Thyssenkrupp's Green Ambitions Bolstered by Major Turkish Contract

Thyssenkrupp's Decarbon Technologies unit secures a key PET plant order from KÖKSAN, highlighting its tech strength amid the steel division's green transition.

A significant new order for Thyssenkrupp's Decarbon Technologies unit has injected fresh momentum into the industrial conglomerate, even as its core steel operations navigate a challenging transition. The company has secured a contract to build a state-of-the-art PET plant for Turkish packaging giant KÖKSAN, a deal that underscores its technological prowess while its flagship green steel project advances.

The contract, announced on Friday, was met with immediate investor approval. Thyssenkrupp's share price climbed over three percent to EUR 8.54, extending a seven-day recovery to a gain of more than nine percent. Despite this recent uptick, the stock remains down by a double-digit percentage since the start of the year, reflecting the broader pressures on the business.

A Technological and Strategic Win

For Thyssenkrupp Uhde, the group's subsidiary, the KÖKSAN project represents a major strategic win. The new production line in Yumurtal?k, slated for completion by 2028, will have an annual capacity of 324,000 tonnes of PET resin. Its core is the patented "Melt-To-Resin" (MTR®) technology, which cuts energy consumption by up to 30 percent compared to conventional methods. A unique two-reactor configuration is also designed to significantly lower both operational and investment costs.

This marks the third project Thyssenkrupp has executed for KÖKSAN, following two existing plants in Gaziantep, and solidifies its position in the global plant engineering sector. The material produced is destined not only for the Turkish domestic market but also for export to the Middle East, the Americas, Europe, and Africa.

The Broader Green Transition

This operational success coincides with Thyssenkrupp's high-profile push to decarbonize its traditional steelmaking. The company is currently showcasing its hydrogen-optimized steels, developed for hydrogen transport, and its bluemint® Steel at the Tube 2026 trade fair in Düsseldorf, running from April 13 to 17.

Behind the scenes, the group's most ambitious project is taking shape in Duisburg. Construction is underway on a direct reduction plant that aims to save up to 3.5 million tonnes of CO? annually. With financial backing pledged by the German federal government and the state of North Rhine-Westphalia, the facility is a cornerstone of Thyssenkrupp Steel's goal to cut at least 30 percent of its CO? emissions by 2030 and achieve fully climate-neutral production by 2045.

Navigating a Pivotal Period

The share price recently crossed above its 20-day moving average, a tentative technical signal of recovery after weeks of pressure. However, it continues to trade well below the 200-day average of around EUR 9.94.

Management is currently in a period of active engagement with the capital market, with investor meetings in Zurich and Paris on April 13 marking the final direct dialogue before a "Quiet Period" commences on April 22. All eyes are now on the upcoming half-year report, scheduled for May 12, which will provide concrete financial details for the first half of the 2025/2026 fiscal year.

Further catalysts loom on the horizon. A potential EU decision on steel tariffs is expected in May or June, which could significantly impact the traditional steel business. Additionally, a possible IPO of TK Elevator in the second half of 2026, with a valuation of up to EUR 25 billion under consideration, could provide a substantial capital inflow. Thyssenkrupp's remaining 16.2 percent stake in the elevator unit could help finance investments in green steel production and debt reduction, offering a potential financial lever to complement its technological advances.