Industry minister urges US to ease tariffs on hard-to-source steel mill equipment

Industry Minister Kim Jung-kwan urged the United States in Louisiana on Saturday to ease tariffs on equipment Korean companies need to import for a US$5.8 billion steel mill project. He raised the issue before a groundbreaking ceremony for Hyundai-POSCO Louisiana Steel LLC, an electric arc furnace-based integrated steel mill scheduled to begin construction in the fourth quarter. The plant is expected to produce 2.7 million tons of automotive steel a year and cut carbon emissions by about 70 percent versus conventional blast-furnace production.

HPLS is a joint venture among Hyundai Steel Co., Hyundai Motor Co., Kia Corp. and POSCO.

The Louisiana plant is expected to produce 2.7 million tons of hot-rolled, cold-rolled and galvanized steel annually.

Hyundai Steel said the project will use direct reduced iron and electric arc furnaces to reduce carbon emissions by about 70 percent compared with conventional blast-furnace production.

POSCO has taken a 20 percent stake in the project, while Hyundai Steel, Hyundai Motor and Kia hold 50 percent, 15 percent and 15 percent respectively.

Published Sep 5, 2026 9:18 am KST

Updated Sep 5, 2026 12:24 pm KST

Industry Minister Kim Jung-kwan answers questions from reporters in Washington, Sept. 3. Yonhap

Korea's industry minister urged the United States on Saturday to ease tariffs on equipment that Korean companies will need to import for a US$5.8 billion steel mill in Louisiana they are investing in.

Industry Minister Kim Jung-kwan made the request at a meeting with Louisiana Gov. Jeff Landry before attending a groundbreaking ceremony for Hyundai-POSCO Louisiana Steel LLC (HPLS), an electric arc furnace-based integrated steel mill scheduled to begin construction in the fourth quarter, the Ministry of Trade, Industry and Resources said in a press release.

HPLS is a joint venture among Hyundai Motor Group affiliates Hyundai Steel Co., Hyundai Motor Co. and Kia Corp., and steelmaker POSCO.

Foreign steelmakers in the U.S. face tariffs under Section 232 of the Trade Expansion Act of 1962, which allows the U.S. president to adjust imports deemed to threaten national security, as well as other trade remedy measures, the ministry said.

Kim urged Washington to pay close attention to difficulties facing Korean companies investing in the U.S. and support the project by easing tariffs on equipment and materials that need to be shipped from Korea.

Industry Minister Kim Jung-kwan, left, shakes hands with Louisiana Gov. Jeff Landry in Donaldsonville, Louisiana, Sept. 4, on the sidelines of a groundbreaking ceremony for a Hyundai Steel-POSCO Louisiana electric arc furnace steel mill. Courtesy of industry ministry

Kim also stressed the importance of the project, which is expected to strengthen supply chain cooperation between the two countries by combining Korean steelmaking technology with U.S. industrial and energy infrastructure, the ministry said.

The plant is expected to produce 2.7 million tons of hot-rolled, cold-rolled and galvanized steel annually, making it the first electric arc furnace-based steel mill in the United States dedicated to automotive steel production.

It will use direct reduced iron and electric arc furnaces to cut carbon emissions by about 70 percent compared with conventional blast-furnace production, according to Hyundai Steel.

The plant will supply automotive steel to global automakers' production facilities in the southern U.S. and Mexico, including those operated by Hyundai Motor and Kia.

Hyundai Motor Group Executive Chair Euisun Chung, POSCO Group Chairman Chang In-hwa and Korean Ambassador to the U.S. Kang Kyung-wha attended the groundbreaking ceremony.

Chung said automotive steel produced at the Louisiana plant would help Hyundai and U.S. automakers develop next-generation mobility solutions.

"It will also contribute to building critical industrial infrastructure, from AI data centers to power generation, and creating safer workplaces," Chung said. "We will create new opportunities and strengthen our capabilities for future generations in both the U.S. and South Korea."

Louisiana Economic Development Secretary Susan B. Bourgeois said Hyundai Steel "is already showing the scale of what transformational investment can mean for Louisiana."

"This project is creating work for Louisiana companies, building a workforce around high-value manufacturing and driving new activity across the region before production has even begun," the official added.

The project is part of Hyundai Motor Group's $26 billion U.S. investment plan announced last year.

Hyundai Steel said in March 2025 that it would invest $5.8 billion to build its first steel mill in North America, with commercial production scheduled to begin in 2029.

POSCO has taken a 20 percent stake in the project. Hyundai Steel, Hyundai Motor and Kia hold 50 percent, 15 percent and 15 percent, respectively.

韩国产业通商资源部长官金正宽周六在路易斯安那州敦促美国降低对韩国企业为一项价值58亿美元的钢铁厂项目进口所需设备的关税。他是在现代-浦项路易斯安那钢铁有限公司（Hyundai-POSCO Louisiana Steel LLC）的奠基仪式前提出这一问题的。该项目是一家采用电弧炉炼钢技术的综合性钢铁厂，计划于第四季度开工建设。该厂预计每年生产270万吨汽车用钢，与传统高炉炼钢相比，碳排放量可减少约70%。

HPLS是现代钢铁公司、现代汽车公司、起亚公司和浦项钢铁公司的合资企业。

路易斯安那州的这家工厂预计每年将生产 270 万吨热轧钢、冷轧钢和镀锌钢。

现代钢铁公司表示，该项目将采用直接还原铁和电弧炉，与传统高炉生产相比，可减少约 70% 的碳排放。

浦项制铁持有该项目 20% 的股份，而现代钢铁、现代汽车和起亚分别持有 50%、15% 和 15% 的股份。

发布于2026年9月5日上午9:18（韩国标准时间）

更新于2026年9月5日下午12:24（韩国标准时间）

9月3日，韩国产业通商资源部长官金正冠在华盛顿回答记者提问。（韩联社）

韩国产业通商资源部长周六敦促美国放宽对韩国企业在路易斯安那州投资58亿美元兴建钢铁厂所需进口设备的关税。

产业通商资源部在一份新闻稿中表示，产业通商资源部长官金正宽在与路易斯安那州州长杰夫·兰德里会面时提出了这一请求，之后他出席了现代浦项制铁路易斯安那钢铁有限公司（HPLS）的奠基仪式。HPLS是一家采用电弧炉的综合性钢铁厂，计划于第四季度开工建设。

HPLS 是现代汽车集团旗下的现代钢铁公司、现代汽车公司和起亚公司与钢铁制造商浦项制铁的合资企业。

该部表示，根据 1962 年《贸易扩展法》第 232 条，在美国的外国钢铁制造商将面临关税，该条款允许美国总统调整被认为威胁国家安全的进口商品，以及其他贸易救济措施。

金敦促华盛顿密切关注韩国企业在美国投资所面临的困难，并通过降低从韩国运往美国的设备和材料的关税来支持该项目。

9月4日，在路易斯安那州唐纳森维尔举行的现代钢铁-浦项制铁路易斯安那电弧炉炼钢厂奠基仪式间隙，工业和产业通商资源部部长金正宽（左）与路易斯安那州州长杰夫·兰德里握手。图片由工业和产业通商资源部提供。

金正恩还强调了该项目的重要性，该项目有望通过将韩国的钢铁制造技术与美国的工业和能源基础设施相结合，加强两国之间的供应链合作，韩国能源部表示。

该厂预计每年将生产 270 万吨热轧、冷轧和镀锌钢，使其成为美国第一家专门生产汽车用钢的电弧炉炼钢厂。

据现代钢铁公司称，该公司将采用直接还原铁和电弧炉，与传统高炉生产相比，可减少约 70% 的碳排放。

该工厂将向美国南部和墨西哥的全球汽车制造商生产设施供应汽车用钢，其中包括现代汽车和起亚汽车的生产设施。

现代汽车集团执行董事长郑义宣、浦项制铁集团董事长张仁和以及韩国驻美国大使姜京和出席了奠基仪式。

钟先生表示，路易斯安那州工厂生产的汽车用钢将帮助现代汽车和美国汽车制造商开发下一代移动出行解决方案。

郑先生表示：“这将有助于建设关键的工业基础设施，从人工智能数据中心到发电厂，并创造更安全的工作场所。我们将为美国和韩国的子孙后代创造新的机遇，并增强我们的能力。”

路易斯安那州经济发展部长苏珊·B·布尔乔亚表示，现代钢铁“已经展现了变革性投资对路易斯安那州的意义所在”。

这位官员补充说：“这个项目正在为路易斯安那州的公司创造就业机会，围绕高价值制造业建立一支劳动力队伍，并在生产开始之前就推动整个地区的新活动。”

该项目是现代汽车集团去年宣布的260亿美元美国投资计划的一部分。

现代钢铁公司于 2025 年 3 月表示，将投资 58 亿美元在北美建设其第一座钢铁厂，计划于 2029 年开始商业化生产。

浦项钢铁已持有该项目20%的股份。现代钢铁、现代汽车和起亚分别持有50%、15%和15%的股份。