POSCO to close first wire rod plant at Pohang Steelworks amid low-priced steel imports
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Update time : 2024-11-20 19:03:00
South Korean steelmaker POSCO announced on November 19 that it will close its first wire rod plant at Pohang Steelworks after 45 years and 9 months of operation.
The decision was made due to the chronic oversupply of global steel which caused a drop in profitability of steel products, the influx of low-priced steel imports, as well as aging facilities.
POSCO’s first wire rod plant in Ulsan mainly produces wire rods for nails, screws, and high-strength tire reinforcements for automobiles.
After the closure, the future demand will be allocated to three other wire rod plants, and the Ulsan plant employees will be reassigned to other plants.
POSCO said it currently has no plans to build a new plant on the existing site.
POSCO's first wire rod plant had been operational since February 1979, and a total of 28 million tons of wire rod products had been produced during its life.
