Volvo signs recycled steel deal with SSAB

Volvo has signed a new agreement with Swedish steel firm SSAB for the supply of high-quality, recycled, and near zero-emissions steel for serial production deliveries, starting from 2025. This makes it the first car maker to do so.

In addition to buying recycled and near zero-emission steel, Volvo is progressing towards its circular ambitions by also selling scrap steel, helping the brand to keep materials at the highest value for the longest period of time in a closed loop system.

SSAB’s closed loop system recycles scrap steel, significantly reducing CO₂ emissions and keeping materials and natural resources in use for longer

The recycled steel will be used in selected components of the forthcoming EX60 SUV, as well as other cars based on Volvo's next-generation SPA3 car architecture. Crucially, this recycled steel meets the same safety-related requirements as primary steel in terms of strength and durability.

Volvo is committed to a fully electric future, with the ambition to achieve net-zero greenhouse gas emissions by 2040. By 2030, the aim is to have reduced CO₂ emissions per car by 65% to 75% compared to a 2018 baseline, by continuously reducing CO₂ emissions across the value chain.

The agreement with SSAB is an example of this. It also supports Volvo's circularity ambitions, with the aim to use an average of 30% recycled content across the fleet by 2030, and for new car models released from 2030 to contain at least 35% recycled or bio-based content.