Hagfors Shapes the World with Värmland Steel
In Hagfors, Uddeholm’s CEO, Pär Emanuelsson, sees how local craftsmanship pride and innovation go hand in hand. This is where steel is shaped that impacts people’s everyday lives all over the world.
Did you know that the world’s leading manufacturer of tool steel for industrial tooling is located in Hagfors? Your car key, electric toothbrush, and eyeglasses were most likely created using tools made of Uddeholm steel from Värmland. The same applies to your computer, car, and household appliances.
The approximately 850 employees based in Hagfors produce products that people around the world rely on every day. CEO Pär Emanuelsson is inspired by the strong commitment among employees.
“There is so much professional pride at Uddeholm. We have fantastic employees who care about one another and about the company’s future. Around 100 different professions are represented here, ranging from specialists in niche areas to skilled craftspeople. For example, electricians work side by side with metallurgists who are experts in their field,” says Pär.
A Career Shaped by Opportunity
Pär is originally from Småland and ended up at Uddeholm by chance. He studied economics in Linköping and had initially planned to work in banking, but when it came time to apply for jobs, he found the positions in the banking sector somewhat too rigid. He started looking at industrial companies and came across Uddeholm, which was recruiting a trainee.
After an interview in Hagfors and assessments in Austria, it turned out that he did not match the trainee profile they were seeking, but instead was offered a role as assistant to the CEO within the strip steel division. This was followed by roles in various parts of the company, a brief period at Sandvik in Sandviken, and he has now been with the group for 23 years, the last six as CEO. In his spare time, he is a self-proclaimed hobby farmer at his farm in Sunne, where haylage, forestry, dogs, and horses provide balance in life.
Most employees live in Hagfors. Running a large industrial operation in a smaller town makes collaboration between schools, the municipality, industry, and other parts of the local community incredibly important. Pär describes a strong symbiosis between the company, the local community, and the people who both work and live in Hagfors.
“We depend on each other and feel a sense of loyalty to one another. In that sense, there is a very positive mill-town spirit here,” says Pär. “Networks and communication are extremely important. For us, it is natural to do what we can for those who live and work here.”
One way of doing this is by supporting associations and collaborating with schools. Creating the right conditions for relevant local education is also key.
“We work to spark interest in technology in many ways. Recently, we hosted first-year upper secondary school students for visits, and we also listen to students who bring new perspectives on us and what we do,” Pär explains.
Creating Opportunities for Development
It is clear that talent supply looks different today compared to the past. At a recent retirement celebration, all retirees had worked at least 40 years at the company, while the new generation moves much more frequently in the labor market. It is therefore important to create variety, internal career paths, and opportunities to try different roles within the company. Work on values is also essential.
“Everyone should feel included,” says Pär. “It is extremely important—the dynamics and ensuring that everyone feels they have a place.”
One of the most important factors is providing all employees with opportunities for development and space for personal initiative. UPS, Uddeholm Production System, is based on all employees actively participating in continuous improvement across all areas of the company.
“For example, we use improvement boards where employees write down things they want to improve, and on average they carry out four to five improvements per person each year. They work on these independently and report on progress. We know that people themselves best understand what can be improved in their own work—their own expertise.”
Green Steel
Uddeholm has long been working toward fossil-free production and climate neutrality and has reduced its fossil CO₂ emissions by 70% since 1990. In industry, emissions often come from gas combustion. Uddeholm has replaced natural gas with biogas, while also reducing emissions by increasing electrification and using 100% fossil-free electricity. By 2030, all production is to be fossil-free, and by 2040, the product lifecycle is to be climate neutral.
Pär explains that a large part of sustainability comes not only from ensuring that manufacturing is as sustainable as possible, but also from using sustainable materials and creating products that customers can use for a long time in a sustainable way. Products are made from 84–98% recycled material, and the production system and location create strong conditions to lead this development.
“No one else is anywhere near our work in this area within steel production. It is fully aligned with our vision ‘Shaping the world.’ And if we want to remain relevant in the future, we must do everything we can to operate sustainably today,” says Pär.
Deep Historical Roots
Uddeholm has been producing steel in Hagfors for 350 years. It is a fascinating history of innovation and renewal, dating back to the construction of the first trip hammer in Stjärnsund in 1668. There are many exciting milestones, such as the story of how the young engineer E.G. Danielsson traveled to North America in 1843 and put Uddeholm on the map beyond Europe. In 1855, he became Managing Director of Uddeholms AB.
“We have an amazing history that we are proud of, but we do not want to rely on it, become complacent, or slow down. Continuous forward momentum is essential. To be world-leading, you must never settle,” says Pär.
“There is constantly new technology that we use to improve. We must challenge ourselves and stay alert. Our competitors are not asleep,” he concludes.
Uddeholm
Uddeholm is a global manufacturer of high-quality tool steel, with its main production site located in Hagfors, Värmland (Sweden). The company plays a key role in the region’s industrial structure and has been central to the development of Hagfors as an industrial community.
The business focuses on the production and development of advanced tool steel used in industries such as automotive, electronics, and medical technology. Uddeholm is part of the international steel group voestalpine AG, which provides a strong global presence in more than 90 countries.
Historically, Uddeholm has had a major impact on Värmland. Founded in 1668, the company grew into one of Sweden’s largest iron and steel producers and has contributed significantly to regional employment, infrastructure, and industrial development, especially in Hagfors.
Number of employees: As of 31 March 2026, the company had 764 employees at its facility in Hagfors, Värmland.
Revenue: During the financial year 25/26 (1 April 2025 to 31 March 2026), Uddeholm in Hagfors had a turnover of EUR 247,4 million.
Website: https://www.uddeholm.com
Written by: Elin Iderström
Photo credits: Uddeholm