Posco vows more added value to foster loyalty

Posco has pledged to strengthen ties with its clients as a way of weathering the economic storm.

The country’s top steelmaker said yesterday it cemented around 50 new contracts with scores of clients at the Expanded Value Initiative for Customers Forum in Seoul yesterday. Most of the agreements were related to the long-term supply of materials and the co-development of technology.

The steelmaker signed a long-term deal with Japanese home appliance maker Hitachi to supply steel plates. Posco has been offering steel plates to the Japanese firm since 2008.

It also inked a deal with India’s largest pipe-maker Welspun to supply it with 240,000 tons of steel approved by the American Petroleum Institute every year, and signed an MOU with Doosan Infracore to start co-developing materials for its construction equipment and related technology.

“Beyond sharing short-term profits, we want to create opportunities to grow together with our customers,” said Posco CEO Chung Joon-yang at the forum. “Maximize the value of all of our partners is the key to surviving the global slowdown and economic uncertainties.”

About 450 of Posco’s clients, including General Motors, Hyundai Motor Group and Ford, attended the two-day forum, which was arranged by the steelmaker to forge stronger bonds with existing and potential customers.

“We expect the forum will serve as a platform for us to increase business cooperation to help all of us overcome the protracted economic slowdown together,” a Posco employee said.

By Song Su-hyun [ssh@joongang.co.kr]