At POSCO Specialty Steel, we put people and the environment first.

At POSCO Specialty Steel, we put
people and the environment first.
We are dedicated to contributing to Korea’s industrial advancement
through green growth, and delivering highest-quality products and
services to our customers as we promote open-mindedness and creativity.
CONTENTS
1. Company Introduction
4~5
2. History
6~7
3. Ethical Management
8
4. Eco-Friendly Management
9
5. Research & Development
10 ~ 11
6. Products
12 ~ 19
7. Manufacturing Process
20 ~ 31
8. Quality Assurance/
32 ~ 33
Certificates of Approval
9. Key Management Status
34
10. Global Network
35
Upo Wetland
Company Introduction
Founded in 1997 as a subsidiary of POSCO, POSCO Specialty Steel
has been committed to becoming the best specialty steel makers in
the world. With an annual production capacity of 1,200,000 tons of crude
steel, the company produces specialty wire rods, round bars, flat bars,
forged square bars, seamless pipes and tubes, and forgings that
are recognized world-wide for their outstanding quality.
To ensure continued technological development and manufacturing of products
with high added-value, the company successfully completed its 1st facility revamping
investment project (AOD, HV-mill, SRM, DST, new pickling process, large scale ingot
casting and forging factory) and the 2nd facility revamping investment project (60-ton
electric arc furnace, vertical large-section continuous bloom caster and SBM) helping
the company secure its future growth engine. In addition, POSCO SS is expanding
its business scope by breaking ground on POSCO SS-VINA steel mill in Vietnam
and opening new offices in China, Thailand and Japan to facilitate transformation
into a true, first-tier global presence in the steel industry.
We strongly believe in ethical management, eco-friendly management implementation,
volunteering for our community and win-win cooperation strategies with small
and medium-size enterprises. We take our responsibilities as a corporate citizen
very seriously as we envision our growth in tandem with that of the community.
POSCO Specialty Steel is the leader of the 21st century specialty steel industry with high-quality
products and services, customer loyalty, and dependability. Our spirit of challenge pushes
us to work hard to create a better, more hopeful future.
Open
Management
Customer
Challenge
Creative
Management
Execution
Eco-friendly
Management
People
Integrity
Create the Best Specialty Steel 04 l 05
HISTORY
2000s
Feb 2000 Became the local steel industry’s first company
to introduce 6-sigma system
Dec 2000 Obtained ISO 14001 certification
Jun 2004 Received National Eco-friendly Management Award
(Grand Prize in the clean manufacturing division)
Oct 2006 Completed the 1st stage of the facility rationalization project
(AOD, HV-Mill, RSM, DST, new pickling process,
large scale ingot casting factory)
Feb 2007 Re-named POSCO Specialty Steel Co., Ltd. (changed CI)
1990s
Nov 2007 Completed massive forging factory (9000 tons)
Mar 1993 Acquired ISO 9002 certification
Oct 2008 Opened Thai office
Jul 2008 Opened China office
Jan 1996 Signed specialty steel manufacturing
technology transfer agreement with Egypt
Feb 1997 Re-named Changwon Specialty Steel Co., Ltd.
(a POSCO subsidiary)
1980s
Nov 2009 Completed new corporate building (Seoul office)
(POSCO SS&CC TOWER)
Jun 2010 Opened Japan office
Aug 2011 Obtained ASME(The American Society of Mechanical
1966
1970s
Apr 1966
Oct 1975 Re-named Korea Specialty Steel Co., Ltd.
Founded Samyang
Dec 1977 Completed Korea Specialty Steel
Specialty Steel Co., Ltd.
Won grand prize in eco-friendly management
Dec 1980 Acquired the German TUV QA certification
Engineers) certification
Jun 1982 Re-named Sammi Specialty Steel Co., Ltd.
Apr 2012 Completed the 2nd stage of the facility rationalization project
Oct 1986 Obtained Japanese Industrial
Changwon factory
- New steelmaking construction (60-ton arc furnace,
Standards (JIS) accreditation
vertical large-section continuous bloom caster)
- SBM/furnace for rolling factory
Jun 1978 Obtained KS quality accreditation
Jun 2012 Broke ground POSCO SS-VINA steel mill in Vietnam
Company’s founding ceremony
Ground-breaking ceremony for the 1st stage of
the facility rationalization project
Ground-breaking ceremony for the 2nd stage of
the facility rationalization project
Changed POSCO Specialty Steel CI
Won grand prize for eco-friendly management
New Seoul office (POSCO SS&CC TOWER)
Create the Best Specialty Steel 06 l 07
Eco-Friendly Management
At POSCO SS,we implement low-carbon green-growth policies.
Putting the environment before anything else, we continue to dedicate ourselves to improve the health
of our community members and the future of our planet currently endangered by environmental threats.
Implementation of environmental protection initiatives
Ethical Management
POSCO Specialty Steel introduced its code of ethics in 2003, setting the standard for ethical conduct
of its employees. By offering various training programs, the company does its best to make sure ethical
management represents the ethos of its corporate culture. Operating an independent ethics
implementation program for each division also helps the company root out ethical risks and refines
its ethical management style.
Independent fair-trading
compliance program
Independent ethics implementation
program for each division
An internally-regulated compliance
system geared to help prevent violation
of the Monopoly Regulation and Fair
Trade Act,. introduced as of April 1, 2003.
Help identify ethical risks by practicing
self-appraisal and debate for each ethical
implementation item
Systematic ethics
implementation
programs
Continuous ethical training
- Mandatory cyber training courses
- Continuous case studies to help
prevent risks
Operation of online hotline
(counseling center)
Operation of ethical/fair trade website
(http://ethics.poscoss.co.kr)
Slag treatment facilities
(Completed in 2008, invested 17.2 billion won)
Acquired ISO 14001 environmental management systems accreditation (2000)
Provided TMS (Tele-metering system) based monitoring system in real-time (2003)
Successfully eliminated pollutants and ensured eco-friendly manufacturing
technology by localizing the nitric -free acid pickling process (2008)
Constructed cutting-edge facilities to recycle byproducts to be used as a resource (2008)
- Slag treatment facilities to improve collecting metallic residues in slag and recycle
slag to use as resources
- Effluent recycling facilities to utilize waste water as resources (540,000m3 per year)
Mentoring enterprises in city of Changwon about corporate environmental
management (2009~)
Established ‘Green-management Information System’ to manage and share energy,
environmental information (2012)
Active responses to environmental regulations
Voluntary agreement to reduce discharge of accumulated organic pollutants
(2005, Ministry of Environment)
Voluntary agreement to save energy and reduce discharge of greenhouse gases
(2006, South Gyeongsang Province)
Voluntary agreement to respond to climate changes and reduce discharge
of greenhouse gases (2007, City of Changwon)
Voluntary agreement to ensure green-friendly procurement
(2007, 2010, Ministry of Environment)
Signed MOU for recycling treatment by collecting Ni up in byproduct
(2008, Research Institute of Industrial Science & Technology)
Recycling treatment by collecting Zn up in dust of Steelmaking process (2009, Zincox)
Recognitions of the company’s efforts to protect the environment
Received the best grade ‘AA’ in 2009 from the Fair Trade Commission’s Compliance Program Rating.
Designated outstanding green-energy company (2003, Korea Times)
Won national grand prize in eco-friendly management
(2004, Ministry of Commerce, Industry and Energy)
Received grand prize in eco-friendly management (2008, City of Changwon)
Won silver prize in Korea environmental-technology (2011, Union of Korea Environmental-technology)
Received grand prize in POSCO Family green-management (2011, POSCO)
Create the Best Specialty Steel 08 l 09
Technological development accomplishments
Development of new products
Super & lean duplex STS for offshore plant
Large ingot continuous caster(LICC)
Large size forged product for ITER(International
Thermonuclear Experimental Reactor) shield block /
Precised tube for super-conductor jacket
Continuous casting techniques for high alloy steel
using Vertical Continuous Caster(VCC)
Heat resistance gas turbine material for combined
cycle power plant
Research & Development
Development of new processing techniques
Austenitic heat resisting steel tube for high efficiency
coal-fired power boiler
Strengthening R&D capability of new products and processes
through selection and concentration
Plastic injection mold steel with excellent mirrorpolishability
We are growing as one of the top specialty steel makers by focusing on new technologies and products.
High-corrosion resistance ferritic STS for automotive
exhaust part
Square ingot for direct-rolling
Steelmaking techniques for high cleanliness of
automotive material
Maximizing synergistic research effects through R&D networks of POSCO family
POSCO Specialty Steel focuses on developing new products and process technologies to ensure synergistic effects
through R&D networks of POSCO Family (POSCO Technical Research Laboratories, Research Institute of Industrial
Science & Technology, POSTECH, etc.) and we are accomplishing effective R&D programs through industry-academia
-institute partnerships.
POSCO Technical
Research Laboratories
POSTECH
POSCO Specialty
Steel Technical
Research Institute
Human resources development programs to strengthen researcher R&D capability
Research labs &
universities
Research Institute
of Industrial
Science & Technology
POSCO SS collaborates with several universities to enhance R&D competency through customized masters and
PhD courses. We also participate in various academic conferences and publish research results.
Create the Best Specialty Steel 10 l 11
Products
Wire Rods
14
Round Bars
15
Flat Bars and
Square Bars
16
Forged Products
17
Seamless Pipes
and Tubes
18
Special Alloy
and Military Materials
Billets and Ingots
19
1. Wire Rods
2. Round Bars
Wire rods are widely used in the industry to make a variety of products, including springs, bolts
and nuts, wire ropes, mesh, drawn bars, and reinforced bars for construction projects.
We manufacture stainless steels, carbon-alloys, and special alloy rods and have the world’s top
production capacity for stainless steel wire rods, with an annual production capacity of 180000 tons.
Applications
Springs
Round bars are the core industrial materials for automobile parts, turbine blades for power plants,
ship-building shafts, precision machines, etc. Various heat treatments and surface processing
technology are offered to produce custom-tailored products.
Applications
Bolts and nuts
Wire ropes
Production
range
(unit: mm)
Automobile transmission parts
Gears for industrial machines
Dimension : 5.0 - 34Ø
Production
range
(unit: mm)
Unit weight : Max. 1.6 tons
Surface condition : As rolled,
Engine valves
Dimension
As rolled : 13 - 350Ø (rolled product)
As forged : 215 - 1,600Ø
Peeled : 8 - 1,600Ø (rolled products)
pickled
Centerless ground : 6 - 80Ø
Cold drawn : 6 - 30Ø
Length : Max. 12,000L (rolled)
Bellows
Precision shafts
Automobile parts
forging punches
Semiconductor and vacuum
facility parts
Max. 15,000L (forged)
Create the Best Specialty Steel 14 l 15
3. Flat Bars and Square Bars
4. Forged Products
Used for industrial products requiring high strength and excellent wear resistance;
such as press molds, extrusion dies, knives, etc. The company supplies high-quality products
manufactured at state- of- the- art flat rolling and forging facilities.
Applications
POSCO SS’s outstanding forging techniques are the key for manufacturing various types of products,
including marine engine parts and shipbuilding materials and shells. New product development
and quality enhancement are also emphasized to keep up with customer demands favoring higher
levels of sophistication and dimension.
Applications
Crank shaft parts
Press molding plates
Shear knives
Intermediate shafts
Production
range
(unit: mm)
Rolled products: 10 - 150T X 150 - 1,050W
Production
range
(unit: mm)
Forged products
Tool steel: 151 - 700T X 200 - 1,250W
Propeller shafts
Type
Diameter (Ø)
Length (L)
Weight (ton)
Shafts
350 - 2,200
Max. 15,000
Max. 98
Disks
1000 - 3,800
Min. 200
Max. 98
Shells
Max. 3,900
Max. 3,800
Max. 98
Mold steel: 200 - 1,100T X 500 - 1,900W
Automobile bumper molds
Vessel name: MARILOULA (DSME Co., Ltd.)
(British Naval Architect-designated
outstanding vessel of 2008)
Featuring POSCO SS’s cutting-edge
shipbuilding materials
Rolls
Engine parts
Work Roll (~ 650Ø), Back-up Roll ( ~1,400Ø)
Max. 98MC (MAN diesel type)
Create the Best Specialty Steel 16 l 17
6. Special Alloy and Military Materials
Special alloy and military materials must be high-functioning and ultra-clean.
At POSCO SS, we are equipped with outstanding internal quality control systems based on vacuum
induction dissolution and a special refining process. Our products include state-of-the-art items such
as power plant turbine blades, parts with ultra- corrosion and heat resistance, and parts to be used
in the defense and aerospace industries.
5. Seamless Pipes and Tubes
At POSCO SS, seamless pipes and tubes are manufactured by Korea’s unique extrusion techniques
unlike other welded steel pipes. The products are used in various applications demanding
super-high temperature, high pressure, and ultra-clean environment, such as power generation,
petrochemical plants, shipbuilding, and semiconductor manufacturing.
Ultra heat-resistant alloy
for gas turbine blades
Special alloy for high-voltage
power line cores (INVAR)
Tank & gun tube materials
Ammunition materials
Applications
7. Billets and Ingots
Billets and ingots are manufactured via the ultra-clean refining process and are used for our clients’ rolled
and forged product materials.
Continuous Cast Billets
Power plant boiler tubes
Petrochemical heat exchanger tubes
Production
range
(unit: mm)
Rolled Billets
Ingots
Semiconductor precision steel
pipes and tubes
Dimension
Hot finished Cold finished
External
diameter
42 - 140Ø
10 - 114Ø
Thickness
3 - 30T
1 - 16T
Dimension(mm)
200, 150Ø
160, 150, 130SQ
70~200SQ
Max.150 ton
Length(mm)
Max. 12,000L
Max. 12,000L
Max. 8,000L
-
Shape
Round
Square
Square
Corrugate
Length : Max. 25,000L
Shipbuilding and marine
engineering plant pipes
Create the Best Specialty Steel 18 l 19
Manufacturing
process
Manufacturing
process
22 ~ 23
Steelmaking
24 ~ 25
Rolling
26 ~ 27
Forging
28 ~ 29
Seamless piping
and tubing
30 ~ 31
100 ton AOD
Manufacturing Process
Argon oxygen
decarburization (AOD)
Scrap
& alloy
ferrous
metals
Electric
arc furnace
Continuous billet caster
Vacuum refining
facility (VD/VOD)
Radiological
pollution tests
Vacuum Induction Melting
(VIM)
Ladle furnace
(LF)
Continuous bloom caster
Electrode Slag
Remelting
(ESR)
Rolling
Forging
Ingot casting
Scraps
Steelmaking
Billet
Refining
Wire Rods
Bloom
VIM
ESR
Rolling
facility
Continuous
billet caster
Major Facilities
Process
Melting
Steel Refining
making
Casting
Bars
Extrusion
Facility
Electric arc furnace (2 units) : 100 tons, 60 tons
Vacuum induction melting furnace (1 unit) : 2 tons
Continuous
bloom caster
Forging
facility
Rolled Flat Bars
and Forged Square Bars
Ingot
LF (2 units) : 100 tons, 60 tons
VD (1 unit) : 100 tons, VD/VOD (1 unit) : 60 tons
AOD (1 unit) : 100 tons
ESR (2 units) : 30 tons, 5 tons
Continuous billet caster
Continuous bloom caster
Ingot casting facility (ingots weighing 4 - 150 tons)
Rolling
Materials and small bar rolling machines
- Wire Rods : 5.0 - 34Ø
- Bars : 13 - 80Ø
Break down mill and flat steel, large section bar steel rolling mill (H-V type)
- Flat bars (mm) : 10 - 150T X 150 - 1,050W
- Bars : 85 - 350Ø
Forging
Press (2 units) : 9,000 tons, 1,800 tons
Forged Materials
Ingot casting
Extrusion
facility
Drawing / Pilgering
Seamless steel
piping and tubing
Extrusion press (1 unit) : 2,000 tons
Pilger mill (7 units) : 75VMR (2 units), 25VMR (1 unit), HPT 30-60 (4 units)
Drawing facility (3 units) : 40 tons (1 unit), 20 tons (2 units)
Finishing process
Heat treatment furnace, Straightener, Peeling machine, Inspection
Pickling facility
Seamless Pipes and Tubes
Create the Best Specialty Steel 22 l 23
Steelmaking Process
The steelmaking process is a crucial process that determines the quality of specialty steel products and consists
of the melting, refining, and casting process. Melting facilities include 100-ton/60-ton electric arc furnaces and VIM
(Vacuum Induction Melting) for ultra-clean manufacturing. For the refining process, secondary refining processes
such as LF, VD, VOD and AOD are available and ultra-clean, high-functioning parts materials are manufactured
by the ESR process which is a special refining technique.
Steelmaking
60-ton electric arc furnace
VD
ESR
Casting Process
The casting process is divided into continuous casting and ingot casting, allowing the production of semi-finished items
such as billets, blooms, and ingots. Billets are manufactured in curved continuous caster and the largest-section
blooms in the world are manufactured for the production of high-quality, ultra-clean steel.
We are also able to manufacture ingots weighing from 4 tons up to 150 tons, depending on specific customer demand.
Continuous billet casting
100-ton electric arc furnace
Ingot casting
Create the Best Specialty Steel 24 l 25
Wire rods rolling process
POSCO Specialty Steel produces wire rods and round bars with outstanding quality through the continuous rollling
process consisting of the roughing mill, intermediate mill, and finishing mill. The 3-roll based kocks mill ensures
consistent surface and core rolling. The cutting-edge RSM (reducing and sizing mill) enables homogeneous micro
structures and less-than-0.1mm accurate dimension control via high-speed precision rolling.
Rolling
RSM
Laying Head
Our cutting-edge DST (direct solution treatment) technique ensures consistent control of grain size and strength.
The nitric acid-free acid pickling process, a state-of-the-art eco-friendly pickling technique, allows us to produce
stainless steel wire rods with top surface quality.
Kocks Mill
DST
Acid pickling
Flat bar and round bar rolling process
Flat bars and round bars are manufactured via forging and blooming or large section rolling processes.
The newest SBM block mill is able to produce large section rolling bars and wide range flat bars.
HV-Mill allows the production of flat bars and round bars of precise dimension, based on our horizontal-vertical
continuous rolling techniques.
Flat Block Mill
SBM
Compact Cassette Rolling Mill
Create the Best Specialty Steel 26 l 27
In the forging process, steel ingots are heated and forged into various shapes such as marine shafts,
engine parts, plant shells and discs, bars, and plates.
Forging
9000-ton press/manipulator
After forging, forgings are heat treated to meet the mechanical requirements. Visual inspection,
UT (ultrasonic testing), and witness inspection by third parties are performed for quality assurance of the products.
Band Saw
Heat treatment
9,000-ton press
Testing
Create the Best Specialty Steel 28 l 29
The manufacturing of seamless tubes and pipes is started by cutting peeled round bars in the band sawing machine
into designed lengths based on product size. After then, bars are moved to the boring machine to make a center hole
for extrusion. After boring, the bars are heated in the induction heater, and extruded by a 2000 ton press into designed
sizes of tubes and pipes.
Seamless pipes and tubes
Band Saw
Boring M/C
Billet-loading robots
Extruded tubes and pipes are heat treated, straightened and pickled to become hot finished products, while additional
pilgering or heat treating and pickling is added to produce excellent cold finished products with high size precision.
Every piece of product is inspected by an in-line nondestructive testing machine to ensure the internal and surface quality,
and provided to customers as products with perfect quality.
Cooling Bed
Pilger mill(75VMR)
2,000-ton extrusion press
Testing
Create the Best Specialty Steel 30 l 31
Quality Assurance
At POSCO Specialty Steel, we use up to 115 various analyzing equipment to perform analysis on chemical
composition, mechanical properties, and microscopic tests to meet the level of quality our customers demand.
Chemical composition analyzer
Gas analyzer
Tensile tester
Hardness tester
Impact tester
Scanning Electron
Microscope(SEM/EDS)
Certificates of Approval
ISO 9001 Quality management systems
ISO/TS 16949 Quality management systems
-Particular requirements for the
application of ISO 9001:2000
for automotive production and
relevant service part organizations
ISO 14001 Environmental management sytems
To ensure top-quality products that suit the application and processing conditions specified
by our customers, we use cutting-edge inspection equipments
and apparatuses and operate error-proof quality testing systems.
KOSHA 18001 Occupational Safety
and Health Management Systems
Korean Industrial Standards
AD-2000 Merkblatt W0
European Directive 97/23/EC (PED)
Medium-size round bar
non-destructive tester/TOM
Small- size round bar
non-destructive tester/NDT
Small peeled round bar
non-destructive tester/ECT&UT
American Bureau of Shipping (USA)
Lloyd’s Register (UK)
Det Norske Veritas (Norway)
Bureau Veritas (France)
Germanischer Lloyd (Germany)
Japanese Industrial Standards
Registro Italiano Navale (Italy)
Korea Electric Power Industry Code
China Classification Society (China)
The American Society of Mechanical Engineers
Korean Register of shipping(Korea)
Seamless pipes
& tubes line UT tester
Seamless pipes & tubes
non-destructive tester
Nippon Kaiji kyokai (Japan)
Large forged-product UT tester
Create the Best Specialty Steel 32 l 33
Global Network
Key Management Status
General Status
Established : February 14, 1997
Headquarters : 147 Jeokhyeon-Ro, Seongsan-Gu, Changwon, Gyeongsangnam-Do, Republic of Korea
Shareholders : POSCO (100 percent)
CEO : Hyun-uk Sung
No.of employees : 1,238(As of December 31, 2011)
Crude steel production (unit : 1000 tons)
Local Offices
Overseas Offices
Sales volume (unit : 1000 tons)
Major Clients(countries)
Major Contacts
Korean
Offices
Headquarters
Seoul Office
Overseas
Offices
POSCO SS-VINA
POSCO Specialty Steel China
POSCO Specialty Steel Thailand
Summary of Financial Information
(Unit : Mill U$)
07
08
09
10
11
Sales
1,347
1,456
1,102
1,338
1,442
Operation income
77
105
68
127
140
Net income
52
67
56
101
111
Assets
921
874
843
1,099
1,372
Liabilities
495
382
297
458
600
Shareholder s equity
426
491
546
642
773
(Capital stock)
(113)
(113)
(113)
(113)
(113)
POSCO Specialty Steel Japan
VSC-POSCO STEEL CORPORATION
147 Jeokhyeon-Ro, Seongsan-Gu, Changwon, Gyeongsangnam-Do, Republic of Korea
Tel 82-55-269-6114
Fax 82-55-269-6901
479 Kangnamdae-Ro, Seocho-Gu, Seoul, Republic of Korea
Tel 82-2-3469-6665
Fax 82-2-3469-6888
N1 Street, Phy My 2 Industrial Zone, Tan Yhanh District, BRVT Province, Vietnam
Tel 84-64-3892-009
Fax 84-64-3892-300
Rm.2804(B), B Dawning Center, No. 500 Hongbaoshi Rd., Shanghai, 201103 China
Tel 86-21-6091-3688(101) Fax 86-21-6091-2645
399 Interchange 21 BLDG, 22F, 21R Sukhumvit RD, Klongtoey-Nua, Wattana, Bangkok, 10110, Thailand
Tel 66-2-259-0371
Fax 66-2-259-0372
POSCO OSAKA BLDG. 9F. 3-7,2-Chome Namba.Chuo-Ku,Osaka 542-0076 Japan
Tel 81-6-6214-0750
Fax 81-6-6214-0751
Hong Bang, Haiphong, Vietnam
Tel 84-31-385-0067
Fax 84-31-385-0123
Contact Information (by operation)
Product
Stainless steels
Carbon-alloy
steels
Tool steels
Free-forged steels
Semi-finished
products
Seamless
Pipe and Tube
Marketing Division
QA Technology
82-2-3469-6664
82-55-269-6254
82-2-3469-6611
82-55-269-6227
82-2-3469-6609
82-55-269-6255
82-2-3469-6691
82-55-269-6224
82-2-3469-6839
82-55-269-6227
82-2-3469-6863
82-55-269-6526
Technical Research Laboratories
82-55-269-6653