POSCO Chairman Choi Jeong-woo, right, shakes hands with an employee at PT Krakatau POSCO in Indonesia, Monday. PT Krakatau is a steel mill set up jointly by POSCO and Indonesia’s PT Krakatau Steel. Courtesy of POSCO
POSCO Chairman Choi Jeong-woo embarked on a tour to the group’s overseas units in Southeast Asian countries, marking his first visit to the outside units as the steelmaking group’s chairman, POSCO said Tuesday. As the first destination of the trip, Choi visited PT Krakatau POSCO, a POSCO steel mill in Indonesia, on Monday and will stay overseas until Friday to drop by a rebar manufacturing body in Vietnam and a Myanmar gas field developed by POSCO International. PT Krakatau POSCO is a joint venture with Indonesia’s PT Krakatau Steel and POSCO’s first overseas integrated steel mill, which has all necessary abilities for steel production. It went into operation in 2013 and is capable of processing 3 million tons of slabs and thick steel plates a year. The mill logged 1.95 trillion won ($1.72 billion) in sales and 210 billion won in operating profit last year.
“(The) steel mill stands at the core of the group’s competitiveness,” Choi was quoted as saying to employees there.
A POSCO official said Choi met Krakatau Steel CEO Silmy Karim and discussed ways for improving the joint venture’s competitiveness.
Following the Indonesia leg of the tour, Choi will visit Vietnam to look into the group’s Vietnamese rebar body of SS Vina and then go to Myanmar to check the gas field developed by POSCO International.
“POSCO has been making most of its overseas investments in Indonesia, Vietnam, Myanmar and other Southeast Asian countries,” the POSCO official said. “And we believe the region has great potential and is expected to show substantial growth in the future.”