On September 18 at the Marriott Hotel, Hyundai Steel signed a strategic MOU with Xi C&A, a specialized construction company affiliated with the GS Group. Through the agreement, aimed at bolstering the Hyundai Steel’s competitiveness in the construction sector, a new annual supply contract for 40,000 tons of H-beams was also secured.
Under the newly signed agreement, Hyundai Steel will be annually supplying over 40,000 tons of H-beam products to all LG-affiliated construction sites in Korea, including plants, factories, logistics centers, and data centers. In return, Xi C&A will see the benefit of improved construction quality through the use of GR-certified products and the guaranteed stable supply of raw materials.
The new agreement also serves as a collaborative base for overseas construction projects related to LG Group’s battery and secondary battery businesses, where LG Group is currently concentrating its efforts. Both companies plan to leverage their combined strengths to form “Team Korea” to enhance competitiveness and stability with regards to overseas projects. To this end, collaboration on technology agreements and development efforts will be focused on to pursue new construction methods and optimization of steel supply in the future.
As part of the agreement, Hyundai Steel is scheduled to supply products to construction sites managed by Xi C&A, including LG Electronics’ Changwon Smart Factory 2 and 3, LG Energy Solution’s Ochang Battery Plant 2 (scheduled for January 2024), LG Chem’s Gunsan and Daesan factories (first half of 2024), and LG Energy Solution’s Arizona battery factory (first half of 2024).