Kuusakoski is going to build a market first steel recycling plant that will operate 100% carbon free and utilise the latest technology. The investment responds to growing demand for recycled metals in Finland and Sweden, and it will increase the annual recycling capacity of Kuusakoski by 150 000 tonnes, or 25%.
The new plant will be built in Veitsiluoto, Kemi. The port connection effectively links sea freight to rail and road transport.
“In Veitsiluoto we are close to our largest end customers, and can offer superior, smart delivery models and competitive delivery times”, says Mikko Kuusilehto, President and CEO.
“We are seeing the steel industry beginning to move towards carbon-free production. Our new plant will bring with it carbon-free processing, which will enable our customers to further reduce their climate impact throughout the value chain.”
With the investment, Kuusakoski’s customers, such as Outokumpu, the global leader of sustainable stainless steel, will have the opportunity to use even more precise carbon footprint calculations and cleaner recycled steel in their production, which can further reduce the carbon footprint of steel products.
The new plant will produce significantly higher levels of purity in its recycled raw materials, and it will have improved separation capabilities. This is possible because of new technology used in the pre-treatment and analysis of the material. The unique pre-treatment technology, for example, has been developed together with leading experts and there is no similar setup being used anywhere else.
The total value of the investment is 25M€, of which 2.8M€ will be financed by Business Finland from RRF (Recovery and Resilience Facility) funding. The building of the plant is planned to begin next year. The new plant is scheduled to be in operation in 2025 and once in operation it will employ approximately 20 people.
The carbon-free steel recycling plant is part of Kuusakoski´s multi-year green investment program. Kuusakoski has set a target of carbon-free operations by 2035. The Veitsiluoto recycling plant is just one concrete step on the company’s carbon roadmap. The investment is projected to result in over 150 000 tonnes of avoided CO2 emissions annually throughout the entire supply chain.