Tata Steel Europe, the European unit of the India-based steel giant Tata Steel, has announced that increasing demand for ultra-low emission vehicles (ULEV) will drive growth in steel supply to the European automotive industry by 4.2 million mt per year by 2050, according to a new study by Tata Steel. The study predicts production of steel for vehicle structure, as well as electrical and plated steels will see a sharp increase if all new vehicles are to have zero emissions by 2050.
According to the study, demand for advanced steels for the vehicle structure will increase by approximately 2.6 million mt per year by 2050, as manufacturers look to save weight in the most cost-effective way possible. Another key growth area for steel will be in the power train used in ULEVs, including electric motors and battery cells. Expected to account for a 1.6 million mt per year increase in the demand for steel, these components will use greater levels of electrical and plated steels respectively.