EU project tests climate-friendly steel processes

Swiss Steel is testing the use of hydrogen in heating and annealing furnaces in the EU HYDREAMS project to reduce CO₂ emissions in steel production

21.08.2025

Source: E & M powernews

The Swiss Steel Group, manufacturer of special long steel from Emmenbrücke, is testing hydrogen for more climate-friendly steel processes in the EU project "HYDREAMS". Initial tests are underway.

According to a press release from the Swiss Steel Group, the steel industry is responsible for around eight percent of global CO2 emissions. The thermal processing of steel is particularly problematic in this regard, as it has been predominantly powered by natural gas to date. This is precisely where the "HYDREAMS" project comes in, which, according to the company, has been funded by the European Union since April 2023. It is investigating how heating and annealing furnaces can be operated with hydrogen instead of natural gas. According to the Swiss Steel Group, the research project is investigating two main types of furnace: Heating furnaces and annealing furnaces. The researchers are also testing two different types of burner - impulse and flame systems.

According to Swiss Steel, there have been no comprehensive studies to date on how the combustion of hydrogen affects steel quality. However, differences in flame speed, radiation intensity and exhaust gas composition could influence the material properties. The Hydreams research partners want to close this research gap by systematically investigating the effects of hydrogen on various steels under realistic conditions.

The initial results of the researchers involved come from laboratory tests in which 13 steel grades were tested. According to the Swiss Steel Group, no structural differences or changes in composition have been identified so far.

Sustainability manager Laurent Sieye from subsidiary Ugitech, a stainless steel manufacturer based in Ugine (France), explains that the replacement of natural gas with hydrogen is not yet fully developed. He points to risks such as possible NOx emissions, negative influences on steel quality or a shorter service life of refractory materials.

Multi-stage project

The project is being carried out in several stages. According to Swiss Steel, the laboratory tests will be followed by flow simulations and modeling. This means that the flow movements of gases or liquids will be calculated on the computer. Industrial tests will then be carried out. A pilot furnace with special burners is already running at the Institute of Thermal Engineering at Graz University of Technology (Austria).

According to Swiss Steel, three industrial demonstrators are planned for the coming years, which are intended to represent different heating processes and product types. Specifically, these are blooms (rectangular or square, solid semi-finished steel products), forged ingots (large, mostly solid steel blocks that are further processed by forging) and coils (coiled steel strips for further processing in the automotive, construction or household appliance industries). The first demonstrator went into operation at the Swiss Steel Group's Krefeld plant in March 2025. It comprises six retrofitted burners that are operated with air/hydrogen. It runs in a 2 MW furnace for blooms and forged billets. Two further demonstrators are due to start up in Ugine, France, in 2026.

The Swiss Steel Group, headquartered in Emmenbrücke, Switzerland, manufactures special long steel products. The company produces exclusively from steel scrap in electric arc furnaces. With this circular economy, the Group generated sales of around 2.5 billion euros in 2024 and employed around 7,500 people. Swiss Steel has production and sales locations in more than 25 countries.

Author: Davina Spohn