FerroSilva for a clean and competitive automotive sector
In mid-December, the European Commission presented its actions for a clean and competitive automotive sector. Effectively the actions mean a relaxation of the 2035 ban on new internal combustion engine (ICE) vehicles, in the move toward a 90% CO2 emission reduction target rather than 100%.
While this may seem like step back at first glance, FerroSilva welcomes the new action plan since it also adds pressure much more explicitly on green materials, and especially green steel. It is stated that the remaining 10% emissions must be compensated through approved methods, such as using European-made low-carbon emitting steel in manufacturing.
In this way, the drive for greener materials is directly spelled out as one way forward together with the need for e-fuels and biofuels. The continued sales of limited ICE cars are also enabled by e-fuels and biofuels. Fortunately, FerroSilva is perfectly positioned to support in both the areas of green steel and e-fuels. In fact, FerroSilva’s process will provide roughly equal volumes of carbon-negative fully carbonized Direct Reduced Iron (DRI), for use in steel production and liquified biogenic carbon dioxide.
The future for Europe surely needs to be built on less reliance on imported fossil fuels and a rapid electrification across many sectors, based on renewable energy.
The production of green steel cannot rely on recycled steel only but will need to be based on metallic iron from iron ore, i.e. DRI. The process for DRI today is based on natural gas sources, while there are also promises of a hydrogen-based technology that still needs to be industrially proven. FerroSilva instead proposes gasification of biomass to generate the reducing agents needed produce not just green DRI, but carbon-negative fully carbonized DRI.
Thus, the business concept of FerroSilva perfectly supports the new actions by the European Commission – and vice versa.
Read more about the European Commission’s actions for the automotive sector https://ec.europa.eu/commission/presscorner/detail/en/ip_25_3051