start implementing technical changes it has planned to reduce carbon emissions from steel production, at an estimated cost of €3.5 billion ($3.8 billion).
The plans include the commissioning of a direct reduced iron plant, the closure of a blast furnace and two new electric arc furnaces by 2030 and the commissioning of a third EAF by 2045.
Comments
No comment yet.