Hyundai Steel

RATING

SECTOR

Basic Materials

WEBSITE

CONTACT

CSR Team,

Management Support Division,

 Hyundai Steel 12,

Heolleung-ro, Seocho-gu,

Seoul

STOCK EXCHANGE

LISTING

  • CDP 
  • Dow Jones Sustainability Index

EMPLOYEES

12,000

CHIEF SUSTAINABILITY OFFICER

Ko Sun Jung

AWARDS

Nomination as outstanding Carbon Management Company

CONTENT SOURCE

FURTHER READING

N/A

Hyundai Steel

SECTIONS :  Sustainability    Evaluation  •  Progress  •  Watch  •  Overview

Company Activity

BLAST FURNACE BUSINESS 

As a steel mill specialized in automotive materials, Hyundai Steel is heavily engaged in the development of next generation steel for future automotive industry. Since the groundbreaking ceremony at the Dangjin integrated steel mill in October 2006, the first and second blast furnaces are commissioned in January and November 2010 in order. Then, the completion of blast furnace No. 3 in September 2013 enabled them to become a comprehensive global steelmaker with a total crude steel production capacity of 24 million tons including 12 million tons from blast furnaces and 12 million tons from electric arc furnaces. Furthermore, merging with cold rolling division of Hyundai Hysco in December 2013, they have now established the one-stop production system integrating all production processes from raw materials to finished products.

ELECTRIC ARC FURNACE BUSINESS

Hyundai Steel possesses the largest domestic production capacity and best technology in electric arc furnace area, which produces molten iron with scrap metals. While the electric arc furnaces at Incheon, Pohang and Dangjin sites can produce up to 12 million tons of molten steel per year, they have developed the largest number of world-class premium products in Korea through more than 60 years of electric arc furnace technology and continue to actively respond ever changing steel demands by continuous investment on R&D.

SPECIAL STEEL BUSINESS

According to company “Hyundai Steel will further strengthen its competitiveness with special steel production which boasts high intensity and abrasion resistance materials for automotive engines and transmissions. The special steel plant which takes up 236,000㎡ of land at Dangjin Steelworks is under construction and expected to produce one million ton of high purity special steel annually by introducing cutting-edge precision rolling equipment and making the best use of our existing infrastructures and molten iron from blast furnaces. The Special Steel Division will enable us to take the initiative in consolidating national economy by localizing mostly imported special steel products.”

FOCUS ON WEIGHT REDUCTION 

Hyundai Steel is dedicated to developing materials that can make automobiles lighter and safer by utilizing state-of-the-art technologies such as TWB (tailor welded blanks), hydroforming, and hot stamping. According to company “Our products are manufactured with cutting-edge technologies aimed at making automobiles more lightweight for improved fuel efficiency, reinforcing shock-resistance for enhanced safety, and bringing the strengths of each raw material to life. Our products are contributing to ensuring the safety of automobiles and to increasing fuel their efficiency and lowering their emissions – a leading cause of climate change”. 

Company Sustainable Activity

According to Hyundai Steel, their sustainability activities are as follow: 

Responding to Climate Change 

  • Hyundai Steel is committed to engaging in the international community’s efforts to respond to climate change by working to reduce GHG emissions across the entire business. To this end, they are also building their energy management system and managing and operating a responsible organization. 
  • Response to the GHG Emission Trading Scheme 
      • Company-Wide Energy Meeting – Through monthly performance evaluations, they identify best practices for energy reduction and review their applicability to other business sites.
      • Establishment of Life Cycle Assessment (LCA) DB.
      • ESS Project to Manage Electricity Efficiently – Hyundai Steel has introduced ESS facilities in Incheon and Pohang to respond proactively to the energy policy. With the introduction of these facilities, they save surplus electricity in the light-load period and use it at peak load to alleviate the risk of insufficient capacity. Their facilities also help with efficient electricity management and reducing cost reduction. 
      • Establish Eco Friendly ESS by Recycling EV Waste Batteries – As of January 2019, they have established and operated 1MWh ESS facilities at Dangjin Integrated Steelworks by using waste batteries from the Hyundai IONIQ Electric and the KIA SOUL EV. In this way, they aim to establish a resource-circulating business system ranging from the development to the collection of batteries and installation of ESS. 
      • Expansion of Hydrogen Production Infrastructure 
      • Improving Efficiency of three Major Heating facilities – The steelworks facilities with the highest rates of CO2 emissions and energy consumption are the heating furnace, the hot blast stove and the coke oven. they are making the following efforts to reduce these levels. 
        • Establishing a system to automatically control hot blast stove inputs.
        • Developing measurement technology to improve fuel input control.
        • Identifying measures to improve overall performance and making investment plan.

Air Quality Management 

  • They will keep 30% level of air pollution emission concentration such as dust, sulfur oxide and nitrogen oxide compared to legal emission standards.
      • Environmental Monitoring System – They collect real-time data by installing a chimney measuring device and operate an integrated system and unmanned image pattern analysis system to respond quickly to environmental accidents and actively cope with regulatory responses.
      • Agreement and Implementation on the Reduction of air pollutants Emissions 
      • Emergency fine dust reduction in Chungcheongnal-do – Prior to the special law on fine dust in February 2019, they conducted active reduction activities in order to reduce fine dust voluntarily by adjusting the operation time of the factory’s emission facilities, replacing consumables to improve the efficiency of the air pollution prevention facilities, operating spray vehicles in neighboring countries(including province) to prevent scattering of the airborne dust, and encouraging executives and employees to use the second part of the vehicle system
      • Management of specific atmospheric hazards.

Water Quality Management 

  • In addition to their company-wide efforts to manage water quality in the supply chain, They have also joined the international community in conducting environmental management. For this target, they are building an environment and energy-based management system, and with the responsible sectors of management, they are pursuing systematic water quality improvements.
          • Diagnosis of Hazardous Chemicals – In 2019, they aim to establish and operate safe steelworks without hazardous chemicals by improving our facilities based on the diagnosis.
          • Facilities for Non-point Pollution Source Reduction – This will prevent safety-related accidents in an enclosed area and enable non-point pollution sources to be reduced more efficiently

Recycling By Products 

    • They operate a committee composed of staff members in charge of research and development strategy, planning, production, business support and procurement who work together strategically to identify major focal points in their current issues, short-term plans and long-term strategic areas.
      • Total Inspection for By-Products and Use-Based Grouping – Based on the results, they created categories in terms of by-product value and move to use them for recycling and technology to improve value and create resources. 
      • Minimization of final Disposal and Diversification of Demand – By converting existing incinerated waste oil into recycling, we have reduced incineration by more than 1,000 tons a year, thus lowering the cost by KRW 100 million and more. 

Social Impact 

  • Human Resources – To enhance employee satisfaction, Hyundai Steel will continue to improve the working environment and provide employees with benefits that are practical. they will also systematize our education and training systems and promote qualitative improvements in the training programs. This will help us respond proactively to changes in the management environment, and it will enhance our business performance.
    • Fair evaluation and compensation 
    • Grievance procedures for employees 
    • Organizational System for Researchers 
    • Individual Development Plan 
    • Human Right Education & Training for Prospectives Retirees 
    • Expatriate cultivation system 
    • Development and utilization of Steel Tube 
    • Organizational Culture 
    • Retirement Pension/Welfare and Benefit System 
    • Human right and support for diversity 
    • Labor Rights at Overseas Worksites 

Occupational Health and Safety 

      • To establish a mature safety culture, Hyundai Steel will set up various safety environmental policies and a robust safety management system. they will disseminate a culture of safety and also company-wide safety capabilities and prevent severe industrial accidents by various safety activities.
        • Company-Wide Integrated Safety Management System 
        • Integrated Chemical Substance Management System
        • Safety Management in Confined Spaces 
        • Isolation Locking System (ILS) 
        • Safety Assessment of all Domestic and Overseas Worsites 
        • Labor Management joint Safety Inspection 
        • Maintenance Inspection and Safety Management Evaluation 
        • Raising Employees Awareness 

Social Contribution 

        • To enhance employee satisfaction, Hyundai Steel will continue to improve the working environment and provide employees with benefits that are practical. They will also systematize our education and training systems and promote qualitative improvements in the training programs. This will help them respond proactively to changes in the management environment, and it will enhance our business performance.

Certificates

  • Certified ISO 50001 (Energy Management system) 
  • IATF 16949
  • ISO 9001 
  • ISO 14001
  • OHSAS 18001 
  • KOHSAS 18001 
  • International Certification (VCS) on Greenhouse Gas reduction

Sustainable Development Goals

How company covers SDGs

N/A

Progress

  • Rate of by-product recycling 97.5% 
  • Reduction of Air pollutants Agreement to reduce air Pollutants compared to 2016
  • Recycling EV waste Batteries Facility established (January 2019)
  • Environmental evaluation for the entire product process LCA DB ESTABLISHED

Hyundai Steel appears to be very aligned with the high standards expected from a company working according to the Paris Agreement. Indeed they hold international certificates (ISO 14001, …) and global recognition (Dow Jones Sustainability Indices, CDP, …). They do not hold primary certificates, so they have been rated as B company.

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