South Korean steel titan POSCO has announced that it started the construction of POSCO-CYPC, a new processing center in the Economy Technology Development Zone in Yantai, Shandong, China on May 19 with an official groundbreaking ceremony.
The steelmaker has started to build the new supply chain management (SCM) center to secure a new sales hub for automobile sheets, as Shandong-based Chinese carmakers, located in Yantai and Jinan, are increasing production. POSCO-CYPC will process an annual 170,000 metric tons of steel products to be supplied to customer firms such as automakers Shanghai GM and Geely, as well as Foxconn and Samsung Electronics.
The new plant is of high significance because it will be POSCO's 50th global SCM center in a total of 14 countries. POSCO plans to complete POSCO-CLPC in China in June, followed by POSCO-TNPC in Turkey in July.