Outokumpu and V-ZUG to reduce emissions from the home appliance sector – first in Switzerland to use stainless steel with up to 93% lower carbon footprint
Outokumpu Oyj
Press release
February 14, 2024 at 10.00 am EET
Outokumpu and V-ZUG to reduce emissions from the home appliance sector – first in Switzerland to use stainless steel with up to 93% lower carbon footprint
Outokumpu, the global leader in sustainable stainless steel, is partnering with V-ZUG, a Swiss premium home appliance producer, to agree on the deliveries of the world’s first towards-zero stainless steel. Outokumpu Circle Green®, with up to 93% lower carbon footprint than the industry average*, will be used to produce parts of the V-ZUG Dishwasher inner part. V-ZUG will be the first Swiss home appliance company to use Outokumpu Circle Green in its production. The collaboration supports the ambitious climate targets of both companies and accelerates the green transition in the home appliance sector.
“A low-carbon future is dependent on sustainable stainless steel and other circular solutions. Outokumpu is at the forefront of decarbonizing the stainless steel industry and is already supporting customers to reduce their emissions by over 10 million tonnes every year. By transitioning and investing in more sustainable technologies and materials today, companies can significantly mitigate the effects of climate change. Our solution, Circle Green, enables green transition for various industries. We are proud to join forces with V-ZUG, who is also leading the way towards a low-emission and more circular future”, says Niklas Wass, Executive Vice President for Stainless Europe at Outokumpu.
V-ZUG produces its appliances in Switzerland, but the company has subsidiaries throughout the EU, UK, China, Hong Kong, Singapore, and Australia, with distribution partners around the world. Circle Green, produced mainly from recycled materials, comes from Outokumpu’s mill in Tornio, Finland, which is among the largest material recycling centers in Europe. From Tornio the coils are then distributed to Germany for further processing and then to Zug in Switzerland. There, in the heart of Switzerland, V-ZUG develops and manufactures most of its products.
“At V-ZUG, we don't see sustainability as a trend, we see it as a necessity. For us, making an energy-efficient appliance is one very important aspect of sustainability. However, there is much more to consider throughout the full life cycle of the appliance – from procurement, development, and manufacturing to service, re-use, and recycling. Strong and innovative partners are important, and that’s why we are happy to collaborate with Outokumpu to use stainless steel produced mainly from recycled materials and to further reduce our carbon emissions from our products. Our CO₂ intensity, 1.8 kg CO₂e per tonne of stainless steel, is already far below the industry average, and with Circle Green the potential is to go down to 0.5. Our aim is to scale up the solution and make it cost competitive and the standard for the future”, says Marcel Niederberger, Head of Sustainability at V-ZUG AG.
Massive emission reduction potential with towards-zero stainless steel
Circle Green production was the first of its kind globally, as no other stainless steel manufacturer has been able to produce stainless steel with such low emission levels when taking into account all of the greenhouse gas emissions from raw material extraction through the whole production chain. To produce Circle Green, which has up to 93% lower carbon footprint, Outokumpu uses 100% low-carbon electricity, low-carbon raw materials such as recycled steel, and reinvented production processes.
If all the stainless steel in the world was produced with the same methods as used for Circle Green production, it would reduce global carbon emissions from the entire stainless steel value chain by 364 million tons per year. This equals over 900 million one-way flights of one passenger across the Atlantic Ocean from London to New York.
*) Global average CO₂ emissions (2023): 7 kg CO₂e per kg of stainless steel (Outokumpu’s calculation based on data provided by CRU and worldstainless). Outokumpu Circle Green CO₂ emissions: down to 0.5 kg CO₂e per kg of stainless steel.
Read more: Reduce your carbon footprint with Outokumpu Circle Green | Outokumpu
For more information:
Outokumpu media: Päivi Allenius, SVP – Communications & Brand, tel. +358 40 753 7374 or Outokumpu media desk, +358 40 351 9840 / media(at)outokumpu.com
V-ZUG media: Lorena Brunner, Head of Corporate Communication, +41 79 698 79 29, media.office(at)vzug.com
About the V-ZUG Group
“Bringing simplicity into your home and creativity into your kitchen.” V-ZUG is Switzerland’s leading brand in household appliances, promoting its products also in selected premium markets overseas. V-ZUG has been developing and manufacturing kitchen and laundry appliances in Switzerland for more than 100 years and offers a comprehensive service in every market. The SIBIR Group AG, which focuses on the Switzerland-wide provision of all-brand servicing and the sale of household appliances, is another part of the V-ZUG Group. The V-ZUG Group currently employs around 2,200 people. The holding company V-ZUG Holding AG is listed in the Swiss Reporting Standard of SIX Swiss Exchange in Zurich and represented in the Swiss Performance Index (SPI) (security number 54 248 374, ISIN CH0542483745, ticker symbol VZUG).
Outokumpu is the global leader in stainless steel. The foundation of our business is our ability to tailor stainless steel into any form and for almost any purpose. Stainless steel is sustainable, durable and designed to last forever. Our customers use it to create civilization’s basic structures and its most famous landmarks as well as products for households and various industries. Outokumpu employs approximately 8,500 professionals in close to 30 countries, with headquarters in Helsinki, Finland and shares listed in Nasdaq Helsinki. www.outokumpu.com
