In a world facing environmental challenges, the importance of dependable partners with sustainable practices becomes crucial. That’s why Alleima is committed to advancing sustainable practices and is actively seeking to reduce carbon emissions.
Responding to the increasing demand for detailed information, Alleima is expanding the Life Cycle Assessment (LCA) initiative by delivering product-specific reviewed carbon footprint data on solid bar products. LCA is a well-established method to bring transparency to a company’s sustainable practices, with the calculated carbon footprint revealing remarkably low values compared to global average data.
Committed to drive the sustainable shift
Alleima is committed to integrating sustainability into its business practices and operations to create a positive impact on the environment and society. As a natural step in its strategy, the company has decided to supply transparent life cycle assessments together with our high-quality products.
Last year, Alleima received a silver medal from EcoVadis for its sustainability performance. EcoVadis is a leading provider of corporate sustainability assessments and an important tool for Alleima when evaluating sustainability aspects among suppliers in the value chain. The result placed Alleima in the 91st percentile, meaning the result ranks the company better than 91% of the organizations assessed by EcoVadis.
Carbon Border Adjustment Mechanism requirement
To remain competitive and compliant, steel producers need to meet the European Union’s Carbon Border Adjustment Mechanism (CBAM) requirements. With the European Union placing a price on the carbon footprint of certain imported goods in its entirety from 2026, producers need to start implementing carbon reduction measures throughout production processes.
This underscores the increasing significance of LCA practices. By analyzing the environmental impacts associated with products, Alleima delivers accurate and third-party reviewed carbon footprint data to customers. This assurance alleviates all concerns regarding CBAM for Alleima's steel purchasers, instilling confidence and trust. Embracing LCA practices will not only help Alleima meet regulatory requirements but also enhance its competitiveness by demonstrating a commitment to sustainability and environmental responsibility.
Benefits to the industry
There is a growing demand from consumers and industries to understand the carbon footprint of final products. End users are increasingly placing pressure on material distributors to provide LCA. Alleima’s LCA process includes accurate scope 3 emissions, which users can incorporate into their modeling of final carbon footprint data. Looking ahead, complete carbon footprint data for all industrial products will become a standard requirement, with data serving as the foundation for further calculations.
Alleima’s LCA exercise can facilitate comparisons with data from other material suppliers, enabling informed decisions to minimize total carbon emissions of final products. However, a significant challenge in making accurate comparisons is the absence of definitive standards for comparing different calculations. Therefore, it is crucial to understand the basis of calculations and to trust the third-party agency that reviews the LCA model and calculations. By engaging IVL - Swedish Environmental Research Institute - an esteemed and independent institute known for its expertise in sustainability, Alleima ensures its calculations are reviewed, providing customers with the confidence they need to trust the data.