POSCO, Launch of Choi Jeong-woo's 2nd Term... "Securing Future Steel Demand and Strengthening ESG Management"

POSCO Chairman Choi Jung-woo Unanimously Reappointed
"Securing Steel Demand in New Business Areas like Future Cars"
"Expanding Secondary Battery Material Production Capacity... Advancing to Global Top Tier through Raw Material Internalization"
"Achieving Fair Trade, Win-Win Cooperation, and Zero-Accident Workplaces"

[Asia Economy Reporter Hwang Yoon-joo] Choi Jung-woo, chairman of POSCO, was appointed as the next chairman with a three-year term through the shareholders' meeting, officially launching the 'Choi Jung-woo 2nd term' system.

On the 12th, POSCO held the 53rd regular shareholders' meeting and board of directors meeting at the POSCO Center in Daechi-dong, Gangnam-gu, Seoul, confirming Chairman Choi as the next chairman. The term is until March 2024. Earlier in December last year, POSCO's board of directors decided to renew Chairman Choi's term based on the CEO candidate recommendation committee's review results, and on this day, he was finally reappointed with the approval of the shareholders.

Along with Chairman Choi, POSCO appointed Kim Hak-dong, head of the Steel Division; Jeon Jung-seon, head of the Global Infrastructure Division and Strategic Planning Headquarters; Jung Tak, head of the Marketing Headquarters; and Jung Chang-hwa, head of the Management Support Headquarters as inside directors to lead the company. Additionally, ESG (Environment, Social, Governance) expert Yoo Young-sook, principal researcher at the Korea Institute of Science and Technology, and Kwon Tae-gyun, former head of the Financial Information Analysis Center at the Ministry of Strategy and Finance with a high understanding of governance, were appointed as outside directors.

Chairman Choi stated, "This year, we will focus more on profitability recovery by strengthening resources and high-efficiency production systems utilizing artificial intelligence (AI) technology in response to the challenging management environment," adding, "The global economy this year is expected to show a moderate recovery due to expanded fiscal spending by governments and vaccine distribution, but it will not reach the pre-pandemic level."

Specifically, the steel business plans to focus on securing steel demand in future growth areas such as eco-friendly vehicles, eco-friendly energy, and construction materials. In new businesses, POSCO will expand its liquefied natural gas (LNG) business and secondary battery materials business. Regarding the secondary battery materials business, Chairman Choi presented a blueprint to become a global top-tier company by expanding production capacity, internalizing raw materials such as lithium and nickel, and strengthening technological competitiveness. The next-generation growth business, the hydrogen business, plans to gradually expand internal production capacity and explore business opportunities through cooperation with domestic and international companies.

In particular, Chairman Choi emphasized ESG management, seemingly mindful of the recently strengthened decarbonization policies and the Serious Accident Punishment Act.

Chairman Choi said, "ESG has now become an irreversible trend, and it is no exaggeration to say that the future depends on the success or failure of ESG management," adding, "We will do our best to fulfill our social responsibilities by promoting fair trade, economic coexistence with local communities, and realizing a zero-accident workplace."

The outlook for performance after reappointment is also positive. According to financial information company FnGuide, POSCO's operating profit for the first quarter of this year is forecasted at 1.1617 trillion won. If POSCO returns to an operating profit of over 1 trillion won, it will be the first time in six quarters since the third quarter of 2019.

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