HS Hyosung marks 1st anniversary

HS Hyosung Vice Chairman Cho Hyun-sang, center left, waves with HS Hyosung employees and their children during a family day event at the group's headquarters in Mapo District, Seoul, Saturday. Courtesy of HS Hyosung

HS Hyosung celebrated its first anniversary on Tuesday, describing the past 12 months as a period of venturing into building a new company.

According to the group, Vice Chairman Cho Hyun-sang and approximately 200 HS Hyosung employees attended the anniversary ceremony at its headquarters in Mapo District, Seoul, Monday.

“What we have done in the past year was not just business activity, but the very act of founding a company from scratch,” Cho said during the ceremony. “All employees are HS Hyosung’s leaders and founders, and we will maintain this founding spirit and continue building a greater legacy.”

HS Hyosung was established through a spin-off from Hyosung Group on July 1 last year. Hyosung Group is led by Cho’s older brother, Chairperson Cho Hyun-joon. Through a reorganization of the family’s shareholdings, the two groups are now separate entities.

“With the emergence of artificial intelligence (AI) and other advanced technologies, the upcoming competition will be about depth,” he said. “Through our strengthened R&D (research and development) efforts, let’s build an unmatched depth in science, technology, intellectual assets and our collective intelligence, and create a unique value that no one else can replicate.”

During its first year as a standalone business group, HS Hyosung is expected to have posted more than 25 percent growth in operating profits, despite increasing uncertainties in the global business environment.

In particular, its flagship unit, HS Hyosung Advanced Materials, is consolidating its top position in the global polyester tire cord market, boasting a 50 percent market share.

“Despite the heightened economic uncertainties, your efforts have proven the strength of HS Hyosung,” HS Hyosung co-CEO An Seong-hoon said. “HS Hyosung has established itself as a strong player that competes with technology and value on the global stage.”

Moving forward, the group said it will shift toward high value-added sectors with strong growth potential. HS Hyosung Advanced Materials’ proprietary carbon fiber, TANSOME, has expanded its production base to Vietnam and China over the past year and is now gaining growing attention as a material used in aerospace, AI, defense and shipbuilding.

The group also said it is exploring various business opportunities in future growth sectors, including advanced materials, AI, data management and eco-friendly materials.

To refresh its portfolio to be friendlier to future businesses, HS Hyosung Advanced Materials has put its steel cord business up for sale. HS Hyosung Advanced Materials holds the largest share in the North American steel cord market, with the capital market valuing the business at approximately 1.5 trillion won ($1.1 billion).

“The vision of HS Hyosung is creating value that enriches humanity through intellectual assets and collective intelligence,” the vice chairman said. “This philosophy goes beyond short-term profits and serves as the core of our management approach.”