Green Steel – High-tech for Climate Protection
Interview with Merlin Röttger, Managing Director of GeisslerWista GmbH
Steel is one of the most important materials of the modern world – and its production is responsible for about nine percent of global CO2 emissions. GeisslerWista GmbH from Witten is part of this crucial industry sector for Germany's economic location. And the company has been pursuing new, sustainable paths for a long time. They process Green Steel and aim to produce completely CO2-neutral by 2039.
Wirtschaftsforum: Mr. Röttger, as the CEO of GeisslerWista GmbH, you are significantly driving the company's transition to sustainable production. How is the company positioned to master this transformation?
Merlin Röttger: GeisslerWista, with a hundred-year history, is a traditional company and at the same time a pioneer. The company was founded in 1903. Originally, there were two companies, Heinrich Geissler GmbH and Wista Stahlhandel, located on opposite sides of the street; one focused on the processing of steel, specifically bright steel, the other on trading. Since the merger in 2017, there are two main pillars, with the trading division being significant. We are one of the largest dealers of fasteners in Germany. An important milestone on the path to a sustainable future was joining the GMH Group in 2002. It is a leader in the field of green steel and one of the few steel manufacturers in Germany that is 100% family-owned. As part of the group, we cover everything from steel production and recycling to the finished component. Last but not least, the structure creates many synergistic effects, even though each company operates independently. As a specialist in bright steel, for example, we benefit from the raw materials of other companies within the group.
Wirtschaftsforum: How do you assess future market prospects?
Merlin Röttger: We primarily work for the machinery and plant engineering sectors as well as the tubing industry. Since these markets are currently developing rather tentatively, we expect moderate growth. The energy sector, on the other hand, is expected to experience dynamic growth.
Wirtschaftsforum: GeisslerWista is a specialist in bright steel. What does the portfolio actually look like?
Merlin Röttger: We aim to cover a broad spectrum for our customers and offer various types of steel. Bar steel for hydraulic components, screws, nuts, and threaded parts for wind turbines, bright steel for producing guide shafts for machinery. For the tubing industry, we produce finished tools such as mandrel rods up to 26 meters long; there are not many competitors in this field. Another unique selling point is our stock-keeping trade. Most steelworks sell finished steel ex-works; we additionally stock and commission for customers according to the maxim 'The customer is king.'
Wirtschaftsforum: Sustainability has been a major focus at GeisslerWista for many years. What is behind the buzzword Green Steel?
Merlin Röttger: Sustainability is not just a buzzword for GeisslerWista and the GMH Group, but has been a reality and a core element of the company philosophy for years. To significantly reduce our CO2 emissions, we have already replaced blast furnace technology with low-CO2 electric furnace technology. Instead of processing iron ore, coal and alloys, we use scrap metal and alloys in electric furnaces. With electric arc furnaces, we are able to produce green steel that causes 80 percent less CO2 emissions than traditionally manufactured steel; high-tech steel is thus produced from scrap in an environmentally friendly manner. Due to electrification, our electricity demand has increased enormously, which is a challenge given the current energy prices. As a prerequisite for decarbonizing the steel industry, we need competitive energy prices in Germany. This is where politics is needed.
Wirtschaftsforum: The goal to operate completely CO2-free by 2039 is ambitious. Electrification is crucial for this. What additional steps is the company taking to achieve this goal?
Merlin Röttger: We are taking many different steps to shape the future sustainably; the focus is on using electricity from renewable sources. As a group, we produce and procure solar energy, 30 percent of our electricity needs are covered by wind power, we are gradually replacing natural gas with electrified H2-ready furnaces, and using waste heat for internal heating and steam needs and for power generation.
Wirtschaftsforum: What is your personal motivation behind this green company transformation?
Merlin Röttger: I am driven to make decisions that secure sustainable jobs and bring about change. As a pioneer in the field of sustainable precision steel, we want to set the tone for a green future.