South Korean steelmaker POSCO has announced that it has signed a strategic alliance agreement with the US-headquartered energy giant General Electric (GE) to cooperate in the energy and infrastructure fields.
Within the scope of the strategic alliance, POSCO will develop steel and usage technologies for energy plants to create new demand and supply competitive replacement material to lead the steel material market for energy plants.
In cooperation with GE, POSCO will also provide total solutions such as usage technology to clients and contribute to GE's cost reduction if developing and providing alloy steel and hot forged bars as alternative materials.
POSCO has been focusing on the field of steel materials for energy plants as an emerging steel consuming industry which is expected to have an annual demand of 80 million mt. To overcome the current steel market situation where concerns for oversupply exist, POSCO is diversifying its markets by entering into cooperation with Siemens in May for steel material supply in the renewable energy field including marine wind power generation, while it concluded a long-term supply agreement with Shell last September to provide steel plates for marine structures.