POSCO International to focus on global expansion in 2024

[Courtesy of POSCO International]

POSCO International has released its business plan for the new year with a global expansion strategy at its center. The company has earned praise for successful revenue growth, including the milestone achievement of surpassing 1 trillion won ($760 million) in operating profit for the first time in its history thanks to its merger with POSCO Energy in 2023.

POSCO International said on Sunday it designated 2024 as the ‘Year of Global Expansion,’ aiming for substantial growth by leveraging its global network to secure production assets and forge cooperative relationships.

In the eco-friendly vehicle sector, the company will establish production hubs within key regions, in a move towards localized supply chains. Following the establishment of the Mexico Drive Motor Core Plant 1 in October 2023, plans are underway to consider commencing the construction of Plant 2 in the first half of 2024. Additionally, preparations are continuing for a new factory in Poland, paving the way for the company’s entry into the European market.

The drive motor core is pivotal in manufacturing motors, which play a crucial role in electric vehicles, and POSCO International is targeting a global market share of over 10 percent by 2030.

In the food business sector, the focus is on building a stable supply chain for raw materials. Following a joint investment and raw material procurement agreement with U.S.-based Bartlett and Company for local soybean processing in September 2023, plans include launching a farming joint venture in Australia in 2024. The company aims to establish production hubs in both the northern and southern hemispheres to enhance the stability of raw material procurement.

The company’s energy exploration and production (E&P) business is set for large-scale expansion, enabling it to contribute towards resource security. Plans involve tripling the production capacity of the Australian onshore gas field by 2025 and converting a portion of it into liquefied natural gas (LNG) for a potential Korean supply of up to 400,000 tons.