POSCO to Increase 400 Series Stainless Steel Output in Pohang

POSCO plans to increase output of 400 series stainless steel in Pohang iron works. The firm decided to utilize Pohang’s closing no.1 carbon steel making plant for stainless steel production when a new carbon steel making plant starts operation in Pohang soon. The firm will convert no.1 carbon steel making plant after the new plant launches operation and start the operation of the converted stainless steel plant one year later. This is in line with the firm’s strategy to increase high value added stainless steel production including capacity expansion of cold rolling mills in China, Vietnam and Turkey.

POSCO plans to close present no.1 stainless steel making plant in Pohang due to conversion of no.1 carbon steel plant into stainless steel production. The firm expects for stainless steel capacity expansion by 100,000-200,000 tonnes per year. Consequently the firm’s stainless crude steel output capacity is expected to reach 3.1-3.2 million tonnes per year including China.

POSCO projects construction of a cold rolling mill with 200,000-tonne annual capacity in Turkey and concluded a joint investment contract with Kibar Holding and Daewoo International on January 6th. POSCO Group’s cold rolling capacity will increase to 70% against the hot rolling capacity in 2014 from present 50% including capacity expansion in Vietnam and China.