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voestalpine completes EAF installation at Donawitz: first green steel melts due in H1 2027

voestalpine says the new electric arc furnace at Donawitz is largely installed and on schedule. First melts are planned for the first half of 2027.

By Loharo EditorialPublished Updated 4 min read
Electric arc furnace with graphite electrodes and glowing molten steel inside a melt shop
Illustration of an electric arc furnace with electrodes and a glowing melt

Executive summary

  • voestalpine says installation of the new electric arc furnace (EAF) at Donawitz, Austria, is largely complete and on schedule, and cold commissioning has started in some areas (press release, 12 October 2026).
  • First melts are planned for the first half of 2027. At full operation the furnace can make about 850,000 tonnes a year of CO2-reduced steel.
  • A further expansion of about €100 million would let Donawitz move fully to electric steelmaking from 2030, subject to open funding questions.
  • Our view: no new tonnes reach buyers before mid-2027, but the start date for lower-carbon long products from Donawitz now looks firmer.

Key numbers

~850,000 t/yr CO2-reduced steel capacity at full operation Factvoestalpine press release, 12 Oct 2026

H1 2027 First melts in the new EAFs at Donawitz and Linz Factvoestalpine press release, 12 Oct 2026

~900,000 parts, 8,500 t Components delivered for the furnace Factvoestalpine press release (PDF)

~€100m Planned expansion to reach full electric steelmaking from 2030, subject to funding Factvoestalpine press release, 12 Oct 2026

Fact = checked against the cited source · Calc. = Loharo calculation from cited figures or stated assumptions · Uncertain = reported but not confirmed. Unlabelled statements in the text are sourced facts; analysis and uncertainty are labelled inline.

What happened

voestalpine said on 12 October 2026 that the new EAF at its Donawitz site has been largely installed, as scheduled, and that cold commissioning is beginning in some areas (press release). Cold commissioning tests conveyors, hydraulics, electrical installations, cooling circuits and automation as one system before any steel is melted. Lead partner Danieli is coordinating installation of the core components and first operation. More than 70 companies are involved, about 90% of them Austrian, with around 500 workers on site.

CEO Herbert Eibensteiner said the greentec steel programme at Linz and Donawitz is on schedule and on budget, with the main construction finished in 2026 and first melts in both new furnaces in the first half of 2027. The Linz furnace, delivered in September, is sized at about 1.6 million tonnes a year (voestalpine, 21 September 2026).

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Why it matters for EU buyers

  • Greentec steel supply. Donawitz makes mainly long products such as rail, wire rod and seamless tube feedstock. Buyers who need lower-carbon long steel for tenders or Scope 3 targets get a firmer start date, but volumes will ramp up from mid-2027, not now.
  • CBAM context. CBAM charges imports, not EU production, so this furnace does not change anyone’s CBAM bill directly. It does widen the EU-made, lower-carbon option for buyers comparing imported steel that carries a CBAM cost. The Q3 2026 certificate price was €82.32 (European Commission).
  • Supply. The conversion is partial at first. Blast furnace output continues at Donawitz until the 2030 expansion, which still depends on funding.

Our view

We think buyers of long products in Central Europe should ask voestalpine now about greentec volumes and certificates for the second half of 2027, and plan on blast furnace material until then.

This is a Loharo assessment based on the sources cited. It contains no expert quotations.

What to watch next

  • Hot commissioning and first melt at Donawitz and Linz (H1 2027).
  • A funding decision on the €100 million Donawitz expansion.
  • Pricing and CO2 data for greentec steel products.

Verification status: Verified

  • All facts were checked against voestalpine’s press release of 12 October 2026 (web page and PDF) and its 21 September release on Linz. AIST’s report of 12 October was read as a secondary source; it attributes a quote to the CEO that the press release gives to Franz Kainersdorfer, head of the Metal Engineering Division, so we followed the primary release. The description of Donawitz’s product mix is general knowledge about the site, not taken from this release.
  • Key: Verified = every factual claim checked against a primary source; Partially verified = core facts confirmed, some details from secondary sources or still being confirmed (marked Uncertain in the text); Analysis = interpretation; Developing = story still moving.

Ask the Analyst

“500 t HRC from Turkey into Antwerp in January”: landed cost with duty, quota and CBAM in one answer.Ask the Analyst

Sources

Primary sources

Supporting sources

Information as of 13 October 2026. Company figures are as stated by voestalpine. This article is market intelligence, not investment or procurement advice.

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By Loharo Editorial. Facts, analysis and uncertainty are labelled in line with our editorial standards. Report an error – corrections are dated and noted on the article. Information and analysis only, not investment advice.

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