South Korea’s Dongkuk Steel Mill has announced a temporary suspension of operations at its Incheon plant, citing ongoing weak demand and efforts to stabilize rebar supply. Production at both the rolling mill and steelmaking facilities will pause from July 22 to August 15, with a potential extension depending on market conditions.
This marks the first production halt at the Incheon plant since its establishment. The facility plays a critical role in the company’s operations, contributing approximately 40pct of annual sales and producing 2.2 mln tons of rebar per year, making it the largest single rebar plant in South Korea. The shutdown is expected to reduce supply by around 200,000 tons.
Dongkuk had already scaled back operations in June 2023 to 60pct due to restrictions on night-time operations, and further to 50pct earlier this year.
The company said it will continue to monitor market conditions in August before deciding whether to resume or extend the suspension.