ArcelorMittal Europe is expanding its use of low-carbon emissions transport, in particular for deliveries of its XCarb® low carbon-emissions steel. A number of successful trials have been carried out, delivering steel between ArcelorMittal sites and to customers, using a variety of low-carbon transport solutions including electric trucks and trucks running on HVO (Hydrotreated Vegetable Oil).
To date, low-carbon transport truck deliveries have taken place at ArcelorMittal sites in nine countries (Belgium, Czechia, France, Germany, the Netherlands, Poland, Slovakia, Spain and the UK). For its customers, ArcelorMittal is initially focussing on HVO-fuelled trucks delivering to Belgium, the Netherlands and Luxembourg, France, Germany and Poland.
With 27.5 million tonnes of steel shipped by ArcelorMittal Europe in 2023, the potential for large-scale CO2 emissions savings by using low-carbon transport is significant. Currently, ArcelorMittal Europe steel is delivered in a number of ways, including barge, rail, road and sea transport; road transport has the highest CO2 footprint, with an average of 65g of CO2 emitted per kilometre, for every tonne of steel transported. Using trucks fuelled solely with HVO results in CO2 emissions reductions of 80 to 90 per cent. At present, deliveries by truck account for 38% of all steel deliveries from ArcelorMittal Europe – Flat Products, which is the largest ArcelorMittal Europe entity.
The low-carbon initiative began in late 2022, within ArcelorMittal’s France Nord division. At ArcelorMittal’s site in Florange, France - which produces a wide range of flat steel products - trucks supplied by ArcelorMittal logistics partner Geodis are running on HVO are being used to shuttle steel deliveries that are within a short distance of the site. The impressive results of this pilot shows that in 2023, 190,00 tonnes of steel were shipped over a distance of 579,833km, saving 794 tonnes of CO2 (82% less than if the deliveries had been made using a diesel truck). The initiative in Florange is continuing throughout 2024. In Poland, trials using HVO-fuelled trucks supplied by partner Tesko Steel Logistic have taken place involving ArcelorMittal’s Flat Products and Long Products sites in Poland, with the results of the trial – which began in May - expected at the end of the summer. Six vehicles provided by Tesko Steel Logistic have operated several times a day on domestic and international routes (including to the Czech Republic and Slovakia).
The HVO offer for Flat Products Industry customers involves mass balancing (a combination of HVO-fuel usage and certificates).
A number of trials have also taken place using electric trucks.
Last September, ArcelorMittal Poland hired a Volvo FH Electric truck, which was driven for a week between the company's Kraków site, from where it transported steel coils to ArcelorMittal Steel Service Centre in Bytom – where ArcelorMittal steel is processed and distributed to customers. It was also driven to the unit in Świętochłowice, where it collected steel for further processing at ArcelorMittal Downstream Solutions’ site in Kraków. The truck , equipped with eight batteries, made 10 trips in five working days, covering more than 1000km.
In October 2023, ArcelorMittal customer KS Service Center in Moerdijk, Netherlands, received its first electric truck delivery of XCarb® recycled and renewably produced low carbon-emissions steel. ArcelorMittal worked with DFDS, which has a fleet of e-trucks, to transport the steel from its site in Gent. KS Service Center is dedicated to sustainability and reducing CO2 emissions; their order of XCarb® recycled and renewably produced steel with Magnelis® coating is being used in the supply chain to provide customers with products with a lower carbon footprint. Since the trial, ArcelorMittal has ramped up their e-truck deliveries to KS Service Center, with two trucks per day arriving in Moerdijk.
ArcelorMittal Downstream Solutions, (AMDS) primarily covers the downstream activities of ArcelorMittal in Europe and therefore has significant scope to reduce its own and customers’ scope 3 emissions. AMDS has a broad range of low carbon-emissions trials underway;the first electric truck test took place in October 2023 at its Madrid site in Spain, followed by subsequent tests in France (Lyon) and Germany (Halle and Olpe). In Spring 2024, AMDS invested in its first electric truck for Madrid, confirming AMDS’ commitment to reducing greenhouse gas emissions with our customers.
Further tests are planned elsewhere in Europe. in France, 21 trucks are running on B100 rapeseed oil, which can reduce CO2 emissions by up to 60%, compared with using conventional fuel.
“At the beginning of this year, we embarked on a project that would allow us to make a commercial offer for our Industry customers, providing low carbon-emissions transport for their steel orders – in particular, orders of XCarb® recycled and renewably produced steel. Through our own trials, we have seen the positive impact of using HVO trucks for deliveries between our sites and are pleased that our customers can now also benefit from this project”, said Laurent Plasman, CMO Industry, ArcelorMittal Europe – Flat Products.
Speaking about AMDS’ low carbon-emissions offer, AMDS CEO Cédric Bouzar said: “There is a huge opportunity to quickly reduce the CO2 emissions generated during the delivery of our steel from the hundreds of AMDS sites across Europe. It is also clear that our customers want to be part of this project. We are carrying out trials of low carbon-emissions transport throughout AMDS and are excited about scaling up the project during the rest of 2024 and beyond”.
“This is an ambitious project, involving many different teams and suppliers across ArcelorMittal’s mills throughout Europe. We are proud of the role that the procurement teams have played in helping to reduce CO2 emissions from the trucks that transport our steel”, said Yves Koeberlé, chief procurement officer and head of global procurement, ArcelorMittal Europe.
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Copyright images: Geodis & ArcelorMittal
