Posco, Korea’s leading steelmaker, will build a steel mill in Guangdong to produce zinc-coated steel sheets. The plant will have an annual production capacity of 450,000 tons of zinc-coated steel sheets, mainly used in making vehicles and electronics.
The plant is scheduled to be completed in 2012 and is expected to start production in 2013.
The world’s third-largest steelmaker has been seeking additional sources of galvanized steel for some time.
Posco is already operating a stainless steel-making plant in Zhangjiagang in Jiangsu province, where annual production is expected to reach 1 million tons by 2013.
Korea JoongAng Daily reports Posco is also expanding in India, Vietnam and Indonesia as well as in its plant in China that produces 230,000 tons of cold-rolled steel products.