Mon - Fri: 08:00 - 12:30, 13:30 - 17:30

cepi@cepisilos.com

Steel Supply Chainv

Steel is at the heart of CEPI’s production: a material chosen for its strength, versatility, and high rate of recyclability.
We primarily use AISI 304 stainless steel, an alloy that combines excellent mechanical and chemical properties with a reduced environmental impact, thanks to the ability to be remelted multiple times without losing quality. However, the sustainability of a product is measured not only by the materials used but by the management of the entire supply chain.

A recent independent study, conducted by a student from the University of Bologna, analyzed CEPI’s circular approach using various analytical tools. These included an analysis of Bills of Materials (BOM), an assessment of production and scrap recovery processes, and the calculation of the Material Circularity Indicator (MCI)—developed by the Ellen MacArthur Foundation—to quantify the circularity level of CEPI systems and identify areas for improvement. Another fundamental aspect of the research was a market survey conducted through direct interviews with suppliers and industry leaders (Oiki Acciai Inossidabili S.p.A., Lasa Metalli S.p.A., and Outokumpu). They provided valuable data on the availability of recycled steel, the differences between the European and Asian markets, and opportunities to improve supply chain sustainability.

The study referenced data and calculations from 2022, when 40% of the steel used in our systems came from recycled sources. 2022 was a particularly difficult year for the steel industry, marked by a sharp increase in raw material costs and reduced availability of recycled steel.

During that year, market uncertainty pushed many companies, including CEPI, to diversify suppliers, favoring Asian steel mills that produce steel with a much lower percentage of recycled material compared to those produced in Europe. Despite the difficulties in sourcing recycled steel in 2022, our circularity index stood at 0.75, which was already quite strong.
Returning to sourcing European steel has certainly boosted our index, which can be improved even further by optimizing the recovery of production scrap.
production scrap.