Chairman Choi Jung-woo: "Advancing as an Eco-Friendly Leading Company in EV Steel, Secondary Battery Materials, and Hydrogen"

POSCO, Shifting Business Focus from Steel to 'Green & Mobility'

[Asia Economy Reporter Hwang Yoon-joo] POSCO is promoting a business structure transformation centered on 'Green & Mobility' based on the group's diverse eco-friendly vehicle capabilities.

POSCO Chairman Choi Jeong-woo emphasized in a message to employees on the occasion of the company's 53rd anniversary, "We must transform the group's business structure to focus on Green & Mobility," adding, "In the phase of mega-trend transition represented by low carbon and eco-friendliness, POSCO Group must rise as a leading company in eco-friendly businesses beyond steel, including electric vehicle steel and parts, secondary battery materials, and hydrogen."

He continued, "We will increase the production capacity of the secondary battery materials business, which is being nurtured as a core group business, and strengthen the value chain from raw materials such as lithium, nickel, and graphite to cathode and anode materials by consolidating group capabilities," and stated, "Through this, let us grow as a total solution provider covering electric vehicle-specific steel, core parts such as motor cores, and secondary battery raw materials and materials, and become a trusted partner in the electric vehicle market."

In January, POSCO launched 'e Autopos,' an integrated brand for eco-friendly vehicle products and solutions, aiming to lead the eco-friendly vehicle market by consolidating group company capabilities. It offers a package including world-class non-oriented electrical steel Hyper NO, high-strength steel for electric vehicles, battery pack-specific steel, cathode and anode materials produced by POSCO Chemical, electric vehicle drive motor cores produced by POSCO SPS, a subsidiary of POSCO International, and battery separator materials for hydrogen vehicles, along with customized solutions utilizing these products.

POSCO Group has established a secondary battery material value chain capable of supplying cathode and anode materials as well as their key raw materials lithium, nickel, and graphite, uniquely in the world. The group plans to supply 220,000 tons of lithium and 100,000 tons of nickel independently by 2030, achieving a production system of 400,000 tons of cathode materials and 260,000 tons of anode materials by 2030.

With POSCO Group's 'Green & Mobility' business structure transformation and the rapid growth of the electric vehicle market, the group's market capitalization has also significantly increased. As of March 31, POSCO Chemical and POSCO International's market capitalization increased by 9.7 trillion KRW and 200 billion KRW respectively compared to the end of 2017, when investments related to secondary battery materials and electric vehicles began in earnest. Considering POSCO's shareholding ratio, the value of POSCO's holdings has risen by approximately 6 trillion KRW.

Additionally, POSCO plans to lead the establishment of infrastructure related to green hydrogen by continuously promoting hydrogen business, including cooperation in ammonia hydrogen extraction technology development and participation in green hydrogen production projects. The company will develop steel and solutions for hydrogen storage and transportation, laying the foundation for the green hydrogen production-transportation-storage-utilization value chain.

Chairman Choi Jeong-woo also reiterated in his 53rd anniversary speech that to sustain growth as a 100-year company, safety and environment must be prioritized as core values and ESG management must be practiced. He said, "Safety is fundamental for sustainable management," and urged, "Since there is no distinction between labor and management, POSCO and its partners, or contractors and subcontractors in safety, I ask everyone to actively participate in safety activities to protect your own and your colleagues' precious lives."

Furthermore, Chairman Choi expressed gratitude to POSCO Group employees at home and abroad who have overcome difficult management environments through emergency management activities last year and have quietly fulfilled their roles in their respective positions.

Earlier, on the 31st of last month, POSCO held an opening ceremony for 'Park1538,' a high-quality complex cultural space for citizens and employees, at the waterfront park near its Pohang headquarters. The event was attended by Chairman Choi Jeong-woo, outside directors, POSCO labor union, labor-management council, POSCO masters, outstanding volunteers, group company employees, as well as representatives from partner companies including the chairman of the Partner Company Association and co-chair of the Win-Win Cooperation Council from the employee side.

'Park1538' was designed with an infinite loop concept symbolizing the recyclability of steel and human infinite creativity, and developed as a theme park connecting the waterfront park, history hall, PR center, cloud bridge, and hall of fame. Notably, the previously separated history hall, PR center, and headquarters are now connected by a 1.2 km walking trail, allowing visitors to view the company's past, present, and future.

'Park1538' will be open for free viewing starting from the 12th of this month, and advance reservations can be made through the website from April 1.

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