Reduciner bags €3.6M to commercialise carbon conversion technology for industrial applications

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Reduciner bags €3.6M to commercialise carbon conversion technology for industrial applications
© Reduciner

Reduciner, a deep tech startup, has secured €3.6 million in funding to accelerate the commercialisation of its carbon conversion technology.

The round includes equity investment from Voima Ventures, Lifeline Ventures, and the Mikko Kodisoja Foundation, alongside an in-kind contribution of technology and intellectual property from VTT Technical Research Centre of Finland. The funding will support early deployments and further development of its industrial decarbonisation platform.

What The Company Does

Reduciner is developing a high-temperature thermochemical process that converts captured carbon dioxide into carbon monoxide using renewable electricity and biogenic carbon. The resulting output is a synthesis gas rich in carbon monoxide, which can be reused within industrial systems or serve as a feedstock for producing synthetic fuels such as methanol.

A key aspect of the technology is its compatibility with existing industrial infrastructure. By converting CO₂ into a usable input rather than requiring entirely new systems, the platform is designed to enable faster adoption and reduce the need for large-scale capital investment.

The company’s approach is particularly relevant for sectors where emissions are difficult to eliminate, including cement, steel, lime, and pulp production. In some use cases, such as lime manufacturing, captured emissions can be recycled back into the production process, effectively creating a closed carbon loop.

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Market Context / Industry Background

Heavy industry remains one of the most challenging sectors to decarbonise, accounting for a significant share of global emissions. Traditional approaches often require substantial infrastructure changes or rely on costly inputs such as green hydrogen, which can limit economic viability in the short term.

Technologies that enable carbon reuse rather than direct substitution are gaining attention as a more incremental pathway to emissions reduction. By integrating with existing processes, these solutions can offer a more immediate route to lowering emissions while maintaining operational continuity.

At the same time, demand for synthetic fuels and alternative feedstocks is increasing as industries seek to reduce reliance on fossil-based inputs. Carbon monoxide-based synthesis pathways are being explored as a potentially more efficient and cost-effective option compared to conventional CO₂-based routes.

Looking ahead, the scalability of these technologies will depend heavily on both regulatory support and industrial adoption rates. Policy frameworks that incentivise low-carbon industrial processes could significantly accelerate deployment, particularly in sectors such as steel, cement, and chemicals. In addition, collaboration between startups, research institutions, and established energy companies will be essential to bridge the gap between laboratory-scale innovation and large-scale industrial implementation. While technical feasibility is increasingly demonstrated, the key challenge remains achieving cost competitiveness with fossil-based systems under real-world operating conditions.

Founder / Investor Commentary

Chief executive and co-founder Johanna Grönroos said many sustainability technologies require rebuilding industrial infrastructure, which can slow adoption. She noted that Reduciner’s approach focuses on converting CO₂ into carbon monoxide that can be used within existing systems, enabling faster and more cost-efficient deployment.

She added that the company’s process is designed to deliver sustainability benefits while maintaining economic viability from an early stage, positioning it differently from other deeptech solutions in the sector.

Growth Plans / Use Of Funds

The newly raised funding will support Reduciner’s transition from pilot validation to commercial deployment. The company has already completed pilot-scale testing and began its commercialisation phase in 2026 with small-scale demonstration projects.

Initial industrial deployments are planned in Finland, with further international expansion targeted before 2030. The company is expected to focus on scaling its technology within key heavy industry segments where emissions reduction requirements are most pressing.

About Reduciner

Reduciner is a deeptech company developing carbon conversion technology for industrial decarbonisation. Based in Espoo, Finland, the company focuses on transforming captured CO₂ into usable carbon monoxide for integration into existing industrial processes, enabling more efficient and scalable emissions reduction.

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