German dry bulk operator Oldendorff Carriers and Salzgitter Flachstahl GmbH, a subsidiary of steel producer Salzgitter AG, have entered into a long-term agreement to reduce carbon emissions in the maritime transport of iron ore, Oldendorff said in a statement.
The partnership aims to decarbonize Salzgitter’s steel supply chain and is set to begin in January 2026.
Under the agreement, Oldendorff will transport iron ore for Salzgitter from various loading ports to Hamburg using fuel-efficient bulk carriers.
The collaboration is expected to reduce CO₂ emissions by at least 20% and cut around 19,000 tonnes of CO₂e – equivalent to removing over 4,000 passenger cars from the road for a year.
According to Oldendorff, these reductions represent Scope 1 emissions for Oldendorff and Scope 3 emissions for Salzgitter.
Oldendorff said the initiative is expected to generate cost savings, as lower fuel transport consumption will not add costs for Salzgitter.
Henrik Christiansen, executive director and head of sustainability at Oldendorff, said: “Decarbonizing maritime operations is a complex challenge that requires coordination across the entire value chain.
“This partnership with Salzgitter cements the relationship between two major German companies and reflects the kind of industry collaboration needed to make meaningful and immediate progress in lowering emissions and advancing more sustainable transport solutions.”
