Salzgitter and Oldendorff: Together for climate-friendly iron ore transport!

Salzgitter and Oldendorff: Together for climate-friendly iron ore transport!

The world of steel production is facing significant change. Oldendorff Carriers and Salzgitter Flachstahl have joined forces to advance decarbonization in the maritime transport of iron ore. How MarineLink reported, the agreement concluded includes measures that are not only environmentally friendly, but also bring economic benefits for everyone involved.

From January 2026, Oldendorff will transport iron ore from various loading ports to Hamburg. Modern bulk carriers are used that are operated with fuel-efficient practices. This change is expected to reduce CO₂e emissions by at least 20% - significant progress that could save around 19,000 tons of CO₂e annually. That's easily equivalent to taking over 4,000 cars off the roads for a year! Salzgitter will not incur any additional costs as a result of this initiative; in fact, they expect savings by reducing transport fuel consumption. AIST highlights that this collaboration is an important step towards sustainable steel production.

The importance for the steel industry

The steel industry has a high ecological footprint, producing around 1.8 tonnes of CO₂ per ton of steel and is therefore responsible for around 9% of global carbon emissions. Decarbonization in this area is therefore not only desirable but necessary for achieving global net zero goals. Loud Handelsblatt 60% of the largest steel producers plan to reduce their emissions by 2030. However, the challenges are great: from the availability of renewable energy to the rising costs of green hydrogen to the volatility of energy costs.

The partnership between Oldendorff and Salzgitter illustrates how important logistics is for the entire value chain. Gunnar Groebler, CEO of Salzgitter, emphasizes that logistics in seaborne raw material transport plays a key role in significantly reducing emissions.

Innovations are required

The transformation of the steel industry towards sustainably produced materials is estimated at around 4.4 trillion euros, with annual investments of 15.1 billion euros required in addition to regular expenditure. This not only requires efforts from companies like Oldendorff and Salzgitter, but also political support measures. Governments around the world have made available hundreds of millions of euros to promote the development of environmentally friendly technologies. This also includes consortia in Northern Europe that are planning low-emission steel mills that use renewable energy and green hydrogen.

World movements suggest the need to keep a close eye on developments in the steel industry. As efforts to reduce carbon emissions advance, it is clear that innovation and collaboration are critical to the future of this industry. We will be excited to see where these partnerships ultimately lead.