MEDIA / H-Story

– Doubled the existing steel processing capability with annual production of 250,000 ton –

– To respond the increase of demand of steel processing materials due to the expansion of automobile production in India –

Pos Hyundai, steel coil center in India operated by HYUNDAI Corporation, one of HYUNDAI Corporation Group, completed the extension construction to double the existing steel processing capability and held the ceremony of completion in the local factory in Chennai, India on Dec. 11, 11:00AM.

HYUNDAI Corporation, when the India factory of HYUNDAI Motors was established in Chennai in 1997, established Pos Hyundai, steel coil center made with POSCO to supply the steel processing materials necessary for the production of automobile and advance the steel processing and distribution market in India. (At that time, the equity of HYUNDAI Corporation was 70.5% but now 94%).

The Steel Coil Center is the steel processing and distribution base that cuts the steel coil supplied from steel mill to meet the requirement of end user, and delivers after processing. At that time, HYUNDAI Corporation was the first enterprise who established a steel coil center in India which led to steel processing and distribution market in India successfully.

POS HYUNDAI has supplied various kinds of steel processing materials to automobile factories and automobile accessories factories near Chennai such as Daimler, Tata, Ashok Leyland etc and strengthened the sales power to local steel processing and distribution markets. Last year, they have accomplished the shipment of 120,000 tons only for one year and the accumulated amount of shipment over 21 years reached total 1.97 million tons.

The automobile market of India with population of 1.3 billion showed the rapid growth of 7~8% every year and especially, the east-southern region of India including Chennai are emerging as automobile production base. KIA Motors is facing the completion of automobile factory in India in 2019 and HYUNDAI Motors, Daimler, Ashok also have a plan of additional investment to expand the production capability.

HYUNDAI Corporation has proceeded the extension construction by installing the slitter, the core equipment of Coil Center to supply necessary steel materials in time and respond the increasing demand of high quality steel materials smoothly, to keep the pace with growth of automobile related industry in Chennai region.

Due to the completion of this extension project, POS HYUNDAI became to have the processing capability of annual 250,000 ton, doubled than the existing processing capability. This enables the cutting processing for thickness from minimum 0.3mm to maximum 6mm and for width from minimum 400 mm to maximum 1,850mm. In particular, according to the recent trend that reduces the weight but concentrates the high tensile steel, they became to have the high level processing capability covering the tension strength of 100MPa and the yield strength up to 60MPa, which raised their competitiveness more in steel distribution market of India.

POS HYUNDAI can be supplied with coils from several steel makers of Korea, Japan, India based on wide overseas sales network of HYUNDAI Corporation and became advantageous to have smooth supply of processing materials even in the time of heavy demand.

POS HYUNDAI, based on the advantages of overseas sales network of HYUNDAI Corporation, has a plan to build a partnership with 120 clients in India firmly and extend the steel processing and distribution business in India continuously through the improvement of service quality to meet the requirement of clients.

Meanwhile, for the completion ceremony of factory, about 100 people attended with Chairman A, Head of Corporation B, Jeong Dae-soo, vice consul general, Shin Gui-hoe, director of Commercial Chamber of South India and 50 major clients.