They observed that the price of coking coal went from USD 75 per ton in February 2016 to USD 200 in December 2017, but it wasn’t a linear rise. In April 2016, the Chinese government implemented policies limiting the mining and production of coking coal, sending prices up to USD 300 per ton in just 2 months. Prices did eventually stabilize, but a series of natural disasters compromised supplies and logistics from major suppliers, leading to another rapid price increase.

The Chinese government is tackling overproduction and pollution in a series of economic policies. (Source: Brian D. Colwell)

Iron ore prices also had their ups and downs. At the beginning of 2016, the price for iron ore was  USD 41 per ton. Then, it reached USD 95 at the beginning of 2017, went back down to USD 57 in June, then shot back up to USD 70 in December 2017.

This price instability placed a heavy burden on steel producers and steel-consuming industries, making it hard to plan for the near and distant future. The following are a few of the factors that contributed to the capricious prices that will likely continue on into 2018 and beyond.

SEE ALSO: How Factories Produce Steel- the Smart Way

China environmental policy

Beginning in 2016, the Chinese government sought to close over 1,000 coal mines in just one year to cut the country’s production capacity by 60 million tonnes. This is part of the 5-year goal of cutting 500 million tonnes of surplus capacity.

Policies included switching to cleaner fuels and reducing mining-related working days from 330 to 276 days per year. Numerous small and medium-sized mines closed down as a result of the financial burden and domestic coal production was down 7.8 percent YoY.

Chinese mine workers were limited to 276 days of work per year in 2016.(Source: Mashable)

As China is the biggest producer of coal and the third largest producer of iron ore in the world, global prices skyrocketed and the ripple effect was felt in markets all over the world. Due to the greater-than-expected domestic and global outcomes, the Chinese government eased some of its policies in November of 2016, bringing prices back down by about 50 percent. However, the government is scheduled to gradually enforce production capacity reduction and environmental policies again in the near future. In the meantime, prices will continue to fluctuate in accordance to policy changes.

Climate change and unstable supplies

Australia is one of the top producers of coking coal and iron ore in the world, and the biggest net exporter. Much of the world relies on the raw materials coming from Australian mines, but in 2016 and 2017, natural disasters shut down mines and paralyzed logistics routes in the country.

In September 2016, Australia experienced record-breaking heavy rainfalls that led to the collapse of the Anglo American and South32 mines, and derailed railways leading to Port Abbot Point. Heavy rainfall again shut down rail operations and other major logistics routes in the beginning of 2017.

El Niño and La Niña events around the world are causing sporadic weather patterns that are costly to the environment and economy. (Source: Time)

Such inclement weather can be attributed to increasingly frequent El Niño and La Niña events around the world. According to the U.S. National Ocean Service, “El Niño and La Niña are opposite phases of what is known as the El Niño-Southern Oscillation (ENSO) cycle,….the fluctuations in temperature between the ocean and atmosphere in the east-central Equatorial Pacific… La Niña is the cold phase of ENSO and El Niño as the warm phase of ENSO.” Such deviations from average temperatures can cause fluctuations in global weather and climate, posing high risks for coal supplies and logistics.

The Oligopoly of major suppliers

Already, the biggest coal and iron ore producing companies are concentrated in Australia and Brazil. The “big four” are considered to be Vale, Rio Tinto, BHP Billiton and FMG, whose combined exports amounted to 959 million tons in 2014, 1.068 billion tons in 2016 and is expected to reach 1.135 billion tons in 2018.

Their growing share of the global minerals export market as oligopolies over the last few years have only strengthened their power to negotiate prices and contributed to the abnormal amplification of iron ore and coking coal prices. Plus, their position only looks to be solidified with the rise of renewable energy and environmental policies that are forcing smaller mines to close down.

Four major mining companies are expanding their share of the global market. (Source: New York Times)

BHP Billiton is the biggest exporter of coking coal in the world, and it announced in 2016 that it would increase coal output by 8 percent over the next 3 years. The company already owns several major coking coal mines all over the world, but continues to acquire profitable mines with high-quality minerals. Other major mining companies are also expected to continue increasing their share of the market, shutting out smaller companies and increasing prices for coking coal and iron ore.

In the near future, coking coal and iron ore prices will continue to be volatile, forcing steel and related industries to adopt more efficient and sustainable production processes to compensate. As such, global steel companies like POSCO are investing in sustainable energy alternatives to power production, smart factories to enhance efficiency as well as researching high-quality steel materials to boost its competitiveness in the global market. Preemptive planning in an unpredictable market has led to POSCO’s growth and success over the last 50 years, and it will continue to be a global steel leader and solution provider for its partners.

Cover photo courtesy of AVMY Steel Science.

Existing airports are facing a growing capacity crunch in the midst of a growing global economy. (Source: Skift)

The Asia Pacific region’s Available Seat Kilometers (ASK) has increased 7.9 percent YoY, as China leads the way with numerous airport construction projects. Current and anticipated expenditure on airport infrastructure is USD 391 billion for the entire region.  European airports experienced a 30 percent increase in passenger volume from 2012 to 2017. Currently, there are 450 airports facing a capacity crunch in Europe, and the region is currently expecting to spend USD 123 billion on airport infrastructure. North America saw a 4.9 percent YoY growth in its ASK and is currently and expected to spend about USD 123 billion in upgrading its existing airport infrastructure.

There’s no set formula to deal with the growing capacity crunch, and airports in different regions are finding their own solutions from high tech to high-quality materials.

SEE ALSO: Clear Landing into 2018: What’s Ahead for the Aviation Industry

Speeding up passenger flow

Developing countries rich in land and capital, such as China, will deal with the growing number of passengers by building more airports. In other places such as North America, the focus will be on upgrading existing infrastructure and improving passenger flow with the help of technology.

One example of software that is being applied to speed up the flyer’s journey and minimize errors is biometric technology. In Changi Airport Terminal 4, a system called Fast and Seamless Travel (FAST) with biometric technology and self-service features is already in place and will begin operations at the end of October.

Changi Airport’s new terminal will have numerous self-service stops with biometric technology for identification. (Source: Today Online)

Passengers will be able to check-in, check baggage and board the plane, all through a series of self-service stops equipped with fingerprint scanners and facial recognition for identification instead of passports and boarding passes. Sydney Airport will also have a similar system running by the second half of 2018, and many major airports are looking to expand biometric technology applications to other areas such as flight information display systems and on-flight payments.

This is great news for crowded airports. Besides bad weather, the biggest reason for delayed flights is delayed passenger information. As of now, airlines and airports do not share data regarding passengers. Even though airports are aware of passenger check-ins hours before departure, airlines are only notified at boarding gates. Thus, airlines are rushed last minute to verify passenger and flight crew information, causing delays. Reducing the redundant check-in process alone will speed up the flow of passengers through airports.

AI and robotics to lead airport services

In line with the trend toward self-service and passenger interactions with technology, airports and airlines are implementing AI and robotics to improve the passenger flight experience and make it more personalized.

Last year, Incheon International Airport (ICN) in Korea added LG’s robots to its service team – the Airport Guide Robot and the Airport Cleaning Robot. The Guide Robot roams the terminals, ready to help out a passenger in need with airport and flight information in English, Korean, Chinese and Japanese. The bot even personally escorts travelers to the right terminal or boarding gate when passengers scan their boarding passes. The Cleaning Robot cleans nonstop, and can even detect dirty areas, analyze cleaning patterns and calculate the most efficient cleaning routes.   

The Airport Guide Robot and the Airport Cleaning Robot roam the terminals of ICN as part of the airport’s customer service and cleaning crew. (Source: Android Central)

Haneda Airport in Japan is also testing 7 different types of robots equipped with AI software to cover security, translation and baggage transportation. Investment in robotics is crucial for a country like Japan where there is a severe labor shortage due to low birth rates, and the airport is planning to have their bots up and running by 2020, in time for the Olympic Games in Tokyo.

Passengers will also be greeted by a robot named Josie Pepper at Munich Airport’s Terminal 2. Josie Pepper functions on IBM Watson’s IoT and AI technologies. Her high-performance processor with a WLAN internet access connects to a cloud service that is also linked to airport data to deliver information to passengers in real-time. Moreover, machine learning allows Josie Petter to collect and analyze data and improve her responses over time instead of repeating inputted text.  

The bigger the better

The use of technology will greatly improve the passenger flow through airports and increase passenger capacity. However, the new software systems will work best when accompanied by upgraded airport infrastructure. That’s why airports all over the world are undergoing expansion projects including Heathrow Airport (USD 17.3 billion), Sharjah International Airport (USD 400 million) and Auckland Airport (USD 160-180 million).

ICN recently finished and opened its new Passenger Terminal 2, expanding the airport’s capacity to 72 million passengers and 5.8Mt of cargo every year. The terminal was built using 380 tons of POSCO’s 446M stainless steel that contains high amounts of chromium (26%) and molybdenum (2%) for maximum corrosion resistance against the airport’s coastal climate. Moreover, an innovative Bead Blast process was used to process the stainless steel to create a rough texture to decrease sunlight reflectivity for aircraft pilots during take-offs and landings.

ICN’s new passenger terminal is outfitted with high-quality stainless steel. (Source: Airport Technology)

As with ICN, ongoing and future airport expansion projects are projected to consume vast amounts of high-quality steel that is superior in strength, corrosion-resistant and boosts the safety of passengers and flight crew. The renovated infrastructure will further be enhanced by new software upgrades, and future airports will be vastly more efficient and passenger-friendly.

Cover photo courtesy of Dubai Airports.

Malcolm Mclean was an American truck driver who invented container shipping and revolutionized the logistics industry. (Source: Will Box)

Now, at the onset of the Fourth Industrial Revolution, container shipping is undergoing a smart makeover to become more efficient, environmentally friendly and cost-effective. Major shipping companies and ports around the world are adopting smart technologies such as Blockchain, Big Data and IoT to automate operations. For example, the world’s largest container shipping company, Maersk is operating on IBM’s  blockchain-like system to cut out additional paperwork and conduct efficient, transparent operations. Major ports now have smart sensors and artificial intelligence (AI) to collect data about the environment and respond to changes in real-time. Finally, to keep up with all the new technology, new infrastructure is outfitting the smart ports of tomorrow.

So, here’s a glimpse into some of the most advanced ports around the world and what the future of container shipping holds.

SEE ALSO: The Changing Waves of the Shipping Industry

Port of Rotterdam

The Port of Rotterdam is Europe’s largest port with more than 461 million tons of cargo and 140,000 vessels passing through it every year. In January 2018, the Port of Rotterdam Authority and IBM announced they will collaborate on a digital transformation project to turn the Port of Rotterdam into a smart, connected port of the future. Already, there are sensors being applied across the span of 42 kilometers of the port both on land and in the sea to collect data about the port’s surroundings.

The Port of Rotterdam is the largest port in Europe and on route to becoming a smart, connected port. (Source: Port of Rotterdam)

Most importantly, the new port will have a central dashboard which will act as the brain of the entire port. The sensors will collect data and send it to the central dashboard where it will be processed in real-time via IBM’s IoT technology. Compared to the traditional radio communications among operators, the new system will drastically cut down the time it takes to communicate and manage traffic as well as prevent or respond to accidents. Operators will be able to oversee all operations of the port at once, and the new, efficient process is projected to save shipping companies up to an hour in berthing time, which translates to a cost savings of about USD 80,000 per hour.

Port of San Diego

The entire city of San Diego has been working to become a smart city and a leader in the movement towards net-zero energy consumption. The city’s port is no different. In 2013, it adopted the Climate Action Plan (CAP) under which the port has pledged to reduce greenhouse gas emissions by 10 percent by 2020 and 25 percent by 2035.

The Port of San Diego uses smart technology to reduce its carbon footprint. (Source: Cleantech San Diego)

As such, the city worked with various software companies led by Cleantech San Diego to develop a smart building project. The project’s smart technology uses sensors, Big Data and IoT to monitor energy levels across the city and provides real-time data upon which places like the city’s port can operate. Essentially, the data allows port operators to identify patterns in energy consumption as well as abnormalities to respond to in real time.

This year, the Port of San Diego and the state of California will undergo a USD 24 million modernization project with the goal of implementing zero-emission freight equipment over the next 20 years, and further incorporate smart technologies to reduce pollution.

SEE ALSO: Clear Skies Ahead: Clean Fuel for Green Shipping

Port of Singapore

Singapore is the trade hub of Asia and home to one of the busiest ports in the world. Every year, 130,000 cargo ships pass through its waters, but the number looks to increase with the growth of the e-commerce industry.

The Port of Singapore is en route to becoming one of the smartest ports in the world. (Source: Singapore Ministry of Transport)

Starting last September, the Maritime and Port Authority of Singapore (MPA) and IBM jointly implemented Project SAFER (sense-making analytics for maritime event recognition) to the port of Singapore. SAFER consists of new technologies to automate port operations, manage traffic and optimize the use of the port’s resources. With the new automation technology, the port can now enforce regulations automatically and monitor all vessel movements within the port at once in real time. Not only that, SAFER makes maritime operations much safer for operators and employees on the docks with the help of AI sensors for accident prevention. For continued development, the Maritime and Port Authority of Singapore held the Smart Port Challenge 2017 to foster startups in developing next-generation technology for enhanced and sustainable maritime operations.

As the ports mentioned above show, the global cargo shipping industry is headed towards vast change. New technologies such as blockchain, IoT and AI will greatly enhance transportation and handling efficiency and lead to greener practices. Traditional steel containers, on the other hand, will continue to be used in immense volumes for its 100 percent recyclability, lightweight and high-strength properties.

Cities like Hanoi are expanding at an increasing rate. (Source: Channel News Asia)

Urbanization is also speeding up growth. By 2030, more than 10 million people will reside in Ho Chi Minh City. Not only demographically, Vietnamese urban areas are getting bigger physically, with a spatial expansion rate of 2.8 percent per year, which is faster than any other urban area in the Southeast Asian region. The growth is stimulating demand for new homes, roads, infrastructure as well as labor.

As a result, the country is already the biggest steel consumer in the region, driven by a strong construction industry and abundant FDI.

Foreign Direct Investment

During the record-breaking year of 2017, Vietnam saw registered FDI increase 44 percent YOY, and exports rise 23 percent. The majority of investment came from nearby countries such as Korea, Singapore, Japan and China, where the cost of labor is much higher than in Vietnam. Plus, of the country’s 92 million people, 60 percent are of working age, and have demonstrated high output levels. Thus, loads of manufacturing jobs are being offshored to Vietnam.

For example, Korea’s Samsung Display invested USD 2.5 billion in Vietnam last year, bringing total investments to USD 6.5 billion for the production of their display products. Polytex Far Eastern, a Taiwanese company, also invested USD 490 million for their yarn factory in Vietnam. With the continued flow of FDI, the country’s economy is reaping the benefits in terms of financial gain as well as developments in infrastructure.

Foreign Investment has created many jobs for Vietnam’s workforce, such as the workers above in a Samsung Factory. (Source: VN Media)

Two metro projects are under way in Ho Chi Minh City and Hanoi, both funded by foreign companies. Ho Chi Minh City’s Ben Thanh-Suoi Tien line will run through the city at a length of 19.7km, and is planned for completion in 2020. Most of the funding comes from Japan International Cooperation Agency (Jica), Japan’s Sumitomo Corporation and Shimizu-Maeda.

In Hanoi, the 13km Cat Linh-Ha Dong line is mainly supported by China Railways Sixth Group along with a consortium of other Chinese companies, and is scheduled to open for operation in 2018. Such major infrastructural upgrades will further boost the cities’ efficiency and create a better living and business environment.

A Strong Construction Industry

With FDI stimulating the economy and creating jobs, the Vietnamese are enjoying higher living standards and searching for homes in or near major cities. The growth of the middle class and urbanization have led to a booming construction industry.

According to POSCO Research Institute, Vietnam’s construction industry made up 33.3 percent of total GDP, with an 8 percent growth in 2017 alone. Moreover, the industry is projected to grow at an annual rate of 7 percent for the next 10 years. As a result, Vietnam’s construction industry is driving the nation’s steel demand. From 2011 to 2016, Vietnam’s steel demand grew by an average annual rate of 18.1 percent, the highest of Southeast Asian countries with the Philippines in second place at 13.6 percent and Thailand following behind at 5.7 percent.

Vietnam has seen the most rapid growth in steel demand in the region. (Source: SEAISI 2017)

With more and more homes and public infrastructure being built, Vietnam’s construction spending has grown at a CAGR of 8.5 percent and construction steel accounts for more than 93 percent of steel demand in Vietnam. Of those figures, structural steel demand is expected to make up 80 percent of the country’s entire steel demand, reaching 24 million tons by 2020. In comparison, the construction industry is accountable for 65.3 percent of total steel demand in Indonesia and 59.7 percent in Thailand, two of the biggest economies in the region.

Vietnam has one of the fastest-growing construction industries in the world. (Source: SEAISI 2017)

Currently, Vietnam’s domestic steel production capacity only meets 40 percent of its demand, meaning companies must secure stable, high-quality supplies of steel to match its growing demand.

SEE ALSO: Top 5 Steel Consuming Regions in 2018 and Beyond

POSCO’s Solution Marketing

For steelmakers like POSCO, Vietnam holds numerous possibilities for new partnerships and cooperation with construction companies. POSCO has been working closely with its partners in Vietnam for years, supplying premium products as well as supporting partners with technical and marketing solutions. POSCO also chose to open its first overseas structural steel solution center in Vietnam early this year at  POSCO SS VINA.

SEE ALSO: POSCO Opens its First Overseas Structural Steel Solutions Center in Vietnam

POSCO CEO Ohjoon Kwon (center) during a visit to POSCO SS VINA last year. (Source: POSCO SS VINA)

The center is composed of 3 main departments: Solution Planning, Solution Development and Technical Services. Due to the influx in demand for structural steel, the solution center will develop customized marketing strategies fit for the local market, and 25 experienced construction experts will provide support for projects using POSCO’s steel.

As Vietnam eyes another year of growth and development, POSCO SS VINA also looks forward to a busy year providing material and technical solutions for domestic construction projects that will play a vital role in Vietnam’s economic and social well-being.  

Cover photo courtesy of Smithsonian.

It’s no easy task to prepare a city for such big-scale events, but it’s a great opportunity for host cities to boost their economy and make a lasting impression on visitors. For most, the airport will be their first impression of the city, so host cities have vamped-up their airports with the help of steel.  

Take a look at the airports expecting the most traffic in the beginning of the year:

Guarulhos International Airport – Brazil

Every year, from February 24 to 28, the people of Rio de Janeiro hold the Carnival, which unofficially lasts from the end of December to March in the form of hundreds of street parties called blocos. In 2017, more than 1.1 million people showed up for the Carnival from all over the world and spent about USD 782 million during their stay. The Guarulhos International Airport (GRU) is the busiest airport in Brazil, and traffic has tripled from 12.9 million people in 2004 to 39.5 million in 2014. To accommodate the growing number of passengers, the airport has undergone several additions and renovations in the past couple of years.

Terminal 3 at Guarulhos International Airport opened in 2014 ahead of the FIFA World Cup. (Source: Passenger Terminal Today)

Ahead of the 2014 FIFA World Cup, GRU built the 192,000 square-meter Terminal 3 to increase its passenger capacity by 12 million, bringing up the total capacity to 42 million. Terminal 3 consists of 2 main buildings made up of 40 metal modules weighing 70 tons each, held together by concrete pillars.

Then, in 2016, Terminal 2 was renovated ahead of the Summer Olympic Games to fit modern airport standards. With a budget of USD 50 million, architects took existing facilities that were close to 30 years old and rebuilt them into the modernized Terminal 2. The new terminal now accommodates plenty of retail space and a massive food court, and non-aeronautical revenues make up 51 percent of the airport’s entire revenue.

It seems the airport, and the city, made a lasting impression as last year, over 94 percent of tourists that took part in a survey said they would make another trip to the city and over 91 percent responded they would recommend Rio to their friends.

Louis Armstrong New Orleans International Airport – USA

The Louis Armstrong New Orleans International Airport (MSY) is another airport that sees millions of visitors every year during the month of February. Mardi Gras, or Fat Tuesday, landed on February 13 this year, marking the end of a month-long celebration. It’s basically the American version of the Rio Carnival, and social crews or Krewes organize different parties all over town. The event draws about 1.4 million participants on average.

The Louis Armstrong New Orleans International Airport’s North Terminal is scheduled for completion in 2019. (Source: Atkins)

Starting in 2016, MSY is working to complete a 972,000 square-foot North Terminal by February 2019. The project will cost about USD 1 billion to construct. When finished, the new terminal will include 35 new gates, a massive parking garage for 2200 cars as well as a central utility plant.

Besides increasing the passenger capacity, the project created about 64,000 jobs and generated USD 6.4 billion in local spending and USD 2.4 billion in local earnings. The project is also responsible for tons of steel consumption in the form of beams, bars and panels. On November 17, 2017, workers erected a steel beam at the highest elevation of the new terminal, signaling the project will most likely be completed on schedule.

Incheon International Airport – Korea

It’s not every year Korea gets thousands of visitors in the month of February, but as the host for the 2018 PyeongChang Winter Olympics, Incheon International Airport (ICN) is bustling with passengers. Global passenger flights were up 15 percent this year compared to last year, and up 24 percent in the U.S. alone. In Vietnam, bookings were up 550 percent from the previous year, the Philippines saw a 200 percent increase and Canadians booked 40 percent more flights, all in time for the 2018 Winter Olympics.

Incheon International Airport’s second passenger terminal opened on January 18, 2018. (Source: Medium)

To greet the growing number of passengers, ICN completed its second terminal earlier this year using POSCO’s 446M steel. The same type of steel was used to build the first passenger terminal in 2001, but this time, architects decided to apply a special process called Bead Blast to create a rough texture on the roof of the terminal to minimize reflectivity as it can interfere with sight during take-off and landing. The steel also contains high amounts of chromium (26%) and molybdenum (2%), making it extra corrosion resistant.

As the #1 ranked airport in service quality for the last 10 years, ICN will now be able to service more passengers, 72 million to be exact, and 5.8Mt of cargo every year.

SEE ALSO: POSCO’s World Premium Stainless Steel Products, Preferred Option for Strength and Beauty

Airports play a central role in the tourism industry of its respective country, and the national economy as a whole. Steel continues to be the most widely-used construction material for the building and renovation of bustling airports around the world, and will continue to help cities make a lasting impression on all its visitors.

Cover photo courtesy of Wilmotte & Associés.

Last year, California experienced the worst wildfires to date. (Source: Live Science)

It wasn’t just wildfires. The fire that broke out in Grenfell Tower in West London last June claimed 71 lives and sparked a public outcry for stricter building regulations around fire safety. The material used as cladding to wrap the outer part of the building came under scrutiny as it was extremely flammable and contributed to the rapid spread of the flames.

To prevent further disasters, architects, builders and policymakers need to reexamine the materials that go into building people’s homes, workplaces and public facilities.

Materials Matter

Steel is one of the most popular materials for construction as it is 100 percent recyclable, cost-effective and easy to work with. Moreover, World Steel Association’s Steel Construction Fact Sheet shows that steel is the most-researched and best-understood construction material available today. Its inherent characteristics and widely-available reinforcement options make steel the safest construction material for fire resistance.

eel is one of the strongest construction materials under high heat. (Source: CIC)

Fire resistance refers to the duration of time a building can withstand the load of the building, limit the passage of flames and gases and insulate the building against rising temperatures during a fire.

Steel is considered to be a fire-resistant material because it can retain all of its strength in temperatures up to 370ºC (700ºF). At 500ºC (930ºF), it loses 30 percent of its strength and at temperatures above 538ºC (1000ºF), unprotected steel loses close to half of its strength.

To put things into perspective, aluminum starts to decrease in strength when temperatures rise above 100ºC (212ºF), and at 204ºC (400ºF), aluminum loses 60 percent of its strength. Copper also loses 25 percent of its strength at 204ºC (400ºF).

Putting Materials to the Test

Darchem Engineering conducted the first-ever fire-resistance test in 1990 comparing galvanized steel, stainless steel, aluminum and fiberglass. Each material was exposed to temperatures from 1000 to 1050ºC (1832 to 1922ºF) for a period of 5 minutes. Both types of steel passed with minimal damage, while aluminum collapsed after 26 seconds, and fiberglass collapsed almost immediately.

Fire-resistance tests show that stainless steel is one of the most fire-resistant materials available. (Source: Applus)

They also conducted a 2-hour test with the same materials exposed to temperatures from 552 to 555ºC (1026 to 1032ºF). For stainless steel, the testing time was extended to 3 hours and it still had the least amount of damage out of all the materials. Galvanized steel passed the 2-hour mark, but did produce some molten zinc. Aluminum failed after 12 minutes, while fiberglass gave out in 6 minutes.

The results showed that steel, especially stainless steel, is the most fire-resistant material. However, one can never be safe enough when it comes to fire safety, and there are several ways to increase the fire resistance of steel that fall into 3 major categories.

Passive Fire Protection

Passive fire protection methods include boards, sprays and films that insulate the steel surface or structure against high temperatures. Fire protection boards are the most common type of passive fire protection as they can be customized and designed to fit the interior of the building. However, they are quite labor-intensive and costly compared to other options.

Boards are the most common types of passive fire protection. (Source: IPCOM)

Active Fire Protection

Active fire protection refers to any automatic or manual measure that can be taken to detect or fight fires. These include water sprinkler systems, alarms, smoke detectors, first responders and more. With advancements in AI and smart sensors, active fire protection will see vast improvements in the years to come and software systems will likely play a great role in fire prevention and protection.

The majority of active fire protection measures will become automated. (Source: Frontier Fire)

Intumescent fire protection

Intumescent fire protection includes paint-like substances that swell up in high temperatures and act as insulation against the heat. Typically, the intumescent substance will become 50 times thicker than its original state at about 200-250°C, well before steel undergoes any structural damage. Recently, intumescent paints have become much more prominent than passive types of fire protection as they are cost-effective, and can be applied on and off-site saving builders time and money.

Most recently, scientists and engineers from Nanyang Technological University (NTU) and national industrial developer JTC Corporation came up with a new intumescent fire protection paint called Firoshield. It is much cheaper than other types of intumescent paint and takes half the time to apply. The innovation will allow steel buildings to maintain its structural integrity for 2 hours with only 5 layers of paint, compared to the 15 layers required by other paints. 

Such innovations are expected to reinforce the safety of steel buildings, giving people more time for evacuation and limiting the spread of smoke and flames. On a final note, the fire-resistant qualities of steel should be taken into consideration not only for building frames and exteriors, but also for staircases, doors and other parts of a building that must stay intact for safe evacuations as well as for the safety of first responders.

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

Three Gorges Dam

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

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

Beijing Capital International Airport

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

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

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

Jiaozhou Bay Bridge

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

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

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

Jiuquan Wind Power Base

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

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

New Century Global Center

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

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

Port of Shanghai

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

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

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

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

Cover photo courtesy of Morgan Stanley.

CEO Kwon explores CES 2018

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

SEE ALSO: POSCO CEO Ohjoon Kwon Visits CES 2018

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

Smart Connectivity

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

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

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

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

Smart Transportation

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

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

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

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

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

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

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

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

PT. KRAKATAU POSCO sold 1.7 million tons of steel in 2014, its first year of operation, then increased its sales to 2.8 million tons in 2016. The company’s annual sales volume has increased continuously, and its cumulative sales reached 10 million tons as of January 15, 2018. Last year’s tentative performance showed an operating profit of about USD 12 million, enabling the company to turn a profit for the first time.

PT. KRAKATAU POSCO, which began operations in December 2013, is the first integrated steel mill in Southeast Asia with a production capacity of 3 million tons. POSCO and Indonesia’s state-operated steelmaker Krakatau Steel invested 70 percent and 30 percent respectively.

PT. KRAKATAU POSCO is the only steel mill in Southeast Asia with a 3 million ton capacity.

As PT. KRAKATAU POSCO is POSCO’s first overseas steel mill, POSCO concentrated all the competencies of its group affiliates including POSCO E&C, POSCO Energy and POSCO ICT into constructing and operating the facility. After 4 years of hard work, PT. KRAKATAU POSCO is now the leading steelmaker in Southeast Asia.

Instead of resorting to imports, Indonesia can now procure high-quality steel products from  PT. KRAKATAU POSCO, greatly enhancing the competitiveness of Indonesia’s steel-consuming industries.

PT. Bukaka Teknik, manufacturing steel-frame structures, is planning to purchase 120,000 tons of thick plates from PT. KRAKATAU POSCO, and construct Indonesia’s first steel-framed elevated expressway, and PT. Kenertec, Korindo Heavy Industry’s wind turbine tower production subsidiary, will build wind power generators and wind turbine towers with PT. KRAKATAU POSCO steel for export to the US and Europe.

PT. KRAKATAU POSCO also plans to further reinforce partnerships with local steelmakers and increase investments in downstream industries to continue providing quality steel products to its partners in Southeast Asia.

Cover photo courtesy of Universitas Gadjah Mada.

POSCO GIGA STEEL –  For Automakers

POSCO GIGA STEEL is like the iPhone X or the latest Xbox or PlayStation for automakers. It’s the newest, hottest must-have item for any type of car. Automakers are constantly working to lightweight their vehicles without compromising strength to meet increasingly stringent safety and environmental regulations. In order to offer its auto partners the ultimate solution, POSCO developed POSCO GIGA STEEL, an advanced high-strength steel (AHSS) that comes in 6 different types for a variety of applications in vehicles.

POSCO GIGA STEEL can be applied to different parts of a vehicle chassis. (Source: Renault Samsung)

Applying AHSS, including POSCO GIGA STEEL, resulted in a 26 percent reduction in the total weight of a vehicle. Not only that, POSCO GIGA STEEL emits about 10 kg less carbon emissions than aluminum from a life cycle analysis (LCA) viewpoint. Plus, POSCO GIGA STEEL is about 2.1 to 3.5 times less expensive than alternative options like aluminum. It’s no surprise that leading automakers like Renault Samsung, Ssangyong Motors and GM Korea use POSCO GIGA STEEL, proving it to be the all-time favorite gift for automakers.

PosMAC- For Photovoltaic Structure Manufacturers

Solar energy is the fastest growing source of renewable energy in the world, according to the International Energy Agency (IEA). In India, solar electricity generation capacity quadrupled from 2014 to 2017 as it is the cheapest form of alternative fuel in the country. The government also plans to back the industry with USD 100 billion in investments. India is one of many countries looking to solar energy to meet their country’s environmental goals and stimulate the economy.

As a result, photovoltaic (PV) structure manufacturers around the world are working to keep up with the growing demand and gain a competitive edge with high-quality products. PosMAC is ideal for PV structures because it is highly corrosion resistant and cost-effective. Not only is the material itself lower in costs compared to other materials, PosMAC ensures a long lifecycle, decreasing maintenance costs to give manufacturers an added competitive edge. For such manufacturers, POSCO PosMAC steel is the perfect gift.

Magnesium- For Electronics Manufacturers

Magnesium is a common material in electronic devices such as laptops and smartphones. Magnesium is the perfect gift for electronics manufacturers such as LG and Samsung, as their competitiveness lies in delivering the most versatile, lightweight and convenient devices to their customers.

The Samsung Notebook 9 is one of the lightest laptops available. (Source: CNET)

Magnesium is also increasingly finding its way into the automotive industry, especially for electric vehicles (EVs), as magnesium plates and other parts allow automakers to further reduce the weight of the car. Magnesium will likely be the perfect gift for that manufacturer who is thinking ahead and always experimenting new ways to improve future models of their cars.

Hyper NO- EV Manufacturers

The market for EVs is one of the fastest growing, expected to expand from USD 27.84 billion in 2016 to USD 38.98 billion by 2021, at a compound annual growth rate (CAGR) of 7 percent. Much of the success of EVs lies in its motors that will determine the EV’s efficiency, performance and feasibility for wide-spread use. As such, POSCO came up with the perfect gift for EV manufacturers – the Hyper NO.

Hyper NO is a type of electrical steel used to make electric motors. POSCO’s new technology increases the magnetic flux density and reduces core loss of electric motors, making it the perfect gift for electric motor manufacturers looking for ultimate efficiency.

Stainless Steel Products- For Everyone

There are some gifts that satisfy just about everyone, like a gift card for the movies or the nearest cafe. It’s not super special, but it’s a safe and sure choice for anyone as it is practical and functional.

Stainless steel is the ultimate gift for manufacturers as it’s one of the most widely-used materials in the world for a variety of products including surgical tools, watches, kitchenware, buildings, pipes, artistic sculptures and plenty more. It’s literally the foundation of cities and communities all over the world, and without it, the world would not have the most basic systems in place today. Moreover, stainless steel’s non-corrosive and 100 percent recyclable characteristics make it one of the best gifts for every kind of manufacturer.

No matter the type, there is a perfect gift for every manufacturer with steel. POSCO will make sure to provide even more customized and innovative solutions for its partners and continue to “keep on giving” in the new year.