Hyundai Steel launches $5.8 billion Louisiana EAF mill project

Hyundai Steel has officially launched its $5.8 billion electric arc furnace (EAF) steel mill project in Louisiana, marking the South Korean steelmaker’s first production base in North America.

The plant, located at RiverPlex MegaPark in Ascension Parish, will be operated by HYUNDAI-POSCO Louisiana Steel (HPLS), a joint venture between Hyundai Steel, POSCO, Hyundai Motor Company and Kia.

Commercial production is scheduled to begin in 2029, with annual capacity of 2.7 million tonnes of hot- and cold-rolled sheet, primarily targeting the automotive industry.

Integrated EAF production for automotive steel

Hyundai Steel describes the project as the first EAF-based integrated steel mill of its kind in the US. The production concept will incorporate advanced technologies including direct reduction, with the aim of supplying lower-carbon steel while meeting demanding automotive quality requirements.

Output will be supplied to global automakers, including Hyundai Motor and Kia, strengthening Hyundai Motor Group’s domestic US supply chain.

The Louisiana project forms part of Hyundai Motor Group’s $26 billion US investment programme through 2028, covering automotive manufacturing, steel production, robotics and other industrial activities.

“As America strengthens its manufacturing leadership, steel will continue to power the next chapter of its industrial resurgence,” said Euisun Chung, Executive Chair of Hyundai Motor Group.

The steel mill is expected to support around 5,400 jobs, including 1,300 direct positions. For Hyundai Steel, the investment represents a major expansion beyond its existing Asian production base and establishes a local supply platform for the North American automotive steel market.

Source and Photo: Hyundai Steel