Hyundai eyes new southern US steel mill

Market: Metals
15/01/25

South Korean steelmaker Hyundai Steel has confirmed it may build a new steel mill in the southern US.

A company spokesperson said in an email Hyundai Steel is reviewing whether it will invest in an electric arc furnace (EAF) steel mill, but that the project has not been confirmed yet.

Hyundai Steel has 24mn metric tonnes (t) (26.5mn short tons) of steel production, all in South Korea. That production is split 50-50 between blast furnace and EAF steelmaking processes, according to the company's website. The blast furnaces serve the automotive, construction, and shipbuilding industries with steel sheet, plate, and welded pipe, while the EAFs produce rebar, H-sections, and other products for construction and shipbuilding.

If the mill is built it would be Hyundai Steel's first outside of South Korea.

There are eight EAF and re-rolling flat-rolled steel mills in the southern US operated by different steelmakers that have a combined 23.8mn t (26.25mn st)/yr of production capacity.

The spokesperson did not clarify what products the mill would produce or what industries it would supply.

Hyundai Steel's parent company, Hyundai Motor Group, operates a nearly 400,000 vehicle/year automotive plant in Alabama. Hyundai Motor Group's subsidiary Kia has its own 350,000 vehicle/year auto plant in Georgia.

President-elect Donald Trump has threatened to impose blanket tariffs on US imports after he assumes office on 20 January.

Hyundai announced more than $10bn of investments in the US in May 2022, including a $5.5bn new electric vehicle (EV) and battery manufacturing plant in Georgia that will have a production capacity of 300,000 vehicles.

By Rye Druzchetta

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