Gwangyang: South Korean steelmaker POSCO Co. announced the completion of its electric arc furnace (EAF) on the nation's southern coast, marking a significant milestone in its pursuit of lower-carbon steel production.
According to Yonhap News Agency, the newly constructed EAF, which stands as the largest in South Korea, boasts an annual production capacity of 2.5 million tons. Located in Gwangyang, approximately 360 kilometers south of Seoul, the project was completed after more than two years of construction, backed by an investment of around 600 billion won (US$396.7 million).
In contrast to traditional steelmaking methods that heavily depend on iron ore and coal, EAFs utilize scrap metal, offering a reduction in carbon emissions by up to 75 percent compared to conventional blast furnaces. POSCO is also exploring hybrid steelmaking technologies, blending molten iron from blast furnaces and EAFs, to ensure steel quality while aiming to mass-produce automotive steel sheets and electrical steel by 2030.
Prime Minister Kim Min-seok lauded the completion of the EAF, highlighting its significance in transforming the steel industry from a high carbon emitter to a more environmentally friendly sector. He expressed confidence in POSCO's potential to spearhead carbon neutrality initiatives within the global steel industry. Kim emphasized the foundational role steel has played in South Korea's industrial growth, pledging comprehensive policy support to elevate the domestic steel industry's technological and production capabilities to world-class standards.