Hyundai bets big on steel to anchor US strategy

Hyundai Motor Group is betting on steel to expand its manufacturing footprint in the United States, in a strategic move to build a local supply chain that serves not just the automotive industry, but also robotics, aerospace and artificial intelligence (AI) data centers. At the groundbreaking ceremony Friday (local time) for a $5.8 billion electric arc furnace steel mill being jointly constructed by Hyundai Steel and POSCO in Louisiana, Hyundai Motor Group Executive Chair Chung Euisun said the facility will become a key production hub for supplying low-carbon, high-grade steel to a broad range of advanced industries in the U.S. The strategy marks a major shift from viewing the mill as a way to shield Hyundai Steel's U.S. operations from the 50 percent tariff on imported steel. Instead, the group plans to use the facility as a foundation for expanding its manufacturing value chain in the world's largest economy. Chung said the plant will begin producing steel in early 2029, supplying automotive sheets as well as materials for humanoid robots, AI data centers, power-generation facilities