Demonstrates the value of public cultural spaces through collaboration among POSCO, POSCO E&C and POSCO A&C

POSCO A&C, which designed Park1538 Gwangyang, won the Platinum Award—the highest honor—at the prestigious international design competition A’ Design Award & Competition 2026, held in Como, Italy, on July 16.

▲ POSCO A&C won the Platinum Award at the international design competition A’ Design Award & Competition 2026 on July 16 for its design of Park1538 Gwangyang.

The A’ Design Award is an international design competition that recognizes outstanding designs from around the world. Held annually, it covers a wide range of fields, including product design, architecture, interior design, graphic design and fashion. This year’s competition was judged by a panel of 318 judges from 41 countries. Along with the Red Dot and iF Design Award, it is considered one of the world’s most influential international awards in design and innovation.

The Platinum Award is the competition’s highest honor, presented to works recognized for outstanding design quality, innovation and social impact. Park1538 Gwangyang received high marks for expressing the identity of the industrial city of Gwangyang as a public cultural space and integrating architecture, structure, technology and art within a single space.

Park1538 Gwangyang is a multipurpose cultural space operated by POSCO. POSCO A&C carried out the detailed design, while POSCO E&C handled the construction. The award is particularly meaningful as it recognizes the results of collaboration among POSCO group companies—from planning and design to construction and operation—on the global stage.

The name Park1538 Gwangyang combines “park,” meaning an open space without walls, and 1,538 degrees Celsius, the melting point of iron. By using iron—the symbol of the industrial city of Gwangyang—as a material for a new spatial experience, the project has been developed into a cultural space enjoyed by citizens and the local community.

▲ The exterior of Park1538 Gwangyang features a curved rib structure.

The building’s most distinctive feature is the curved rib structure* that wraps around the building. Beyond serving as an exterior element, the ribs also define the building’s structure, envelope and spatial framework. The vertical ribs, each with a different curvature and inclination, architecturally express the strength and flexibility of iron.

*Rib structure: An architectural structure in which reinforcing members, arranged at regular intervals like a skeleton or rib cage, support the structure and distribute loads.

A large mass* was placed above the lower level of the exhibition hall using a cantilever structure**. This creates both structural tension and a sense of openness. Approximately 4,400 tons of steel were used in the building, including POSCO’s premium structural steel product PosMAC.

*Large mass: A three-dimensional architectural element or spatial unit that is large in scale and perceived as a single solid volume.

**Cantilever structure: A structure fixed and supported at only one end, with the other end projecting into the air. It allows a space to be extended without columns or walls.

Public art elements are incorporated throughout the space. In collaboration with the Maintenance Technology Department at POSCO Gwangyang Works, POSCO repurposed crusher balls from the steelworks as planters. The front plaza also features Smart Light, a work by German artists Heike Mutter and Ulrich Genth.

▲ Park1538 Gwangyang reflects the concepts of waves of light and waves of nature.

The concept of waves of light, inspired by Gwangyang’s urban image, and the landscape concept of waves of nature are reflected throughout the space. The lower level was opened up to create a plaza-like public area, with an art museum, rooftop garden and Grand Stair. The project was also recognized for its high level of completion as a multipurpose cultural space where industrial facilities coexist with nature, art and education.

The award has drawn attention to Park1538 Gwangyang as an example of transforming an industrial facility into a cultural space open to citizens, rather than simply a corporate promotional venue. Its international recognition reflects the project’s ability to express the material qualities of iron and the identity of the local community through architecture, while harmoniously incorporating the technological expertise and spatial planning capabilities of POSCO group companies.

Park1538 Gwangyang currently operates a promotional hall and art museum, both of which offer free admission. Visitors can make reservations through the official website up to three days before their visit, while the outdoor spaces are open to the public without a reservation. Park1538 Gwangyang will continue to serve as an open cultural space that engages with and contributes to the local community.

Dear Newsroom readers who care for and support POSCO, it is a pleasure to greet you. My name is Gérard REVEL, a French engineer who came to Korea in 1977—nearly 49 years ago—to work on the Phase 3 facilities expansion project at Pohang Works. Returning here after so many years, the three years I spent in Pohang come rushing back like scenes from a lantern slide. I can still vividly picture employees in the ocher-colored work uniforms that symbolized POSCO at the time, moving briskly across the steelworks site. Today, I would like to share my story with you as I look back on those intense and precious years, among the most meaningful of my life.

The beginning of my journey with POSCO

I was born in the late 1940s in a town in central France, often called the cradle of the French steel industry. Having grown up in a basin where mining and steelmaking had continued for more than 150 years, I naturally began my career after university at SECIM, a subsidiary of Creusot-Loire, a distinguished company in the design and manufacture of steelmaking equipment. As the company expanded its global reach through partnerships with leading international firms, a new opportunity came my way in the engineering department: I was entrusted with overseeing the on-site installation and commissioning of turnkey plants delivered around the world.

From then on, I traveled across many countries, directing the moment when equipment came to life in the field. Among all those assignments, one of the most memorable was POSCO’s blooming mill*, which laid the foundation for Korea’s steel industry.

*Steel ingots, cast in fixed molds at the ingot-making shop, were reheated at the blooming mill and rolled into semi-finished products such as slabs and blooms. At Pohang Works, the blooming mill was shut down in December 1998 after a 100% Continuous Casting system had been established for all steel grades.

I first set foot in Korea in 1977. I was assigned to support the construction of the blooming mill, but to be honest, Korea was a very unfamiliar country to me then. I boarded the plane knowing little more than where it was on the world map. Yet I could never have imagined that those uncertain first steps would mark the beginning of a remarkable journey that would change my life.

My memories of the Phase 3 expansion project site at Pohang Works in 1977

The blooming process I was responsible for was a key operation—almost like the backbone of the steelworks—rolling massive steel blocks from the steelmaking shop into semi-finished products such as slabs. Because the work required a high degree of precision and technical coordination, I had to stay fully focused every moment, supervising equipment installation and working closely with the Korean team during commissioning.

The construction site of the blooming mill was always filled with red dust. But even redder was the passion of the people working there. Korean engineers pored over drawings day and night, and even when their French or English was limited, they came to me with gestures and determination, eager to learn every bit of technology they could. Deeply moved by that passion, I did my best to share all the know-how I had without holding anything back.

I have countless memories with my colleagues from those days, but what impressed me most was the remarkable creativity and ingenuity of the Korean people. If there were not enough wrenches to tighten bolts, they cut steel plates and made their own tools. If there was no concrete pump to pour the foundation, they built up a huge mound of earth beside the site and used the difference in elevation to let the concrete flow. I still remember how amazed I was by their ability to find a way forward, no matter how difficult the circumstances.

The people I loved and worked with

What stands out especially in my memory is the outstanding leadership of the Korean executives who oversaw the construction. They drove the project forward with military-like discipline and execution, yet at the same time embraced foreign engineers from abroad with warmth and deep humanity.

At the peak of construction, when civil works, building construction, and equipment installation were all progressing at once, as many as 2,000 workers were sweating it out together on-site. That may now feel like a distant memory, but I will never forget how everyone came together as One Team, transcending nationality, to create what truly felt like a miracle. I would also like to take this opportunity to send my regards to Mr. J.K. Kim and Mr. Sonn Yang Han, with whom I shared so much on-site during those days.

My message to POSCO, now that we meet again

In my study in France, I still keep framed photographs taken with my colleagues in Pohang. When I look at POSCO today, standing tall as a world-class steelmaker, I feel not only amazement but also deep admiration. To be honest, when I left Pohang, I had my doubts. I wondered whether this steelworks could truly become world-class.

But POSCO proved me wrong in the most extraordinary way. Starting from barren ground, it grew into a global steel company with world-leading competitiveness and played a pivotal role in driving Korea’s economic growth. The fact that I was part of one page of this great history remains one of the proudest achievements of my life.

I recently heard that the global steel industry is facing serious challenges. But I am not worried. The people who built POSCO were pioneers who created something out of nothing. Even today, POSCO steelworks stands on land made miraculous by the sweat and tears of countless Korean and overseas engineers 49 years ago, and by their determination to make the impossible possible. I am certain that this great POSCO DNA still lives on strongly in the hearts of today’s POSCO people. As I always have, I will continue to cheer for POSCO’s future from afar, here in France.

Steel is the framework of the world and one of the great assets that has supported human civilization. Since iron first emerged as a material, humanity has been able to create things larger than ourselves and build the infrastructure essential to life. We have benefited enormously from steel. Yet today, the steel industry, long a pillar of national economies, stands at an unprecedented crossroads. What future awaits steel amid this upheaval? And what breakthrough strategy does POSCO have to overcome these challenges? Beyond the “age of fire” that helped lead human civilization, this is the story of steel as it overcomes crisis and is reborn.

The crisis now facing the steel industry is on an entirely different level from a simple economic downturn. This is because an unprecedented combination of risks is arriving all at once: structural oversupply led by China, protectionism and tariff barriers from the United States, and carbon regulations from the European Union (EU). This is what we call a Perfect Storm.

*Perfect Storm: A term referring to an enormous compound crisis in which individual adverse factors—such as oversupply, protectionism, and carbon regulation—overlap at the same time, dramatically magnifying their destructive impact.

These changes are not limited to Korea. In response to the worsening climate crisis, the global trend under the Paris Agreement is to expand the scope of carbon emissions beyond companies’ direct activities to include all indirect emissions, such as those from suppliers and the product-use stage—namely, Scope 3. As a result, steelmakers around the world are facing mounting climate-related pressure. This is why so many are urgently seeking a breakthrough to meet rapidly growing demand for low-carbon steel.

It’s really changing all aspects of our lives. It’s clear that we need to transform the whole society, not just how we produce things, but also how we use them and, for example, how our energy system works.

The first is to continue producing steel the conventional way the second is to seek a new path toward ‘decarbonization’

At this crossroads, there are two possible paths before us. The first is to continue making steel in the conventional way. In the short term, this may appear to be the easier option, allowing companies to avoid additional costs and respond to immediate goals. But the moment an innovative company emerges that has overcome the barrier of carbon regulation, those that chose this path will inevitably fall behind in the market.

The second is to take on the challenge of decarbonization transition head-on, in step with the global direction of environmental regulation. The massive investment required may be burdensome, but it is the only path that can secure leadership in the future market and achieve sustainable growth.

In the end, the choice is ours, and the future of the steel industry also depends on us.

Here are the people moving one step ahead to build the future of steel: the key figures leading POSCO’s Korean-style hydrogen reduction steelmaking project.

Hydrogen reduction steelmaking (HyREX) is a technology that uses hydrogen, instead of coal, as the reducing agent in the ironmaking process that produces molten iron, removing oxygen from iron ore. Unlike the conventional method, in which oxygen in iron ore combines with carbon and emits carbon dioxide (CO2), this process combines oxygen with hydrogen and produces water (H2O) instead of carbon dioxide.

The conventional blast furnace process—commonly referred to simply as the blast furnace method—became the global standard because it can produce large quantities of molten iron economically. However, it has inherent limitations, including air pollution and waste generation caused by the use of coal. By contrast, hydrogen reduction steelmaking can dramatically reduce carbon emissions compared with the conventional blast furnace process, making it a next-generation core technology that steelmakers around the world are racing to commercialize.

Building on its already commercialized FINEX process, POSCO is developing hydrogen reduction steelmaking technology based on a fluidized-reduction furnace. Many overseas steelmakers are developing shaft-furnace-based processes that require high-grade DR Grade pellets, which are made by processing iron ore into uniformly sized spherical forms. POSCO’s HyREX technology, by contrast, can use fine iron ore directly without additional processing, giving it strong cost competitiveness. It also offers the advantage of precise temperature control, helping secure high-quality reduction performance. To commercialize HyREX, POSCO’s dedicated task force is not limiting itself to in-house research, but is expanding its scope globally and seeking answers together with partners around the world.

I believe the hydrogen reduction ironmaking of the future will evolve into an integrated hub of hydrogen, energy, and steel. This will serve as a massive industrial catalyst, not only for Korea’s industries but for industries worldwide.

Even as companies carve out paths of innovation to achieve decarbonization, the successful decarbonization of the steel industry cannot be accomplished through the technological development of any one company alone. Looking back at history, every major transformation was supported not merely by the solitary efforts of individual companies, but by cooperation and support at the national level. The most representative example is the semiconductor industry. Korea stands today as a semiconductor powerhouse because, about 40 years ago, public-private cooperation laid the foundation.

In the early 1990s, the companies dominating the memory semiconductor market were mostly from the United States and Japan. To hold back Korean firms, they erected a high technological barrier in the form of patents. Korean companies faced tremendous difficulty overcoming it. At that critical moment, the government, companies, research institutes, and academia joined hands to form a consortium. This led to the large-scale industry-academia-research-government project behind the development of 64M DRAM in 1992, a landmark achievement in semiconductor history. That success became the decisive turning point that enabled Korea to secure leadership in the memory semiconductor market and establish its industrial foundation. It was a miracle made possible because the necessary foundation—capital, institutions, infrastructure, and talent—had been put in place. The same holds true for the decarbonization of the steel industry. For hydrogen reduction steelmaking to become reality, a robust hydrogen ecosystem must be established so that hydrogen itself can become economically viable.

As the European Union (EU) has begun imposing taxes on carbon emissions generated during production through the CBAM*, concerns are growing that as the rates continue to rise, Korean steel products may lose cost competitiveness by the mid-2030s, ultimately putting the vast European market at risk.

*CBAM(Carbon Border Adjustment Mechanism) : A system that imposes tariff measures based on the carbon emissions of imported products crossing a border.

The steel industry is not only important for past and present generations, but is also a vital industry for our descendants. For it to become a more sustainable industry, the entire nation and industry as a whole must come together.

Under these circumstances, there is an urgent need for long-term, government-level policy support so that companies can move forward with large-scale investments with confidence. For example, Germany is actively promoting GET H2, a major pipeline initiative to build a 5,100-kilometer network connecting hydrogen production sites and demand centers by 2030. Korea, too, must accelerate the development of a hydrogen infrastructure ecosystem in step with this global trend. Fortunately, as part of these efforts, the K-Steel Act—special legislation aimed at strengthening the competitiveness of the steel industry and supporting its carbon-neutral transition—passed the National Assembly plenary session last year, providing a legal foundation. In addition, the Korean-style hydrogen reduction steelmaking national R&D project has begun taking its first steps. These developments are expected to serve as important building blocks in designing a sustainable future for the steel industry.

Steel remains with us today in many different forms. So what form will steel take as it evolves in the future? Just as it did in the distant past, steel will continue to temper itself for the everyday lives of humanity far into the future. We hope you will continue to join us on this journey of The Evolution of Steel.

▼[The Evolution of Steel] View Full Version ↓

Exciting news has recently arrived. POSCO has signed a Joint Venture Agreement (JVA) with JSW Steel, India’s leading steelmaker, to construct an integrated steel mill. Grounded in a robust partnership, this collaboration aims to target high-profit markets in India and further strengthen the global steel supply chain. How did POSCO and JSW Steel come to join hands? Here is the behind-the-scenes story of this monumental partnership.

POSCO Signs Joint Venture Agreement with India’s Leading Steelmaker, JSW Steel

▲ POSCO signed a Joint Venture Agreement with JSW Steel, India’s No. 1 steelmaker, on the 20th to build an integrated steel mill. (From right) CHANG In Hwa, CEO of POSCO HOLDINGS; LEE Hee Guen, President of POSCO; Jayant Acharya, CEO of JSW Steel; and Sajjan Jindal, Chairman of JSW Group.

POSCO has officially embarked on constructing an integrated steel mill in India—a high-growth market with a population of 1.46 billion—by signing a Joint Venture Agreement (JVA)* with JSW Steel, the nation’s top steelmaker. The joint venture will be established on an equal partnership basis, with both companies holding a 50% stake each.

The new blast furnace-based integrated steel mill** will feature a comprehensive production system covering both upstream and downstream processes—including ironmaking, steelmaking, hot rolling, and cold rolling/galvanizing—capable of producing high-value-added premium steel. With an annual crude steel capacity of 6 million tons, the plant will be located in the state of Odisha,
securing a site adjacent to iron ore mines with excellent logistics, power, and infrastructure. Construction is projected to take 48 months from groundbreaking, with completion targeted for 2031.

* Joint Venture Agreement (JVA): A form of direct investment where a company partners with local capital to jointly operate and manage a business.
* Integrated Steel Mill: A steel plant equipped with all production stages, including ironmaking (producing molten iron), steelmaking (removing impurities), and rolling (manufacturing finished steel products).

A Perfect Match: How POSCO and JSW Group Share a Common DNA

In India, JSW Group enjoys a level of public recognition and influence comparable to POSCO in Korea, operating across a diverse range of business sectors. Just as POSCO runs professional football clubs like the Pohang Steelers and Jeonnam Dragons, JSW Group boasts immense financial power and cultural influence, even owning the Delhi Capitals, a team in India’s highly popular professional cricket league.

Notably, a special bond forged during a time of crisis connects the two companies. In 2022, Typhoon Hinnamnor caused severe flooding at Pohang Works, submerging key facilities. At that critical juncture, JSW Group generously offered POSCO a set of equipment they had ordered for their own hot rolling mill. This noble gesture significantly expedited the restoration of Pohang’s No. 2 Hot Rolling Mill, serving as a cornerstone for deep mutual trust between the two groups.

▲ (From left) POSCO Founder PARK Tae Joon, JSW Group Founder O.P. Jindal (Photo credit: POSCO group Newsroom DB, Wikimedia)

Beyond a mere business partnership, POSCO and JSW Group share deep-rooted commonalities in their founding spirits and management philosophies. JSW Group’s founder, Om Prakash Jindal (O.P. Jindal), dedicated his life to India’s industrialization. This closely mirrors the philosophy of Jecheol-boguk (제철보국, “Patriotism through Steelmaking”) championed by POSCO’s late founder and Honorary Chairman, PARK Tae Joon, which emphasizes serving the nation by producing high-quality steel. O.P. Jindal’s famous vision, “Where others saw walls, he saw doors,” strongly resonates with POSCO’s indomitable “Woo-hyang-woo” (Right-turn) spirit*, which overcame seemingly insurmountable obstacles through sheer determination.

* “Woo-hyang-woo” (Right-turn) Spirit: An indomitable spirit of challenge demonstrated by Honorary Chairman Park Tae-joon during the construction of Pohang Works. He motivated his team by saying, “If we fail to build this steelworks, which is funded by claims-settlement funds from Japan, we must all turn right (‘woo-hyang-woo’) and drown ourselves in the waters of Yeongil Bay,” burning all bridges to ensure success.

Sajjan Jindal, the current Chairman of JSW Group, was deeply inspired during his past visits to POSCO’s Pohang Works and Gwangyang Works, harboring a dream to “build a world-class steelworks like this in India.” In fact, JSW’s flagship Vijayanagar Steelworks was constructed with a layout and neighboring residential complexes remarkably similar to those of POSCO’s works.
Through years of accumulated trust and mutual respect, POSCO and JSW Group have finally joined hands as true partners to pioneer the future of the Indian steel market.

Why India? A High-Growth Market Driven by a Young Population

Why did POSCO choose the Indian market? While there are various reasons—such as a landmass 33 times larger than South Korea and a population exceeding 1.4 billion—the primary driver is the projected surge in steel demand. Growing at a rapid pace of nearly 6% to 7% annually, India is currently recognized as the fastest-growing major economy in the world.

Having surpassed China in population two years ago, India boasts a massive market scale. Notably, the median age of India’s population is exceptionally young at 28. This youthful demographic is a key driver that injects vitality into the consumer market and heightens its future growth potential.

The rising purchasing power of India’s younger generation is driving development across various industries. The automotive sector, in particular, is expanding rapidly. Currently ranking fourth globally in vehicle production, India’s automotive industry is growing so fast that it is expected to climb to third place in the near future. Additionally, the home appliance market—where Korean giants like Samsung and LG have a strong presence—is seeing increased demand due to rising income levels. In the construction sector, active development of new smart cities is also driving a steady increase in steel consumption.

Specifically, India’s steel demand, which stood at 90 million tons in 2015, has surged to 150 million tons in 2024, and is projected to reach 260 million tons by 2035. Today, India stands as the world’s largest steel market, second only to China.

Supporting this explosive demand is India’s abundance of natural resources. India ranks seventh globally in iron ore reserves (approximately 35 billion tons) and possesses rich reserves of coking coal, offering a significant advantage in raw material procurement. This resource wealth serves as a powerful springboard for India to achieve complete self-sufficiency in the steel industry and sustain long-term growth.

To Go Far, Go Together: Why POSCO and JSW Steel Joined Forces

Why did POSCO choose to enter India through a Joint Venture (JV)? Since 2004, POSCO had explored entering India’s upstream steelmaking sector on four separate occasions. However, these attempts faced hurdles, such as finding the right partner and securing land. The Indian market proved highly challenging for foreign enterprises to navigate independently. Drawing from these experiences, POSCO concluded that partnering with a strong local player was the most viable path forward.

In this regard, JSW Steel, India’s top steelmaker, was the perfect partner. JSW Steel has demonstrated remarkable growth in a short span, scaling its crude steel production from 2.2 million tons in 2005 to over 30 million tons today.

The foundation of any joint venture is trust. Reflecting this, the joint venture is structured as an equal partnership with a 50:50 shareholding split. This structure embodies a shared commitment to building the world’s finest steel mill by combining POSCO’s world-class technology with JSW Steel’s market leadership and local execution capabilities.

Amid rising global protectionism, the Indian government has also tightened measures to protect its domestic market. To safeguard its local steel industry, India has strengthened regulations on domestic production and mandated standard certifications for imported steel. Under these circumstances, the decision to form a joint venture with JSW Steel represents a proactive, strategic move to successfully navigate and establish a strong foothold in the Indian market.

There is an African proverb that says, “If you want to go fast, go alone; if you want to go far, go together.” In line with this wisdom, POSCO plans to combine its innovative steelmaking technology with JSW Group’s formidable local competitiveness, paving the way to make substantial contributions to the industrial development and economic growth of both nations.

Developing “Haptang” (hot metal mixing) technology to secure blast furnace-level quality, aiming to produce premium steel such as automotive steel sheets

Steadfastly executing the 2050 Decarbonization Roadmap… Establishing a business structure anchored in a decarbonized production system

POSCO (Representative Director and President Lee Hee-geun) has completed the construction of a large-scale Electric Arc Furnace (EAF) with an annual capacity of 2.5 million tons in Gwangyang, South Jeolla Province, officially embarking on the production of low-carbon steel.

The completion ceremony, held at Gwangyang Works on the 17th, was attended by Prime Minister Kim Min-seok, National Assembly members Kwon Hyang-yeop and Jo Gye-won, South Jeolla Provincial Council Chairman Kim Tae-gyun, Gwangyang Mayor Jeong In-hwa, and Gwangyang Mayor-elect Park Seong-hyeon. Key POSCO executives and representatives also attended, including Chang In-hwa, CEO of POSCO Holdings; Lee Hee-geun, President of POSCO; and Kim Seong-ho, Head of the POSCO Labor Union.

POSCO commenced construction of the new EAF in February 2024 to align with domestic and international decarbonization policies and proactively respond to customers’ growing demand for low-carbon steel products. The newly completed EAF is the largest single facility of its kind in South Korea, built with a cumulative workforce of 270,000 personnel and an investment of approximately KRW 600 billion.

While the traditional blast furnace-converter method—which inputs iron ore and coal (coke) into a blast furnace to produce molten iron and refines it in a converter—enables the mass production of high-quality steel, it is highly carbon-intensive. In contrast, an EAF recycles steel scrap, reducing carbon emissions by up to approximately 75%* compared to blast furnaces.

* Note: Compared to the average of 2017–2019, POSCO’s baseline years for calculating carbon reduction. This rate may vary depending on scrap supply conditions and power generation sources (based on crude steel, Scope 1 & 2).

POSCO is also focusing on developing “Haptang” (hot metal mixing) technology to enhance the quality of EAF-produced steel. This technology refines a mixture of molten iron produced from both the EAF and the blast furnace, enabling the production of premium steel while significantly reducing carbon dioxide emissions compared to conventional blast furnace operations. By securing additional core technologies—such as the selection and classification of scrap (the primary raw material) and precise composition control during the refining process—POSCO aims to mass-produce automotive steel sheets and electrical steel sheets by 2030.

To this end, POSCO has designated EAF-produced premium steel as one of its “Eight Strategic Products” and has accelerated the development of specialized products by forming an integrated project team spanning R&D, production, and sales. In addition, the company plans to concurrently develop “bridge technologies” that contribute to carbon reduction within the existing production system, such as hydrogen-rich gas injection into blast furnaces, top-and-bottom blowing converters, and carbon-reduced raw material technologies.

Recently, domestic carbon reduction requirements have intensified with the strengthening of Nationally Determined Contributions (NDCs) and the implementation of the Phase 4 Emissions Trading Scheme (ETS), alongside the full-scale rollout of the EU’s Carbon Border Adjustment Mechanism (CBAM). POSCO aims to transition to a decarbonized production system through its proprietary hydrogen reduction steelmaking technology, “HyREX.” Until HyREX is commercialized, the newly built EAF will play a pivotal role in driving greenhouse gas reductions and strengthening the company’s low-carbon product portfolio.

During the ceremony, Chang In-hwa, CEO of POSCO Holdings, emphasized, “The EAF completed today is not merely the addition of another facility; it is a powerful declaration of our commitment to resolving the defining challenge of our era—decarbonization—and reshaping the global market.” He added, “POSCO will proactively respond to the low-carbon steel demands of our global customers and further solidify our position as a leading provider of future materials.”

Prime Minister Kim Min-seok remarked, “The completion of the EAF at Gwangyang Works is a landmark event symbolizing the future of the steel industry as it evolves into an eco-friendly sector.” He promised, “The government will support the quality improvement and supply stabilization of steel scrap, and ensure the seamless execution of the hydrogen reduction steelmaking demonstration project.” He further emphasized, “The government will exert policy efforts to ensure that the hard work and dedication of the steel industry, which has served as a reliable pillar of our economy despite challenging domestic and international conditions, bear valuable fruit.”

POSCO is also accelerating the groundwork for the commercialization of HyREX. Following the Ministry of Land, Infrastructure and Transport’s approval of the Pohang National Industrial Complex plan revision last March, the reclamation of approximately 1.35 million square meters (410,000 pyeong) of public waters near Pohang Works has gained momentum. POSCO plans to complete the development of commercialization technology by 2030 using a 300,000-ton annual capacity HyREX demonstration facility, and progressively transition to a decarbonized production system.

▲ On the 17th, POSCO completed the construction of the EAF plant at Gwangyang Works. (From left) Gwangyang Mayor Jeong In-hwa; South Jeolla Provincial Council Chairman Kim Tae-gyun; National Assembly Member Kwon Hyang-yeop; Prime Minister Kim Min-seok; Chang In-hwa, CEO of POSCO Holdings; Kim Seong-ho, Head of the POSCO Labor Union; Lee Hee-geun, President of POSCO; and Gwangyang Mayor-elect Park Seong-hyeon.

▲ Prime Minister Kim Min-seok (left) and Chang In-hwa, CEO of POSCO Holdings, greet each other at the completion ceremony of the EAF plant at Gwangyang Works on the 17th.

▲ Prime Minister Kim Min-seok (right) and Chang In-hwa, CEO of POSCO Holdings, enter the completion ceremony of the EAF plant at Gwangyang Works on the 17th.

Participating entities sign a multilateral MOU to collaborate across the entire value chain, from advanced material development to real-vehicle drive motor validation

POHANG, South Korea – June 11, 2026 – POSCO announced today that it has launched a major collaborative research initiative with domestic automakers, auto parts manufacturers, and research institutes to develop next-generation, high-efficiency electrical steel sheets designed to maximize the energy efficiency of electric vehicles (EVs).

The kickoff meeting for the national R&D project, titled “Development of 6.5% Silicon-content Wide Electrical Steel Sheet and EV Efficiency-Enhancing Core and Drive Motor Manufacturing Technologies,” was held on June 11 at the Research Institute of Industrial Science & Technology (RIST) in Pohang, marking the official commencement of this groundbreaking technological development.

POSCO is leading the project as the principal R&D institution. A total of ten organizations from the industry, academia, and research sectors are participating as joint R&D partners: Hyundai Motor Company, SL Corporation, Polepair Electric, RIST, the Korea Institute of Industrial Technology (KITECH), the Korea Automotive Technology Institute (KATECH), the University of Ulsan, Pukyong National University, and the Korea Metal Materials Research Association (KOMERA).

The primary objective of this national project—supported by the Ministry of Trade, Industry and Energy (MOTIE) and managed by the Korea Evaluation Institute of Industrial Technology (KEIT)—is to secure manufacturing technologies for “6.5% Silicon-content Wide Electrical Steel Sheets,” a key material for high-efficiency motors, and to validate its performance in actual EV drive motors to verify its impact on improving EV efficiency.

Electrical steel sheets are critical materials for electric motors. As the silicon (Si) content increases, the material reduces “iron loss” (power loss occurring during high-speed rotation), thereby significantly enhancing motor efficiency. However, higher silicon content makes the steel extremely brittle, making it exceptionally difficult to manufacture and process into thin, wide sheets. Standardizing the mass-production process for wide sheets of this high-silicon steel is a major technical hurdle that global steelmakers are fiercely competing to overcome.

Following the kickoff meeting, the participating organizations signed a multilateral Memorandum of Understanding (MOU). Under this agreement, the consortium will establish an integrated research and development system that spans the entire value chain: from raw material development and core fabrication to drive motor manufacturing and real-vehicle efficiency validation. This comprehensive approach ensures that the research goes beyond simple material development to verify the practical applicability of the new steel in actual EV drive motors.

“This collaboration represents a pivotal turning point where the steel and future mobility industries join forces to usher in the era of electrification,” said CHO Myung jong, Head of Future Steel R&D Center at POSCO. “We will concentrate our capabilities on developing high-value-added, advanced materials and component technologies that enhance energy efficiency, while maximizing the synergy among industry, academia, and research institutes.”

Through this project, POSCO aims to strengthen the competitiveness of the domestic steel and automotive value chains, securing a leading position in the rapidly growing global EV market.

▲ POSCO, alon 

Recently, POSCO proved its unrivaled steel material technology by becoming the first in Korea to obtain Korean Register (KR) certification for its new naval materials: high-ductility steel for naval vessels and armor steel for naval vessels. The application of these new materials is expected to drastically improve the performance of the Republic of Korea (ROK) Navy’s next-generation vessels. How were these steel plates, which withstand extreme water pressure and strong external impacts, born? We sit down with Lee Jae-ik and Lee Jin-woo, Principal Researchers at POSCO’s Steel Solution Research Group, to take a closer look at POSCO’s core competitiveness and future vision leading K-marine defense materials.

Lee Jae-ik: Hello. I research “application technology” to help our customers perfectly implement thin yet strong “high-strength steel” into their products. Recently, as reducing the weight of structural frames for carbon reduction has become a major topic, the demand for high-strength steel has increased significantly. However, as steel becomes stronger, welding becomes more difficult, and even after successful welding, the fatigue life of the joints often fails to match the strength of the steel itself. I solve this exact problem. My role is to dramatically extend the fatigue life of high-strength steel welded joints, providing optimal solutions so that customers can safely use lighter and stronger steel for a long time.

Lee Jin-woo: Nice to meet you. I am Lee Jin-woo, researching customized customer solutions at POSCO’s Steel Solution Research Group. Our group’s role does not end with simply making good steel. We provide a comprehensive “user manual” containing the optimal technology and guidelines so that the material can perform at 100% capacity at the customer’s site.

Currently, my main areas of focus are twofold. First is next-generation material solutions for land-based weapon systems and special vessels (surface combatants) that lead K-defense. Second is the heavy equipment and construction machinery sector. In particular, by applying the “extreme environment response technology” and “structural optimization know-how” accumulated in the defense sector to construction equipment, we create synergy to maximize the durability and efficiency of the equipment when our steel is applied. In short, my role can be described as a “technological bridge” that transforms raw materials into core components for high-tech industries.

▲ Conceptual rendering of a next-generation naval vessel applying new defense materials.

Lee Jin-woo: This KR certification is a decisive moment showing that the role of naval materials has evolved from simple “structural materials” to “core functional materials” that determine combat capability. It also demonstrates that Korea’s naval shipbuilding technology has entered a new dimension through material innovation. In modern warfare, where advanced weapons are becoming more sophisticated, the evolution of the hull that protects them is a necessity, not an option. POSCO’s new materials have secured both defensibility and mobility. By increasing elongation to 35% and impact absorption capacity by over 50%, we secured strong survivability, while reducing hull thickness by 30% to dramatically improve mobility and fuel efficiency. Our materials are completing the super-gap of K-defense as core functional materials supporting weapon systems. I am confident that this will serve as a solid foundation for POSCO to leap forward as a key partner in the global defense export market, going beyond being a “steel shield” for Korea’s next-generation vessels.

Lee Jin-woo: POSCO’s new naval materials are evolving in a direction to develop stronger and tougher steel materials so that submarines can operate safely deep under the sea. First, high-ductility steel, which applies technology that remains intact even when colliding with glaciers, stretches much better than conventional steel (35% elongation) while its capacity to absorb impact has become over 50% stronger. In addition, high-performance armor steel, which transplants solid ballistic technology from land-based weapon systems to the marine sector, maintains its strength while reducing the thickness of the steel plate by approximately 30% compared to existing ones. Reducing the thickness of the steel plate enables lightweighting of the hull, thereby improving both mobility and fuel efficiency. This advancement in material technology symbolizes a paradigm shift from structural materials to core functional materials, and will be POSCO’s core competitiveness to contribute to expanding K-defense exports and entering the global naval vessel market in the future.

Lee Jae-ik: Since they are used at sea, both general shipbuilding heavy plates and special steel for naval vessels require high reliability. However, the core purpose of the materials is different. General shipbuilding heavy plates focus on optimizing “economic efficiency and stability” according to the waves or temperatures of designated routes. On the other hand, marine defense materials, such as surface combatants and submarines, must perform operations in any ocean worldwide and survive extreme combat situations like shell hits or explosions. Therefore, they require the most stringent standards in existence. While general shipbuilding mainly uses “high-efficiency steel” with good work efficiency such as welding, marine defense uses “premium special steel” containing a large amount of special alloys to boast the highest level of strength and toughness. This is the biggest difference.

Lee Jae-ik: The pressure hull, which is the framework of a submarine, must maintain its original shape firmly without fatigue or cracking to protect the crew and sensitive equipment from intense water pressure, explosions, and impacts. To achieve this, steel must possess a combination of strength to withstand water pressure (yield strength), flexibility without breaking (elongation), impact absorption capacity (toughness), and ease of bending without heat (cold formability). Perfect welding that connects joints as strongly as the original steel plate and technology to eliminate post-welding stress are also essential.

For example, Japan’s Taigei-class submarines apply ultra-high-strength steel (NS110, yield strength of approx. 980 MPa) that withstands depths of 500 meters. The core technology here is overcoming the problem of reduced flexibility as steel becomes harder. On the other hand, Germany’s Type 212/214 submarines used “non-magnetic steel” that does not stick to magnets to avoid detection based on the enemy’s magnetic field, but because of the limitations in the material’s strength, their diving depth is limited to about 250 meters. Ultimately, for a submarine to survive intact in extreme crisis situations such as undersea collisions, torpedo evasion, or rapid surfacing, advanced steel materials that balance hardness and flexibility, along with reliable welding technology, must be supported.

Lee Jae-ik: To prove the reliability of submarine materials, we must go through three stages of evaluation. First, we quantify the basic alloy design and physical properties using fingernail-sized “micro-specimens.” Second, once the steel is produced, we manufacture “full-thickness specimens” to directly test the limits of strength and toughness of the base metal and welded joints. Finally, we conduct “structural mock-up testing,” assembling it similarly to an actual submarine shape. In this stage, we final-check residual stress generated during actual processing, fatigue life, and deformation during explosions. As a result, to develop a single steel material, hundreds of similar items are repeatedly verified double and triple, and only after passing this harsh process can we finally take responsibility for the submarine’s survivability.

Lee Jae-ik: That is the most difficult part of development. This is because a vicious cycle occurs where increasing the strength of the steel plate makes it weak against impact, and compensating for this warps the welding. POSCO is breaking through this difficult limitation with two innovations. We are researching to secure both strength and toughness simultaneously through advanced Thermo-Mechanical Control Process (TMCP) technology and fine microstructure control technology. Recently, technology that combines AI to find the optimal alloy ratio that captures both strength and toughness (flexibility) has been established. In addition, by package-developing the material and welding consumables as a single set from the beginning, we eliminated the trial and error of having to return to the starting point due to mismatching later, thereby dramatically shortening the overall development period.

Lee Jae-ik: Due to national security and diplomatic sensitivity, all technologies from design to operation in marine defense steel development are managed under strict security. Technology development is mainly carried out as national projects led by the Defense Acquisition Program Administration (DAPA), and the achievements belong to national assets. When a customer requests the development of general-purpose technology, development proceeds in the form of a “Joint Development Project (JDP).”

The most representative case is the “development of fatigue design technology for high-strength steel welded joints” project conducted in 2019 with Hanwha Ocean (formerly Daewoo Shipbuilding & Marine Engineering) and the Korean Register (KR). The design was initially carried out by applying design technology transferred from Germany’s HDW, but we eventually pursued localization. Since then, the three organizations have cooperated to secure localized design technology. In the future, when localized welding materials and welding solutions are applied, it is expected that a self-production foundation for high-performance large submarines will be established.

Lee Jin-woo: POSCO develops next-generation naval materials by establishing an “Early Supplier Involvement (ESI) framework,” collaborating closely from the initial design stage with the special ship business divisions of the two major heavy industries, which are key communication channels for defense agencies. The KR certification of the newly developed materials was also achieved through collaboration with the Special Ship Business Division of HD Hyundai Heavy Industries and communication with defense agencies. Defense steel has the difficult challenge of simultaneously satisfying complex conflicting conditions such as protective performance, weldability, and on-site assembly alignment, beyond simple high strength. Therefore, during the collaboration process, we closely exchange opinions on manufacturing technology, component feasibility, special protective performance verification methods, and final specification (Spec-in).

This field-oriented, close technical exchange (Spec-in) allowed us to reflect the “reality of the field” early on, which is easy to miss in the laboratory, thereby compensating for the limitations of the laboratory unit early. Consequently, it is becoming a core competitiveness that overcomes the structural limitations unique to defense R&D, which usually takes more than 5 to 10 years, and enables actual naval application within a short period. POSCO proactively shared the operational concepts of weapon systems, coordinated required performance, and led the “simultaneous evolution of material and structural design.” This is a symbolic case showing why the current collaboration system is so important.

Lee Jin-woo: POSCO has established itself as a core foundation of the domestic shipbuilding and naval industries by proving global top-tier quality and mass production capability in the field of heavy plates for hull structures. In the field of next-generation special steel, we are continuing strategic challenges to surpass advanced military nations such as the US and Germany, which still lead in some areas. To this end, rather than simply chasing technology, we are pursuing a strategy to build “POSCO’s unique independent development model” where “material development, manufacturing technology, and vessel design” move like a single organic body by establishing a “close joint research system” with national defense research institutes and special ship design departments of shipyards. We believe that this value chain-integrated collaborative ecosystem will be the most powerful core competitiveness for POSCO to leap forward as a first mover leading the paradigm of next-generation naval material technology in the future.

▲ Conceptual rendering of a submarine. (Image source: my posco)

Lee Jae-ik: Analyzing the aspects of modern warfare, such as the recent war in Ukraine, the paradigm of future submarine steel technology can be summarized as “expansion of unmanned systems” and “extreme stealth” such as stealth performance. To apply to unmanned drones that will disperse the risks of manned submarines, a higher level of high-strength steel is essential, and neighboring countries like Japan are also secretly continuing to improve material performance. In response to this, Korea must also move toward developing “ultra-high-strength steel” that withstands deeper seas, larger hulls to increase weapon payload, and “high-strength non-magnetic steel” that fundamentally blocks the enemy’s magnetic detection in shallow waters. Ultimately, we believe that the high-functional special steel equivalent to or surpassing that of neighboring countries, and the advancement of welding and processing technologies to perfectly implement it, are the clear future directions we must preoccupy.

Lee Jae-ik: Ultra-high-strength steel, which completes the “stealthiness” that is the life of a submarine, has doubled in strength compared to 50 years ago, turning what was once a “dream material” into reality. The important point is that these cutting-edge defense technologies will expand to civilian industries in the future, such as lightweighting ships and reducing carbon emissions, serving as a solid foundation to lead the upcoming low-carbon, high-strength steel era. I will make sure POSCO plays a leading role in that.

Lee Jin-woo: I believe that material innovation has true value when applied in the field, rather than remaining as an achievement in the laboratory. POSCO has turned that value into reality through close collaboration with partners such as shipyards and research institutes, as well as research, production, quality, and marketing. Going forward, we will continue to enhance the competitiveness of next-generation naval materials based on accumulated technology and execution capability. I want to responsibly contribute to laying the foundation for Korea’s defense material technology and securing global competitiveness.

Hello, I am Kim Hee-hyun, a Pro in the Security Planning Department at POSCO DX. Our department plays a pivotal role in overseeing the company’s entire infrastructure, ranging from corporate security and network systems to data center operations. Beyond supporting the Security Management (SM) of our group affiliates, we work closely with our Security Operations Center (SOC) and penetration testing experts to prevent security breaches and information leaks. Specifically, I am responsible for penetration testing, where I identify and remediate security vulnerabilities across POSCO Group. I approach my work with unwavering dedication every day, striving to enhance system stability and protect our valuable data.

My journey into security began with an incident during my time as a server administrator. One morning, I discovered that a server had been rebooted without authorization, which made me realize that someone had breached our system. Feeling a strong sense of responsibility to protect our systems, I pursued various security-related activities and eventually moved to a specialized information security firm. However, I found that external consulting often focused on short-term assessments, which limited my ability to continuously advance and perfect security frameworks. As my thirst for deeper involvement in security grew, I found the perfect opportunity to join the Security Planning Department at POSCO DX.

ⓒ clipartkorea

While both groups may use similar technical skills, their objectives, ethics, and procedures are fundamentally different. A white hat hacker is a security professional who, with formal authorization from an organization, identifies vulnerabilities based on real-world attack scenarios and provides solutions. Our ultimate goal is to prevent incidents and strengthen security systems. In contrast, black hat hackers engage in illegal activities—such as unauthorized access, data theft, or system sabotage—for criminal or financial gain.

Before any web-based service developed in-house—such as our main website or E-Procurement system—is launched, it must undergo a rigorous security vulnerability assessment. We meticulously check for any security loopholes. If a vulnerability is found, we submit a report to the development team, and once they have addressed it, we conduct a follow-up verification to ensure the issue is resolved. This process is repeated until all vulnerabilities are cleared, which is a prerequisite for the final service launch.

We screen for 26 types of vulnerabilities, including SQL Injection, Cross-Site Scripting (XSS), and file upload vulnerabilities. Beyond web applications, we also perform penetration testing for mobile apps and security configuration audits for infrastructure systems (Unix, Windows, network equipment, DBs, etc.).

Furthermore, we visit group affiliates, including POSCO Holdings and POSCO, to conduct on-site inspections. Since each affiliate has different business models and system scales, our focus areas vary accordingly. When we identify potential risks that could lead to hacking or data leaks and provide guidance on improvements, the local security teams often tell us how valuable our support is. I believe these activities play a meaningful role in elevating the overall security posture of the entire POSCO Group.

The core value lies in “prevention”—identifying and blocking risks before they manifest into problems. Security incidents can cause massive financial losses, service disruptions, and data breaches; therefore, eliminating potential threats in advance is the most efficient strategy.

By testing systems using the same methods as actual attackers, white hat hackers find the “doors” that intruders might use and provide ways to lock them. This process also helps uncover early-stage issues in corporate operations, policies, and organizational structures. In essence, white hat hacking is a strategic asset that safeguards a company’s financial value, brand reputation, and operational stability.

The greatest challenge lies in consistently delivering results that meet the high expectations of our stakeholders. As hacking techniques evolve daily, it is not easy for a limited team to master new technologies and apply them immediately to the field. To ensure we provide the top-tier expertise expected of us, we actively participate in technical seminars and external training to internalize these capabilities.

Recently, we have been working to shift the paradigm of our security operations by integrating AI. We are currently testing various ways to incorporate AI into our penetration testing and security monitoring processes to reduce time and costs while building a more seamless security framework.

I adhere to the principle of ‘thoroughness until I am fully satisfied.’ I believe that if you rush an assessment due to time constraints, problems are bound to occur. While it is not always easy to uphold this principle during peak periods due to various internal and external factors, I keep in mind that this rigor is the only way to truly prevent accidents.

ⓒ clipartkorea

As closed-off factories of the past transition into smart factories, cyberattacks are no longer limited to simple data leaks; they can lead to massive operational losses, such as factory shutdowns or physical destruction. Therefore, digital security in the steel and manufacturing industries has become an essential safety mechanism that goes beyond data protection—it is now vital for “preventing factory downtime” and “ensuring the safety and lives of our field workers.”

The most critical competency is “practical problem-solving.” It is not enough to have technical knowledge; one must be able to identify the risks inherent in that technology and propose realistic solutions. If you aspire to be a security expert, you must develop a comprehensive mindset that allows you to grasp the technical essence of a risk and provide “actionable solutions” optimized for the organization’s business environment.

To grow as a white hat hacker or security expert, you need a solid understanding of overall IT infrastructure, including Operating Systems (OS), networks, and programming. Since the targets and services change constantly, you must also possess strong problem-solving skills and diverse practical experience. Relying on a single technology will eventually lead to a dead end. I recommend practicing with various hacking tools, participating in bug bounty programs, and staying updated on the latest security trends to cultivate flexible thinking and response capabilities.

Lastly, you need persistence and passion. Finding and fixing hidden vulnerabilities involves many failures. If you have the persistence and passion to overcome every challenge, you will surely become an excellent security expert.

POSCO Investment makes its first overseas CVC investment in the low-carbon steel sector

On April 28, POSCO announced the signing of a joint development agreement with Electra of the United States to develop low-carbon ironmaking technology.

Founded in Colorado in 2020, Electra possesses proprietary technology that produces solid iron by removing impurities from iron ore through electrochemical reactions. The company is currently constructing a pilot plant with an annual capacity of 500 tons, aiming for operation within this year.

Through this agreement, the two companies plan to combine POSCO’s direct reduction technology with Electra’s low-carbon ironmaking system to jointly verify technical and economic feasibility for commercial production.

“POSCO brings deep experience in steelmaking, production technology and process development,” said Sandeep Nijhawan, Electra’s co‑founder and chief executive officer. “We’re building for the long term, and this partnership helps us scale thoughtfully as we bring clean iron to more customers.”

Eom Kyeong-geun, Head of POSCO Technical Research Laboratories, explained, “This partnership through the joint development agreement aims for strategic synergy between POSCO’s proprietary direct reduction and engineering technologies and Electra’s innovative electrochemical process.”

On the same day, POSCO Investment also announced a CVC investment agreement with Electra.

Kim Keun-hwan, President of POSCO Investment, stated, “This investment marks our first overseas strategic CVC investment in the decarbonized steel sector. It holds special significance as a climate-tech investment in preparation for the era of decarbonization.”

▲ POSCO and POSCO Investment sign a joint development and investment agreement with Electra to collaborate on technical validation for commercial production. (From left) Eom Kyeong-geun, Head of POSCO Technical Research Laboratories; Sandeep Nijhawan, CEO of Electra; and Kim Keun-hwan, President of POSCO Investment.

Construction of an integrated steel mill in Odisha with an annual crude steel capacity of 6 million tons… Aiming for completion by 2031

A representative case of POSCO group’s “Complete Localization Strategy” to preoccupy the high-growth Indian steel market

Establishing a “Virtuous Cycle Growth Model” where global profits fund domestic decarbonization transition investments

POSCO (President: LEE, Hee Geun) is embarking on a significant expansion of its global steel business by commencing the construction of an integrated steel mill* in India, a high-growth market with a population of 1.46 billion.

*Integrated Steel Mill: A steel plant equipped with the full range of processes, including ironmaking (producing molten iron), steelmaking (removing impurities), and rolling (producing finished steel products)

On the 20th (local time), POSCO signed a Joint Venture Agreement (JVA) with JSW Steel, India’s leading steelmaker, to build an integrated steel mill in India. This collaboration, built on a strong partnership between the two companies, aims to target high-profit markets within India and further strengthen the global steel supply chain.

The signing ceremony was attended by top executives from both groups, including CHANG In Hwa, CEO of POSCO HOLDINGS, Sajjan Jindal, Chairman of JSW Group, LEE Hee Guen, President of POSCO, and Jayant Acharya, CEO of JSW Steel.

Following a direct meeting and Memorandum of Understanding (MOU) between CEO CHANG In Hwa and Chairman Sajjan Jindal in October 2024, the two companies solidified their cooperation through a HOA* in July 2025. With this final contract, the joint venture now enters the full-scale construction and execution phase. The joint venture is structured as an equal partnership, with each company holding a 50% stake.

*HOA: Non-Binding Heads of Agreement.

The new integrated steel mill will be blast-furnace-based, featuring a complete production system—from ironmaking, steelmaking, and hot rolling to cold rolling/galvanizing—capable of producing high-value-added premium steel. The facility will have an integrated production capacity of 6 million tons of crude steel. A site has been secured in Odisha, offering proximity to iron ore mines and efficient access to logistics, power, and infrastructure. The project aims for completion by 2031, following a 48-month construction period after groundbreaking.

Both companies are reviewing plans to combine POSCO’s low-carbon operational technology and Smart Factory capabilities with JSW’s renewable energy infrastructure to supply a portion of the plant’s power with renewable energy. Through this, they intend to establish a low-carbon production system that aligns with the “Green Steel Taxonomy” established by the Indian government in December 2024, the first of its kind in the world.

President Lee, stated, “Through this joint venture, we will combine POSCO’s innovative steelmaking technology with JSW Group’s strong local competitiveness. We are committed to creating future value and making a substantial contribution to the industrial development and economic growth of both nations.”

CEO Jayant Acharya commented, “This partnership with POSCO will serve as an opportunity to unite the vision and determination of both companies. We expect this to be a significant step in strengthening the Indian steel ecosystem and solidifying the national industrial value chain.”

The Indian steel mill construction project, a long-held ambition for POSCO, has finally come to fruition as the “Complete Localization Strategy” achieved tangible results following the inauguration of CEO CHANG

Since 2004, POSCO has explored entering the upstream sector in India on four separate occasions but faced challenges such as finding the right joint venture partner and securing land. However, the company successfully carried out downstream investments, including electrical steel and automotive steel sheet plants, and has accumulated extensive business experience in India by strengthening its partnership with the JSW Group, which owns India’s leading steelmaker.

A representative example of this robust partnership occurred in 2022 when the Pohang Steelworks was flooded due to Typhoon Hinnamnor. At that time, JSW Group readily provided POSCO with equipment originally being manufactured for its own hot rolling mill, significantly accelerating the recovery of POSCO’s No. 2 Hot Rolling Mill.

Driven by GDP growth, urbanization, population increases, and manufacturing expansion, India is a high-growth market where steel consumption has grown by over 10% annually in recent years. In particular, demand for high-value-added steel is expected to rise as the premium market for automotive and home appliances expands due to increasing incomes and a shift toward premium consumption patterns.

POSCO group plans to directly overcome the crisis of global protectionism through its “Complete Localization Strategy,” which includes building the integrated steel mill in India, investing in the steel plant in Louisiana, U.S., and collaborating with Cleveland-Cliffs. Meanwhile, in Korea, the company is focusing on high-value-added products, transitioning to Intelligent Factories through the integration of AI and robotics, and developing Korean-style hydrogen reduction steelmaking to secure future growth drivers.

Notably, as CEO CHANG mentioned in his 2026 New Year’s address, this investment is highly significant as it establishes a crucial bridgehead for a virtuous cycle: utilizing profits generated in global markets to fund decarbonization transition investments back in Korea.

▲ POSCO signed a Joint Venture Agreement with JSW Steel, India’s No. 1 steelmaker, on the 20th to build an integrated steel mill. (From right) CHANG In Hwa, CEO of POSCO HOLDINGS; LEE Hee Guen, President of POSCO; Jayant Acharya, CEO of JSW Steel; and Sajjan Jindal, Chairman of JSW Group.