en.Wedoany.com Reported - Austrian steel company voestalpine AG announced in mid-June 2026 that its Supervisory Board has approved the next phase of investment in the greentec steel plan, allocating approximately €100 million by 2030 for expansion works at the Donawitz plant. This project is a core initiative in voestalpine's transition to green steel production, aiming to achieve full electrification of the plant by 2030.
Headquartered in Linz, Austria, voestalpine AG is one of the world's leading steel and technology groups, with operations spanning steel production, special profiles, metal engineering, and railway systems. The greentec steel plan is described by the company as Austria's largest climate protection program. The Donawitz plant, located in the state of Styria, Austria, is a key production base for voestalpine's Metal Engineering division.
According to the plan, a new electric arc furnace at the Donawitz plant is scheduled to commence operations in 2027, using green electricity for production and running in parallel with the existing blast furnace process. The initial annual capacity of this electric arc furnace is approximately 850,000 tonnes of low-carbon steel. With the implementation of the approved €100 million expansion project, the plant's annual low-carbon steel capacity will increase to 1.5 million tonnes by 2030. The investment will be used to upgrade the power supply system, build a third secondary metallurgy line, and expand scrap logistics facilities. Upon completion of the expansion, the Donawitz plant will fully transition to electric steel production from 2030 onwards.
In terms of carbon emissions, this transformation will reduce CO₂ emissions at the Donawitz plant by more than 90% compared to the 2019 baseline level. As part of the long-term technology transition, the plant's two existing blast furnaces and sinter plant will eventually be fully decommissioned. Voestalpine stated that this transformation will indirectly secure over 5,000 jobs at the Styria plant.
Currently, construction and technical work are progressing as planned. Key milestones completed in 2025 include the construction of the electric arc furnace building and the installation of power and raw material supply infrastructure. The main objectives for 2026 include the installation of core equipment (scheduled for autumn) and the commissioning of the power and scrap supply systems. The total investment for the first phase of the greentec steel plan is approximately €1.5 billion. The advancement of this expansion project still requires resolving some remaining funding issues.
