200 saplings planted across 1,500 pyeong of the CGL plant, supported by the City of Altamira

POSCO Mexico took the lead in creating a “green forest” at its Altamira CGL Plant in collaboration with the City of Altamira and the Mexican Water Resources Agency during a tree-planting event held on September 27.

The event was attended by Mayor Armando of Altamira, German, Director of the Mexican Water Resources Agency, and POSCO Mexico President Woo-il Kim.

Altamira, home to many petrochemical complexes, has actively pursued various carbon reduction initiatives. One such project, the Green Forest initiative, provides free saplings to environmentally responsible companies, helping create green spaces.

As part of the Green Forest project, POSCO Mexico planted 200 saplings, including jacaranda trees, rosewood, and flame trees, across 1,500 pyeong of unused land at the CGL plant.

Since 2022, POSCO Mexico has collaborated with the Mexican Water Resources Agency on the ‘Oasis Project,’ which aims to address water scarcity by recycling water, contributing to cost savings, and preventing environmental pollution. The recycled water will also irrigate the newly created green forest.

Mayor Armando of Altamira expressed his gratitude, saying, “Thank you to POSCO Mexico for participating in the green space project to help reduce carbon emissions. POSCO Mexico, which has received ESR certification for eight consecutive years and actively engages in ESG management, is a source of pride for Altamira. Despite this year’s severe drought and abnormal weather, let’s continue to work together to overcome this crisis.”

President Woo-il Kim added, “POSCO Mexico is actively participating in solving Mexico’s environmental challenges, including the Green Forest initiative and the Oasis Project. We will continue strengthening our cooperation with the local community, leading efforts to reduce carbon emissions and address water scarcity as part of our commitment to tackling climate change.”

Meanwhile, a day before the event, POSCO Mexico employees and their families participated in the “Love Lunchbox” volunteer initiative, providing meals to residents in need.

▲On September 27, POSCO Mexico held a tree-planting event at its Altamira CGL Plant in collaboration with the City of Altamira and the Mexican Water Resources Agency. From left: POSCO Mexico President Woo-il Kim, Mayor Armando of Altamira, and German, Director of the Mexican Water Resources Agency.

POSCO-Mexico has actively explored solutions to the environmental challenges at Altamira Industrial Park, where there is a notable lack of green spaces. After eighteen months of dedication, the ‘With POSCO Green Forest’ initiative was inaugurated in October 2023. This project not only aims to heighten local awareness of environmental preservation but also strives to reduce air pollution. We warmly invite you to visit the ‘With POSCO Green Forest’ site, a place where life thrives, the air is purer, and a sustainable future is being carefully cultivated.

POSCO-Mexico commenced operations in December 2006 and launched its first continuous galvanizing line (CGL) at the Altamira Industrial Port in Tamaulipas in 2009. To meet increasing demand, the company enhanced its production capabilities by adding a second CGL in 2014, reinforcing its role as a key contributor to Mexico’s steel industry.

The Altamira Industrial Complex, home to POSCO-Mexico’s two hot-dip galvanized steel production facilities (CGL), serves as a center for chemical and logistics companies. This industrial activity leads to high levels of air pollutants, including sulfur oxides. Without significant green spaces to mitigate these effects, and compounded by frequent heatwaves and droughts, air pollution has become a critical social issue, posing health risks to the local population.

Committed to advancing corporate citizenship through community engagement and human resource development, POSCO-Mexico promptly acknowledged the urgent issue of air pollution. In response, the company launched a resolute effort to address it. After eighteen months of dedicated work, POSCO-Mexico reached a significant milestone in August 2023 with the establishment of the ‘With POSCO Green Forest,’ aimed at environmental improvement. We are delighted to share the journey of creating this forest with you.

Through the launch of the ‘With POSCO Green Forest’ initiative, POSCO-Mexico is set to develop a lush forest in Altamira Industrial Park, aiming to improve air quality and reduce pollution.

After thorough preliminary research, POSCO-Mexico proactively engaged stakeholders, underlining the urgent need to establish a forest. This concerted effort not only heightened awareness but also encouraged active participation. As a result, the municipal government of the involved Mexican city demonstrated its support by generously providing a 1.09-acre plot of land at no cost for the forest project, affirming the success of POSCO-Mexico’s initiatives.

POSCO-Mexico conducted extensive research on the Altamira region, the selected site for this forest, and customized the ecosystem to fit local conditions. The area’s tropical climate, marked by limited rainfall except during the rainy season from September to November, necessitated the design of an efficient irrigation system to support optimal tree growth. POSCO-Mexico cleverly tackled this challenge by integrating a tailored irrigation solution that supports the forest’s development.

POSCO-Mexico’s Sustainable initiatives feature rainwater recycling and the use of renewable solar energy. The effectiveness of these technologies led to their integration into the adjacent ‘With POSCO Smart Bus Stop’ project, which also supports the nearby forest. A rain gutter installed on the bus stop’s roof channels rainwater into a storage tank, from where it is then distributed via pipes to forest sprinklers that automatically water the trees at set intervals. This innovative system underscores POSCO-Mexico’s dedication to sustainability and environmental stewardship. Additionally, the smart bus stop, powered by solar energy and launched in 2021, offers a carbon-neutral solution that improves safety and convenience for residents, ensuring reliable bus service during extreme weather conditions.

POSCO-Mexico’s eco-conscious irrigation system has nurtured the development of a self-sustaining forest, now thriving independently. This milestone was celebrated by Mexican media with the headline, ‘Tamaulipas State, Mexico Welcomes Its First Self-Sustaining Forest.’

▲Mexican media highlighted ‘With POSCO Green Forest’ project.

POSAMI, POSCO-Mexico’s employee volunteer program, successfully implemented an Sustainable forest that utilizes rainwater recycling. Through eight planting initiatives, POSAMI has planted a total of 1,577 trees, comprising 175 oak trees and 1,402 fig trees. These species were chosen for their superior carbon absorption capabilities.

In September 2022, employees and their families participated in a tree-planting volunteer event, with children actively joining their parents in volunteer uniforms. Together, they not only planted trees but also deepened their understanding of environmental preservation. This event reinforced POSCO’s dedication to corporate citizenship and its commitment to creating a better world. In the ‘With POSCO Green Forest,’ approximately 1,577 trees, including those planted by the volunteers, have now taken root, symbolizing a beacon of hope.

The project’s success was due to a collaborative effort that involved close communication with the city government, neighboring companies, and a local university. POSCO-Mexico spearheaded the initiative by developing a comprehensive plan for the forest, designing the ecosystem, and organizing planting activities, all while actively engaging the community to garner support. The municipal government was instrumental in providing the land at no cost and facilitated the involvement of nearby companies. Six companies in the industrial park—M&G, AISTAC, Saavi, Orbia, Styropek, and Indelpro—donated resources and technologies to enhance the project’s success. Additionally, a local university contributed valuable expertise by creating aerial views of the forest and analyzing the environmental, social, and governance (ESG) financial impacts.

To recognize the collaborative efforts, flags representing the contributing companies, POSCO-Mexico, and the Altamira municipal government were raised at the site. Additionally, a promotional video detailing the creation of the ‘With POSCO Green Forest’ is showcased on municipally owned LED boards, serving as a reminder to residents about the importance of environmental protection.

Furthermore, POSCO-Mexico inscribed five brands of corporate citizenship onto the exterior walls of five rainwater harvesting tanks to promote its corporate citizenship values and enhance its visibility.

Over the next decade, the lush green forest, which includes 1,577 oak and fig trees, is expected to absorb approximately 740 tons of carbon dioxide and produce 140 tons of oxygen. These activities are estimated to generate an economic benefit of $529,100. Additionally, the forest is set to reduce the local heat island effect and lower particulate matter concentrations, significantly improving air quality in the community.

POSCO-Mexico will track ESG impacts by systematically documenting changes in carbon and oxygen levels, and will get ready for the forthcoming Mexican cap-and-trade system and the tightening of environmental regulations. Continuing its efforts to set a global standard and lead in ESG, POSCO-Mexico remains dedicated to fulfilling its community responsibilities through diverse social contribution efforts.

]]> https://newsroom.posco.com/en/korea-mexico-join-hands-celebration-massive-steel-plant-opens/ Wed, 19 Feb 2014 11:46:26 +0000 In Tamaulipas, steel and auto reps gather to mark completion of POSCO’s new Continuous Galvanizing Line

The busy Mexican automobile industry has ushered in a valuable new asset—a steel galvanizing plant from Korea.

On January 28^th in Altamira, Tamaulipas, POSCO completed construction on its second Continuous Galvanizing Line (CGL) in Mexico. The plant has added 500,000 tons of steel added to POSCO’s yearly capacity in the region. With its completion, POSCO has become Mexico’s largest producer of plated steel sheets for automobiles.

[box] What’s a Continuous Galvanizing Line? Almost nothing is stronger than steel—but without protection from water and weather, the backbone of the world’s industries will rust. Galvanization is the process of applying zinc coating to bare steel in order to prevent rust and make steel more durable. Steel can be protected from rust by paint or powder, too. But coating steel with zinc is more permanent. Galvanization means that even if steel’s painted surface is scratched off, it won’t corrode. Galvanized steel is therefore used for products that need to be extra durable—like cars. In a continuous galvanizing line (CGL), ribbons of fresh, newly-pressed steel are treated with zinc as they roll down a factory in a never-ending line. It’s kind of like a cafeteria line… if zinc were your lunch! Efficient, right? [/box]

In a ceremony commemorating the factory’s opening, POSCO welcomed more than 300 people, including Mexican government officials and employees from client companies like Toyota, Honda, Nissan, and Volkswagen. The ceremony was led by key figures like Egidio Torre Cantú, governor of Tamaulipas, Seonghoa Hong, Korean ambassador to Mexico, and POSCO’s own CEO, Joonyang Chung.

Chung addressed close partnership between Mexico and Korea as a major factor in the new plant’s success. “The 2CGL factory is an extension of the road to friendship that POSCO and Mexico have been developing since our Mexico office was established in 1981,” he said. “I would like to give my deepest thanks to the many government officials, client companies, and suppliers who made successful completion of this factory possible. POSCO will continue in its efforts to supply premium quality automobile steel plates.”

In recent years, Mexico’s role in the world’s automobile industry has jumped by leaps and bounds. Companies like Volkswagen, Chrysler, GM, and Renault Nissan entered Mexico chasing the country’s low labor costs as well as its proximity to the USA, which is the world’s second-largest automobile market.

Nearly 1,000 global parts companies followed, including Autotech and Benteler Automotive, giving Mexico’s production market some of the high growth potential in existence.

Now, the country is the world’s 5^th-largest automobile export country. Last year, it exported 2.4 million automobiles. Honda, Mazda, and Nissan are all upping their Mexican production lines for new steel plates as a result.

POSCO’s Role

2CGL, as the new galvanizing line is called, is POSCO’s second plant in Altamira. The company opened its first Mexican CGL in 2009. Combined, the two plants have 900,000 tons of automobile steel plate production capacity.

The main product of 2CGL will be a type of galvanized steel plate used in the exterior panels of high-end automobiles. The most in-demand products are the “GI Ace,” which has improved coating and processing capabilities, and the “780㎫ class AHSS steel”, a premium-grade steel plate that is lighter but more resistant to external impacts. The plates’ high quality and demand from the world’s leading automobile manufacturers is expected to add even more value to Mexico’s industry as a result.

In addition to its automobile steel plate factories, POSCO also has four steel processing centers in Mexico: POSCO-MPPC Plants 1, 2, and 3; plus POSCO-MAPC.

Contribution to the local economy and promotion of the automobile market are among POSCO’s major goals in Mexico. It also strives for sustainable growth in the local community.

A 500,000 ton annual capacity 2CGL factory in Mexico, completed by POSCO on January 28^th, 2014. With the establishment of 900,000 tons of production capacity in the country, POSCO hopes to secure a foundation from which they can lead in the local industry’s production of high added-value products.