Question · Q3 2025
Kim Yoon Sung inquired about POSCO Holdings' mid to long-term steel strategies, particularly how the company plans to address increasing market burdens like deficits and tariffs, and if it mirrors NSC's approach of decreasing local capacity while increasing overseas investments. He also asked about new investment strategies beyond steel, given rising CapEx for US and India projects and potential acquisitions, and the impact of restructuring in the steel and battery businesses in China on POSCO Holdings' market position.
Answer
Young-ah Han, Head of Investor Relations, and Lee Joo-Tae, Head of Marketing Strategy, confirmed similarities with NSC in increasing overseas capacity due to local demand declines, while domestically, POSCO is shutting down uncompetitive facilities and investing in new ones like electrical steel and electric arc furnaces. Young-ah Han outlined investment priorities: environmental projects (HIREX), overseas steel capacity additions in growth markets (India, Indonesia, Australia), stabilizing existing rechargeable battery material investments, and pursuing M&A for long-term growth. Lee Jae Young from Energy Materials Business Management explained that restructuring in China has led to lithium price increases and the elimination of the price gap between Korean and Chinese materials at US ports, anticipating market improvement next year, especially with potential ESS contracts.
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