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Salzgitter & Volvo Cars launch ScanLoop circular steel project to recycle car scrap

12 Feb 2026 14:28 reported by Joy Liu

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The first ScanLoop train recently arrived at Beddingen station, carrying 25 wagons of steel scrap from Volvo Cars’ plant in Sweden to Salzgitter Flachstahl.

This partnership creates a closed-loop cycle where steel and aluminum off-cuts from vehicle stamping are compressed and returned to Germany for melting. By filling returning trains with scrap instead of running them empty, the companies maintain a sustainable material cycle.

The 700-kilometer rail journey takes only 1.5 days and utilizes 100% carbon-neutral electricity. This logistics strategy reduces emissions and relies on high-quality rail infrastructure.

Several Salzgitter subsidiaries, including DEUMU and VPS, manage the operation. The project demonstrates how industrial cooperation improves resource efficiency and decarbonizes the manufacturing value chain through circular economy practices.

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