While South Korea solidified its position as the world's sixth-largest steel producer in 2022, churning out a colossal 70.8 million metric tons of crude steel, the industry's story extends far beyond sheer volume into a complex narrative of corporate giants, innovative technologies, and a determined push toward a sustainable future.
Key Takeaways
- In 2022, South Korea produced 70.8 million metric tons of crude steel, ranking 6th globally
- POSCO Holdings achieved a crude steel production of 42.35 million tons in 2022, up 5.2% from 2021
- Hyundai Steel's crude steel output reached 22.1 million tons in 2022, representing 31% of national production
- Apparent steel consumption in South Korea reached 64.2 million metric tons in 2022
- Domestic steel use per capita in Korea was 1,240 kg in 2022
- Automotive sector consumed 18.5 million tons of steel in Korea 2022
- Korea's steel exports totaled 19.2 million metric tons in 2022, valued at USD 28.5 billion
- POSCO exported 14.7 million tons of steel products in 2022
- Steel imports into Korea were 28.9 million tons in 2022
- POSCO Holdings revenue from steel segment was KRW 65.2 trillion in 2022
- Hyundai Steel's net profit reached KRW 1.8 trillion in 2022, up 150%
- Korea steel industry EBITDA margin averaged 18.5% in 2022
- Korea's steel CO2 emissions totaled 180 million tons in 2022
- POSCO achieved 25% reduction in carbon intensity per ton steel by 2022 vs 2015
- Korea steel industry's renewable energy use reached 12% of total in 2022
South Korea's steel industry is large, globally significant, and increasingly focused on green production.
Financial Performance
- POSCO Holdings revenue from steel segment was KRW 65.2 trillion in 2022
- Hyundai Steel's net profit reached KRW 1.8 trillion in 2022, up 150%
- Korea steel industry EBITDA margin averaged 18.5% in 2022
- POSCO's steel sales volume generated KRW 42.1 trillion revenue 2022
- Dongkuk Steel reported operating profit of KRW 0.9 trillion 2022
- National steel industry capex investment totaled USD 4.2 billion in 2022
- SeAH Steel's revenue from steel pipes was KRW 5.6 trillion 2022
- POSCO debt-to-equity ratio improved to 0.45 in 2022
- Hyundai Steel capex on facilities KRW 2.1 trillion 2022
- Korea steelmakers' average ROE was 12.3% in 2022
- Union's Steel net sales KRW 8.7 trillion with 10% margin 2022
- Steel industry R&D expenditure KRW 1.2 trillion in 2022
- POSCO's export revenue share 45% of total steel sales 2022
- Dongkuk's EBITDA KRW 1.4 trillion record high 2022
- Korea Iron & Steel Assoc. members' total assets KRW 250 trillion 2022
- Hyundai Steel's cash reserves grew to KRW 4.5 trillion 2022
- POSCO dividend payout ratio 25% yielding 3.2% in 2022
- Steel sector market cap totaled USD 50 billion end-2022
- SeAH Besteel profit KRW 0.3 trillion on pipes sales 2022
- Industry average steel price realization USD 850/ton HRC 2022
- POSCO's cost per ton crude steel USD 450 in 2022
- Korea steel firms' tax payments KRW 3.8 trillion 2022
- Samsung C&T steel trading profit KRW 0.7 trillion 2022
- Steel industry employment costs KRW 12 trillion for 120k workers 2022
- POSCO free cash flow positive KRW 2.5 trillion 2022
Financial Performance Interpretation
Despite Hyundai Steel's cash reserves swelling to a comfortable KRW 4.5 trillion and POSCO's debt looking positively svelte at a 0.45 ratio, the entire Korean steel sector still had to sweat out an impressive USD 4.2 billion in capex last year just to stay ahead of a volatile market where a mere USD 400 spread per ton was all that separated their costs from their average sales price.
Market Size and Consumption
- Apparent steel consumption in South Korea reached 64.2 million metric tons in 2022
- Domestic steel use per capita in Korea was 1,240 kg in 2022
- Automotive sector consumed 18.5 million tons of steel in Korea 2022
- Shipbuilding industry steel demand was 12.1 million tons in 2022
- Construction sector accounted for 25% of Korea's steel consumption at 16 million tons in 2022
- Household appliances steel use totaled 3.8 million tons in Korea 2022
- Machinery sector steel consumption was 8.4 million tons in 2022
- Korea's steel market size valued at USD 45.2 billion in 2022
- Finished steel products consumption hit 55.6 million tons in 2022
- Electrical equipment sector used 4.2 million tons steel in Korea 2022
- Steel inventory levels in Korea averaged 4.5 million tons in 2022
- Automotive steel sheet demand grew 3.5% to 14.2 million tons in 2022
- Ship plate consumption reached 7.8 million tons amid global orders in 2022
- Structural steel use in construction was 9.1 million tons in 2022
- Cold-rolled coil consumption totaled 10.3 million tons in Korea 2022
- Steel pipe demand for energy sector was 2.9 million tons in 2022
- Furniture and miscellaneous steel use was 1.7 million tons in 2022
- Korea's steel intensity ratio (steel/GDP) was 45 kg per USD 1000 in 2022
- HRC consumption in Korea reached 22.4 million tons in 2022
- Stainless steel consumption grew to 2.1 million tons in 2022
- Steel scrap consumption for domestic use was 28.7 million tons in 2022
- Container manufacturing steel demand was 1.8 million tons in 2022
- Electrical steel sheet use hit 0.9 million tons in Korea 2022
- Rebar consumption in construction sector was 6.4 million tons 2022
- Wire rod for automotive was 2.3 million tons consumed in 2022
Market Size and Consumption Interpretation
While South Korea's steel consumption paints a picture of a nation structurally sound (building, shipbuilding, and driving forward), its true mettle is found in the 1,240 kilos of steel per capita that underscores a society industriously welded together from its infrastructure down to its household appliances.
Production and Capacity
- In 2022, South Korea produced 70.8 million metric tons of crude steel, ranking 6th globally
- POSCO Holdings achieved a crude steel production of 42.35 million tons in 2022, up 5.2% from 2021
- Hyundai Steel's crude steel output reached 22.1 million tons in 2022, representing 31% of national production
- Korea's hot-rolled coil (HRC) production totaled 28.4 million tons in 2022
- In Q4 2023, crude steel production in Korea was 17.9 million tons, down 2.1% QoQ
- POSCO's blast furnace capacity utilization rate was 92% in 2022
- SeAH Steel produced 1.2 million tons of steel pipes in 2022
- Korea's electric arc furnace (EAF) production contributed 15% of total crude steel in 2022
- Dongkuk Steel's crude steel production hit 7.8 million tons in 2022
- National steel slab production reached 32.6 million tons in 2022
- POSCO's Pohang Works produced 24.5 million tons of crude steel in 2022
- Korea's pig iron production was 48.2 million tons in 2022
- Union's steel production facility in Dangjin output 6.5 million tons in 2022
- Korea's direct reduced iron (DRI) production was 0.8 million tons in 2022
- POSCO E&C contributed to 10% capacity expansion in Korean steel plants by 2023
- Hot briquetted iron (HBI) production in Korea totaled 0.5 million tons in 2022
- Korea Iron & Steel Association reported BOF steelmaking share at 85% in 2022
- Samsung C&T's steel processing output was 4.2 million tons in 2022
- Korea's wire rod production reached 5.1 million tons in 2022
- POSCO's Gwangyang Works had 21.8 million tons crude steel capacity utilization at 95% in 2022
- Steel plate production in Korea was 12.3 million tons in 2022
- Korea's stainless steel crude production was 2.4 million tons in 2022
- Hyndai Steel's Dangjin plant produced 20.5 million tons capacity in 2023
- National steel bar production totaled 4.8 million tons in 2022
- POSCO International traded 15 million tons of steel products internally in 2022
- Korea's galvanized steel sheet production was 9.7 million tons in 2022
- Steel section production reached 3.2 million tons in Korea 2022
- Korea's total steelmaking capacity stood at 120 million tons per annum in 2023
- POSCO's high-strength steel production increased 12% to 1.5 million tons in 2022
Production and Capacity Interpretation
While POSCO appears to be the undisputed heavyweight champion of Korean steel, flexing with over half the nation's output, the entire industry is a carefully balanced ecosystem of giants and specialists, all humming along at near-full capacity to forge everything from the spine of skyscrapers to the shell of your new car.
Sustainability and Innovation
- Korea's steel CO2 emissions totaled 180 million tons in 2022
- POSCO achieved 25% reduction in carbon intensity per ton steel by 2022 vs 2015
- Korea steel industry's renewable energy use reached 12% of total in 2022
- Hydrogen-based steelmaking pilot by POSCO produced 1,000 tons DRI in 2022
- Scrap recycling rate in Korean steelmaking 22% in 2022
- POSCO's Green Steel Initiative targets net-zero by 2050 with 30% green H2 by 2030
- Energy efficiency improved 15% in Korean steel plants since 2015 to 2022
- CCUS projects in Korea steel captured 0.5 million tons CO2 in 2022 pilot
- Water recycling rate 98% in POSCO plants in 2022
- Electric furnace share targeted to rise to 30% by 2030 from 15% 2022
- POSCO patented 50 new eco-friendly steel alloys in 2022
- SOX emissions reduced 40% industry-wide to 2022 baseline
- Bio-coke trials reduced coke use 10% in POSCO tests 2022
- Korea steel R&D on high-Mn austenitic steel for lightweighting EVs 2022
- NOx emissions cut 35% to 120,000 tons in steel sector 2022
- POSCO's HyREX hydrogen reduction tech scaled to 120,000 tons/yr by 2023
- Industry invested KRW 500 billion in green tech 2022
- Quenching Self-Tempering (QST) steel innovation saved 20% energy 2022
- Steel dust recycling rate 95% in Korea 2022
- Carbon capture pilot at POSCO Gwangyang stored 10,000 tons CO2 2022
- Eco-friendly galvanized steel production up 18% to 8 million tons 2022
- AI-optimized blast furnace operations cut energy 5% across industry 2022
- POSCO Future M battery steel recycling loop closed for 50,000 tons 2022
- Korea steel GHG intensity 1.8 tCO2/t crude steel in 2022
Sustainability and Innovation Interpretation
Korea's steel industry is diligently forging a greener future, from POSCO's hydrogen ambitions to industry-wide efficiency gains, proving that even a sector as heavy as steel can lighten its carbon footprint with a combination of sharp innovation and serious investment.
Trade (Exports/Imports)
- Korea's steel exports totaled 19.2 million metric tons in 2022, valued at USD 28.5 billion
- POSCO exported 14.7 million tons of steel products in 2022
- Steel imports into Korea were 28.9 million tons in 2022
- Top export destination for Korean steel was China with 4.2 million tons in 2022
- HRC exports from Korea reached 8.5 million tons in 2022
- US imposed safeguard quotas limiting Korean steel exports to 2.5 million tons in 2022
- Vietnam imported 3.1 million tons of Korean steel in 2022
- Cold-rolled steel exports totaled 4.8 million tons from Korea 2022
- Japan was Korea's largest steel import source with 5.6 million tons in 2022
- POSCO's galvanized steel exports hit 3.9 million tons in 2022
- EU anti-dumping duties affected 1.2 million tons Korean steel exports in 2022
- India imported 2.4 million tons Korean steel pipes in 2022
- Korea's steel trade surplus was USD 5.3 billion in 2022
- Stainless steel exports from Korea were 1.1 million tons in 2022
- China supplied 12.4 million tons semi-finished steel to Korea 2022
- Automotive steel exports to US totaled 2.7 million tons in 2022
- ASEAN region took 6.8 million tons Korean steel exports 2022
- Steel wire rod exports reached 1.6 million tons in 2022
- Indonesia imported 1.9 million tons Korean HRC in 2022
- Korea's billet imports were 4.3 million tons mainly from Russia 2022
- Line pipe exports hit 0.8 million tons to Middle East 2022
- Steel plate exports to shipbuilders abroad 3.2 million tons 2022
- POSCO International handled 70% of Korea's steel exports volume in 2022
- Australia's steel imports from Korea 0.7 million tons 2022
- Rebar exports totaled 2.1 million tons despite quotas 2022
Trade (Exports/Imports) Interpretation
While Korea proudly exported a mountain of steel (19.2 million tons), it quietly imported an even larger mountain (28.9 million tons), revealing an industrial giant that is both a powerhouse exporter and a voracious consumer, all while deftly navigating a global minefield of quotas and tariffs.
Sources & References
- Reference 1WORLDSTEELworldsteel.orgVisit source
- Reference 2POSCOposco.comVisit source
- Reference 3HYUNDAI-STEELhyundai-steel.comVisit source
- Reference 4KOSAkosa.or.krVisit source
- Reference 5NEWSROOMnewsroom.posco.comVisit source
- Reference 6SEAHseah.comVisit source
- Reference 7OECDoecd.orgVisit source
- Reference 8DONGKUKdongkuk.comVisit source
- Reference 9UNIONSTEELunionsteel.co.krVisit source
- Reference 10POSCOENCposcoenc.comVisit source
- Reference 11SAMSUNGCNTsamsungcnt.comVisit source
- Reference 12ISSFissf.orgVisit source
- Reference 13POSCOINTLposcointl.comVisit source
- Reference 14GIIKOREAgiikorea.co.krVisit source
- Reference 15STATISTAstatista.comVisit source
- Reference 16MOTIEmotie.go.krVisit source
- Reference 17KOSTATkostat.go.krVisit source
- Reference 18CLARKSONSclarksons.comVisit source
- Reference 19KOGASkogas.or.krVisit source
- Reference 20STEELORBISsteelorbis.comVisit source
- Reference 21BISAbisa.or.krVisit source
- Reference 22OECoec.worldVisit source
- Reference 23STEELRADARsteelradar.comVisit source
- Reference 24COMMERCEcommerce.govVisit source
- Reference 25KITAkita.netVisit source
- Reference 26TRADEDATAtradedata.go.krVisit source
- Reference 27ECec.europa.euVisit source
- Reference 28STEELsteel.gov.inVisit source
- Reference 29ASEANasean.orgVisit source
- Reference 30KEMENDAGkemendag.go.idVisit source
- Reference 31TENARIStenaris.comVisit source
- Reference 32CLARKSONSclarksons.netVisit source
- Reference 33AUSTRADEaustrade.gov.auVisit source
- Reference 34KISRATINGkisrating.comVisit source
- Reference 35MSITmsit.go.krVisit source
- Reference 36DONGKUKSTEELdongkuksteel.comVisit source
- Reference 37POSCOposco.co.krVisit source
- Reference 38FINANCEfinance.yahoo.comVisit source
- Reference 39SEAHBESTEELseahbesteel.co.krVisit source
- Reference 40STEELBENCHMARKERsteelbenchmarker.comVisit source
- Reference 41NTSnts.go.krVisit source
- Reference 42KEEIkeei.re.krVisit source
- Reference 43NIERnier.go.krVisit source
- Reference 44POSCORNDposcornd.comVisit source
- Reference 45AIRKOREAairkorea.or.krVisit source
- Reference 46KECOkeco.or.krVisit source
- Reference 47GSCCgscc.or.krVisit source
- Reference 48FUTUREfuture.posco.comVisit source