Türkiye's global steel powerhouse, Erdemir, has been supporting the economic and social development of Türkiye and its region for nearly 60 years through its production, investment, exports, and the employment it creates. Continuing its green steel journey as part of its net zero roadmap, Erdemir will invest to increase its value-added product range and capacity, especially in products of strategic importance.
Erdemir General Manager Niyazi Aşkın Peker said, “Our net zero roadmap is an investment in the future of not only our company but also our country. Erdemir plans to meet the current and future needs of our country's industry at the highest level. Erdemir's acquisition of Special Industrial Zone status will provide momentum for the realization of capacity increases, product diversity, and green transformation investments. As long as Erdemir exists, it will develop alongside Ereğli.”
Erdemir, Türkiye's first and largest integrated flat steel producer, has completed the first nine months of its 'green steel' journey within the scope of the 'net zero roadmap' announced by OYAK Mining Metallurgy Companies at the beginning of 2024. Aiming to reduce carbon emissions per ton by 25 percent by the end of 2030 and 40 percent by 2040, and reach net zero emissions by 2050, Erdemir plays a crucial role in the steel industry with its green transformation compliance efforts.
Erdemir, the second largest steel producer in Europe and the eighth largest in the world, is Türkiye's leading producer in the sector. Developments in the green steel journey were explained at a press conference held at the factory. Peker noted that production, which started in 1965 with a capacity of 400,000 tons in a strategic area for the young Republic of Türkiye, has continued to grow for 60 years, reaching a final product capacity of 5 million tons today.
Peker emphasized that Erdemir, which provides products at international quality standards to many sectors, will contribute to Türkiye's 2053 net zero emission target through the process it has initiated for green steel production.
Highlighting that OYAK Mining Metallurgy Companies announced a transformation investment of USD 3.2 billion, mainly through external financing, for the net zero target, Peker stated that these investments will be realized gradually until the end of 2030.
Peker mentioned that Erdemir was designated as Zonguldak Special Industrial Zone with a Presidential Decree published on August 29 and emphasized that this decision will accelerate all investments outlined in the roadmap, including capacity increases. Peker said, “The net zero roadmap is also an investment in the future of our country.” and continued:
“Erdemir, which is among the top five largest industrial organizations in Türkiye, plans to meet the current and future needs of our country's industry at the highest level. Erdemir will invest to increase the diversity of value-added products, especially in products of strategic importance. In particular, we will be able to evaluate our investments in Ereğli, which were planned to increase capacity and product diversity but had to be shifted to other locations due to space constraints.”
4th coke battery to be commissioned in 2025
Pointing out that the green steel transformation will have significant impacts in environmental, technological, financial, commercial, and social dimensions, Peker said:
“How the financial burden of the green steel transformation will be met in the financial dimension, along with the industrial readiness of environmentally friendly technologies in the technological dimension, are seen as the biggest obstacles to the transformation. Aware of all these challenges, we have prioritized our preparations for transformation since 2016. We have proactively identified our risks in a timely manner and created our action plans with a holistic perspective. In this context, we recognize that technological transformation is an inevitable necessity and we make all our plans accordingly. As evidenced in global practices that strongly target emission control, realizing such a transformation requires significant investment costs. We are resolutely and disciplinedly implementing our roadmap to achieve our net zero emission target. The commissioning of the 4th coke battery, which is currently under construction, at the beginning of 2025 will enhance Erdemir's environmental performance.”
Creating additional 1,500 jobs
Noting that Erdemir provides direct employment to more than 5,000 people and indirect employment to over 10,000, General Manager Peker announced that additional employment will be created for 1,000 people in the first phase and 500 people in the subsequent phase in line with the planned investments.
In response to comments regarding Erdemir's designation as a Special Industrial Zone, Peker said, “The status of Special Industrial Zone is not granted solely to Erdemir. Erdemir is just one of the 30 special industrial zones in our country. This status was granted after an evaluation confirmed it met the legal requirements. With its status as a Special Industrial Zone, Erdemir is not exempt from laws, legislation, and regulations. Aiming to maintain the added value it provides by strengthening its presence in today’s intensely competitive environment, Erdemir operates within the framework of the law. It is out of the question for Erdemir to engage in activities that would be detrimental to our country or Ereğli. Growing alongside Ereğli since 1965, when it began production, Erdemir, as a socially responsible company, will continue to meet the expectations of all its stakeholders in a balanced manner and contribute to the region in cooperation with relevant institutions, without deviating from the principle of respecting shareholders' rights. As long as Erdemir exists, it will develop together with Ereğli.”
