South Korean POSCO (Pohang Iron and Steel Company) has opened a steel plant and distribution center in Altamira, Tamaulipas, the Mexican government announced next week.
The steel plant will manufacture galvanized coils to supply the automotive industry. The cost of the manufacturing plant amounted to US$250 million and the cost of the distribution center totaled US$15 million. The plant will supply the Mexican and North American markets and complements POSCO's two existing service centers in Huejotzingo, Puebla and Villa de Reyes, San Luis Potosí.
POSCO plans to produce 110,000 mt in 2009, 300,000 mt in 2010 and reach its maximum production capacity by 2011 with 400,000 mt.
The plant's construction began back in 2007 and employed 1,500 people. In the near future, it is expected to create 200 direct jobs and about 250 indirect ones.