South Korean steelmaker Hyundai Steel has suspended operations at its Pohang Plant No. 2 indefinitely due to weak demand resulting from deteriorating market conditions, according to media reports. The suspension took effect on June 7, and it has continued except for the union’s request for normal attendance on June 9-10.
At the end of last year, the company postponed its decision to shut down the plant due to a strong reaction from the labor unions, as SteelOrbis previously reported.
The company stated that it expects the demand for construction steel to decrease in the long term.
In addition, Hyundai Steel plans to divest its machinery business division at Pohang Plant No. 1 due to declining profitability and it is negotiating with local Daejoo KC Group for the sale of the division.
