Ford enters agreement with Tata Steel and others for supply of ‘green’ steel
Ford has signed an agreement with Tata Steel’s Dutch arm and two other manufacturers for the supply of “green” steel from 2030.
The car maker has in fact signed memorandums of understanding also with ThyssenKrupp and a German steel maker to provide low-carbon steel – which is made without the use of fossil fuels.
Ford is targeting to reach net-zero at its European facilities, logistics and suppliers by 2035.
“Improvements within our supply chain are key, and with the use of carbon neutral steel we will take a major step towards lowering the CO2 footprint of our vehicles,” Sue Slaughter, Ford in Europe’s purchasing director.
The “green” steel will be used to produce Ford’s all-electric crossover vehicle from 2023.
Ford has boosted its electric vehicle (EV) spending, announcing in March it would increase its EV budget through 2026 to $50bn – up from the previous $30bn.
It also said it would run its EV unit separately from the traditional combustion engine side of the business.
Sources told the Sunday Times’ Driving that the company would scrap its bestelling model, the Fiesta, as it focuses on electrification.
A Ford spokesperson said: “We are accelerating our efforts to go all-in on electrification and therefore review our vehicle portfolio in line with our business strategy.
“We do not comment on speculation and will share more information in the coming months.”