According to Hydro’s official website, the company has signed a long-term agreement with NKT, a power cable solutions provider, for the supply of power cable wire rods. The agreement ensures that Hydro will supply low-carbon aluminum to NKT to meet the growing demand in the European market for medium and high-voltage power cable solutions.
Hydro is a global advanced rolled aluminum products manufacturer, whose products cover aluminum precision tubes, aluminum radiators, aluminum wires and cables, aluminum extruded profiles, aluminum welded round tubes, etc. The aluminum wire rods supplied this time represent another important practice in its aluminum product portfolio. Aluminum is an ideal choice for the development of renewable energy grids due to its high electrical conductivity, flexibility, light weight, and significantly lower cost compared to other metals commonly used in power cables.
This is the first new contract since Hydro announced a NOK 1.65 billion investment in a new wire rod casting plant in Karmøy, Norway, to meet the growing needs of the European energy industry. The agreement is valid from 2026 to 2033, with an estimated total supply of 274,000 tons and an option to increase supply during the period. The contract is valued at approximately €1 billion, subject to quantity and future metal prices. NKT and Hydro have collaborated for over 40 years, with the existing contract valid until 2025.
Under the agreement, Hydro will supply NKT with its REDUXA 4.0 primary aluminum produced using renewable energy in Norway. Producing 1 kg of REDUXA 4.0 primary aluminum generates 4 kg or less of CO₂, approximately one-fourth of the global industry average.
Hydro and NKT established a strategic partnership in March 2024 to jointly develop low-carbon solutions for the European energy sector. Within the framework of their joint decarbonization roadmap, the two companies are committed to researching, developing, and exploring aluminum wire rod applications with the lowest possible carbon footprint. With technological advancements and deepened collaboration, it is believed that the two sides will provide more high-quality aluminum product solutions for the development of energy infrastructure in Europe and beyond in the future.
Post time: May-13-2025