U.S. Electric Arc Furnace Steel Mill Investment by Hyundai Steel

planned

Hyundai Steel is investing $1.46 billion for a 50% equity stake in a U.S. electric arc furnace steel mill specialized in automotive steel sheets. The total project investment is about $5.8 billion, half funded by equity and half by external borrowing. Hyundai Motor Group affiliates Hyundai Motor and Kia will invest $440 million each to secure 15% equity each, bringing the group's total equity stake to 80%. The project aims to locally produce automotive steel sheets to avoid tariffs and reduce logistics costs, and is designed to reduce carbon emissions by using electric arc furnace technology and plans to increase hydrogen reduction technology application over time. Commercial production is expected to start in the first quarter of 2029.