Carbon-Neutral Steel in a Circular Economy
The steel industry faces a necessary transition toward climate neutrality, where increased use of recycled steel is a key factor. A central challenge is managing variations in alloying elements without compromising material quality. This project, led by Luleå University of Technology, aims to develop knowledge and methods to optimize scrap handling and manufacturing processes. The goal is to enable a more resource-efficient and sustainable steel production within a circular economy.
The project focuses on evaluating the impact of scrap sorting on steel properties, developing rapid material validation methods, and designing robust manufacturing processes that can accommodate greater variations in material quality. Sustainability aspects are ensured through life cycle analyses to minimize negative environmental effects.
The project is funded by the Just Transition Fund, with a total budget of 15.5 million SEK. It is conducted in close collaboration with the industry, ensuring a strong connection to applied research and practical implementation.
The work is organized into three main areas: project management and collaboration, resource-efficient steel value chains, and the implementation of carbon-neutral materials. It includes research, industrial cooperation, and regular external evaluations.
Expected outcomes include new methods for material validation, improved recycling processes, and knowledge dissemination through publications and conferences. The project supports the industry's transition to fossil-free steel, particularly in the automotive sector, and contributes to the UN’s global sustainability goals for sustainable industry, resource efficiency, and skills development.
Running from February 2025 to January 2028, the project is expected to provide crucial insights for a more sustainable and circular steel production.

Contact
Hans Åhlin
- Senior Research Engineer
- 0920-491390
- hans.ahlin@ltu.se
- Hans Åhlin
Erik Olsson
- Associate Professor
- 0920-492143
- erik.1.olsson@ltu.se
- Erik Olsson
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