Gränges’ Tennessee investment to enable near-zero carbon solutions
Gränges will invest $52 million to expand its recycling and casting operations in Huntingdon, Tennessee, enabling its market launch of near-zero carbon aluminum solutions in 2024 aimed at meeting growing demand for sustainable products in North America. The new center will be powered via renewable electricity as part of the Tennessee Valley Authority (TVA) Green Invest program.
The investment will result in significant cost reductions and contribute positively to Gränges’ operating profit and return on capital employed ratio from 2024 onward. It will also lead to a reduced carbon footprint driven by the use of renewable electricity and increased recycling.
“Sustainability and recycling are two critical parts of our business model, and strong drivers of our long-term competitiveness and value creation,” said Jörgen Rosengren, president and CEO, Gränges Group. “We have a very high ambition level in these areas. With this investment, we will meet our customers’ expectations on decarbonizing our business and leading the way in offering solutions that are clearly differentiated from a sustainability perspective.”
To produce near-zero carbon aluminum solutions––with a carbon footprint of maximum 1 ton of CO2 per ton of aluminum––the new recycling and casting center will use the latest technology in induction melting furnaces in combination with all-electric annealing ovens. Renewable electricity will power all equipment and downstream production processes, in partnership with Carroll County Electric and the TVA Green Invest Program.
“Gränges’ ambitious sustainability strategy, combined with our customers’ platforms, drive the size and speed of our investments,” said Patrick Lawlor, president Gränges Americas. “This investment builds on Gränges Americas’ foil strategy and underscores our strategic focus and commitment to developing sustainable products and solutions.”