POSCO Pohang Steelworks 2nd Hot Rolling Mill Resumes Operation... Steel Supply to Normalize Within the Year

POSCO to Restart 15 of 18 Rolling Mills Within This Year
All Mills Scheduled to Operate by End of January Next Year

Products are being produced at the No. 2 hot rolling mill of Pohang Steelworks, which resumed operations on the 15th. Photo by POSCO

[Asia Economy Reporter Choi Seoyoon] POSCO restarted the No. 2 hot rolling mill, a core part of the rolling mill plant at the Pohang Steelworks, on the 15th. It has been 100 days since the flooding caused by Typhoon Hinnamnor on September 6.

POSCO announced on the 18th that out of the 18 rolling mills at the Pohang Steelworks, 13 mills (No. 1 and No. 2 hot rolling, No. 2 and No. 3 heavy plate, steel sheet, No. 1, 2, 3, and 4 wire rod, No. 1 and No. 2 cold rolling, No. 2 and No. 3 electrical steel sheet) are operating normally, including the No. 2 hot rolling mill. By the end of the year, POSCO plans to operate the stainless steel No. 2 cold rolling mill and No. 1 electrical steel sheet mill to establish a full product supply system. Furthermore, in January next year, the galvanizing mill and stainless steel No. 1 cold rolling mill will be sequentially restarted to complete the restoration of the Pohang Steelworks.

Since the typhoon damage, POSCO has been producing key products such as high-carbon steel for automobiles, high-efficiency non-oriented electrical steel sheets (Hyper NO) for drive motors, and premium stainless steel by switching production to the No. 1 hot rolling mill or the Gwangyang Steelworks, which must pass through the No. 2 hot rolling mill. With the restart of the No. 2 hot rolling mill, the supply system has been revitalized.

The No. 2 hot rolling mill processes about 5 million tons, which is approximately 33% of the annual production of about 14.8 million tons at the Pohang Steelworks. Hot rolled products are used as materials in post-processing excluding heavy plates and wire rods such as cold rolling, stainless steel, galvanizing, and electrical steel sheets. They are also final products serving as materials across industries including machinery and construction structures, automotive structures, general and API steel pipes, and cold rolling.

The No. 2 hot rolling mill processes about 33% of the slabs produced at the Pohang Steelworks. It is a key rolling line supplying 74% of these slabs to post-processing. Notably, it handles half of the high value-added WTP (World Top Premium) steel and is the only facility worldwide equipped with a continuous rolling system that rolls slabs continuously without downtime, resulting in high productivity.

Hot-rolled coils produced at the No. 2 hot rolling mill of Pohang Steelworks, which resumed operation on the 15th. Photo by POSCO

Many domestic and international equipment experts and manufacturers expressed that repairing the massive main motors for the rolling mills, which weigh up to 170 tons, within a year was nearly impossible. However, POSCO succeeded in restoration by directly disassembling, cleaning, and assembling the equipment to meet the factory restart schedule. POSCO stated, "The heavily damaged No. 2 hot rolling mill was rapidly restored contrary to initial expectations, thanks to the concerted efforts of employees mobilizing all their capabilities and active cooperation from the global steel industry."

Among the 15 motor drives controlling the rolling mill motors, 11 needed replacement at the No. 2 hot rolling mill. The Indian company JSW decided to generously provide equipment they were manufacturing for their own hot rolling mill to POSCO, significantly accelerating the restoration. The supply of these motor drives was difficult in the short term and could have taken more than a year.

POSCO is strengthening winter safety management by closely coordinating with the field through the establishment of a joint special safety council for safety, operations, and construction.

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