Jan 12, 2026
3 min read
Stegra and ThyssenKrupp have entered into an agreement to supply non-prime steel from 2027 from a hydrogen-based plant in Sweden.
STOCKHOLM / LONDON (IT Boltwise) – Swedish steel startup Stegra has signed a landmark agreement with ThyssenKrupp Materials Processing Europe.From 2027, Stegra will supply non-prime steel from a hydrogen-based plant in northern Sweden that will start operating next year.This partnership is an important step in Europe's green industrial transition.
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Stegra announced in October that it needed $1.1 billion in additional funding to complete construction of the facility.Although the financing negotiations have not yet concluded, the company expects these negotiations to be completed in the first quarter.Since non-primary steel is an important by-product that can be used for a variety of applications, ThyssenKrupp's support is a very important factor in increasing production at this facility.
The delay to the plant's opening, originally planned for this year, reflects the challenges facing many clean steel projects in Europe.The technology is still relatively new and investment costs are high, which can lead to delays and financial difficulties.However, Sweden remains committed to playing a leading role in Europe's green industrial transformation, supported by access to cheap, carbon-free electricity.
The partnership between Stegra and Thyssenkrupp is considered significant in the steel industry.Although Germany does not have the same access to green, cheap electricity as northern Scandinavia, this collaboration offers the best path for the transformation of German industry.Experts see this alliance as an example of the growing importance of international cooperation in promoting sustainable technologies.
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