South Korea’s Hyundai Motor Group plans to invest USD 5.8 bln in a new ultra-low carbon steel mill in Donaldsonville, Ascension Parish, to supply its U.S. automotive plants.
Spanning 1,700 acres, the facility will be located in Louisiana’s RiverPlex MegaPark on the Westbank of the Mississippi River, according to Louisiana Economic Development.
Hyundai Steel will import approximately 3.6 mln tons of iron ore annually, producing 2.7 mln tons of steel each year. Steel coils will be distributed via rail and truck to customers, including Hyundai, Kia, and other U.S. automakers, with the largest share going to Hyundai’s U.S. manufacturing plants.
The state-of-the-art electric arc furnace (EAF) mill will cut emissions by 70pct compared to traditional blast furnaces, aligning with Hyundai’s sustainability goals.
“This investment will drive local economic growth and create new job opportunities,” said Hyundai Steel President and CEO Gang Hyun Seo. “We aim to supply automotive steel plates for Hyundai, Kia, and expand our reach to other U.S. automakers in the future.”