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!

However, steel production in China has expanded even faster, pushing down prices in Southeast Asia and threatening regional competitiveness. In response, many governments are increasing trade barriers, as they look to protect their individual steel industries from a glut of competition.

Market Trends

From 2009 to 2014, the six leading countries of Southeast Asia—Indonesia, Malaysia, Philippines, Singapore, Thailand and Vietnam—increased their production of hot-rolled steel products by 12.6 percent to reach 27.5 million tonnes per year.

However, the growing economies around the region meant that steel demand increased even faster. Over the same period, apparent steel consumption leapt 56.9 percent to 65.9 million tonnes. The difference was made up by imports, which nearly doubled to 46.4 million tonnes from 24.3 million tonnes.

Despite an economic slowdown affecting much of the world, the International Monetary Fund is predicting further growth for the region, expecting steel consumption to rise to 80 million tonnes by 2020.

To fill that gap, the major steel-producing economies of Korea, Japan and China have increased their exports. POSCO opened Krakatau POSCO, the first integrated steelworks in the region, in 2013, and now has production facilities and service centers in Malaysia, Vietnam, Myanmar and Thailand. As of 2014, steel companies from Korea, Japan and China comprised 80 percent of all imports to those six Southeast Asian countries.

In particular, China is making major inroads in the region, especially as its domestic economy slows and companies look to make up the difference abroad. In 2009, China comprised 12 percent of steel imports to those six Southeast Asian countries, but by 2014 that share had climbed to 42 percent.

The oversupply of steel can be seen in prices. Chinese hot-rolled coil cost $429 per tonne in early 2015, but that price fell to just $270 per tonne by October. Japanese hot-rolled coil similarly fell from $480 per tonne to $307 over the same period.

Rising Protectionism

With international steel supplies up and prices falling, Southeast Asian countries are responding by protecting their markets.

Trade barriers being enacted around the region include traditional protectionist measures (like tariffs, anti-dumping regulations and safeguards), technical barriers to trade (or TBTs) and non-tariff barriers to trade (like “Buy National” campaigns). For example, Indonesia enacted a “New Trade Law” in February 2014 that enabled the government to restrict imports of certain goods, including steel.

Anti-dumping (AD) duties and safeguard actions are especially on the rise. Over just 2013-2014, the six Southeast Asian countries took 33 anti-dumping measures, as opposed to 52 AD measures in the previous 18 years. Malaysia and Vietnam, which never took any AD measures from 1995 to 2012, took seven and four AD actions respectively from 2013-2014.

TBTs on steel imports are also tightening around the region. Indonesia requires certificates of approval to import hot-rolled, cold-rolled, coated, galvanized steel and long products, and the list is growing. Thailand, too, has made its approval process more complicated for certain imports, and Malaysia requires certificates of approval for certain steel products.

Finally, “Buy National” policies are common around the region. Indonesia changed its National Procurement Law to mandate government-procured products contain at least 40 percent domestic raw materials, while Malaysia and Brunei offer special benefits to government bodies for procuring domestic goods and services.

Uniting the Region

At the end of 2015, 10 countries in the region came together to form the ASEAN Economic Community (AEC), intending it to grow into an Asian version of the European Union. Containing 620 million people and a combined GDP of $2.5 trillion, the AEC has four major goals:11o build a single market and production base,

1. To become a highly competitive region,

2. To achieve equitable economic development, and

3. To fully integrate the region with the global economy.

4. Analysts believe that the AEC, while bringing the region closer together economically, may further strengthen protectionism against countries and companies from outside the region.

In light of these trends around Southeast Asia, experts say outside companies need to be cautious when investing in this region, and partnerships and joint ventures with local steelmakers are recommended. But with investments going on in the steel industry in Southeast Asia, particularly in Vietnam and Indonesia, soon domestic production could be on the rise, too, replacing many of the imports.

Oversaturation is always a risk, but, given the growth potential of this market, Southeast Asia is still considered a good region for investing. However, care is highly recommended, as the competitiveness of the steel market around the region is expected to rise, especially with the further development of the AEC.

Related Link:

The Future of Manufacturing in Korea

China’s Era of New Normal and its Implications on the Steel Industry

The Evolution of the Steel Production Process

The Myth and Reality of Global Steel Overcapacity

POSRI Releases First Edition of Bi-Annual English Journal “Asian Steel Watch”

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Following a 3.0 percent contraction in 2015, the association estimated demand will decrease another 0.8 percent this year to 1,488 million tonnes (Mt), but will rebound slightly in 2017 for a modest 0.4 percent growth to reach 1,494 Mt.

Steel Demand by Region

According to the worldsteel report, the fastest-growing region in the world this year and next will be Africa, with a 3.8 percent rise this year and 6.5 percent in 2017. North America is also seen growing, up 3.2 percent in 2016 and 2.6 percent in 2017. The EU region should grow 1.4 percent this year and 1.7 percent next year.

The Central and South American regions are expected to enjoy the biggest rebound, declining by 6.0 percent this year, but growing 3.2 percent in 2017. And the CIS will likewise contract 7.4 percent in 2016, but enjoy 4.6 percent growth next year.

TV Narendran, chairman of the worldsteel Economics Committee, said: “The economic environment facing the steel industry continues to be challenging with China’s slowdown impacting globally across a range of indicators contributing to volatility in financial markets, sluggish growth in global trade and low oil and other commodity prices.”

China Lags in 2017

“Growth for steel demand in all markets except China is expected in 2017,” Narendran said in the report.

The report identified a “severe depression” in construction activities in China as being a major contributor to the slowdown there, predicting a 4.0 percent decline this year and a 3.0 percent drop next year.

With that contraction, China’s demand for steel would fall to 626.1 Mt in 2017, or about 41.9 percent of world steel use — that’s a major drop from 47.9 percent of the world usage China enjoyed in 2009.

Emerging and Developing Markets Rebounding

Other markets continuing to struggle include Brazil — which fell 16.7 percent in 2015 and should contract another 8.8 percent this year before recovering a little in 2017 — and Russia.

However, territories seen as growing this year and next year include Turkey, Thailand, Malaysia, Vietnam, Indonesia and the Philippines.

All told, demand for steel in emerging and developing economies (excluding China) is predicted to grow 1.8 percent this year and 4.8 percent next year, to raise their total demand for steel to 457.1 Mt (about 30 percent of world demand).

Demand Trends Favorable for POSCO

worldsteel’s prediction that steel demand is turning around matches many of the financial results seen in POSCO’s first-quarter earnings report for 2016. POSCO announced KRW 12.45 trillion in revenue, down slightly from the previous quarter, but its operating profit was up KRW 319.3 billion to KRW 659.8 billion.

In the report, POSCO attributed its improving financial results to strong improvements in sales performances by its overseas steel corporations. POSCO has also announced a sales goal of KRW 58.7 trillion for 2016, up slightly from 2015.

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On March 19, the POSCO TJ Park Foundation held the POSCO Asia Fellowship homecoming seminar at the POSCO Center in Seoul. More than 50 master’s and doctoral degree recipients, as well as new students receiving scholarships from the foundation, attended the event, sharing information about life in Korea and reinforcing their networks.

Speaking at the homecoming seminar were seven graduates who earned their degrees through the support of the POSCO TJ Park Foundation and who have continued working in Korea instead of going back home. They talked about their diverse experiences, such as school life, paths to employment, and Korean corporate culture. The new scholarship recipients enthusiastically asked questions and shared their own information.

On March 19, POSCO TJ Park Foundation scholarship recipients and graduates attended the POSCO Asia Fellowship homecoming seminar at POSCO Center in Seoul. Over 50 students on scholarships and graduates from 12 countries, including China, Vietnam, Thailand, Malaysia, and India, attended the seminar.

“I was happy to introduce my school life and career in Korea to the new students,” said Ms. Nguyen, a Sogang University graduate who is now in charge of Vietnam-related global affairs at Samsung Life Insurance. “Thanks to the support of the POSCO TJ Park Foundation, I am learning about Korean companies’ keys to success and I look forward to becoming a financial expert on Vietnam.”

POSCO Asia Fellowships nurture talent, turning them into next-generation global leaders

POSCO TJ Park Foundation operates the POSCO Asia Fellowship program to promote the exchange of talent among Asian countries and nurture global leaders. Since 2005, the foundation has run a scholarship program that invites promising talent from around Asia to Korea and supports them so they can earn master’s and doctoral degrees. Students chosen for the scholarship receive full support for their tuition fees and living expenses from the POSCO TJ Park Foundation for their studies in Korea.

Since 2005, the POSCO TJ Park Foundation has spent more than 10 billion won (about $8.6 million) on its scholarship program, helping more than 300 outstanding students from 28 countries around Asia.

The POSCO TJ Park Foundation will continue to support talented people around Asia, to help them grow into the next-generation global leaders, and to provide them with many occasions like the homecoming seminar to gather together, network and learn from each other.

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It is evident that POSCO is a global company when we consider its local steel mills, offices and processing centers operating in the worldwide spectrum. However, due to the perception of POSCO as a foreign company and the differences in cultural and working style, many staffs in the global branches feel close yet far about the company. Therefore, POSCO is offering various activities to enhance the family-like atmosphere of POSCO and to improve the working experience of the staffs in global branches. Today, we would like to introduce the exemplary employee training, one of those activities.

Introducing the Exemplary Employee Training for POSCO Global Branches

The week-long training course in Korea, the exemplary employee training for POSCO global branches is designed for global employees who are recommended by the managing director of the local office. The training aims to augment the core value and vision of POSCO, stimulate the family-like atmosphere and raise multicultural sensibility. This year, the training is offered to global branches including China, Thailand, Mexico and Japan. From October 13 to 18, 29 trainees from 13 branches of 8 countries such as India, Indonesia, Malaysia and Australia, had enjoyed a valuable time by participating in the exemplary employee training.

PROGRAM 1: Hello Korea! Hello POSCO!

The trainees participated in team-building activities which provided an opportunity to learn about each other and accomplish group missions while cooperating with each other. Also, they browsed around POSCO’s learning center, the cradle of global education and POSCO’s museum where the past, present and the future of POSCO’s technology are visible. Moreover, lectures on ‘Cross-cultural Negotiation’ and ‘Working with Koreans’ provided a chance to deepen their understandings of different cultures.

PROGRAM 2: Visiting POSCO’s Birthplace, Pohang
Finally, the trainees had an opportunity to visit POSCO’s Pohang Steel Plant. As our tour bus passed through the main entrance, the dynamic scenic view of the plant was spread before us. The level of concentration exhibited by exemplary employees listening to the explanations of guides regarding the history and status quo of the steel plant, portrayed a sense of earnest interest. After having finished the tour, we visited the 2^nd processing facility of the steel-making division. After listening to the explanations of the Vice Plant Manager, they were able to personally see the charging process, a vital process in steel-making. Sparks together with molten metal generated a grand sightseeing experience.Furthermore, they were able to trace and visualized the historical progress of POSCO via a visit to the POSCO history museum. Familiar contents including Rommel House, the Right Turn spirit, and records of the very first tapping of POSCO steel reassured the trainees of what they had learnt during their lectures. It is fair to say that global employees are now better aware of the persistence and commitment our seniors devoted to establishing POSCO’s presence as it is today.

PROGRAM 3: Experiencing authentic taste and aesthetics of traditional Korean culture at Kyungju

Kyungju is full of historical sites and treasures that it is a must-go place when visiting Korea. The trainees visited this historical mecca and had an opportunity to experience everything Korean from making of their own Kimchi, trying on traditional Korean clothes called Hanbok, and singing along Arirang, the most well-known Korean traditional song, in beats with Jangu, traditional double-headed drum.

Exemplary Employee Training: Memories & Vision, and Success

“Through this opportunity, I experienced and sensed how big of an international corporation POSCO truly is. I am proud to be a part of POSCO family and I am fully ready to contribute more to the POSCO’s striving success.

– Testimonials from students

Towards the end of every exemplary employee training, all participating employees sum up their experiences by taking some time to look back and appreciate the time and memories they shared. On such occasions, the following phrases always come to minds of many:

We share these memories

We share the vision

And we will share a successful future

All as one in POSCO Family

We sincerely hope that the new employees working for the global subsidiaries could share visions and memories as a whole POSCO family and become contributing members for the POSCO’s bright future.

As 2014 Paris Motor Show is still on the show, car fanatics around the world are continuing to devote their attentions to the automobile industry. For today’s last episode of our globalblog’s 2014 Paris Motor Show series, we would like to share another context of POSCO’s engagement in the automobile industry. Recently, POSCO participated in an automobile event in Malaysia. Let’s find out about POSCO’s activity in the event!

POSCO’s Participation in Malaysia’s ‘PROTON Technology Day’
Over the course of 2 days in Malaysia from September 27^th to 28^th, POSCO participated in the PROTON Technology Day for the first time in Southeast Asia. PROTON, headquartered in Kuala Lumpur, Malaysia renowned for its strong automobile manufacturing business in Southeast Asia, hosted this technological event and invited a number of world-famous technology giants, including Bosch and 3M, and over 25 other automobile-related electronic components manufacturers of the automobile industry. Despite the fact that POSCO was the only company invited globally from the steel industry, it was highly praised for its technological breakthroughs,  super strength steel such as PosM Steel or Aluminum Plated HPF, and a wide range of various automobile parts from the audience.

POSCO, the ‘Solution Provider’ powered by EVI Program and PROTON Automobiles
Through this opportunity, POSCO emphasized its competitiveness as the world-leading steel manufacturer and actively promoted itself as the ‘Solution Provider’ by introducing the EVI program that supports developments of new cars and relevant technologies for its clients. Regards to POSCO’s presentation at the PROTON Technology Day, PROTON’s CTO Mr. Rashid stated that, “I was deeply intrigued by POSCO’s effort to support technological breakthroughs in automobile industry through the EVI program and I hope we can build a stronger corporate relationship with POSCO concerning joint technological development for the new cars”.

At the PROTON Technology Day, board members of POSCO held a business meeting with the CEO Mr. Harith from PROTON to discuss how both parties could mutually enhance the corporate relationship. Furthermore, both corporates held an in-depth discussion session on the 26^th to review potential technical exchange gathering programs for board members of the two companies to achieve joint technological development in more effective and efficient manner.

POSCO in Malaysia
POSCO saw a big potential in the local steel market for automobiles and appliances in Malaysia and has been aggressively investing in Malaysia for the past years. Accordingly, POSCO currently operates POSCO-Malaysia that manufactures electronic galvanized steel sheet, POSCO-MKPC that acts as a processing center for steel products, and POSCO-South Asia Kuala Lumpur Office in Malaysia.

To briefly introduce, POSCO-MKPC is a steel-processing center located in Selangor, Malaysia that operates 2 separate processing factories that account for processing 100 and 120 thousand tons of steel per year respectively; POSCO-Malaysia is responsible for operating manufacturing factory that produces approximately 18 thousand tons of steel products per annum. By operating these facilities, POSCO aims to expand supply and clients by providing high-quality steel products to the Malaysian market.

Though 2014 Paris Motor Show will be closing on the 19^th this month, we hope all of our POSCO fans to maintain the interests in POSCO in the automobile industry. We will continue to post more content on POSCO’s technology in various fields of industries, so stay tuned for our next series!