Reduciner, a Finnish deep tech startup spun out of VTT Technical Research Centre of Finland, has raised €3.6 million in seed funding to commercialize a novel high-temperature technology that converts captured carbon dioxide into usable fuel and valuable industrial raw materials. The round includes equity investment from Voima Ventures, Lifeline Ventures, and Mikko Kodisoja Foundation, with VTT contributing the underlying technology and IP as an in-kind investment. Proceeds will fund the construction of a 1MW industrial-scale pilot facility in Finland.
Reduciner’s proprietary thermochemical process converts CO₂ into carbon monoxide using renewable electricity and biogenic carbon. Because carbon monoxide is already compatible with existing industrial combustion systems, the solution enables companies to reduce emissions without costly infrastructure changes. A key economic driver of the platform is activated carbon, produced as a valuable co-product that improves overall process economics and reduces reliance on policy incentives or fossil fuel price movements. Activated carbon demand is expected to rise significantly as water and gas purification regulations tighten globally.
The technology is particularly well-suited for hard-to-abate heavy industries including lime, cement, steel, and pulp. In the lime industry specifically, CO₂ emissions from kilns can be captured, processed through Reduciner’s system, and recycled back as fuel into the same kiln, creating a closed carbon loop. On a global scale, CO₂ emissions from the lime and cement industry exceed those from aviation and marine transport combined. The company targets its first international deployments before 2030, following the Finnish pilot.
The technology was developed through several years of research at VTT and has been validated through pilot-scale testing. The commercialization phase began in 2026, and the company is led by CEO Johanna Grönroos and CTO Eemeli Tsupari.
KEY QUOTES:
“Most technologies that seek to replace fossil fuels with more sustainable ones require rebuilding of infrastructure. Reduciner’s technology converts CO2 into CO, which is compatible with existing machinery, allowing the solution to be deployed faster and more cost-efficiently. What makes Reduciner stand out from other deep tech companies aiming to develop sustainable fuel alternatives is that with our process, the sustainability impacts are reached profitably from the very beginning while also unlocking significant market potential.”
Johanna Grönroos, Co-Founder and CEO, Reduciner
“Reduciner stands out because it is already doing what many industrial climate companies can so far only promise on paper: validating the technology while advancing commercial discussions and solving real customers’ problems.”
Pontus Stråhlman, Partner, Voima Ventures
