ArcelorMittal North America is supplying General Motors (GM) with its branded XCarb steel containing at 70% scrap.
The steel will come from its Dofasco facility in Hamilton, Ontario. XCarb steel comes from electric arc furnace (EAF) and contains a stated minimum of at least 70% scrap with some up to 90%. The company does not use carbon offsets to achieve a reduced carbon intensity.
‘This is a terrific first step in supplying steel with substantially lower CO2 emissions to automakers in North America,’ says Peter Leblanc, cmo automotive at ArcelorMittal. ‘We are making smarter steels for people and planet and XCarb is one of the smartest steels around. It is not the result of clever accounting or offsets – it is steel with physically lower CO2 emissions, which will help drive the achievement of ArcelorMittal’s goal to be carbon neutral.’
Jeff Morrison, GM vice president of global purchasing and supply chain says the agreement shows how GM is innovating with suppliers to reduce emissions throughout the supply chain. ‘It also highlights how strong supplier relationships can help build a better, more sustainable future.’ Currently, ArcelorMittal Dofasco is undergoing a transformation to reduce carbon emissions at that facility by approximately 60% by moving to a direct reduced iron fed EAF steelmaking process.When complete, all ArcelorMittal facilities in North America that make steel for the automotive industry will utilise an EAF-based process.