Lee Jung-ho (center), head of global automotive steel sales at Hyundai Steel, Tawesco CEO Margita Rejchrtova (second from left) and other company executives pose for a photo after a supply agreement ceremony last month. (Hyundai Steel)
SEOUL: Hyundai Steel, South Korea’s second-largest steelmaker, is moving to target the global low-emission steel market amid increasing demand from carmakers moving toward net-zero emissions.
Hyundai Steel recently signed a memorandum of understanding to supply low-emission steel plates to Tawesco, a leading Czech auto parts manufacturer, and Eusider, an Italian firm specialising in automotive steel plate processing.
Both companies supply major European automakers, such as Volkswagen and Stellantis, and are intensifying their focus on reducing carbon emissions.
Such deals came in response to the European Union’s (EU) Carbon Border Adjustment Mechanism, an EU policy that imposes a carbon tariff on imported carbon-intensive products, to encourage countries outside the EU to adopt higher environmental standards.
The partnership with European companies will give a tailwind to the South Korean firm with plans for joint marketing initiatives and component testing already underway. Joining this collective effort, Hyundai Steel is currently investing in carbon-reduced steel plate facilities at its Dangjin Steel Mill.
In another significant move, the steelmaker entered into a non-disclosure agreement with the Advanced Remanufacturing and Technology Centre in Singapore to develop vision artificial intelligence technology to innovate steel manufacturing processes and improve product quality.
“This partnership builds on our ongoing collaboration with the Hyundai Motor Group Singapore Global Innovation Centre, further strengthening its technological capabilities and competitive edge in the global market,” an official said. — The Korea Herald/ANN
