POSCO Daewoo enters the global automotive steel market

POSCO Daewoo intends to strengthen its position in the global market for advanced steel sheets for the automotive industry in partnership with a Korean auto parts manufacturer.

POSCO Daewoo aims to break away from the simple trading business and build a long-term growth base by strengthening its value chain, which includes manufacturing, refining and selling within the steel business.

In September, POSCO Daewoo signed a Memorandum of Understanding (MOU) for the supply and sale of parts for global auto companies with Sungwoo Hitech. The signing ceremony took place at the POSCO Daewoo building in Songdo, Incheon, with Sungwoo Hitech Chairman Lee Myung-keun and Sungwoo Hitech President Kim Young.

Through this Memorandum of Understanding, the two companies will build an integrated material supply chain for steel products and automotive parts across the Americas and India, while ensuring cost competitiveness. Companies believe they can cope with the changes in the automotive industry, where global production is growing.

The two sides also plan to develop streamlined marketing solutions in areas ranging from handling and sales to technical support, strengthening their strategic partnerships and conducting joint marketing campaigns for new models of global automakers that will collaborate in the future.