Protecting our environment and accomplishing global climate goals are values we have committed to. The technology transformation needed, from existing furnace technology based on coal to green electricity‑based electric arc furnace technology, presents us and the wider steel industry with a set of major challenges.

Low-emission production of high-quality steel grades is one of the most significant challenges posed by the transition to green steel production. But with its expertise in materials and machining expertise, voestalpine is a quality and 
technology leader here. With CO2-reduced, high-quality premium steel products, the Group is giving its customers 
the opportunity to take a major step towards making their supply chains more sustainable.

greentec steel encompasses all of voestalpine’s activities and innovations on its path to net zero‑emission steel production.

In an initial step,  green electricity-powered electric arc furnaces will be put into operation at each of the Linz and Donawitz sites starting in 2027, while two coal-based blast furnace units will be decommissioned. Integrating the electric arc furnaces into steel production makes it possible to electrify energy-intensive processes, thus reducing carbon emissions by around 30% by 2029 compared with 2019 levels. The 30% reduction in Scope 1 and Scope 2 emissions—which voestalpine has voluntarily committed to as part of the Science Based Targets Initiative—corresponds to a saving of up to 4 million tons of CO₂ per year. This equates to 5% of Austria’s annual carbon emissions, making greentec steel the country’s largest climate protection program. Construction began with the traditional groundbreaking ceremony in fall of 2023, with an investment volume of approximately EUR 1.5 billion, of which EUR 420 Mio are allocated to the Donawitz site. 

This investment will see a green electricity-based electric arc furnace installed at the Donawitz site and a coal-based blast furnace unit decommissioned.

Depending on quality requirements, a mix of scrap, molten pig iron, and hot briquetted iron (HBI) will be used as input materials. voestalpine obtains the required HBI primarily from the direct reduction plant in Texas, USA, which has been majority-owned by a global steel producer since 2022, with 20% owned by voestalpine under long-term purchase agreements.

In the meantime, decisions have been made regarding the plant and suppliers, and construction of the electric arc furnace has begun. The environmental impact assessment process for the necessary upgrading of the power grid at the Donawitz site has been completed.

Find detailed information and implementation activities here:

Continuation and optimisation of the classic blast furnace-LD steel route with two blast furnaces and LD converters each, and preparation for the green steel production stages.

By commissioning an electric arc furnace (EAF) and removing one blast furnace and one converter, CO₂ emissions can be reduced by more than 30% group-wide. 

From 2030, voestalpine plans to take the next big step towards green steel production. The additional use of technologies such as Carbon Capture Storage (CCS) and Carbon Capture Utilization technologies (CCU)) should enable the targeted reduction of minus 50 % CO₂ emissions.

Our vision: With a clear and ambitious step-by-step plan produce steel with net zero CO₂ emissions by 2050. In order to achieve the goal net zero CO₂ emissions , the voestalpine is already researching several, new processes and investing in pilot projects that show new ways in steel production. This includes the test plant at the Donawitz site for net zero CO₂ emissions steel production through direct reduction of ores using hydrogen.

The transformation to climate-neutral steel production is absolutely essential to secure our future in the long-term.

Michael Köck - Managing Director voestalpine Stahl Donawitz