"Supply Chain Crisis Highlights Leadership"... POSCO Inter Marks 55th Anniversary

President Joo Si-bo Emphasizes Building a Stable Business Portfolio

Joo Si-bo, President of POSCO International

[Asia Economy Reporter Choi Dae-yeol] Ju Si-bo, President of POSCO International, said on the 22nd, "With the supply chain crisis bringing renewed attention to the role of trading companies, I realized that we must evolve our global network and business capabilities that we have built so far to the next level."

President Ju emphasized this in his anniversary speech to employees on the occasion of the company's 55th anniversary. Amid the ongoing impact of COVID-19 and emerging geopolitical threats worldwide, supply chain management has become a crucial management issue regardless of industry or sector. Unexpected sudden variables have frequently disrupted supply chains, causing business operations themselves to falter. POSCO International is the largest general trading company in Korea, primarily engaged in inter-country trade.

President Ju noted, "As seen in the spread of COVID-19, the Myanmar situation, and the Russia-Ukraine war, unpredictable factors negatively affect management," adding, "The boundary between advanced industries and traditional industries is becoming blurred, and resource nationalism is intensifying day by day." He continued, "At the group level, there has been a governance change with the launch of the holding company, and the company faces a historic mission to create a competitive business structure that goes beyond the role of a traditional trading company."

He urged the company to establish a stable business portfolio and actively foster new businesses for growth. President Ju said, "Although we recorded the highest sales in the company's history last year (34 trillion KRW), what is more encouraging is that the operating profit ratio is balanced with trading at 39%, resources at 31%, and investment corporations at 30%," adding, "We must build a stable business portfolio that can generate profits even in the worst situations."

He emphasized, "No matter how good the performance is, if there is no vision, the value is not properly recognized in reality," and added, "By thinking intensely, reading trends that transcend the era, and focusing on nurturing new businesses with a steadfast attitude, we can become a 100-year company." He also stressed the importance of creating a flexible and creative organizational culture where individuals can demonstrate their capabilities, while not neglecting ethical awareness and the value of coexistence.

POSCO International's predecessor, Daewoo Corporation, originated from Daewoo Industrial, established by former Daewoo Group Chairman Kim Woo-joong 55 years ago in 1967 on this day. It was incorporated into the POSCO Group in 2010 and renamed POSCO Daewoo in 2016. The current name was adopted in 2019. At the early stage of joining POSCO Group in 2011, sales were 19.4572 trillion KRW and operating profit was 162.5 billion KRW; after more than 10 years, last year's sales increased to 33.9489 trillion KRW and operating profit to 585.4 billion KRW. Sales grew 1.7 times and operating profit 3.6 times. During the same period, the debt ratio decreased from 366% to 206%, and total assets increased from 9.7042 trillion KRW to 10.7707 trillion KRW.

The company stated that it is refining a new vision that can gauge future business directions, based on the POSCO Group’s policy as an eco-friendly future materials company. It is expanding into various fields including eco-friendly car parts, steel, e-commerce, palm oil, cotton yarn, and natural gas. Meanwhile, at the 22nd regular shareholders' meeting held the previous day, President Ju was reappointed as CEO, and Director Noh Min-yong was also reappointed. Jeon Jung-sun was appointed as Non-Executive Director, and Hong Jong-ho and Lee Haeng-hee were appointed as Outside Directors.

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