Brazilian integrated steelmaker Gerdau plans to cut its greenhouse emissions over 50 percent below the average of the global steel industry, the company said on Tuesday.
Gerdau said its greenhouse emissions currently reach 0.93 tons of CO2 per ton of crude steel cast, below the current average of the global steel industry, which reaches 1.89 tons of CO2 per ton of crude steel cast. The company plans to reduce scope one and scope two emissions to 0.83 tons of CO2 per tons of crude steel cast by 2031.
To cut emissions for the next 10 years, Gerdau will increase the use of ferrous scrap as a raw material for steelmaking, while also expanding its forest areas, which produce charcoal. Gerdau said charcoal works as a bio-reductor in pig iron production.
Gerdau said it also expects to increase its clean energy sources, with solar plants in Brazil and the US. Additionally, Gerdau said it will invest in higher energy efficiency projects at its mills, as well as in new technology and innovation.
Gerdau said it expects to become “carbon-neutral” by 2050.