LG CNS and Daehan Steel Establish Joint Venture iMOS: "AI to Grade Steel Scrap"

Hyun Shin-kyun, CEO of LG CNS, Kim Beom-seok, CEO of iMoss, and Oh Chi-hoon, President of Daehan Steel, are taking a commemorative photo for the launch of the joint venture.
[Photo by LG CNS]

LG CNS announced on the 2nd that Daehan Steel has established a joint venture, Aimos, and is officially launching its artificial intelligence (AI) steel scrap grading solution business.

Steel scrap is a compound word of steel and scrap, referring to scrap metal and iron fragments. The demand for steel scrap is steadily increasing. The electric furnace method using steel scrap produces less carbon dioxide compared to the blast furnace method that uses coal.

Aimos's AI steel scrap grading solution classifies steel scrap grades according to the Korean Industrial Standards, such as high-quality unprocessed "raw steel" like uncoated and unpainted pipes, "heavy" scrap like large machinery dismantling materials that are bulky and heavy, and "light" scrap represented by household scrap such as bicycles and agricultural tools. The processing and refining methods vary depending on the grade of the steel scrap. The AI steel scrap grading solution is a cloud-based service offered as Software as a Service (SaaS), where users pay based on usage.

LG CNS and Daehan Steel have commercialized the AI steel scrap grading solution through collaboration and applied it at Daehan Steel. The AI steel scrap grading solution can identify hundreds of steel scrap items loaded on trucks through AI vision cameras. It can also recognize small-sized items such as rebar and residual scrap. To achieve this, Daehan Steel collected various data on hundreds of thousands of steel scrap items, including ▲images ▲item types ▲iron ratios per item ▲grades. LG CNS trained AI with the information accumulated by Daehan Steel and developed an AI model to determine the grades of steel scrap.

Furthermore, Aimos plans to further advance the AI steel scrap grading solution by collaborating with SP Nature, the largest steel scrap distributor in Korea.

Oh Chi-hoon, CEO of Daehan Steel, stated, "We will accelerate sustainable growth from an ESG perspective by actively utilizing steel scrap to expand a resource circular economy."

Hyun Shin-kyun, CEO of LG CNS, said, "To help the steel industry advance eco-friendly production systems, we will continue to develop Aimos's digital transformation (DX) technology together with Daehan Steel."