FINEX Exports
As POSCO has received approval from the government to export its FINEX technology abroad, it is expected to happen soon.
According to government and steel industry sources on Sept. 15, the Korean Association for Industrial Technology Security (KAITS) has recently reviewed and approved POSCO’s business plan to export FINEX technology to China’s Chongqing Iron & Steel Co.
The South Korean steel giant has agreed to join hands with Chongqing Iron & Steel Co., located in Chongqing, China, to establish a 3 million ton FINEX steel mill in China. Following the permission beforehand from Chongqing City in July, POSCO got approval from the Korean government as well. Since FINEX technology is currently categorized as a national core technology in the steel sector, the approval from KAITS is required for export according to the Industrial Technology Outflow Prevention and Protection law.
POSCO signed an MOU with Chongqing Iron & Steel Co. in 2013 to construct FINEX steel mills. Also, the company is preparing to cooperate and establish a joint company with India’s steel firm Uttam Galva Steel, Ltd. The approval from the KAITS this time is only limited to export to Chongqing Iron & Steel Co. However, it will naturally lead to the approval for Uttam Galva Steel Ltd., according to the majority opinion.
FINEX is attracting attention from the steel industry in the Southeast Asian region, including Vietnam, as well as China and India.
POSCO successfully transferred its compact endless casting and rolling mill (CEM) technology to Germany’s SMS Group before. CEM is a technology that integrates the steelmaking, continuous casting, and rolling processes into one, and has operated in Gwangyang factory Himill.
Following the CEM technology, it is being watched with keen interest whether or not POSCO can accelerate exporting FINEX technology to other countries and make a breakthrough with the export of technology amid the global economic recession in the steel industry.