Schaeffler invests in H2 Green Steel

As a strategic investor, the German automotive supplier wants to secure access to the start-up's green steel.

Automotive supplier Schaeffler is investing in the start-up H2 Green Steel and at the same time entering into a technology partnership with the company. The company made the investment as part of a current financing round. Schaeffler led the round together with AMF, GIC and existing investor Altor Fund V. H2 Green Steel raised a total of 190 million euros in its current round.

Founded in 2020, the Swedish start-up aims to produce climate-neutral steel using green hydrogen obtained from renewable energies such as wind power and sell it to Germany, among other countries. According to the start-up, the steel industry is currently one of the biggest carbon dioxide emitters in the world. The start-up now wants to start a "clean industrial revolution" with its green steel.

"Securing supply chains and making them sustainable is a top priority for Schaeffler," says Andreas Schick, Chief Operating Officer Schaeffler. By investing in H2 Green Steel, the company aims to secure the long-term supply of green steel strip. "Together, we will make a contribution to the decarbonization of supply chains."