Posted on 11 Nov 2022
South Korean steelmaker Hyundai Steel is considering exporting semi-finished products as workers' strikes are extended at its Dangjin and Pohang plants.
Local industry reports show that Hyundai Steel is advancing a plan to export semi-finished products such as slabs made at the Dangjin plant to overseas markets. This is mainly because the production of hot-rolled steel products in Dangjin is difficult due to strikes, Kallanish notes.
Dangjin's products are mainly used to supply the automotive and shipbuilding sectors. Exporting semi-finished products means that the supply of domestic steel to the local industry will decline.
Hyundai Steel's Pohang plant suffered the same predicament, making it difficult to maintain production of finished steel. Therefore, a deterioration in Hyundai Steel's fourth-quarter earnings is expected.
How long the strike will last is unknown, an insider source says. The strike was initially launched by the union at the end of September and then extended to the HR line on 5 October.
Source:Kallanish
