Posco Inter Signs Contract for 180,000 Tons of Urea Solution in Australia and Mexico

Mobilizing Over 80 Overseas Networks in Total

[Asia Economy Reporter Ki-min Lee] POSCO International is actively participating in overcoming the shortage of urea solution by signing supply contracts using its overseas network of more than 80 locations worldwide.

On the 11th (local time), POSCO International announced that it had signed contracts for 80,000 liters of urea solution with Blue Nox in Australia and 100,000 liters with Zar Kruse in Mexico.

The signing ceremony with Zar Kruse was held locally in Mexico, attended by Jeon Yoon-jong, Director General of Trade Negotiations at the Ministry of Trade, Industry and Energy, Kim Ki-jung, Head of KOTRA Latin America Regional Headquarters, officials from the Embassy of Korea in Mexico, and Choi Soon-young, CEO of POSCO MEXICO.

POSCO International explained that this contract is the result of immediately utilizing all overseas networks after the shortage of urea solution occurred, negotiating purchase contracts for urea and urea solution with major suppliers in the Americas, Europe, and Asia. The imported urea solution will be used as automotive urea solution for transportation vehicles and heavy equipment.

Neither Blue Nox nor Zar Kruse, contracted by POSCO International, had any prior experience exporting urea solution, so POSCO International directly handled all export-related tasks including local export customs clearance, packaging, and logistics.

Additionally, since urea solution mainly consists of urea and water, it poses challenges for maritime logistics, but POSCO International overcame supply difficulties through close cooperation with POSCO’s logistics division and securing shipping space from HMM for Australia-bound shipments, as well as adjusting vessel schedules.

The total 180,000 liters of urea solution secured this time is enough to supply 9,000 passenger vehicles. Both contracts are scheduled to be shipped locally by the end of November, and it is expected to take about 21 days from Australia and 18 days from Mexico to arrive in Korea after shipment.

A POSCO International official stated, "Even after this contract, we will actively utilize overseas branches and subsidiaries to continuously discuss supply possibilities with urea solution manufacturers in Asia, the CIS region, and the Americas," adding, "Through this, we will actively participate to ensure the domestic shortage of urea solution is resolved quickly."

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