SEOUL :South Korea’s Hyundai Steel, an affiliate of automakers Hyundai Motor and Kia, said on Wednesday it is actively considering building a steel plant in the United States.
The move comes at a time when U.S. President Donald Trump is expected to step up protectionist trade policies, including potentially imposing 25 per cent tariffs on Mexico and Canada on Feb. 1.
Trump on Tuesday vowed to hit the European Union with tariffs and said his administration was discussing a 10 per cent punitive duty on Chinese imports.
Hyundai Steel is considering investing in a steel plant using the “electric arc furnace” production process in the U.S. Southeast, a company spokesperson said on Wednesday.
A Hyundai Steel executive said in an earnings call earlier on Wednesday it is actively considering the matter, the spokesperson said.
The plant, if it goes ahead, is expected to supply carmakers in the United States with steel plates, Yonhap News Agency said, which first reported the plans, said.
Hyundai Motor and Kia Motors produce vehicles at their factories in Alabama, Georgia in the United States, and Monterey in Mexico.