SG Signs Business Agreement with POSCO International to Enter Global Ascon Market

SG announced on the 1st that it has signed a Memorandum of Understanding (MOU) with POSCO International to enter the global asphalt concrete (Ascon) market, focusing on Ukraine, Indonesia, and India.

The signing ceremony was held on the 29th of last month at POSCO Tower located in Songdo, Incheon. Both companies agreed to establish a global cooperation system for the Ascon business and jointly promote it. SG will be responsible for securing local technology rights, manufacturing, and construction, while POSCO International will handle overseas business discovery and contract acquisition.

Initially, the two companies plan to advance the business in Ukraine, Indonesia, and India, ranging from SG’s existing technology of general asphalt concrete to the new technology of Eco Steel Ascon based on steelmaking slag. Eco Steel Ascon utilizes steelmaking slag, a representative byproduct from the steel production process. It is considered an eco-friendly product as it enables byproduct resource utilization and minimizes natural aggregate mining. Additionally, compared to general asphalt concrete, it reduces manufacturing costs and offers advantages such as high durability, high strength, noise reduction, and fine dust reduction by suppressing potholes on roads.

An SG official stated, “Asphalt concrete, an essential material for road construction, is a public procurement project with budgets ranging from trillions to tens of trillions of won annually by country,” adding, “The global collaboration between the two companies is expected to contribute to expanding domestic brands within the overseas public procurement market.”

He continued, “The synergy between our technological capabilities and manufacturing capacity and POSCO International’s global network across 80 countries and extensive overseas business development experience will be significant,” emphasizing, “This will serve as a model case for global market development and eco-friendly new business development based on win-win cooperation between large corporations and medium-sized enterprises.”

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