First in HVAC industry to announce purchase agreements with two major U.S. steel companies

Trane Technologies, a global climate innovator, announced it will further reduce the carbon impact of its industry-leading, sustainable HVAC solutions by purchasing low-carbon steel from primary supplier Nucor Corporation, Econiq, with an additional allotment from U. S. Steel, verdeX. The steel will be used in U.S. manufacturing operations to build Trane high-efficiency heat pumps and air conditioners for homes, and thermal management systems for commercial buildings such as schools and data centers.

“Sustainability is at the core of our strategy, and we’re excited to take another step forward in our journey to net-zero HVAC solutions,” said Dave Regnery, chair and CEO of Trane Technologies. “Our partnerships with Nucor Corporation and U. S. Steel will make our products even more sustainable as we continue to decarbonize our full value chain – from the raw materials we use, to our own operations, to the lifecycle impact of our products and services around the world. We’re proud to be leading the market transition to a net-zero future.”

Representing 20 percent of Trane Technologies’ annual steel purchase, the low-carbon steel is nearly 80 percent less carbon intensive than traditional blast furnace steel. With this purchase, the company expects to reduce nearly 16,000 metric tons of carbon annually with a reduction of 120,000 metric tons by 2030 – the equivalent of emissions generated from powering more than 55,000 homes for one year. The steel industry today accounts for approximately 8 percent of global carbon emissions.

See related article: Trane Technologies Recognized for ESG Leadership by Financial Times, Center for Climate and Energy Solutions, 3BL Media

“We are grateful for the opportunity to partner with Trane Technologies as their primary supplier of lower carbon steel, which will reduce carbon emissions throughout their supply chain,” said Leon Topalian, Nucor’s chair, president and CEO. “Our Econiq™ brand is helping steel end-users meet their growth and sustainability goals, and we are proud that it is going to be a key piece of Trane Technologies’ vision of a net-zero emissions future.”

“We are thrilled to help our customers move toward a net-zero future by creating solutions that are Best for All®,” said U. S. Steel president and CEO David B. Burritt. “U. S. Steel’s verdeX steel is strong enough to handle the day-to-day demands of businesses and homeowners, and can reduce CO2 emissions by up to 70%–80% versus integrated steel mill production.”

Trane Technologies pledges to procure, specify or stock 50 percent net-zero steel by 2030 and 100 percent net-zero steel by 2050 as a member of SteelZero. Trane Technologies also is a founding member of the First Movers Coalition. Through bold, industry-leading action and partnerships, Trane Technologies is advancing its 2030 Sustainability Commitments, including the Gigaton Challenge, and its pledge to be net-zero by 2050, with emissions reduction targets validated by the Science Based Targets Initiative (SBTi).

Source: Trane Technologies