Hyundai Steel to Spearhead Next-Gen Power Infrastructure as Future Growth Engine

Desk

korocamia@naver.com | 2026-05-02 06:35:09



SEOUL – Hyundai Steel announced on Thursday its strategic roadmap to dominate the burgeoning next-generation power infrastructure steel market. Leveraging its comprehensive product portfolio—ranging from hot-rolled and cold-rolled products produced in blast furnaces to sections and special steels from electric arc furnaces—the company aims to secure a decisive lead in this high-tech sector.

As the global industrial landscape shifts toward digitalization and renewable energy, Hyundai Steel has identified three core pillars for its future growth: Data Centers, Energy Storage System (ESS) enclosures, and Power Transmission Towers.

Dominance in the Data Center Segment
The surge in Artificial Intelligence (AI) has led to an unprecedented demand for data centers. These facilities require a vast array of steel products, including H-sections, plates, and rebar for structural frameworks, as well as hot-rolled and cold-rolled sheets for internal components and equipment. Hyundai Steel stands as the only steelmaker in South Korea capable of supplying both structural and non-structural materials tailored specifically for data centers.

The company projects that steel for data center construction will account for approximately 3% of its total section steel sales in 2026, with expectations to double that figure to 6% in the coming years. Industry insiders report that several major construction firms have already initiated inquiries regarding Hyundai Steel’s ongoing collaboration with Amazon Web Services (AWS) and its unique competitive advantages.

"While we expect to compete with global giants like Nucor in the international market, our diverse product range provides us with a superior edge," a company official stated. "Furthermore, by leveraging synergies within the Hyundai Motor Group, we can offer integrated solutions that encompass both material supply and construction."

Expanding the ESS and Transmission Footprint
Beyond data centers, Hyundai Steel is aggressively targeting the Energy Storage System (ESS) market. ESS units require robust enclosures—container-like housings and battery module cases—made from hot-rolled, cold-rolled, and section steel.

The company has seen exponential growth in this sector, particularly in North America. After securing orders for 10,500 tons in 2025, Hyundai Steel has set an ambitious target of 52,000 tons for 2026.

Simultaneously, the company is aligning its production with South Korea’s national grid expansion plans. The demand for transmission tower materials is expected to rise from 30,000 tons in 2025 to 78,000 tons by 2030. Within this market, the demand for "angle steel" (L-shaped sections) is forecasted to jump from 24,000 tons in 2025 to 85,000 tons by 2028.

A Vision for Integrated Solutions
Hyundai Steel plans to consolidate its leadership in the angle steel tower market while exploring entries into specialized segments such as steel pipe towers and tubular steel poles.

The ultimate goal for Hyundai Steel is to transcend the role of a simple material supplier. By providing customized steel solutions that meet the diverse needs of the power infrastructure market, the company intends to transform into a provider of comprehensive industrial solutions, ensuring long-term sustainability in the era of the "Energy Transition."

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