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Erasteel
Published: December 8th, 2025
Erasteel’s history begins long before the company took its modern form. Its earliest origins can be traced to European steelmaking centers that eventually merged their operations. In Sweden, the Söderfors forge began producing iron in 1676 and continued doing so for generations. Other Swedish works at Vikmanshyttan, Langshyttan, and Österbybruk grew through the eighteenth and nineteenth centuries. In France, steel production expanded throughout the nineteenth century at Commentry and Champagnole. These facilities operated independently for decades, but their production methods and focus on tool steels set the foundation for a future consolidation.
By 1915, the plant at Vikmanshyttan had introduced equipment dedicated to high-speed steel, reflecting the growing industrial demand for alloys that could withstand higher temperatures and machining pressures. Mid-century developments in France followed similar paths, with both Champagnole and Commentry increasing their work with high-speed steels. These separate efforts eventually converged as corporate ownership changes brought the sites into closer alignment.
A new phase began in 1966 when Stora Kopparbergs Bergslags AB acquired the Söderfors and Vikmanshyttan plants. This placed several Swedish steelworks under one organization and enabled coordinated investment into new metallurgy. In 1969, Söderfors carried out the first industrial powder atomization of steel. The molten alloy was converted into a fine powder through gas atomization, a key step in creating modern powder metallurgy steels. This development allowed high-alloy steels with consistent microstructures that could not be achieved through conventional ingot casting. At the time, the powders were intended for high-speed steel and industrial cutting tools, but the same process would become essential for modern knife steels.
In 1976, Uddeholm purchased the Swedish operations. Six years later, in 1982, the facilities at Söderfors, Vikmanshyttan, Langshyttan, and Österbybruk were consolidated under the name Kloster Speedsteel, which centered its production on high-performance tool steels. Expansion continued in 1984 when Kloster Speedsteel acquired the high-speed steel operations at Champagnole in France. Meanwhile, the Commentry plant in France continued developing high-speed steel until Eramet purchased it in 1990.
In 1992, Eramet acquired Kloster Speedsteel and combined it with the Commentry operations. The result was Erasteel, a unified producer built on Swedish powder metallurgy and French high-speed steel development. This merger created the basis for Erasteel’s modern tool steel catalog.
- In 1966, Stora Kopparbergs Bergslags AB (pictued above) acquired the Söderfors and Vikmanshyttan steel plants
- In 1969, Söderfors became the first plant to carry out the industrial powder atomization of steel
- In 1976, Uddeholm purchased all the Swedish steel operations before merging them in 1982 under Kloster Speedsteel
- In 1992, Kloster Speedsteel was acquired by Eramet and combined with the Commentry steel plant to form Erasteel
Several powder metallurgy steels were already established in the early 1990s. ASP 23, an early high-speed tool steel with fine, evenly distributed carbides, was first mentioned in published data sheets by 1991. Its composition supported high hardness and wear resistance, making it suitable for industrial knives and cutting tools. Over time, it became part of Erasteel’s ASP line as ASP 2023. Throughout the 1990s and 2000’s Erasteel expanded this family of steels. Grades such as ASP 2004, 2005, 2008, 2030, 2048, 2052, and 2060 appeared with varying levels of carbon, chromium, molybdenum, tungsten, and vanadium. These steels were used in cold work dies, industrial shears, saws, and specialty knives requiring high wear resistance. ASP 2060, one of the higher alloyed grades, delivered very high abrasive wear resistance and edge stability, making it of interest to makers exploring extreme edge retention.
Erasteel also introduced stainless powder metallurgy grades. APZ10 combined roughly 19 percent chromium with a fine carbide structure suitable for corrosion-resistant cutting applications. ASP 420H increased both carbon and vanadium while maintaining chromium levels that supported daily-use knives exposed to moisture and abrasion. While these steels were originally developed for industrial tooling, they aligned closely with what modern knife makers look for in certain applications.
During the mid-1990s, a separate development grew from Erasteel’s powder metallurgy expertise. At Söderfors, metallurgist Pelle Billgren worked with bladesmith Kaj Embretsen to create a process for producing patterned stainless powder steel suitable for knives. Their method combined two stainless steel powders through hot isostatic pressing, producing a solid billet with a visible pattern after etching. This process was patented in 1994. Damasteel was founded the following year, in 1995, as a spin-off using these techniques. Early combinations included RWL34, based on a powder-metallurgy form of the 154CM/ATS-34 family, and PMC27, based on a powder version of 12C27. Damasteel became widely used in both custom and production knives, and its patterned steels have since appeared in models from companies such as Benchmade, Boker, and Spyderco. In 2012, Erasteel sold Damasteel to Per and Kristina Jarbelius, and the company continued operating independently with its established powder Damascus product lines.
- In 1995, Damasteel was founded as a spin-off company of Erasteel
- In 2012, Erasteel was sold to Per and Kristina Jarbelius
During the 2000s, Erasteel focused on increasing output and refining powder quality. In 2001, its parent group acquired Peter Stubs in the United Kingdom, adding distribution capabilities. In 2011, the Durin gas atomizer was introduced at Söderfors. This installation significantly increased Erasteel’s annual powder production capacity and supported continued growth in tool and knife steel supply. Around this time, Erasteel introduced the PEARL product line for HIP-consolidated powder steels and developed additional lines such as BlueTap and Evoloop, covering both powder metallurgy steels and conventional high-speed steels. The company also increased the proportion of recycled material in its steel production, exceeding ninety percent recycled feedstock.
Corporate changes continued in 2023 with the acquisition of Erasteel by Syntagma Capital from Eramet. This shifted the company to standalone ownership while its production sites remained active in Sweden and France. The acquisition positioned the company for a major change affecting the knife industry two years later.
In February 2025, Crucible Industries, the American producer responsible for the long-established CPM line of knife steels, closed its operations and auctioned its assets. Through that sale, Erasteel acquired part of Crucible’s steelmaking assets along with the trademarks for the CPM steel names. This included CPM S30V, CPM S35VN, CPM S45VN, CPM 154, CPM 3V, CPM S110V, and CPM MagnaCut. Niagara Specialty Metals in New York, a company that had processed large quantities of Erasteel steel in the past, entered an agreement to purchase CPM powder from Erasteel, hot roll it into plates and sheets, and distribute it to knife makers. This arrangement preserved continuity for factories and custom makers that rely on CPM steels. Two steels, CPM S90V and CPM CruWear, received new names, NSM 90PM and NSMwear, due to trademark considerations, but their production continues under the same powder metallurgy approach now operated by Erasteel.
Written By
Drew Clifton
Drew is the lead writer for SMKW's Knives 101, crafting informative and engaging content for the world’s largest knife store. With expertise in knife history, design, and functionality, Drew delivers articles and product descriptions that educate and inspire knife enthusiasts at all levels.
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T.C. Barnette
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