CEO Kwon explores CES 2018

As such, CEO Kwon made his first official visit to the 2018 Consumer Electronics Show (CES) in Las Vegas earlier this month to stay on top of the latest trends in connectivity and smart solutions that can be applied to the manufacturing process in smart factories.

SEE ALSO: POSCO CEO Ohjoon Kwon Visits CES 2018

Ultimately, a smart factory for POSCO would entail using smart sensors to pick up data, smart analysis through AI and automated production processes. Moreover, the smart factory would store and analyze its big data and apply it to make future improvements and prevent malfunctions. Aligned with many of POSCO’s business growth engines, major topics and themes at CES 2018 included smart homes, smart cities, autonomous cars and AI, and more than 3,900 companies put forth their best innovations.

Smart Connectivity

As more and more cities undergo smart transformations, the next big trend will be data collection and analysis through 5G connectivity. It was no surprise to see numerous innovations in smart transportation, smart grid, public safety, healthcare, data analytics and more at CES 2018. Moreover, city officials from early-adapting cities such as Kansas City, Miami and Las Vegas took to the stage to discuss their cities’ smartization plans. Some of the topics discussed included using GIS mapping software, smart construction, inclusive technology and autonomous transportation to enhance citizens’ productivity, efficiency, safety and well-being.

CES 2018 was a platform for smart city discussion. (Source: Bosch)

CEO Kwon visited related booths to learn about new technologies POSCO could apply to its businesses. Currently, POSCO’s smart factories are run by POSCO ICT’s smart platform called PosFrame, which allows the factory to apply a digital genome map to operations via data collection, instantly convert smart factory initiatives in domains, act as a common platform for new technologies and apply the same, standardize smart factory model to other facilities through reusable software.

Also at this year’s CES, POSCO ICT signed an MOU with DPR Construction, a leading smart construction company to apply PosFrame to construction sites for more efficient, cost-effective and smarter construction processes.

Smart Transportation

Another major theme at this year’s CES was mobility. Namely, autonomous and electric mobility. Companies from all across the board from traditional car manufacturers and software companies to gaming companies lined up to showcase their new innovations.

Even as the market for sustainable EVs and autonomous EVs look to expand in 2018 and beyond, EVs only make up about 1 percent of the global fleet of cars and there’s still a ways to go before EVs become the norm. Drivers need to feel safe in their EVs or autonomous EVs, want greater range on a single charge and need to see more charging infrastructure in their communities before making the switch.

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

What’s more is that just because a vehicle runs on electric batteries, it doesn’t automatically mean the vehicle is eco-friendly or transmits less harmful emissions. Manufacturers and consumers alike have to take a lifecycle approach to assess the car’s impact on the environment from production to end of life recycling.

POSCO works with numerous partners to develop leading solutions for electric vehicles.

That’s why POSCO is working with automakers to come up with vital solutions in the auto industry for a greener future. It supplies partners with an advanced high-strength steel (AHSS) called POSCO GIGA STEEL that is both lightweight and super strong, allowing cars to travel with less energy without compromising passenger safety.

POSCO is also a lithium provider and has developed an innovative technology to speed up the extraction process, saving time, costs and damage to the environment. It also works with car makers to apply premium electric steel to partners’ electric motors to increase efficiency and cut costs.

With so many exciting new innovations and technologies surrounding EVs, POSCO will undoubtedly play a significant role in ensuring automakers have the tools they need to realize a green future.  POSCO will work to stay ahead of newly emerging technologies to enhance the efficiency, sustainability and performance of all of its solutions.

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.

Being in a global leadership position is not new to CEO Kwon. He served as the chairman of worldsteel’s Technical Subcommittee since 2012, when he was president of POSCO, and since 2014, he served as a member of the executive committee, the highest decision-making body of the organization, when he was inaugurated as the CEO of POSCO.

The new leadership will be looked upon to invigorate technical exchanges among steelmakers around the world, and boost the advancement of technology in the steel industry. In particular, while countries around the world are strengthening protectionism due to global oversupply, worldsteel’s leadership will be counted on to coordinate and arbitrate the interests of steelmakers through effective communication and networking.

The news of CEO Kwon’s new leadership role comes a day after POSCO received worldsteel’s Steelie Award for “Innovation of the Year.” The Innovation of the Year award is given to one member of worldsteel who made the most innovative accomplishments in technology or sustainability. POSCO was recognized for its use of artificial intelligence (AI) in coating weight control, the cold rolling process, automated operation and the furnace heat control process to improve quality and reduce costs at the same time.

This year’s award marks the last of 4 awards POSCO has received from worldsteel including the award for sustainability in 2010, and the awards for Innovation in 2012 and 2015.

Cover photo courtesy of World Steel Association.

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POSCO’s smart safety features

As a steelmaking company, POSCO has been working towards becoming a “Smart POSCO”, or incorporating the implementation of AI into their production practices. In 2016, POSCO established a Smart Solution Council to research AI, big data and IoT applications. To date, the company has achieved a cost reduction of USD 14 million with the new technology. Even as one of the first steel producers in the world to implement a smart factory for production, the road ahead is a long one. Members of the discussion panel at the 2017 Smart POSCO Forum offered their expert opinions on how companies should move forward with AI research and applications.

Problem Mining

“One of the biggest difficulties in applying AI to manufacturing companies is problem mining. The only way to solve a problem is to find it and define it.” Kim Byung-In, a professor at the POSTECH Department of Industrial and Management Engineering, started off discussions and added, “Along with problem mining, people can learn from the past with reinforcement learning. Reinforcement learning means learning through similar tasks from the past to apply to new assignments. Defining problems and solutions more precisely and systematically managing related keywords can be useful for future tasks.”

Professor Zhang Byoung Tak, an AI professor at Seoul National University and a distinguished professor for POSCO added, “Traditionally, people solve problems, but in the generation of AI, AI will be able to solve problems for us… People now have to focus on defining problems, implementing systems and getting the right kind of data.”

Cooperative Research and Investment

Along with defining the exact problems that AI can provide solutions for, the implementation of AI will also call for a new working culture for companies and industries.

Tech company VUNO CTO Jung Gyuhwan stated, “Each company has its own production or operation method, and different data formats and protocols, but product inspection and screen UI (User Interface) are common areas. If we can find such common areas that can be commercialized and continue to research ways to expand AI applications to different sectors, we can achieve meaningful results together.”

Researchers developing programming and coding technologies

Jung went on to highlight that most AI personnel are unfamiliar with manufacturing. In particular, steel production terms are so difficult that it takes a considerable amount of time to share and understand information. There are also numerous obstacles and obligations for startups entering an unfamiliar development environment full of regulations and restrictions on things like the use of codes.

“In other words, task efficiency is a trade off with information security. I believe that if there is such a process in POSCO where the risk of technology leakage is not high, it will speed up results through collaboration with start-ups. POSCO ICT in Pangyo is a good place for startup employees to work. If we can take advantage of the POSCO ICT databases, collaboration with start-up companies will be easier. As of now, there are not many AI companies in Korea that specialize in manufacturing. Most people don’t even know that there is a lot of data available in the manufacturing industry. That’s why fostering start-up companies specializing in manufacturing now, is a good idea.”

Google’s Fei-Fei Li announces Google’s acquisition of Kaggle. (Source: Venture Beat)

According to CB Insights, M&A (mergers and acquisitions) of AI startups have increased 700 percent since 2011, because they are more efficient and often more insightful when it comes to AI research. Besides investing in existing startups, members of the panel agreed that collaborative competitions such as Kaggle, a contest platform where data scientists from around the world participate in solving problems in industry and society, are a great place to find talent and foster them as start-up companies.

Tackling New Challenges

The flurry of activity around AI research shows just how new the sector really is. People are still finding ways to apply AI across different sectors and industries. In such a volatile environment, how do companies and researchers navigate their way forward?

According to Choi Heeyoul, a professor of computer science at Handong Global University, companies need to “start where the people, problem definition and data are ready. Whether it is in production, sales, distribution, etc., if there is the will to solve problems, then results will follow. Especially when collecting data, you need the help of data analysts. For example, classification data for different types of steel can only be analyzed if the history of the classification criteria is recorded. Speech recognition is not any better for AI application than other fields, yet the most active and productive research has been completed in this sector. This is attributable to the will to apply AI, the abundance of accurate data and close cooperation with data analysts.”

Obtaining accurate data is vital for AI research

Professor Zhang Byung-Tak had another approach to offer. “I hope people will boldly take on challenges. The dramatic increase in computing power can now enable attempts that were previously considered reckless…No matter how much data we gather, it will never be enough. We need to approach problems as experiments and just start. One way to go about it is to work in reverse instead of waiting for data to be accumulated. You can start the task to define the data that is needed and determine the coherence of the data to the task.”

Lee Jong-Seok, a Professor at Sungkyunkwan University added, “When we are defining problems, we need to separate them into ones that can be solved in the short term and ones that require long term solutions. Some problems can be solved with minor improvements, while other problems will persist. For the latter, it is important to have patience and invest in a solution over a long term.”

That’s exactly what manufacturing companies are doing. They are collecting data every stage of production all the way to sales and administration. Big data is now available to study and apply to boost companies’ efficiency, sustainability and performance. Those who come up with the optimal software and modeling systems for data analytics will win the competitive edge early on.

UNIST professor Choi Jaesik echoed the panel’s sentiment, in closing, saying, “It’s very uncommon for a manufacturing company to hold AI courses for all their employees. I think POSCO can take pride that…POSCO is a great place to apply AI and achieve results. There is already plenty of data on site and employees are continuously working to obtain more accurate data. I look forward to seeing what POSCO will bring to the advancement of AI.”

POSCO CEO Kwon Ohjoon plans on doing exactly that, by increasing investment in research and implementing AI technology where applicable. Read more on POSCO’s smartization efforts here.

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The press and event participants watching a demonstration at POSCO’s Global R&D Center

The 2017 All New Chevrolet Cruze

GM Korea released its 2017 All New Chevy Cruze earlier this year, which is composed of 74.6 percent High Strength Steel (HSS) and Advanced High Strength Steel (AHSS), including POSCO GIGA STEEL. The All New Cruze is 77 kilograms lighter than last year’s model. So far, this year’s model has been a success with 2,147 units sold in the first month of its release.

The 2017 All New Chevy Cruze

Last year’s All New Malibu used POSCO’s HSS and AHSS for the entire body of the car and received the highest safety rating in the New Car Assessment Program conducted by the National Highway Traffic Safety Administration in the U.S. There is a more advanced version of HSS and AHSS from POSCO in the 2017 All New Chevy Cruze than in the Malibu, ensuring an even safer vehicle.

More than 20 percent of the HSS and AHSS used in the All New Chevy Cruze is POSCO GIGA STEEL. It has a tensile strength of 1 GPa or more, plus 3 to 5 times more strength than mild steel. A 10×15 cm piece of POSCO GIGA STEEL can withstand the weight of 1,500 cars weighing one ton each. In addition, it is 3.5 times and 2.1 times cheaper than aluminum in terms of material cost and processing costs, respectively. With POSCO GIGA STEEL, vehicles can also achieve a 10 percent decrease in CO2 emissions.

More Than Just a Steel Supplier

GM Korea and POSCO executives at the POSCO Global R&D Center

POSCO GIGA STEEL is a major breakthrough solution for vehicles as it is high in strength, easy to process, lightweight, eco-friendly and cost effective. POSCO hopes to provide such solutions in other areas as well, namely electric cars. Currently, researchers are working on an electrical steel sheet that can minimize the power loss of motors as well as new technology to protect car batteries. In doing so, POSCO will continue to collaborate closely with manufacturers early on in their product development and deliver the most innovative solutions to meet their needs.

*Images courtesy of GM Korea

What is QSS+?

QSS is a tailored and upgraded version of Six Sigma, a popular technique used in many businesses to reduce defects and variabilities in manufacturing and business processes. Moving beyond creating a clean workplace and restoring facility performance, POSCO further upgraded QSS to QSS+ in August 2014 to include My M&S (Machine & Safety) activities, designed specifically to build a more efficient and safer working environment.

Through QSS+, POSCO has been able to drastically improve its facilities by establishing standard manufacturing processes. They worked to make raw material and inventory management more efficient and reallocated working spaces for increased productivity. Since 2006, POSCO’s unique innovation program has helped its employees to complete over 8,000 assignments designed to improve the production line. Such efforts resulted in reducing the concentration of fine dust, equipment failures, and improving the operation rate up to 95%.

Executives and department heads inspect facilities as part of the My M&S initiative.

QSS+ Success Story

POSCO applied QSS not only to its steel mills but also to its family companies and overseas subsidiaries. In China, the first QSS leadership training and master workshop were launched in 2011, and after one year, Qingdao Pohang Stainless Steel became the first overseas subsidiaries to be QSS-certified. In 2015, POSCO China chose four representative branches to lead My M&S activities.

In 2013, POSCO Vietnam successfully completed facility restoration activities named ‘My Machine’ at 11 different facilities as well as 19 other QSS assignments. In 2016, It became the first facility in Southeast Asia to begin using QSS+, tailoring it for their multiple branches.

In Pohang, Korea, four plants drastically lowered the concentration of fine dust in the steelworks from 80mg/m2 in 2007 to 50.3mg/m2 in 2013. Also, in 2016, they launched ‘Smart M&S’ – a program that works to integrate ‘My M&S’ safety improvements with its smart factory, helping it to become safer and more efficient at the same time.

Facilities before (left) and after (right) carrying out a systematic inspection through My M&S Activities.

Initiating programs like QSS are not easy. Because factories are running 24 hours a day, it can be difficult for workers and management to see how individual steps can improve an entire system. According to Kim Dukbae, POSCO’s first QSS Master, “QSS+ was able to become a strong pillar of POSCO’s operations because the leadership team and employees took the initiative to constantly improve and transform our operations…”

QSS+ is now established as a goal-oriented and innovative program that focuses on the three elements of quality, stability, and safety. Thanks to QSS+ and its advancement over the past decade from Six Sigma and QSS, POSCO has been able to establish safe and healthy manufacturing sites. POSCO will continue to apply QSS+ in every level of its organization in order to ensure its position as an industry leading steelmaker.

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Volkswagen brought back its iconic Microbus in the form of a new electric, self-driving ID Buzz concept car. (Engadget)

The headlines from the Consumer Electronic Show (CES) were all about self-driving, electric, and connected cars. As these topics continued to be highlighted at NAIAS (see the new Volkswagen ID Buzz pictured above), there was also a focus on the importance of structural design.

Innovations in high-strength steel have allowed car makers to reduce the weight of vehicles without compromising safety. From large sedans to electric vehicles, advances in steel were spotted all throughout this year’s NAIAS with BMW’s new 5 Series and Ford’s new 2018 F-150 both showing off their lightweight aluminum and high-strength steel compounds that helped shed more than 100 kg from the BMW model.

The push to make vehicles lighter raises safety concerns. Lighter cars require lighter steel, and to make lighter steel there are typically other compromises that have to be made. POSCO, however, with its advanced high-strength automotive steel, has found the solution for automakers to make cars that are both safe and lightweight.

The new BMW 5 Series (left) and Ford F150 (right) made their debut at the North American International Auto Show. Both models used advanced high-strength steel to reduce weight and maintain safety. (NAIAS Image Archive)

POSCO’s Lightweight Auto Solutions Increase Safety

In 2016, POSCO became the first steelmaker to participate at NAIAS, displaying its advanced high-strength steel for automobiles, including its the PosM Steel and hot press forming steel (HPF). PosM Steel is five times stronger than other types of steel making it great for impact absorption and increased safety.

Providing a rapid solution upgrade for strengthened crash requirements, the safety of POSCO’s advanced materials has been certified by the Insurance Institute for Highway Safety (IIHS). In addition, the strength and crashworthiness of POSCO’s advanced steel solution received a score of 5 stars from USNCAP and ‘good’ safety ratings on the IIHS Moderate Overlap Front and Small Overlap Front tests. By reducing possible safety concerns with high strength body solutions, POSCO is able to contribute to the advancement of global auto manufacturers.

With steel being more important than ever in the auto industry, POSCO’s commitment to improving the strength and safety in its automotive steel has helped it maintain its position as a global industry leader. As Gregory Warden of GM said, “there is a whole new generation of steel coming” – and POSCO is helping to lead the way by creating new solutions that guarantee safety and fit the unique needs of its partners.

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While the Smart Energy Marketplace featured innovative products that provide electricity in more sustainable ways, the Sleep Tech Marketplace showcased exciting sleep-related technologies aimed at improving health through better sleep. Check out some of the recent advancements below and let us know what you think!

The Smart Energy Marketplace: Cleaner & Sustainable Electricity

As they do every year, tech giants and startups used CES to debut their new products and ideas. Just when it seemed that the market was saturated with enough cool floating Bluetooth speakers and mobile charging cases, CES 2017 took it to another level with new solar-powered gadgets.

• Designed by Lemon Technology, The California Roll is the first solar-powered, waterproof speaker. It lasts up to 20 hours with only 7 hours of sunlight, includes voice recognition capabilities, and uses NFC to offer a faster and more reliable connection with less energy consumption. Because it is waterproof, the California Roll is good to go, rain-or-shine.
• When your smartphone battery dies, iPowerUp is a case that can recharge the phone from solar cells located on the back. Its solar panels store energy and then charge your phone when an outlet is unavailable.

POSCO’s work in developing smart energy technology can be seen in the World Premium Product, PosMAC (POSCO Magnesium Aluminum alloy Coating). Solar cells need to be installed with materials that are both lightweight and sturdy enough to withstand the elements. PosMAC is uniquely suited for solar energy development because it is durable, light weight, and non-corrosive.

The Sleep Tech Marketplace: Better Sleep & Improved Health

Trouble sleeping? CES showcased a possible solution at its Sleep Tech Marketplace. In its first year, the marketplace showcased several products that help regulate your body’s circadian rhythm and provide a more peaceful sleep.

• If noises are keeping you up at night, Nightingale is a device that plugs into an outlet and masks common indoor and outdoor noises that can disrupt sleep patterns by adding ambient sounds, called “sound blankets.” Two speakers placed in two different units in a room utilize the walls to reflect sound and blend it into the background.
• PEGASI Smart Sleep Glasses solves a series of sleep related issues by generating lights of specific wavelengths to stimulate the suprachiasmatic nucleus on the hypothalamus, which controls the circadian rhythms that help regulate sleeping patterns.

POSCO has also been working to develop technologies that can help regulate sound for more peaceful sleep. PosCoZy was designed to provide a more peaceful and quieter living experience through a flooring system that can greatly reduce impact noise between floors in apartment buildings and offices. PosCoZy’s manganese Z-clips’ resistance to vibrations are 4x higher than regular steel. What’s more, PosCoZy helps reduce the sound of typical walking from 50 decibels to just 40dB, while impact sounds are lowered from 58dB to 38dB. That means you can sleep through the night without hearing the party going on upstairs.

Bigger and bolder than ever before, CES 2017 took great strides with new marketplaces, including the smart energy and sleep tech industries. POSCO continues to develop pioneering solutions alongside these breakthrough innovations as well to find advanced solutions for the 21^st century.

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However, due to the successful management of POSCO’s overseas subsidiaries, the combined performance of the group improved significantly. By focusing on sales of high value-added products based on solution marketing, engaging in extensive cost-saving efforts, and generating revenues via the “Innovation POSCO Project”, POSCO was able to deliver a two-digit profit margin and a more than 50-percent jump in stock value.

By continuing this work in 2017, POSCO is determined to maintain its position as a leader in the global steel industry.

POSCO’s Vision for 2017

In 2017, further improvements in the global steel market are likely as the global economy continues its recovery. Also, improvements are expected in the supply-demand imbalance as China is expected to slightly reduce steel production.

In 2017, POSCO plans to further the success seen in 2016 and continue to lead the steel industry through innovation and continuous improvements of its World Premium Products.

However, the spread of trade protectionism across developed and developing countries alike, is expected to create potential barriers for POSCO’s export environment. Moreover, competing mills have been accelerating consolidation and expansion to maintain their dominance in their respective local markets while also focusing on the development of high-end products. All of these factors point to ever intensifying competition both in terms of quantity and quality.

To remain competitive with other leading global players in 2017, POSCO plans to solidify its profitability by completing its restructuring process as part of Innovation POSCO 2.0 and strengthening its foundation for future growth.

In CEO Ohjoon Kwon’s 2017 New Year’s message, he marked the steps that must be taken in 2017 to accomplish these goals. First, POSCO must continue upgrading its steel business with proprietary technologies. Second, the business structure of POSCO Group should be continuously restructured to improve efficiencies in low-profit businesses. Third, future growth must be ensured by strengthening competencies based on “Smart Solutions.” And lastly, POSCO must continue its work to establish a flexible and creative corporate culture that excels in the 21^st century.

Despite all of the aforementioned challenges facing the steel industry, POSCO has continued to be a leader. Through innovation and a strong focus on improving the quality of its World Premium Products, POSCO is again well-positioned to lead the industry in 2017 – and in the years to come.

One of our most exciting new products is PossSD – which stands for Super Ductile Duplex, a kind of duplex stainless steel. Duplex steel combines two types of stainless steel – austenitic and ferritic – to maximize the strengths and minimize the weakness of each.

The idea has been around since the 1920s, but only recently has technology and knowhow reached the point to make this a practical commercial product. And now, POSCO’s PossSD is one of the most exciting types of duplex steel to hit the market.

Combining Two Steels to Create an Innovative Alternative

Austenitic and ferritic steels are both considered fairly easy to make and fabricate, but both also possess certain drawbacks. Austenitic steels make up about 70 percent of all stainless steel production. These are low-strength steels that have low resistance to stress corrosion cracking, plus their high nickel content can make them more expensive.

Ferritic steel, on the other hand, have stronger engineering properties, but less resistance to corrosion. They use less nickel than austenitic steel, so tend to be cheaper.

By combining those two types of steel together, however, duplex steel is tougher and more ductile than ferritic grades, and are about twice as strong as both types of steel. It is also cheaper, while possessing stronger corrosion resistance.

Taking Duplex Steel to a Higher Level

PossSD takes those advantages to the next level. It is a high-alloy steel that features high corrosion resistance in severe marine, chloride and acid environments. It also has very limited nickel content, so is cost competitive. And the strip-casting process lets POSCO make PossSD with a higher nitrogen content.

Higher chromium and nitrogen make PossSD strongly anti-corrosive, and its strength gives PossSD anti-dent properties. But at the same time, enhanced ductility and elongation make PossSD highly formable. It also has excellent anti-fatigue properties.

Because PossSD is ferritic and austenitic, it is also magnetic, and therefore is induction heatable and good for cookware.

The strength of PossSD allows products that use it to be thinner and safer. And its high corrosion and wear resistance mean it is very useful for hoppers and tanks. It is an excellent floor material for refrigerated containers, with higher wear resistance and lighter weight.

High-strength enhances its safety factors, making it a good choice for safety items like fire doors and emergency ladders.

PossSD is also a hygienic steel, so it is also appropriate for water distribution and piping. And its strength means water ring thickness can be reduced 20 percent.

Finally, PossSD is versatile, and with proper treatment it can be employed for a wide array of other uses, like curtain walls, the exterior parts of electric battery chargers and artworks.

Stronger, Lighter, Cheaper

The many advantages of PossSD led to this POSCO World Premium product winning a World Steel Association Steelie Award in 2015 for being the Innovation of the Year.

In short, POSCO’s PossSD is an excellent example of what POSCO’s World Premium steel can be. Stronger, lighter, cheaper than regular steel options, PossSD is a major step forward for stainless steel.

To learn more about PossSD, be sure to check out this video.

PossSD, POSCO’s ‘Super’ Stainless Steel, to be Used in Development of Residential Escape Ladders

POSCO’s UL700 Steel Pipe Is a Big Boost for Scaffolding

PosCoZy Floor Plates Creates Quieter Apartments

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