POSCO is partnering with startups to drive technology innovation while dealing with a tough time in the steel industry, caused by slow global demand, U.S. tariffs, and a flood of cheap Chinese steel.
In August, the steelmaker set up a 50 billion won ($36 million) fund to invest in startups.
The fund focuses on technologies in digital transformation, energy efficiency, carbon reduction, and renewable energy, which match the company’s future growth plans.
POSCO has set aside 20% of the fund to invest in promising startups overseas.
The company will keep looking for new investment opportunities, carefully reviewing both domestic and international startups for their technology, finances, and strategic fit.
POSCO is also planning to do joint research with startups and use their products and technologies in its own operations to create synergy and find new growth opportunities.
“We will keep partnering with small- and medium-sized enterprises and startups that have high-potential technologies,” a POSCO official said. “By driving innovation in low-carbon and smart manufacturing processes, our goal is to become a global leader.”/
Before starting the 50 billion won fund, POSCO ran several programs to support startups.
Since August 2024, the company’s team of 55 highly qualified researchers has been providing technology support to startups in Gwangyang, South Jeolla Province, and Pohang, North Gyeongsang Province.
Last year, POSCO’s team gave 31 technology consultations to 16 companies, helping them with smart factory setup and robotic automation.
The company also chose 11 local startups working in equipment, control devices, composite materials, and battery materials, giving them customized technical advice.
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