Irem, Coil Center Operation... Quantum Jump Through Business Diversification

Irem announced on the 3rd that it has secured equipment and the entire factory from Gilsan Steel, the No. 1 coil center in Korea, to operate the coil center.

An Irem official stated, "Through this business, we plan to achieve a quantum leap in sales along with stable material supply for the existing steel pipe business and improved profitability through cost reduction."

Gilsan Steel, located in Gyeryong City, recorded sales of approximately 330 billion KRW last year and is recognized as the top stainless steel processing coil center in the domestic industry.

The company expects to reduce its own inventory burden in the highly price- and market-volatile stainless steel market and strengthen its sales capabilities by sharing the logistics center of the coil center. Additionally, through product diversification, it plans to establish a stable profit structure by selling not only steel pipes but also coils, sheets, and scalp in the future.

An Irem official explained, "Due to nickel supply disruptions caused by the New Caledonia bloodshed, the stainless steel market is currently experiencing increased instability such as price hikes. We decided to proceed with this business as securing a stable supply chain is expected to greatly contribute to management stability and sales growth."

He added, "With enhanced supply stability, we anticipate securing a favorable position to win orders for real demand projects that require only high-quality raw materials in sectors such as semiconductors, shipbuilding, and plants."

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