By 2026, more than one third of BMW’s steel will be “CO₂-reduced” + “CO₂-reduced” aluminum agreement

As part of their value chain-wide climate neutrality by 2050 goal, BMW stated their focus on CO₂-intensive materials, including aluminum and steel.

On steel, from 2026, more than one third of BMW’s steel worldwide will be “CO₂-reduced steel,” eliminating approximately 900,000 tonnes of CO₂ annually. They state that this is based on contracts with suppliers in Europe, China, and the US. BMW also noted that they see their efforts as “promoting the transformation of the steel industry.”

On aluminum, BMW have signed a declaration of intent with Rio Tinto in Canada for “significantly CO₂-reduced” aluminum from 2024. BMW states that compared to conventional methods, “the process avoids around 70% of CO₂ emissions.” This aluminum will be used exclusively in vehicle production at BMW’s Spartanburg plant in the US.

Hyundai Steel produces low-carbon, high-strength steel plates

Hyundai Steel says it has become the first steelmaker globally to produce high-strength steel plates by using an electric arc furnace, which helps reduce carbon emissions drastically during the whole process… part of the company’s carbon neutrality initiative, dubbed “Hy-Cube,” with a goal of switching completely to hydrogen-based steel production by 2030.

VW invests in resource-efficient battery design and signs agreements for “low CO2” steel and “environmentally-friendly”lithium

VW has taken a stake in 24M Technologies whose battery technology claims to require 40% less production area, is more efficient for recycling, and reduces the CO2 footprint of battery production. VW has also signed agreements for “low-CO2” steel from the end of 2025 with Salzgitter and for lithium with Vulcan Energy Resources. Their process claims to use less land, groundwater and energy.

Mercedes establishes multiple partnerships on steel, aluminum, and lithium with IRMA certification requirement

Mercedes will procure “low-carbon aluminum” from Norsk Hydro, launched a partnership with SSAB to “introduce fossil-free steel into vehicle production as early as possible,” and signed a lithium supply agreement with Rock Tech Lithium Inc. that will include creating a roadmap to achieving “CO₂ neutral production” of lithium hydroxide by the end of 2030. It also requires that all lithium hydroxide shall be sourced from mining sites audited by the Initiative for Responsible Mining Assurances (IRMA). Mercedes also recognized an established supplier, Big River Steel, with a sustainability award.