Overview
- POSCO signed a memorandum of understanding to invest in Hyundai Steel’s $5.8 billion electric arc furnace-based steel mill in Louisiana.
- The facility, slated for completion by 2029, will produce 2.7 million tons of auto-grade steel annually for U.S. and regional automakers.
- POSCO and Hyundai will also collaborate on developing materials for rechargeable batteries, aligning with future mobility and EV technology needs.
- The investment responds to the U.S. administration’s 25% tariffs on steel imports, aiming to secure tariff-exempt supply chains and localized production.
- POSCO's equity stake in the project is yet to be finalized, with discussions on investment ratios expected to begin soon.