Steel

Abrasion-ResistantFood & BeverageLightweightPackagingRecyclableRecycledSteelStrongUV-Resistant

WHAT WE SAY:

Steel is the backbone of our world, used to create everything from buildings, machinery and transport to packaging and appliances. We simply could not imagine life without it.

Steel manufacturing is what industrial nations are built on and while it has one of the highest recycling rates on the planet, its production is still incredibly energy intensive. A low carbon steel industry is imminent, however we believe the future of this greatly versatile, durable and malleable material lies in localised, decarbonised production fed with steel scrap. Sourcing steel scrap, however, is harder than you might think.

Steel abstract design / Source: Unsplash

WHAT IS STEEL?

Steel is a versatile and durable material made from iron – an abundant element found in the earth’s crust – coal (carbon) and added metallic elements. It is said to be 1,000 times stronger than iron, making it a viable material for use across myriad industries.
There are more than 3,500 different grades of steel in the world, each offering different physical, chemical and environmental properties. Over 75% of these types of steel did not exist 20 years ago, demonstrating the ever-changing landscape of this material. In 2020 alone, the steel industry invested 8% of revenue in capital investment products, research and process improvement.
Steel can be made with two key methods – a blast furnace or an electric arc furnace. The latter uses a larger percentage of steel scrap. The process is cost-effective because the material is so plentiful, used to create everything from the buildings we live in, to the packaging we eat from and the electronics we use.
Steel can be an incredibly polluting material in its production, contributing to nearly 8% of overall CO2 emissions in the atmosphere every year. The production of steel requires temperatures of up to 1,700°C to turn liquid iron into steel, a temperature that is significantly higher than volcanic lava. For every tonne of steel produced in a blast furnace, between 1.5 and 3 tonnes of fossil carbon is released into the atmosphere.
The industry is working to reduce this impact, with CO2-reduced steels coming to market. Thyssenkrupp Steel’s Bluemint Pure Steel, for example, reduces the amount of coal needed to smelt iron ore by replacing it with sponge ore. The company is also switching to hydrogen power to further reduce steel emissions.
The metal is arguably one of the most recycled materials on the planet and is 100% recyclable without losing any qualities or properties. In fact, steel scrap from lower value steel products can be converted into higher grade steel products using metallurgy. This means steel has an endless number of lives, but its strength and malleability also means most steel products remain in use for decades, equating to reduced quantities of recycled steel on the market.
According to The American Iron and Steel Institute, 88% of the world’s steel is recycled at some point in its lifecycle. On average, new steel products contain 30% recycled steel.
As a material, steel is incredibly strong, able to keep sunlight from packaged content thanks to being opaque, lightweight - although the industry is making it even lighter - malleable and resistant to corrosion.

KEY PROPERTIES:

Abrasion-Resistant
Lightweight
Recyclable
Recycled
Strong
UV-Resistant

INDUSTRY:

Food & Beverage
Packaging

AVAILABILITY:

Mass Market

DIVE DEEPER:

The earliest known production of steel dates back nearly 4,000 years to the beginning of the Iron Age and was discovered in an archaeological site in Turkey in 2009. Steel is an alloy of iron, otherwise known as a mix of iron and carbon and is unique due to its low - but not too low - percentage of carbon that gives it its strength and hardiness.
The global steel industry is the second largest industry in the world, behind oil and gas. It employs over two billion people and almost two billion tonnes of steel is produced every year - 1,950.5 million tonnes in 2021. Supply has been impacted by both the war in Ukraine and rolling Chinese lockdowns, but the industry remains buoyant.
Key types of steel include: stainless steel - one of the cheapest metals to produce and key to the construction industry, as it does not rust or breakdown when exposed to moisture; cobalt steel - a temperature-stable steel that can be subjected to extreme heat or friction but is brittle enough to crack under extreme pressure; and high-speed steel, which is commonly used to create tools and other items subject to extreme friction. HSS is highly affordable and usually produced in large quantities. Tin-coated steel is used to make the everyday food can.
According to the World Steel Association, 51% of global steel is used in buildings and infrastructure, 15% is used in mechanical equipments, 12% in the automotive industry, and 11% for metal products such as packaging. The remainder is split between other transportation, domestic and electrical appliances.
Steel is integral to the global shipping industry, with the hulls of large ships mostly made from steel, as well as the approximately 17 million shipping containers used throughout the world to transport goods from one place to another.
Steel is persistently recycled throughout territories. The US has shown a recycling rate of near 70% on average each year, whereas the UK averages almost 85% and Germany sees rates as high as 92%. Countries on the other end of the spectrum include India, where metal recycling rates sit between 20-25%. The magnetic quality of steel makes it easy to recover from waste streams, improving its recyclability rates.
According to The World Steel Association, around 630 million tonnes of steel scrap is recycled globally every year, saving nearly 950 million tonnes of CO2 that would have been produced to create virgin steel.
The use of scrap steel saves up to 74% of the energy needed to make steel from virgin materials. Using scrap eliminates the need for emission-intensive mining practices for iron ore and when scrap steel is used in an electric arc furnace, rather than a blast furnace, emissions are reduced even further. This will continue to fall as we shift towards renewable energy sources.
Despite steel’s high recyclability, the steel industry is not able to rely solely on recycled scrap for the creation of new steel products and in 2019 the US scrap share of metallic inputs into steel production was 72%. This is due to steel’s extensive durability and the fact that existing steel stock has a lengthy lifespan. According to Rethink, steel in the average building lasts around 43 years, in cars around 19 years and in consumer goods around 10 years.
The industry has taken action over the past few decades to reduce environmental pollution as a result of steel production. Today, producing one tonne of steel asks for 40% of the energy needed in 1960.

KEY FACTS:

2 billion tn

The global steel industry produces almost two billion tonnes of steel every year.

74%

The use of scrap steel saves up to 74% of the energy needed to make steel from virgin materials.

630 million tn

Around 630 million tonnes of steel scrap is recycled globally every year.

Key Questions to Ask:

Can you reduce your impact even further?

Steel has become lighter and lighter over the years, and new lightweight innovations can make applications between 25-40% lighter than previous iterations. Does your end product allow for the use of lightweight steel? This route is particularly important for those designing food and beverage packaging, where the steel is not required to support heavy loads.

Can you design with steel’s long life?

Single-use packaging will quickly become a thing of the past and packs will need to last ‘forever’ to facilitate multiple re-uses, whether as part of a deposit return scheme or reused by the consumer. Steel provides the longevity, durability and strength needed for a pack that will be used again and again by multitudes of people. It can also be easily cleaned, making it a safe material for multiple touch points.

How ‘local’ is your supply chain?

Localised supply chains are slowly replacing global supply chains, as turbulent global events have an impact on access to materials and needed quantities. Local sourcing is also being sought after to reduce environmental footprint and brands should seek steel manufacturers closer to home to further reduce emissions. If those suppliers are also transitioning to hydrogen-powered furnaces, your brand will be at the forefront of the low carbon steel movement.

What decorative elements are you planning to add to your product?

A plain steel can, bottle or appliance is not likely to convey the brand message you are looking for. But be careful when choosing decorative applications, as this may alter the recyclability of the final product. Avoid plastic sleeves and ink-jet printing, instead opting for embossing, can shaping, laser-etching and cut outs - where applicable. When creating beverage cans, steer clear of resealable plastic ends. While this can make a can reusable, the small plastic closing will never be recycled and the can will only be reused a handful of times.