🇸🇪 Introducing the world’s first building with fossil-free steel

Peab is now the very first construction company to use fossil-free steel in a construction project. The building (Tomaten 1) in Hasslanda in Lund is an industrial facility covering 6,000 square meters. The fossil-free SSAB steel has been used in the production of sandwich panels made by Ruukki Construction in Finland for parts of the building walls. Property owner Wihlborgs is the customer and developer, and the tenant will be contract manufacturer Inpac.

“We’re extremely proud to be part of a historic shift for our industry. The building is a starting point for work to reduce the climate impact in the steel industry on a broad front. It’s a real community building project and, together with Ruukki and SSAB, Peab is now further strengthening itself to meet its customers’ growing demands for more sustainable material choices,” says Jesper Göransson, CEO of Peab.

“It’s amazing to see what great steps forward can be taken with sustainable development when it’s done together with others – the project with Peab and Ruukki shows what is actually possible right now. For SSAB, it’s not just about reducing our own emissions with fossil-free steel, but also about contributing to reducing the carbon footprint in other parts of the value chain,” says Christina Friborg, Head of Sustainability at SSAB.

“This project is an excellent example of how going forward we can revolutionize construction together with our customers. We’re proud to be involved in driving the construction industry forward with our products that are not only made with fossil-free steel, but also developed with sustainability and the entire life cycle impact of the product in mind,” says Sami Eronen, President of Ruukki Construction.

“We can only achieve the industry’s goal of climate neutrality if we collaborate and together develop products and buildings that make a real difference. This project is an important step in this direction, and as the customer we have a major responsibility to constantly raise the level of our own requirements, so that the entire chain is characterized by high sustainability ambitions,” says Ulrika Hallengren, CEO of Wihlborgs.

The construction and civil engineering industry aims to reach climate neutrality by 2045, which requires the use of new materials and products with a low climate impact on a broad front. SSAB steel manufactured using HYBRIT technology will be on the market in 2026, enabling companies in the construction sector to drastically reduce carbon dioxide emissions in the steel segment. HYBRIT technology means that iron ore is directly reduced using hydrogen and fossil-free electricity, as opposed to coal and coke, which are used in a blast furnace process. The residual product is then water rather than carbon dioxide.

Peab, through its partnership with SSAB, and Ruukki Construction, as a subsidiary of SSAB, have both secured access to fossil-free steel and intend to use it in future projects from 2026. The new steel will contribute to long-term sustainable growth in the sector and be an important element in the climate transition for the whole of Sweden.

Between them, the construction and real estate sectors currently account for about one fifth of Sweden’s domestic carbon dioxide emissions. In new construction, the manufacturing of materials and products accounts for the vast majority of climate impact. Developing the world’s first building using fossil-free steel is therefore a milestone for the entire industry.

Swedish Minister for Climate and the Environment Romina Pourmokhtari (Liberal), will be visiting the project in Lund on Wednesday. Leading representatives from Peab, Wihlborgs, Ruukki Construction and SSAB, as well as local actors, will be present at the press conference. The media have also been invited.

Additional information is available at
https://peab.se/losningar/minskad-klimatpaverkan/varldens-forsta-byggnad-med-fossilfritt-stal/

About Peab

Peab is the Nordic community builder with 15,000 employees and turnover of SEK 60 billion. The head office is located in Förslöv on the Bjäre peninsula in Skåne. The share is listed on Nasdaq Stockholm. www.peab.se

About Wihlborgs

Wihlborgs owns, manages and develops commercial properties with a real estate value of SEK 56 billion in the Öresund region. The company employs more than 200 people and the share is listed on Nasdaq Stockholm. www.wihlborgs.se

About Ruukki

Ruukki Construction is part of SSAB and a supplier of steel-based building products and services for roofs and walls for sustainable buildings. The company has 1,500 employees and a presence in 10 European countries. www.ruukki.com

For media interviews and further information, as well as press photos, please contact:
Peab press contact: Katarina Hugo, Press Officer +46 10 456 86 00 [email protected]

Wihlborgs press contact: Ulrika Hallengren, CEO of Wihlborgs +46 40 690 57 95
SSAB press contact: Anna Molin, Press Officer +46 76 110 46 76 [email protected]
Ruukki press contact: Kristiina Sikiö, Head of Communications +358 50 354 1296.