Hyundai Steel 71st Anniversary... "Let's Overcome the Crisis by Staying True to the Basics" [Full Text]

CEO and President Seokanghyun's Commemorative Speech

"Although numerous challenges must be overcome, I would like to ask you to be even more faithful to the basics, especially in times like these."

Seoganghyun, CEO of Hyundai Steel, made this request in a message to employees on the occasion of the company's 71st anniversary on the 10th, stating, "The dark tunnel of the recession we face is so deep that it is difficult to even estimate its end."

Seokanghyun, President and CEO of Hyundai Steel [Photo by Hyundai Steel]

CEO Seo said, "This year as well, we are continuing domestic and overseas investments to respond to changes in the demand market, such as building overseas Steel Service Centers (SSC) dedicated to electric vehicles and expanding with heavy plate heat treatment," adding, "We are accelerating the development of new steel grades and order activities to pioneer new markets, making multifaceted efforts reflecting the changing industrial structure."

However, he diagnosed, "Despite our efforts, the management environment of the steel industry continues to deteriorate. Trade barriers among countries have now gone beyond simple tariffs and have become issues of national interests, acting as the biggest variable controlling the supply and demand of the global steel market."

CEO Seo stated, "By using the business strategies of expanding a stable profit-centered business base, strengthening the execution of the carbon-neutral roadmap, and securing future growth engines as milestones to unite our strength and will, the direction of becoming an 'environmentally friendly steel company capable of sustainable growth' will not be just a slogan but will establish Hyundai Steel's identity." The full text follows.

Dear employees,

Today is a meaningful day as our company celebrates its 71st anniversary.

Having started as Korea's first steel company,

Hyundai Steel has driven the development of the national economy and the revival of the steel industry,

and today's Hyundai Steel is

a noble result cultivated by the sweat of many predecessors who have passed through the company,

as well as all employees who are still fulfilling their duties in their respective positions.

I would like to once again express my deep gratitude to all the predecessors and employees who have devoted themselves without sparing dedication and effort to bring Hyundai Steel to where it is today.

Everyone,

last year, despite a difficult management environment,

we announced a carbon-neutral roadmap in line with the value of the environment,

promoted business structure efficiency to secure profitability,

and through strengthening capabilities in ESG fields,

were selected as the ‘WSA Sustainable Champion’ by the World Steel Association,

laying the foundation for growth in various areas.

This year as well, we are making domestic and overseas investments to respond to changes in the demand market, such as building overseas SSCs dedicated to electric vehicles and expanding heavy plate heat treatment,

while accelerating the development of new steel grades and order activities to pioneer new markets,

making multifaceted efforts reflecting the changing industrial structure.

However, despite these efforts,

the management environment of the steel industry continues to deteriorate day by day,

and the dark tunnel of the recession we currently face

is so deep that it is difficult to even estimate its end.

In addition to the long-standing low-growth trend across the industry for several years,

the recent downturn in major demand industries has deepened,

and the rising trade barriers among countries year after year

have now gone beyond simple tariffs and have become issues of national interests,

acting as the biggest variable controlling the supply and demand of the global steel market.

Besides these, many challenges remain for us to overcome,

but I want to ask you to be even more faithful to the basics in times like these.

One of the most important prerequisites to overcome the crisis is to look back at our reality with a cool-headed mindset and perspective,

while simultaneously looking ahead to the direction we should take.

We must once again engrave the direction we aim for in our hearts,

clearly recognize the corresponding business strategies,

and unite the capabilities of the company and individuals in the same direction.

In other words,

by using the business strategies of ‘expanding a stable profit-centered business base,’

‘strengthening the execution of the carbon-neutral roadmap,’

and ‘securing future growth engines’ as milestones,

when we unite our strength and will,

the direction of becoming an ‘environmentally friendly steel company capable of sustainable growth’

will not be just a slogan but will establish Hyundai Steel's identity.

Furthermore, I would like to emphasize another basic principle to you.

That is safety and compliance management.

Please always keep in mind to check and be vigilant yourself

whether there are any elements that hinder safety in our workplaces and work methods,

or whether there are any issues violating compliance management in the ways we have performed our duties,

so that these items can be internalized in the lives of all employees.

Dear employees,

if all members are united in mind and faithful to the basics and principles,

and strengthen their will to overcome the crisis,

no difficulty will pose a fundamental threat to us.

Our past 71 years have been a history of continuous challenges and overcoming,

which has become the foundation for Hyundai Steel's growth as a global steel company.

Just as intense fire makes steel stronger,

and rough tanning produces better quality leather,

under crisis situations, a company's competitiveness can become more solid.

Let us wisely overcome the challenges before us with the belief that today's crisis is the tempering that makes us stronger

and the tanning that improves our constitution.

On the morning of the 71st anniversary,

as we look back on our past and present and envision the path ahead,

I hope you have a meaningful time to congratulate and encourage each other,

and I wish health and happiness to all your families.

Thank you.

June 10, 2024

CEO Seoganghyun