The European Commission has announced that it has approved Swedish state aid worth €128 million to support the decarbonization strategy of domestic specialty steel producer SSAB, contributing to the European Green Deal and the Green Deal Industrial Plan, ending dependence on Russian fossil fuels and accelerating the green transition.
Accordingly, the Swedish government will allocate €128 million to support SSAB’s green transition through the construction of an electric arc furnace at its Luleå site. The aid will also accelerate the project by three years, with the green steel production planned to begin from 2029.
“This €128 million measure enables Sweden to help SSAB accelerate its switch to electrified steelmaking at its steel plant in the Norrbotten region. This will contribute to the greening of the steel value chain, in line with the EU’s target of climate neutrality by 2050. At the same time, the measure ensures that competition is not distorted,” the statement read.