Chang In-hwa of POSCO Group (POSCO Holdings) said on the 30th that the company is working with a range of partners in the Asia-Pacific region to expand multilateral supply chain cooperation that is sustainable and resilient.
Chair Chang In-hwa gave a presentation on "building a resilient and eco-friendly global supply chain" at the Asia-Pacific Economic Cooperation (APEC) CEO Summit held at Gyeongju Arts Center in North Gyeongsang on the same day.
Chair Chang referenced President Lee Jae-myung's special address at the APEC summit on the previous day emphasizing "supply chain cooperation," and presented the supply chain partnership that POSCO Group has built with Australia as a model case.
Chang said, "POSCO Group has continued to expand its cooperative relationship since forming a supply chain partnership with Australia starting with iron ore supply in 1971. Australia is a safe supplier and strategic partner responsible for 70% of the raw materials POSCO Group uses."
POSCO Group said it is working with Australia in three areas: the steel industry's low-carbon transition, securing the secondary battery materials supply chain, and building a clean energy ecosystem. Chair Chang said, "Bilateral supply chain cooperation with Australia is expanding into multilateral supply chain cooperation within the Asia-Pacific region, including Japan and China."
After Chang's presentation, a panel discussion followed with Garry Korte, CEO of Hancock Prospecting, and Omoto Masayuki, CEO of Marubeni Corporation. The session was moderated by Paul Grimes, head of Austrade.
POSCO, Marubeni Corporation, and Hancock Prospecting previously co-invested in the Roy Hill mine in the Pilbara region of Western Australia. It is cited as a successful example of large-scale mine investment cooperation. At the time, POSCO invested 12.5% equity to raise its raw material self-sufficiency rate and has since secured a stable supply of high-quality iron ore through the development project.
Chang said, "We plan to continue investing in Western Australia, but projects are expected to be far more complex and challenging than in the past. The area needs development, so government infrastructure investment is necessary. What helps corporations most is for the government to pursue transparent, consistent policies."
Other panelists also said the government's role is crucial for industrial development. CEO Omoto Masayuki said, "The Roy Hill project was able to succeed not only because of private investment but also because government funds were injected together. Collaboration between the government and corporations aligned well. This mode of cooperation can readily apply not only to minerals but also to other industries."