Turkish giant Tosyali to invest $1B in green steel production
Türkiye’s largest steelmaker, Tosyali Holding has allocated around $1 billion to solar energy investments to support green steel production, the company’s chairman, Fuat Tosyali stated.
Tosyali, while attending the 55th Annual Meeting of the World Economic Forum (WEF) in Davos, Switzerland, said that a significant portion, 70%, of the world’s steel industry is based on fossil fuels.
“Steel firms worldwide produce 2 billion tons of steel annually, and considering that 70% of it is produced via coal-based energy, it affects global warming tremendously, and although we have the EU’s Carbon Border Adjustment Mechanism (CBAM) and the Paris Agreement, fossil-based fuels are expected to be still in use for energy production, but the use of renewable energy will increase day by day,” he said.
Tosyali highlighted that the firm is one of the companies with the lowest carbon emissions in steel production in the world, and it is seeking to increase its renewable energy usage in steel production.
Closer to full green steel production
“We currently have 235 megawatts of solar energy capacity, and we will add 1.2 gigawatts more with investments in eight different cities in Türkiye in the next year and a half with a close to $1 billion investment, and we will be the only steel company to meet the renewable energy needs of steel production through self-sufficiency,” he said.
He said the firm is closer to green steel production than competitors worldwide, as Tosyali Holding’s steel production per ton only emits around 600 kilograms of carbon dioxide, while its competitors emit 2.5 tons.
“As we increase the use of renewable energy in our steel production, we will serve green steel to the market under our V-Green brand,” he said. He mentioned that the firm is seeking new investment plans in Europe, and they are developing models to meet the raw material needs of enterprises.
Tosyali added that the work is underway for acquisitions in different countries of Europe, which could reach $500 million in size.
Established in 1988, Tosyali Holding has become one of Türkiye’s leading companies in the steel industry and the largest company in Anatolia, with its investments in Europe and Africa.