Steel Win-Win Cooperation Fund, Donghwa Industry Becomes First Beneficiary Among Steel Scrap Companies

Asia Economy reporter Hwang Yoon-joo] The first beneficiary recommended by the Steel Association from the Steel Win-Win Cooperation Fund, established to support the steel industry affected by the novel coronavirus infection (COVID-19), has emerged.

The Korea Iron & Steel Association announced on the 28th that Donghwa Industry, a steel scrap company located in Siheung, Gyeonggi Province, received a loan of 1 billion KRW from the Steel Win-Win Cooperation Fund through the IBK Industrial Bank of Korea Siwha Central Branch.

Founded in 1991, Donghwa Industry supplies steel scrap, a raw material for steel, and received the loan as working capital due to intensified competition within the steel scrap industry and disrupted distribution caused by COVID-19.

Kwack Sung-kyun, Executive Director of Donghwa Industry, said, "Donghwa Industry has pursued green growth through resource circulation for 30 years, but is facing difficulties due to COVID-19," adding, "The Win-Win Cooperation Fund loan has helped secure working capital for the company."

The Steel Win-Win Cooperation Fund was established on June 17 through an agreement among POSCO, Hyundai Steel, the Korea Iron & Steel Association, and IBK Industrial Bank of Korea to strengthen win-win cooperation with steel companies and partner companies affected by COVID-19 by raising 100 billion KRW and providing support at an interest rate 1.05 percentage points lower than the market rate.

This content was produced with the assistance of AI translation services.