Hyundai Steel to Expand Supply of Carbon-Reducing Construction Materials With Hyundai E&C

Hyundai Steel, in partnership with Hyundai Engineering & Construction (Hyundai E&C), will expand the use of carbon-reducing steel products in construction, aiming to adopt a carbon-reducing construction model and set an example in the transition to a carbon-neutral society.

Carbon-reducing rebars produced in an electric arc furnace

The success of a carbon-reducing construction model lies in reducing carbon emissions by replacing high-emission construction materials-often identified as the major contributors to emissions during the building phase-with reduced-carbon alternatives. Developed regions like Europe and the US have adopted this approach to cut emissions by reducing the embedded emissions of products.

The carbon-reducing construction model that the two companies will implement involves using reduced-carbon rebar and section steel produced by Hyundai Steel. Since rebar and section steel are essential construction materials, replacing them with reduced-carbon alternatives will yield significant environmental benefits. Rebar and section steel made from scrap metal using electric arc furnaces are considered recycled products, and their production generates far lower emissions compared to construction materials produced with blast furnaces.

Carbon-reducing H-beams produced in electric arc furnaces, to be used as the structural framework of buildings

Hyundai Steel’s rebar and section steel produce notably lower emissions, even compared to other construction materials produced by the steelmaker using electric arc furnaces. The carbon footprint of a Hyundai Steel rebar is 0.451 kgCO2e/kg, approximately 6% lower than the average emissions of other rebar products certified in Korea under the Environmental Product Declaration (EDP) system, which is 0.481 kgCO2e/kg as of October 2024. The most recent recorded carbon footprint of Hyundai Steel’s H-section steel is 0.555 kgCO2e/kg, making it a Ministry of Environment-certified low-carbon product, with emissions about 69% lower than the average of other section steel products certified in Korea under the EDP system, which is 1.76 kgCO2e/kg as of the 4th quarter of 2024.

Hyundai Steel and Hyundai E&C have formed a tri-party council with Sampyo Cement to develop reduced-carbon cement products. Several products are already undergoing pre-commercialization validation, with plans for their use on construction sites next year.

Meanwhile, a study recalculating the emissions attributed to buildings constructed by Hyundai E&C, under the assumption that reduced-carbon rebar, section steel, and cement were used, found a reduction in embedded emissions by over 30%. The study, conducted in accordance with international standards such as ISO 14040, ISO 21931-1, and EN15804, assesses all stages of construction and indicates that Hyundai E&C is on track to achieve significant emissions reductions in its construction activities worldwide.