The 2024 Global Volunteer Week, POSCO’s special volunteer service event, was held from May 23 to 31. More than 20,000 POSCO employees in Korea and other countries participated in large-scale volunteer work to practice sharing. POSCO Newsroom has taken vivid photos of the volunteer activities carried out by overseas subsidiary employees worldwide. Let’s meet them!

▲ POSCO-ZPSS employees carried out various volunteer activities to celebrate Global Volunteer Week. They held a bazaar in the cafeteria and in front of the parking lot and donated a total of 16,000 yuan to special schools and families in need. They also visited Jin Xiu School in Zhangjiagang City to provide a voluntary service of taking graduation photos for about 300 students from low-income families and donated sportswear and sneakers to the women’s volleyball team players.

▲ POSCO-QPSS employees participated in the “Love Sharing Blood Donation” event hosted by the Qingdao City Blood Donation Center and held a charity bazaar with donated goods from 48 employees in the office building’s first-floor lobby. They donated a total of 1,779 yuan to the underprivileged.

▲ POSCO-Asia (Hong Kong) employees visited a local support group for underprivileged children and donated the future generation support funds raised through the 1% Sharing activities and participated in Food Angel volunteer work to make about 2,500 lunch boxes to distribute to neighbors.

▲Twelve employees of BX Steel POSCO Cold Rolled Sheet Co. visited the Korean-Chinese Middle School in Benxi and held an art contest with the theme “Waste sorting for environmental protection starts with me” as part of an eco-friendly knowledge learning class and awarded excellent works.

▲ POSCO-CSPC employees visited the Children’s Love Center, which was newly established by the Hua Qiao Government to help special children live a safe and convenient life, and provided various learning aids for children to use. They also placed air-purifying plants throughout the children’s center to create a pleasant indoor environment.

▲ POSCO-CCPC employees carried out an environmental cleanup at the Yulin river’s Long Xing Estuary near the company’s head office and collected waste by going around approximately 2 kilometers near the river road for two hours.

▲ POSCO-CDPC employees held a handmade craft event with clay drawings with children at a Hong Yan daycare center near the company’s head office.

▲ POSCO-CFPC employees held a Healing Summer event by inviting families of the disabled. They invited the families of the disabled to the Guangdong Industrial Design Complex and ran a program where the visitors could experience Guangdong Province’s industrial development and POSCO’s corporate culture.

▲ POSCO-CHPC employees visited a Wuhan Yi De senior welfare center, where they have been carrying out volunteer services for 9 years, and spent time with the seniors making zongzi, a traditional food for the Dragon Boat Festival.

▲ POSCO-CJPC employees visited a Jilin Chao Yang special school near the head office, laid out safety mats so that the children could rest comfortably and provided snacks.

▲ POSCO-CLPC employees donated five electric nursing beds to vulnerable groups living near the factory with donations collected through 1% Sharing activities.

▲ POSCO-CQPC employees visited the Qing Yu Village, a sister village that was having difficulties with timely harvesting due to a shortage of workers, helped the village people to harvest and package cherries, and donated the cherries to a local senior center.

▲ POSCO-CTPC employees collected 309 sets of old clothes that they no longer used and donated them to a public interest collection platform.

▲ POSCO-CWPC employees carried out activities to remove weeds from the factory’s idle site.

▲ POSCO-CYPC employees visited the beach in downtown Yantai, where many tourists go in the summer, and carried out environmental cleanup activities to pick up trash and put its ESG management philosophy into practice.

▲ POSCO-Japan PC employees carried out environmental cleanup activities for five days in the Toyohashi Sports Complex near the factory, the fishing park in the Yokkaichi Kasumigaura Industrial Complex, the area around the Kawasaki factory, and the vicinity of Higashi Ogishima West Park.

▲ POSCO-PMPC employees cleaned the roads and sewers to prevent flooding that may occur during typhoons and the rainy season in the First Philippine Industrial Park where the company is located.

▲ POSCO-Malaysia employees performed environmental cleanup at community halls and kindergartens near the company by trimming grass, painting old goalposts, cleaning the inside and outside of buildings, and collecting waste.

▲ All POSCO-MKPC’s Klang Factory employees walked a 2-kilometer path between the Klang Factory entrance and surrounding villages to collect waste to participate in the “Zero Disposable Plastic” waste reduction campaign.

▲ About 30 employees of PY NIVA (POSCO YAMATO VINA) purchased paint supplies using funds raised through the 1% Sharing program, repainted tables and chairs they previously donated to an elementary school near the company, and delivered scholarships of 10 million dong to students in need.

▲ POSCO-VST’s 130 employees went around the company to collect roadside trash and provided a fun time by holding a charity bazaar and traditional game competition at a nearby elementary school.

▲ POSCO-Vietnam’s 90 employees visited two orphanages near the company’s head office and had a good time with the children by distributing snacks and school supplies.

▲ POSCO E&C Vietnam employees visited Phuc Lam Orphanage Center and donated daily necessities, school supplies, and a support fund of about 1.6 million won to instill hope in children for the future.

▲ POSCO-Thailand PC’s 67 employees carried out the protection of the maritime ecosystem jointly with the Chonburi Province Coral Preservation Foundation by planting coral seedlings in the sea. Their activities were introduced in detail on the Foundation’s SNS.

▲ POSCO-TCS employees visited nearby Banpusai Elementary School, donated shoe racks and created a vegetable garden. Moreover, they replaced toilets and lighting in old bathrooms and provided education on safety and hygiene to the students.

▲ POSCO-Thainox employees cleaned pedestrian paths near the local municipality office, cleaned drains in preparation for the rainy season, and visited welfare centers for children and people with disabilities to donate daily necessities and carry out activities such as ceiling repair and restroom maintenance. Moreover, they donated relief supplies to nearby emergency rescue teams and self-made bulletproof panels in bulletproof vests to police stations.

▲ POSCO-ISDC’s employees visited a nearby school in Mangao, donated educational TVs and water dispensers, provided English lessons for students, and planted eco-friendly mango trees with the children.

▲ POSCO-Maharashtra employees visited a welfare center for visually impaired students and donated various items, including food and school supplies, to help students grow up in a good environment.

▲ POSCO-IDPC’s employess donated 30 barricades for traffic control to the Casola Police Station in the region. Moreover, they participated in the Indian government’s “Clean India Vision Campaign” by picking up trash and cleaning roads near the office.

▲ POSCO-IAPC employees walked around the roadside in front of the center, picked up discarded trash, and planted seedlings, contributing to creating a pleasant community environment.

▲ POSCO-ICPC collected trash around drainage ditches and removed steel items such as bolts from roads to prepare for heavy monsoon rains and safety accidents around the Chennai Center. In addition, to increase the convenience of nearby residents, the area was cleaned up with pedestrian roads and maintenance.

▲ Fifty employees of POSCO-India Pune Processing Center (IPPC) planted 500 fruit tree seedlings, such as guava, custard apple, and sapota, at Lake Talegaon Dabhade near the company.

▲ POSCO-IJPC’s 28 employees visited a nearby nursing home to celebrate Family Day in Indonesia, prepared chicken porridge and drinks for senior adults, and made and installed handrails in the front yard and walking path.

▲ PT. Krakatau POSCO employees visited a local school for the disabled, built a garden, repainted oil painting, and cooperated with the Ministry of Oceans and Fisheries to build an artificial fish reef at Ketapang Beach and clean up the shore. Furthermore, they participated in a blood donation event, delivering 221 blood bags to the Red Cross. They also conducted environmental cleanup activities at five local landmarks with military units and municipal officials from the Cilegon area.

In Part 2 of ‘2024 Global Volunteer Week’ overseas employee volunteer activities,
Overseas corporations in Turkey, Poland, the United States, etc.
Lively volunteer activities participated by POSCO International executives and employees
We will report on the scene. Thank you for your interest!

To adapt to the rapidly changing Chinese automotive market, POSCO is actively managing 12 processing centers in China, the world’s leading car production hub, with a strong emphasis on eco-friendly vehicles. POSCO’s integrated processing centers in China practices ESG management through organic collaboration among processing centers, by addressing regional customers collectively, by engaging in active corporate citizenship activities and through the use of renewable energy.

In 1994, POSCO founded its first international processing center, the CTPC, in Tianjin, China. Since then, the company has further expanded its operations in China, establishing four production corporations, including POSCO China, and adding 11 additional processing centers to its network. In China, POSCO currently manages processing centers in various locations, such as Suzhou (CSPC, CZPC), Xianyang (CLPC), Gilim (CJPC), Poshan (CFPC), Yantai (CYPC), Chongqing (CCPC), Chengdu (CDPC), Qingdao (CQPC), Tianjin (CTPC), and Wuhan (CHPC).

The China Integrated Processing Center processes coil-shaped steel materials into various sizes and shapes as per the requirements of its customers, which include automotive, appliance, and construction companies. It also offers logistics services, including material storage and transportation, to reduce the logistical burden on its clients. POSCO in China has integrated its processing centers into the CTPC, thereby fostering a flexible and agile response system for regional customer needs and creating synergy through organic collaboration. In addition, POSCO actively practices ESG management through various methods such as active corporate citizenship activities and the use of renewable energy.

Distinguished organizational culture management and efficient safety practices

The China Integrated Processing Center is known for its well-established organizational culture, with many long-term employees. It operates an internal channel for gathering employee feedback, continuously monitoring the opinions of employees through the VOC (voice of customer) system and providing feedback within 24 hours. Thanks to this attentive organizational culture management, the turnover rate, which was 26% in 2019, decreased to 3% by 2023, and the length of service has increased, creating a “happy workplace.”

Furthermore, the organization has been innovating its culture through collaborative efforts in creative and innovative activities involving all employees. The number of improvement initiatives, which was 37 in 2020, increased to 531 in 2023, resulting in a cumulative total of 1,073 on-site improvements. Innovative improvements have been made in the sales, purchasing, and logistics areas. In the Sales Department, the introduction of an e-sales platform led to a 100% success rate in scrap sales, promoting transparency and fairness in business operations. In the Purchasing Department, 1,246 items that had previously been managed manually were systematized, and improvements in logistics routes within the factory significantly reduced waiting times during loading.

▲Unmanned knife replacement facility using a robot (left) and the newly established ‘Press Smart’ preliminary maintenance system.

Efficient safety management activities that focus on identifying core aspects are also noteworthy. The Processing Center has significantly improved safety levels through efficient safety management, with all employees equipped with safety expertise actively participating in safety initiatives. As a result of employees voluntarily engaging in potential risk mitigation activities, the number of identified ideas for mitigating potential risks increased from 1,139 in 2020 to 2,411 in 2023. This was made possible through the various policies that support safety improvement activities, including the streamlining of the proposal process and the expansion of incentive systems such as audit cards.

With ongoing efforts in equipment resilience and smartization activities, the equipment failure rate has consistently decreased annually, reaching 0.02% in 2023. In addition, the CTPC has established a maintenance system and achieved automation and unmanned operations, and is now ready for future investments in smart technology and collaborative processes for processing equipment.

Setting an example in ESG management for carbon Reduction

▲China Integrated Processing Center (left), which was introduced as an excellent company in safety management in Suzhou Daily, the largest media in Suzhou City, and the Tianjin City government-certified low-carbon environment excellent company award in 2022.

The China Integrated Processing Center is playing an exemplary role as a processing corporation based on recognition and trust from the local Chinese community. The Chinese government is currently pursuing the “Industrial Green Development Plan,” which aims to transform industrial zones into low-carbon manufacturing environments by 2050. In line with this, since 2017, it has been selecting and commending a “Green Factory” that possesses low-carbon manufacturing environments. The CTPC in Tianjin received government certification as a “Green Factory” in 2023. Processing centers such as the CSPC in Jiangsu Province, the CYPC in Shandong Province, and the CHPC in Hebei Province are currently undergoing evaluation for “Green Factory” certification.

The China Integrated Processing Center has also established a green energy production system by installing solar panels, thereby contributing to carbon Reduction. By installing solar panels covering 67% of the total roof area at the CSPC factory, equivalent to 10,000 square meters, it has saved approximately 639,000 yuan (around KRW 100 million) in annual electricity costs and reduced annual CO₂ emissions by about 11,000 tons. During the verification of renewable energy source generation, the monthly expected power generation from the solar panels was found to be 90 MWH, surpassing the predictions of the simulation conducted before the investment. The company is expanding its renewable facilities by installing streetlights powered by wind and solar energy, thereby achieving self-powering through renewable energy sources.

Let’s take a closer look at the impressive performance of the CTPC among the 12 POSCO China Integrated Processing Centers. The CTPC stands out for its smart safety management and active corporate citizenship activities, standing out as an exemplary processing center.

The CTPC, established on October 26, 1994, in Tianjin, China, is the first overseas processing center for POSCO. The CTPC processes and stores steel plates, and they sell these to car companies such as Beijing Benz, Great Wall Motor, and FAW-Toyota in the northern part of China. With a team of 150 dedicated employees, they are passionately committed to proving the capabilities of a leading materials company in the rapidly changing Chinese automotive market and are determined to make even greater strides.

▲Integrated Safety Management Mini-App usage screen.

The CTPC has introduced the Integrated Safety Management Mini-App to effectively record and share information about safety activities that employees participate in. Previously, when employees identified potential hazards in the field, they had to take photos and send them to the safety manager, who would manually record and manage them in the potential hazard log. Sharing the recorded information with all employees immediately was also a challenge. With the implementation of the Integrated Safety Management Mini-App, employees can now quickly and easily report potential hazards they find in the field. This information is then shared with all employees. The app allows for direct checking of the improvement process and results.

Full employee engagement in safety certification and emergency response training

The CTPC has overturned the old idea that only managers or officials are responsible for on-site safety. Instead, all on-site employees are trained to be safety experts. The company encourages all employees to get safety certificates and makes sure they receive at least 32 hours of training through online lessons and other methods. As a result, all 59 production line workers have obtained safety management certifications through final evaluations. Since all employees started becoming safety management experts and taking charge of the workplace, the annual number of voluntarily proposed ideas for identifying latent risks has been on the rise. This trend reflects an enhancement in the safety competence of the employees.

The CTPC regularly participates in emergency response training organized by the Tianjin Development Zone Red Cross and conducts quarterly emergency response drills. 81 team members have successfully completed emergency response training, earning qualifications in CPR and hemostasis. The CTPC has also taken measures to equip the workplace with essential emergency response equipment, including AEDs, oxygen resuscitators, and emergency medical kits. In emergency training, employees learned how to respond to different situations, such as fires, how to use fire extinguishers, and how to handle incidents such as suffocation in confined spaces or electric shock accidents during work. In particular, the CTPC offers practical training through a combination of VR education and hands-on practice to ensure employees can respond swiftly and appropriately during emergencies.

ILS activities that address the root causes of disasters

The CTPC has established an isolation locking system (ILS) to block, isolate, and secure energy sources, thereby eliminating fundamental causes of accidents. The ILS has three locking types: “personal locking” for individual work, “facility locking” for work involving two or more people or two or more locations, and “group locking” for tasks with numerous workers. Each locking type is differentiated by padlock colors: red (personal), yellow (2 or more), and green (group). With the introduction of the ILS system and the rigorous enforcement of safety protocols during maintenance and inspection tasks, the likelihood of unexpected facility operations, which could potentially lead to accidents or incidents, was proactively mitigated, ensuring the safety of employees.

In addition, CTPC employees always check for safety risks on the job and actively work on improvements. One notable activity involved identifying the risk of blind spots during forklift operation, which led to the creation of a speed limiter and an AI video collision prevention system, effectively stopping accidents from happening. The CTPC achieved 1,146 days without accidents! They consistently maintain on-site safety through efficient safety management activities that target key safety points.

Corporate citizenship activities focused on coexisting with the local community

Driven by a sense of social responsibility, the CTPC has strived to develop alongside the local community. In particular, it actively helps the less fortunate members of the local community and also engages in corporate citizenship activities aimed at nurturing local education initiatives and skilled individuals and aiding in their employment.

On June 1, 2023, the CTPC invited elementary school students from the Tianjin area to visit the company and provided them with opportunities to experience corporate culture and safety education. The students learned about the CTPC through POSCO’s in-house recreation program and had an enjoyable time, even receiving prizes. On September 12, 2023, 14 CTPC employees engaged in DIY activities and assisted with rehabilitation therapy at a local autism rehabilitation center in Tianjin, where they spent time with the children. They also provided various support items, including food and gifts. Then, on October 23, 2023, the CTPC signed an agreement with Tianjin Polytechnic University to provide graduating students from relevant departments with opportunities to work and grow in their respective fields. This initiative has become an opportunity to support Tianjin’s youth, who are burdened by high unemployment rates, fostering mutual growth.

In addition, POSCO’s integrated processing centers in China and the CTPC are actively involved in environmental cleanup and tree-planting activities, biodiversity conservation, and wetland park preservation. These initiatives are aimed at promoting POSCO’s corporate citizenship values as it strives to enhance the well-being of the local community and its residents. It will continue to work towards making POSCO a “100-Year Company” through systematic organizational culture management, smart safety activities, and corporate citizenship activities that inspire the local community.

This year, more skyscrapers will fill the skylines of cities, mostly in Asia. Continuing on from previous years, cities, architects and the general public alike are favoring low-energy, sustainable buildings and showing a tendency to renovate existing buildings with reinforcements where possible.

Take a look at 2 of the tallest skyscrapers built in 2017, and some of the most exciting building projects coming scheduled for completion in 2018.

2017: Ping An Finance Center

The Ping An Finance Center is located in the city of Shenzhen, and is the second tallest building in China and fourth tallest building in the world. The entire structure measures 599.1 meters, or 1,965 feet, offering 119 floors of office and retail space.

Stainless steel keeps the Ping An Finance Center protected against the strong winds and salty climate of Shenzhen. (Source: Kohn Pedersen Fox)

The Ping An Finance Center is classified as a composite building, meaning both steel and concrete materials are used to make up the main structural parts of the skyscraper. This can apply to any of the following combinations – steel columns with concrete beam floors, steel structure with a concrete core, steel columns encased in concrete or a system of steel tubes filled with concrete. The exterior is outfitted with a sculpted stainless steel facade for maximum corrosion resistance to coastal climate.

2017: Lotte World Tower

Korea’s Lotte World Tower is the tallest building in Korea and the fifth tallest building in the world measuring 555.7 meters and 1,823 feet from the ground to the very top. Construction began in Seoul back in 2011 and took 7 years to complete. The 129-story building is made of a reinforced concrete core, concrete encased steel columns and steel floor spanning.

Seoul’s Lotte World Tower was built with 40,000 tons of steel. (Source: Arch Daily)

POSCO supplied the 40,000 tons of steel to build the Lotte World Tower, consisting of both regular and thermomechanical control processed (TMCP) steel. As part of POSCO’s solutions marketing, the company proposed using 120 mm thick high-performance grade steel (SM490TMC) instead of welding 40 mm and 80 mm thick plates together for better performance and cost efficiency. The steelmaker also proposed the use of a steel column flat plate structure and steel piping for enhanced shock, high-wind and fire resistance.

Lotte World Tower also features solar panels, wind turbines and water harvesting systems as part of a sustainable, eco-friendly design.

SEE ALSO: Steel Wonders of the World: POSCO Steel Builds the World

2018: Hanking Center Tower

The Hanking Center Tower scheduled for completion in March of 2018, will set a new world record as the tallest all-steel building in all of Asia. Most skyscrapers are made of a mixture of concrete and steel, but the Hanking Center Tower is composed of a unique, all-steel structural system. The main body is also detached from the core by about 9 meters, held together by a series of sky bridges and steel braces to allow the building flexibility to withstand seismic activity and maximum exposure to natural light.  

The Hanking Center Tower is the tallest all-steel building in Asia. (Source: Curbed)

At 350 meters, or 1,148 feet, the Hanking Center Tower will be classified as a super tall building when completed in west Shenzhen, China. The building underwent extensive seismic and wind tunnel tests for performance verification, and residents and visitors alike will be able to enjoy the sky gardens and spacious open spaces in the heart of the city.

2018: Salesforce Tower

San Francisco has a new tallest building with the opening of the Salesforce Tower in January of this year. Standing at 326.1 meters, or 1,070 feet, the skyscraper also made extensive use of steel for its columns and floor spanning and features a reinforced concrete core. The Salesforce Tower is also one of San Francisco’s most-expensive buildings at USD 1.1 billion.

The Salesforce Tower is the tallest building in San Francisco. (Source: Curbed)

Not only is the 65-story building San Francisco’s tallest building, it is the city’s first commercial building to use a water recycling system. The city government, Boston Properties and Salesforce teamed up to support blackwater reuse that will give tenants of the building access to recycled water. The skyscraper also has net-zero greenhouse gas emissions.

2018: Comcast Technology Center

The 341.7 meters, or 1,121 feet tall Comcast Technology Center opened early this year, and stands as Philadelphia’s tallest skyscraper. The USD 1.6 billion building also has smart features, including a central plant that acts as the brain of the building, using artificial intelligence to learn human patterns.

The Comcast Technology Center is a green building with smart features. (Source: The Skyscraper Center)

The skyscraper can track the number of people inside, predict weather patterns and will only generate just enough energy required for any given time. The building also makes use of water running through all parts of the building to cool temperatures and has a special, silver coated glass which can repel heat from the sun. As such, the Comcast Technology Center is one of the most technologically advanced and green buildings in the U.S.

Continuing on from a strong year of construction in 2017, the new skyscrapers of 2018 and beyond will continue to strive for environmental sustainability, incorporate newer technologies and make extensive use of steel for cost efficiency and safety.

Huayou Cobalt is one of the world’s biggest mining companies that can produce about 50 percent of the cobalt required for manufacturing lithium-ion batteries worldwide. They also have their own nickel mine in addition to a cobalt mine.

The joint venture for precursor production is made up of 60 percent of investments by Huayou Cobalt that can supply cobalt, nickel and manganese, and 40 percent by POSCO. 60 percent of investments for the joint venture for cathode material production comes from POSCO who owns the high-grade cathode material production technology and 40 percent of investments come from Huayou Cobalt. The joint ventures will be operating production lines for 4,600 tons of precursors and cathode materials a year starting from the second half of 2020.

POSCO and Huayou Cobalt sign agreements for joint ventures in cathode material supply and production.

Through these joint ventures, POSCO can now secure its market position in China by directly manufacturing and selling cathode materials locally. In addition, it can gain a competitive edge by securing a stable supply of not only precursors but also materials such as cobalt, nickel and manganese for POSCO ESM’s cathode materials plant in Gumi. Huayou Cobalt can expand its business in manufacturing and sales of cathode materials in addition to that of raw materials.

As the eco-friendly policies of the world continue to be tightened, the demand for electric vehicles, industrial energy storage systems (ESS) and IT bulk batteries has increased rapidly. Thus, the market for cathode materials, which are essential materials for lithium-ion batteries, is also expected to quadruple from 210,000 tons in 2016 to 860,000 tons in 2020.

Accordingly, the price of cobalt, one of the most expensive materials, tripled in the last two years, followed by the price of nickel and manganese. This explains why a stable supply of materials is essential for profitability.

POSCO’s lithium-ion battery material business is headed for future growth, and is expected to gain increased momentum with the joint ventures for precursors and cathode materials. POSCO completed its carbon lithium plant PosLX at Gwangyang Steelworks last year after 7 years of developing its own proprietary technology of directly extracting lithium in 2010. It is currently under commercial production.

However, these building projects are on another level of huge, and with all the megacities popping up throughout the country, China boasts many of the biggest infrastructure projects in the world. Here’s the Steel Wire’s look at some of the most impressive to date.

Three Gorges Dam

China is home to the largest dam in the world, measuring 1.5 miles in length and sitting 60 (!) stories tall. The Three Gorges Dam took 1.92 million tons of rolled steel to complete, along with 10.82 million tons of cement and 1.6 million cubic meters of timber. The dam opened in 2003 on the Yangtze River and last year, generated a record-high 97.8 billion kilowatt-hours of electricity, 4.35 percent higher than the previous year.

The Three Gorges Dam is the biggest dam in the world and is made up of 1.92 million tons of steel. (Source: Wikipedia)

Beijing Capital International Airport

Beijing Capital International Airport (PEK) was the second largest and busiest airport in the world in 2016, just behind the Hartsfield–Jackson Atlanta International Airport in the U.S. PEK recorded 94,393,454 passengers that flew in and out in 2016, a 5 percent increase from 2015, and is easily the biggest airport in all of Asia.

Beijing Capital International Airport is the biggest airport in Asia, and second in the world. (Source: Top China Travel)

The first phase of the airport cost USD 3.5 billion and was completed in 2008, but in order to handle the growing number of passengers, an expansion project is planned for 2025. The estimated 5-year project will almost double PEK’s capacity and cost an additional USD 13 billion.   

Jiaozhou Bay Bridge

China is also home to the longest sea-crossing bridge in the world. The massive structure stretches over 26.4 miles and connects the cities of Qingdao and Huangdao. The 110ft width accommodates 6 traffic lanes that are supported by 5200 steel pillars.

The Jiaozhou Bay Bridge is held up by 5200 steel pillars. (Source: Feel the Planet)

The bridge first opened in 2011 and took USD 2.3 billion and over 10,000 workers to build. The Jiaozhou Bay Bridge also took 450,000 tons of steel to complete, allowing the bridge to be able to withstand earthquakes up to 8.0 in magnitude, typhoons and the force from a 300,000-ton object.  

Jiuquan Wind Power Base

Not surprisingly, the largest wind farm in the world located in China. Jiuquan Wind Power Base is made up of 7,000 turbines that generate enough electricity to sustain a small country. The plant was approved in 2008, and the government has pledged an additional USD 17.4 billion by 2020 as part of the effort to develop China’s renewable energy industry. For now, only 3.3 percent of all the electricity generated in China comes from wind turbines. With the additional investment, Jiuquan Wind Power Base will be able to generate a massive 20 gigawatts of sustainable electricity.

The Jiuquan Wind Power Base generates enough energy to power a small nation. (Source: The New York Times)

New Century Global Center

What does the biggest building in the world look like? A mini country. Located in Chengdu, Sichuan province, the New Century Global Center combines a shopping mall, water park, hotels, movie theaters, offices, restaurants, ice rink and more into 19 million sq.ft. of space. The structure is made of glass and steel and measures 500 meters long, 400 meters wide and 100 meters high. Designed by architect Zaha Hadid, it even has artificial sun for the perfect weather, 24 hours a day.

The New Century Global Center located in Chengdu is the largest city in the world. (Source: Thousand Wonders)

Port of Shanghai

The world’s biggest ports are mostly located in China, and the biggest one is the Port of Shanghai. In 2012, 744 million tonnes of cargo and 32.5 million twenty-foot equivalent units (TEUs) of steel containers passed through the port. The entire area of the port on the Yangtze River covers 3,619km² comprised of 3 main ports: Wusongkou, Waigaoqiao and Yangshan Deep-Water Port. About 25 percent of China’s trade passes through the Port of Shanghai, or 2,000 steel container ships per month.

The Port of Shanghai is the largest port in the world and a quarter of China’s trade passes through it. (Source: Thomson Reuters)

Most recently, the 4th phase of the Yangshan Deep-Water Port was completed, making it the largest automated port in the world. It spans across 2.23 million square meters, and can automatically handle 4 million standard containers per year, or 25 per hour. It was also built to accommodate the heaviest ships in the world.

China is using its steel to build up the country’s infrastructure, and set world records along the way. Besides being impressive in size, the structures are expected to contribute to greater connectivity and economic prosperity throughout China.

Cover photo courtesy of Morgan Stanley.

The U-Shaped Relationship

However, the argument is not so black and white according to Spyridon Stavropoulos, Ronald Wall and Yuanze Xu’s Environmental regulations and industrial competitiveness: evidence from China. The study suggests that the relationship between stringent economic regulations and industrial (or economic) competitiveness is U-shaped. Meaning, initially, stringent regulations will increase the cost of production and make companies less profitable, but after a certain turning point, companies will be forced to adapt and innovate, thus becoming more competitive in the long run.

Many activists sit on both sides of the debate. (Source: Ethical Shopper)

When regulation policies are consistent over a long period of time, companies are forced to tackle the root of the problem, instead of focusing on meeting certain numbers. In today’s global economy, many governments have already begun to implement stringent economic regulations that only look to get tighter in the future. In such a context, companies that choose to innovate and come up with solutions to global pollution problems will come out more competitive in the end.

Sustainability Equals Competitiveness

Looking at major economic players around the world, it’s safe to say that environmental sustainability is a common topic on each of their respective national agendas. Pressing national challenges are tied to the environment in one way or another. For example, many countries are shifting their policies to ensure energy security. Countries that import most of their energy from external regions are subject to volatile prices and thus unstable economies. Thus, governments are actively supporting companies that can cultivate domestic, renewable energy sources. Another, more obvious, example is the direct link between pollution and health risks.

China is the fastest developing country in the world, and by 2035, it will be responsible for 28 percent of the total global energy demand. China also happens to be almost completely dependent on energy imports. Subsequently, the government has started a variety of government programs to boost sustainability as part of President Xi Jinping’s pledge to build a “Beautiful China”. These policies also come in the wake of shocking statistics: in 2015, pollution led to 1.8 million premature deaths in China.

Chinese President Xi Jinping laid out a 2-step plan to achieve a “Beautiful China.” (Source: News Gru)

Sustainable Steelmaker

Even with strong government commitment and plenty of programs to support sustainable business, most developing countries lack affordable renewable energy sources and the technology to apply those sources to existing production processes. Nevertheless, the world is changing and only those that adapt and innovate survive and thrive. That’s exactly what POSCO did starting back in 2007.

FINEX: A Game Changer

POSCO came up with a new molten iron production technology called FINEX. The technology allows molten iron and non-coking coal to be produced directly in a blast furnace during the iron-making process. It is different from the conventional blast furnace process, as it combines the coking plant, sinter plant and blast furnace into a single iron-making unit. This lowers production costs and reduces harmful emissions.

FINEX is a sustainable game-changer for steel production.

Ultimately, FINEX is one of the most cost-effective and eco-friendly ways to make steel. The technology mitigates the use of C02, has the lowest process-related emission rates and preserves resources through the use of a wide range of iron ores and non-coking coals. FINEX reduces SOx and NOx emissions by 40 and 15 percent respectively, and fine dust particles can be reduced by 34 percent compared to traditional blast furnaces. Furthermore, the by-products from the process generate highly valuable export gas that can be used for various purposes like electric power generation or natural gas substitution.

On December 7, 2017, POSCO reached 20 million cumulative tons of molten iron production using the FINEX technology. POSCO is not the only company enjoying the benefits of sustainable competitiveness – POSCO’s manufacturing partners can see lower emissions levels when evaluating the entire life cycle of their products.

SEE ALSO: POSCO Reaches 20 Million Tons of Production Using FINEX Technology

Sustainability is no longer just jargon. As environmental issues are intricately tied to the economy and even national security, governments around the world will be actively supporting sustainable companies in the years to come. Companies can expect sustainability and competitiveness to become interchangeable terms in the near future.

1. #Winning – competitiveness and sustainability

POSCO was recently named the world’s most competitive steelmaker for the eighth consecutive year by World Steel Dynamics (WSD). POSCO again took home the gold with the highest scores in five categories including innovative technology, cost reduction, skill level of labor, restructuring and investment environment.

POSCO is the world’s most competitive steelmaker.

Not only did POSCO come out on top for competitiveness, the company was ranked 35th among the “Global 100 Most Sustainable Corporations in the World in 2017,” by Toronto-based magazine and research firm Corporate Knights. The list was announced in early 2017 at the World Economic Forum in Davos, Switzerland. This is the third consecutive year POSCO made the list with outstanding scores in safety, environment and the salary levels of employees.

2. Joining the trillion club

POSCO entered the trillion club twice in 2017 as it recorded USD 1.283 billion (KRW 1.365 trillion) of operating profits in the first quarter, and USD 1.0581 billion (KRW 1.1257 trillion) in the third quarter based on its consolidated operating profit. Even in the midst of global oversupply and governments opting for protectionist policies, POSCO’s profits were unscathed. Much of the credit is owed to the company’s steel and non-steel affiliates overseas with strong sales performances. The consolidated debt-to-equity ratio was the lowest since 2010 and the non-consolidated debt-to-equity ratio was at its lowest ever.

POSCO recorded an operating profit over KRW 1 trillion in the first and third quarter of 2017.

To add, international credit rating agency S&P upgraded POSCO’s BBB-plus credit rating outlook to “stable” last February, and Moody’s also upgraded POSCO’s long-term corporate credit rating outlook to “positive” on October 26.

3. Everything’s bigger in…POSCO

Last June, after 102 days of repair, Pohang Blast Furnace No.3 became the world’s fifth-largest blast furnace. Its internal volume expanded from 4350㎥ to 5600㎥, allowing the super-sized blast furnace to put out 15,000 tons of molten metal daily. POSCO currently operates five super-sized blast furnaces, or blast furnaces sized 5500㎥ or larger.

Pohang Blast Furnace No. 3 under construction.

POSCO further upgraded Pohang Blast Furnace No.3 by adding in AI capabilities. It is now equipped with smart technology that can control the internal state of the blast furnace automatically, and smart sensors can now predict accidents before they happen, extending the lifespan of the furnace. Furthermore, POSCO plans to collect big data from the blast furnace and use it to develop fully smart blast furnaces in the future.

4. The smarter the better

Since his taking up the CEO position in 2014, POSCO CEO Ohjoon Kwon has repeatedly expressed his vision for securing future competitiveness through smart solutions. The company even started a smartization training course for employees and held the Smart POSCO Forum 2017 last July to share its insights and progress with clients and affiliates.

POSCO is gaining a competitive edge through smart solutions. (Source: Global Trade Magazine)

Moreover, POSCO also supported a smart talent training project customized for SMEs. The program included job training for AI and big data application technologies. Going forward, POSCO plans to build a “Smart Industry” to increase steel competitiveness and create new business opportunities with new, smart technologies.

SEE ALSO: How Factories Produce Steel- the Smart Way

5. Getting in on electric vehicles

The market for electric vehicles (EVs) is an exciting one with so many companies investing in new technologies. POSCO also hopes to extend its customized material and technology solutions to EV manufacturers. Last October, the company held the Global EV Materials Forum to showcase four of its core business areas: lightweight bodies, batteries, motors and charging infrastructure. More than 380 clients took part in the forum to learn about emerging trends and POSCO’s products and services including POSCO GIGA STEEL and commercially produced lithium batteries for EVs.

POSCO is a solutions provider for EV manufacturers. (Source: Bloomberg)

6. POSCO’s new marketing approach

For the first time ever, POSCO created and aired a TV commercial highlighting a specific product, instead of its corporate brand. This marks POSCO’s first B2C marketing effort and features the company’s innovative auto steel, POSCO GIGA STEEL. The commercial compares POSCO GIGA STEEL to aluminum, another widely-used lightweight material in a visual demonstration so that everyday drivers can better understand the benefits of a stronger yet lighter material.

7. Going for 10 million tons of automotive steel

On April 26, POSCO completed 7CGL, a new steel production facility in Gwangyang, Korea, designed exclusively for the production of POSCO GIGA STEEL. 7CGL has an annual capacity of 500,000 tons and is the world’s first plant capable of producing both 1.5 giga-level galva-annealed (GA) and galvanized (GI) steel sheets.

POSCO Completed 7CGL on April 26, 2017. (Source: Business Korea)

In addition, POSCO managed to reduce investment funds and secure cost competitiveness by designing and constructing 7CGL’s core facilities based on accumulated facility technologies and operating know-how. The 7CGL is POSCO’s 12th plant exclusively for automotive steel sheets, and POSCO aims to sell 10 million tons of automotive steel in 2018 globally.  

8. Setting new records with high manganese

POSCO became the first company in the world to commercialize the technology for producing high manganese using fusible ferroalloys. The technology took KRW 5.5 billion of research and development costs and four years to complete.

POSCO is the first company in the world to commercialize its high manganese production technology. (Source: Eramet)

The core part of POSCO’s high manganese production process is PosLM (POSCO Liquid Manganese), a special holding furnace that stores manganese ferroalloys in a fusible state. POSCO’s technology reduces the production time for high manganese steel by more than 50 percent as well as increases slab production efficiency. PosLM was jointly researched and developed by the Institute of Technology and POSCO M-tech.

9. Bringing home the lithium

On February 7, POSCO opened its PosLX (POSCO Lithium Extraction) plant with an annual capacity of 2,500 tons. The plant is the first plant in Korea capable of commercial lithium production. The technology took 7 years to perfect, but it was well worth it. The production process for high purity lithium now takes just 3 months, compared to the previous 12 to 18 months.

POSCO is making lithium extraction more efficient and sustainable. (Source: Mining)

In the past, Korean manufacturers imported the entire quantity of lithium they needed. With POSCO’s PosLX plant, partners now have access to a local supply of lithium. Moreover, POSCO plans to use lithium phosphate extracted from wasted secondary batteries as raw materials, in keeping with the company’s sustainability standards.

POSCO will continue building on a successful 2017 in the new year, by tackling new challenges and continuing to provide its partners with customized and optimal solutions in all business areas.

Cover photo courtesy of Hitech Building Solutions.

This means that data from city dwellers’ devices and their interaction with the physical city will determine how the government allocates resources and even influence the private sector as well. Although major developing smart cities are inspired by technology, old-school construction resources like steel are still required.

Here’s a look at where the next wave of smart cities will emerge and what opportunities lie ahead.

Countries Ripe for Smart Development

The major developing cities to watch are located in India, China and Africa. These areas of the world are ripe for growth, and what they have in common is a vast amount of land. Before modern ICT and IoT were available, it was almost impossible to imagine a way to uniformly connect these large areas into a single city. However, thanks to technology, governments will be able to bring greater numbers of people together and better manage resources for all. And development is already well underway.

India

In India, the “world’s oldest city” is being developed into a smart city. The city is called Varanasi, and it’s a holy place for the Hindu religion. However, its outdated infrastructure has created a demand for rejuvenation, and Varanasi’s renovation plans involve a lot of steel. With plans to outpace Japan as the second largest producer of steel, Varanasi will be rapidly expanding its own production capacity and turning to the global steel industry for material and technological support. Planned improvements to Varanasi include creating more affordable housing, improving the public transportation system and upgrading the sanitation system. All three of these improvements are major undertakings, and all three have roots in steel. Creating new housing structures, rail systems and modern sanitation will boost steel consumption.

SEE ALSO: Revving Up for Growth: India’s Automotive Market is In Full Gear

A model of the planned smart city in Dholera, in southern Gujarat, India. (Source: Cities Digest)

Aside from Varanasi, there were nearly 100 cities considered for smart city development in India, and approximately 20 of those have been approved by the Indian government for funding. The smart cities on India’s shortlist come from a variety of regions. This redevelopment project is part of a larger goal by the Indian government to bring the large country together. By implementing smart city technology throughout the vast country, India will be able to create a better-organized society.

China

China is rapidly developing its smart cities. With plenty of funding and technology to spare, the Chinese government has earmarked 500 cities for smart city development. While the original goal was to complete the transformation for all 500 cities by the end of 2017, more than half of the listed cities are still undergoing development.

So far, Qingdao, Hangzhou and Xiamen cities are ranked at the top for smart city governance according to the National Development and Reform Commission and the China Center for Urban Development. These cities are already equipped with wifi internet service on buses, smart register and pay services and robots that interact with citizens on a daily basis. Hangzhou, in particular, has been a sort of test tube for Alibaba’s City Brain project where they gathered massive amounts of data for artificial intelligence (AI) to process and make decisions with. The technology has drastically improved the city’s efficiency by decreasing traffic and the time it takes to respond to emergencies. As a result, City Brain will be exported to and implemented in other Chinese cities. Although not everyone is sold on the idea because the technology may put citizens’ privacy at risk, it is still expected to speed up smart city implementation all over China.

Tianjin City is one of the cities in China developing into a smart city. (Source: Bosch)

These cities will require support from the steel industry to develop and engineer high-quality, high-traffic amenities with technology at the core. Similar to Varanasi, many Chinese city projects will initially focus on housing and transportation upgrades.

SEE ALSO: Ask an Expert: 3 Managers Explain POSCO China’s Success in Challenging Chinese Market

Africa

In Africa, over 300 cities will transition into smart cities, but many development projects are facing delays getting off the ground. Much of Africa is in need of establishing standard city amenities like city government offices, schools and an open market for privately-owned businesses. Nevertheless, the region presents a tremendous opportunity for growth, and Africa’s smart cities may become some of the most efficient locations around the world.

The Modderfontein Smart City is being developed in Johannesburg by Chinese firm Zendai. (Source: Future Cape Town)

Because there is a lack of complex infrastructure, these smart cities will be built almost from scratch, allowing the people of the city to benefit from a more customized smart-city technology. Instead of working around a historical route or building, African smart cities have the flexibility to transition into smart cities optimized for the exact needs of their developing governments, education systems and business communities.

The construction of African smart cities will start from scratch. (Source: SOFREP)

This is a city planner’s dream come true. And it’s ripe for steel consumption. The steel industry can provide high-quality materials and technologies, ensuring the best construction methods and materials from the onset. Without having to re-engineer structures, African smart cities are expected to be state of the art.

While opportunities are vast in this new arena of development, many of the top steel companies have already signed contracts with developing countries to assist with smart city production. But that doesn’t mean all of the work has been assigned. With thousands of cities slated to go smart within the next five years, the steel industry will have many opportunities and play a large role in the redevelopment of these communities. Steel companies that have an eye for technology and the highest quality products will be highly sought after in the years to come.

Cover photo courtesy of IoT India Magazine.

EVs will make up 54 percent of new car sales in 2040. (Source: Electrek)

Even though EVs make up about 1 percent of total new car sales in the U.S., EVs are on a steady, steep path upwards. According to a report by Bloomberg New Energy Finance, EVs will make up 54 percent of new car sales by 2040, and by 2029, EVs will be cheaper to buy than gasoline and diesel-fueled cars.

The figures are significant and will translate into a sharp increase in demand for rechargeable batteries and their materials.

SEE ALSO: Ask an Expert: Electric Vehicles and the Future of the Automotive Market

The Evolution of EV Batteries

Before diving into the juicy details, it’s always helpful to cover the basics. Batteries are made up of 3 main components. The anode, or negative electrodes, the cathode, or positive electrodes and some type of electrolyte through which the electrodes travel to release chemical energy.

A simple battery can be made out of a potato, copper penny and galvanized nail. (Source: Tested)

The first rechargeable battery, lead-acid battery, was invented in 1859 by a physicist named Gaston Plante. Lead dioxide was the cathode material used, and lead was the anode material with a liquid solution of sulphuric acid and water as the electrolyte. The materials were affordable and the battery was applied to many early models of EVs, including early models of the Tesla Model S.

Another widely used battery that came after the lead-acid battery is the nickel-metal hydride (NiMH) battery developed at the Battelle-Geneva Research Center in 1967. Nickel hydroxide was used as the cathode material while a hydrogen-absorbing alloy was used as the anode material. A liquid solution served as electrolytes. The research for NiMH batteries was extensive, and funded jointly by Daimler-Benz and Volkswagen AG. The batteries were also applied to many EV models such as the Toyota Prius, prior to 2015.

The Advent of Lithium-Ion Batteries

The introduction of lithium-ion batteries was a game-changer. Sony first introduced them in 1991, and today, most EVs have them, including the Tesla Model 3. The batteries consist of lithium-cobalt oxide cathodes, graphite anodes and the electrolyte is usually a solution of lithium salt and an organic solvent, though some automakers are experimenting with solid-state electrolytes.

The Tesla Model 3 has a lithium-ion battery. (Source: Green Car Reports)

Compared to its predecessors, lithium-ion batteries have the highest amount of stored energy and specific power, which is kind of like horsepower for electric cars. As a result of improved technology and lower costs, lithium-ion batteries are projected to make up 70 percent of the total rechargeable battery market by 2025, which will be worth roughly USD 112 billion.

Good as Gold

It is estimated that every 1 percent increase of EVs in the auto market will result in an additional 70,000 tons of lithium demand LCE per year.

In 2016, Australia topped the list for the most lithium produced with 14,300 metric tons. China and Zimbabwe are also top contenders producing 2000 and 900 metric tons in 2016, respectively. Then, there are the South American countries of Argentina, Chile, and Bolivia, also referred to as the “lithium triangle,” and home to 75 percent of the world’s lithium supply.

Workers at a brine pool at the Rockwood Lithium Plant on the Atacama salt flat. (Source: Reuters)

Does that mean the world has enough lithium to fuel the cars of tomorrow? The answer is yes, but there aren’t enough mines to produce them. In order to prevent environmental damage and the exploitation of unprotected workers, lithium producers have to get smart about lithium mining and production.

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POSCO’s Lithium Production  

Starting in 2010, POSCO and the Research Institute of Industrial Science & Technology (RIST) teamed up to develop a chemically based lithium extraction technology. The innovation cut down extraction time from up to 18 months down to between 8 hours and 1 month, delivering a purity rate of 99.9 percent. The recovery rate of lithium also increased to over 80 percent. POSCO is the world’s first corporation to commercialize the technology.

SEE ALSO: Lithium Rocks: POSCO at Forefront of a Green Energy Future

POSCO CEO Kwon Ohjoon holds lithium on his visit to PosLX, POSCO’s battery production factory in Korea.

It’s also at the heart of the lithium triangle. POSCO currently operates facilities in Chile’s Maricunga Salt Lake, Argentina’s Cauchari Salt Lake and Argentina’s Pozuelos Salt Lake, which alone will boost POSCO’s annual lithium production to 2,500 tons. POSCO also opened its first battery production plant in Korea earlier this year.  

The future of EVs is promising thanks to advancements being made in electric batteries, and there’s a lot at stake for the health and well being of future generations. Increasingly, the availability and costs of EV battery materials will play a vital role in market outcomes and widespread EV adoption. It is vital for companies like POSCO to provide abundant, sustainable and cost-friendly EV battery materials so automakers can continue to enhance the batteries of tomorrow’s cars.

Cover photo courtesy of Quartz.

CIAPE is the largest automotive parts expo in China, and has been sponsored by China’s Ministry of Commerce since 2008. As many as 200,000 people participate in the event, including over 2100 companies around the world to exhibit various automotive products. On display this year were various electric vehicles, components, electronics and automotive parts and manufacturing facilities.

POSCO actively promoted POSCO GIGA STEEL at its exhibition booth where visitors browsed various automotive parts made of GIGA STEEL. Visitors were especially impressed with POSCO GIGA STEEL’s lightweight, cost-efficient and high-performance qualities, as well as POSCO’s production technologies.

Throughout the expo, POSCO introduced practical applications of its products including wire rods for automobiles, electrical steel sheets, stainless steel for various uses as well. Various automakers and parts makers could also experience POSCO’s steel mills and production processes through VR technology.

A total of 1,583 people visited POSCO’s booth over the 3-day period to browse the electrical sheets, wire rods and stainless steel products as well as automotive steel plates. In particular, as many as 1,020 people flocked to the GIGA STEEL Experience Zone where they could compare the hardness, weight and thickness of aluminum and GIGA STEEL.

POSCO also held 71 meetings with 188 potential customers from various sectors, including automakers and parts makers in China and promoted its GIGA STEEL and automotive World Premium Products (WPP) to potential business partners.

One of the visitors was Lee Jeong-hae, CEO of Sungwoo Hitech Yancheng. He said, “I was able to learn that GIGA STEEL is more effective in reducing weight than aluminum. I am truly looking forward to seeing more automakers use GIGA STEEL instead of aluminum.”

This was the first time POSCO attended the event, and hopes to use it to create momentum for increasing the sales of its World Premium steel products and automotive materials, and to expand its network of partners in China.

Cover photo courtesy of CME Shanghai.

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