Responsibility is Action
The transition to low-carbon can also be described as a shift from the era of fossil emissions to the era of metals and minerals. This transition must be carried out sustainably for the environment and climate, as a key prerequisite is the ability to meet new material needs—whether through new or recycled raw materials. Our operations promote progress that reduces global industrial emissions and decreases the consumption of natural resources traditionally used by the fossil economy.
A successful transition to low-carbon requires changes in practices, improved energy efficiency, reduced consumption, sustainable products, and the transformation of the global energy system. Finnish metal refining companies are pioneers in developing more environmentally friendly refining methods and enhancing production processes through digitalization and automation. Leadership in sustainability must be pursued consistently on global, EU, and national levels. Metal value chains, associated technology, and expertise are critical to solving global challenges, creating significant growth opportunities for exports and increasing our positive environmental footprint—steps toward a cleaner and better future.
Metal refining companies operate in full compliance with prevailing laws and adhere to voluntary corporate responsibility guidelines and principles.
Metals Essential for Low-Carbon Solutions
The global demand for metals is increasing over the long term, driven by the green transition, urbanization, technological development, and rising living standards in developing countries. The need for metals essential to achieving low-carbon goals must be met consistently by using sustainably and low-emission-produced metals. Finland’s strong history in metal refining and technological manufacturing has given it an exceptional position to meet changing metal demands. Continuous development efforts focus on research and development, the latest production technologies, responsibility, and safety. We also provide technological solutions worldwide to enhance the sustainability of mineral and metal production.
Reducing Emissions
Climate change necessitates undeniable reductions in greenhouse gas emissions. The steel industry accounts for approximately 7% of global carbon dioxide emissions, and long-term reduction goals involve adopting entirely new low-carbon production models. Examples include the production of direct reduced iron (DRI), the development and implementation of new smelting technologies, hydrogen-based solutions, and carbon capture, storage, and utilization (CCUS).
In terms of climate emissions, Finnish metal refining companies have set ambitious goals for themselves. Here is information on the targets and progress of the leading players in the industry.
SSAB has a validated long-term goal (Science Based Targets, SBTi) to achieve net-zero greenhouse gas emissions for Scope 1, Scope 2, and Scope 3 by 2045. The updated near-term goal is to reduce greenhouse gas emissions by 48% for Scope 1, Scope 2, and partially Scope 3 by 2033, compared to 2018. This is a more ambitious target than SSAB’s previously confirmed near-term goal of reducing Scope 1 and Scope 2 emissions by 35% by 2032, compared to 2018.
This approval makes SSAB one of the first steel companies globally to receive validated carbon dioxide reduction targets in accordance with the steel sector guidance published by SBTi in 2023. The updated targets include Scope 3 emissions for the first time, encompassing indirect emissions from supply chain operations. These goals are based on SSAB’s overall strategy to transform its Nordic blast furnace-based production system into fossil-free minimill production facilities by approximately 2030, largely eliminating CO2 emissions from its operations (Scope 1 and 2).
Outokumpu is the first stainless steel producer to have its climate targets approved by the Science Based Targets (SBTi) initiative. Outokumpu has also contributed to developing the SBT framework for the steel industry. Its near-term science-based climate target is to reduce direct, indirect, and supply chain emissions (Scopes 1, 2, and 3) by 42% per ton of stainless steel by 2030, compared to a 2016 baseline.
The updated targets cover Outokumpu’s value chain from raw materials to its own production and delivery. The company’s long-term goal is to achieve carbon neutrality in its operations by 2050.
Boliden aims to reduce Scope 1 and Scope 2 CO2-equivalent emissions by 42% and Scope 3 emissions by 30% by 2030, with 2021 as the baseline year. These targets have been validated by the Science Based Targets initiative (SBTi). Additionally, Boliden is committed to achieving net-zero emissions by 2050.
Metso aims to reduce its own CO2 emissions to net zero by 2030 and to reduce logistics emissions by 20% by 2025. The company also engages suppliers in emission reduction efforts, with the goal that 30% of its suppliers (measured by procurement spend) will have set science-based emission reduction targets (SBTi) by 2025. The baseline year for all targets is 2019.
Enabling the Circular Economy
Metals collected through recycling are reborn in metal refining processes—without our energy-intensive industry, the circular economy of metals cannot function. Therefore, securing and developing the operating conditions of the metal industry is essential to enable the circular economy. While the recycling of the most common metals works well, recycled metals are insufficient to meet growing demand. Of the approximately 1,300 million tons of steel produced annually worldwide, more than 500 million tons come from recycled steel. However, due to oxidation, a significant amount of steel is lost to rust (at least tens of millions of tons).
The collection, storage, and reuse of recycled steel are well-organized. Using recycled metals alongside ore saves significant amounts of raw materials and energy. In Finland, over 90% of steel products at the end of their life cycle are recycled into raw materials for the steel industry. Globally, 80% of all copper ever produced is still in circulation.
Utilizing By-Products
The utilization of production by-products is an integral part of metal manufacturing. For example, the reuse of slags, mill scale, and waste heat has been enhanced through extensive research programs and investments. In the best cases, more than 90% of by-products can be utilized. For instance, steel plant slags are used in road construction, cement manufacturing, and as soil conditioners. Solidified metal separated during slag processing is returned to production. Finland’s slag processing methods have also been sold abroad. Waste heat recovery is well-established, providing significant energy and environmental benefits as district heating in many metal refining locations.
Sustainable Products
High-quality, durable metal products offer significant and versatile benefits to users. Metals that withstand wear and tear reduce the maintenance intervals and replacement needs of products such as machinery and equipment. For example, wear-resistant steel can last up to four times longer than softer steel. Stronger and lighter metals also enable new design solutions and reduce material usage in end products. High-quality, low-impurity metals are recyclable for longer periods. Factors such as extended life cycles, reduced emissions over the product lifecycle, improved material properties, and enhanced recyclability significantly contribute to more sustainable material use and reduced environmental impact.
Safe Work
A culture of safety is a key competitive factor. It goes beyond protecting workers and encompasses practices that improve efficiency, reduce costs, and build a company’s reputation as a responsible operator. Over the past decade, a stronger safety culture and systematic risk management have significantly reduced the risk and occurrence of workplace accidents. Every employee has the right to work in a safe environment, which is crucial in industrial settings that often involve physical risks, such as heavy machinery, high temperatures, and hazardous chemicals. This commitment to safety is a concrete way to demonstrate responsibility and respect for employees.
Strategic Autonomy
Many strategically important minerals and metals, such as rare earth elements, are concentrated in certain countries, particularly China. This concentration creates dependencies and potential supply chain disruptions, making the availability of minerals a critical international issue. Geopolitical competition over mineral resources has intensified, with many countries striving to ensure self-sufficiency in critical raw materials by developing domestic resources or establishing strategic partnerships.
The COVID-19 pandemic and other global disruptions have highlighted the vulnerability of global supply chains, especially for critical raw materials. Many nations aim to reduce their reliance on foreign mineral suppliers and strengthen domestic production and recycling systems. This effort increases the strategic value of minerals. Finland’s mineral reserves and its entire mineral cluster are not only economically significant but also a strategic advantage. They enhance national competitiveness and provide the capability to secure material needs, even during crises.