Tata Steel signs 'green steel deal' with JCB
Under the agreement, Tata Steel will now supply JCB with green steel from Port Talbot after completing its transformation plans.
Last updated 16th Dec 2024
Under the agreement, Tata Steel will now supply JCB with green steel from Port Talbot after completing its transformation plans.
This is the first supply agreement Tata Steel UK has made since announcing the £1.25 billion joint investment with the UK Government to transition to low-CO2 steel production in South Wales.
The project includes building a new 3-million-tonne per year electric arc furnace (EAF)—one of the largest in the world—offering a lower-CO2 alternative to the traditional blast furnace method.
Anil Jhanji Chief Commercial Officer, Tata Steel UK said:
“One of the key drivers in our transition plans is that our long-standing and loyal customers such as JCB need green steel to meet their own decarbonisation ambitions.
"They want to be supplied by a trusted partner making quality steel within the UK.
“This announcement that two of the UK’s largest manufacturers are working together to create a low-carbon supply chain is an important step in the UK’s transition to a circular economy.”
Wayne Asprey, Group Purchasing Director, JCB added:
“Tata Steel is a long-term supply partner for JCB and this agreement marks an essential next step in our journey towards supply chain decarbonisation.
"We are fully supportive of Tata Steel UK’s investment proposals and are pleased to be one of the first customers to endorse those plans by making this agreement to secure British-made green steel as soon as it is available.”
Tata Steel signed a contract in October 2024 with Tenova to deliver an electric arc furnace and additional advanced steelmaking equipment for its Port Talbot site.
The transformation of the site is expected to start in summer 2025.
Tata Steel says it intends to make Port Talbot 'one of Europe’s premier centres for green steelmaking'.