ThyssenKrupp Steel Europe AG has received confirmation of revised funding conditions for its tkH2Steel decarbonisation project and, as a result, is preparing to launch a new hydrogen supply tender shortly.
In 2023, the European Commission approved up to EUR 2 billion (USD 2.2bn) in German state aid for the company to decarbonise its steel production in Duisburg.
The funding requirements were revised due to changes in economic conditions since the original decision, particularly the slower-than-expected development of the hydrogen market, insufficient infrastructure and higher-than-envisaged green hydrogen prices, the company explains.
ThyssenKrupp Steel said the revised funding decision supports the continued implementation of tkH2Steel. Work is progressing on the construction site for the 100% hydrogen-capable direct reduction plant that will have two melters with an annual production capacity of 2.5 million tonnes of directly reduced iron. It will be capable of running on natural gas, hydrogen or a mixture of the two.
The changed funding requirements allow for a gradual and more flexible increase in the share of hydrogen. Thyssenkrupp Steel aims to gradually ramp up hydrogen use, depending on availability, economic feasibility and customer demand, until the plant reaches full hydrogen operation.
The company is therefore preparing a tender for the long-term supply of the direct reduction plant with hydrogen, incorporating insights into prices, available quantities and supply chains from the initial call.
"With tkH2Steel, we are implementing one of the biggest industrial decarbonisation projects worldwide. The revised funding decision gives us the planning certainty we need to continue with the build,” said Chief Financial Officer Philipp Conze. (November 3, 2026, Source: https://renewablesnow.com/news/thyssenkrupp-plans-new-hydrogen-tender-as-tkh2steel-moves-ahead-1304257/)
GERMANY - GREENH2 - PRODUCTION - SUPPLY IMPORT EXPORT