Steel beams are under production at Hyundai Steel's Incheon plant in Incheon in this undated photo. Courtesy of Hyundai Steel
Hyundai Steel said Thursday it will shut down its steel reinforcement bar (rebar) factory in Incheon, west of Seoul, for the entire month of April to deal with sluggish demand.
"This is not a regular maintenance closure but a production cut due to a deteriorating market condition," the company said. "We have made the decision to normalize the market even if we have to suffer immediate losses."
Hyundai Steel, Korea's second-biggest steelmaker by sales, produces rebar and steel sections at the Incheon facilities, with an annual production capacity of about 1.5 million tons and 2 million tons, respectively.
The decision came as the domestic steel industry faces waning demand for rebar and declining prices, while the global steel market is struggling with oversupply and U.S. tariffs.
Hyundai Steel earlier announced an emergency management mode, including a 20 percent pay cut for all executives and a voluntary retirement program for employees. (Yonhap)
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