Market participants are also discussing the possible repair of the rebar production line
South Korean steelmaker Hyundai Steel plans to overhaul electric arc furnaces (EAFs) at its Incheon and Dangin plants this year, Kallanish reports.
According to the original plan, Hyundai Steel will shut down a 90-ton EAF at its Incheon plant from February 25 to June 26, while the other 60-ton unit will remain in operation. In the second half of 2024, the 155-ton electric arc furnace at the Danjin plant will be overhauled, with work lasting from September 20 to December 20.
Hyundai Steel made the decision to carry out long-term maintenance of the EAF in view of the deteriorating market conditions, especially the decline in demand from the construction sector, market participants say.
The market also discusses that the overhaul may affect the rebar production line in Incheon.
Hyundai Steel is the second largest steel company in South Korea after POSCO. Starting this year, according to SteelOrbis, the company plans to reduce steel production in blast furnaces and increase it in EAF. In addition, Hyundai Steel will build a 499 MW LNG power plant to support its efforts to reduce carbon emissions, which is scheduled to be commissioned in 2028.
As GMK Center reported earlier, South Korean steelmaker POSCO has expressed interest in negotiating potential cooperation with Montenegrin state-owned power company Elektroprivreda Crne Gore (EPCG). It concerns the steel branch of Zeljezara Niksic.