Hyundai Steel Co., Korea's No. 2 steelmaker, said Monday that it has started commercial production of heavy plates for shipbuilding at its new plant on the midwestern coast of the nation.
The new plant in Dangjin, a port city located some 130 kilometers southwest of Seoul, is expected to produce 1.01 million tons of steel plates this year, over 65 percent of which will be used for shipbuilding, Hyundai Steel said.
Hyundai said the steel plates will be provided to Hyundai Heavy Industries Co., the world's leading shipbuilder.
Steel plates are mainly used for construction and shipbuilding. Local demand for steel plates reached 10.4 million tons last year, met mostly by POSCO and Dongkuk Steel Co.
POSCO accounts for around 35 percent of the local steel plate market, and Dongkuk Steel around 30 percent. The remainder is filled with imported goods.