POSCO and Hyundai Motor sign MOU on hydrogen business cooperation at POSCO, Pohang l POSCO CEO Jeong-Woo Choi states, “With POSCO producing and supplying hydrogen and Hyundai Motor putting them into use, we will find various opportunities for cooperation.”
l The cooperation is to be comprehensive, including technology development for hydrogen energy use, conversion of current operating vehicles within the steelworks to fuel cell electric vehicles, and partnership in the hydrogen business
Hyundai Motor and POSCO signed a business agreement on hydrogen business cooperation at POSCO, Pohang. POSCO CEO Jeong-Woo Choi (second from right), Hyundai Motor Chairman Eui-Sun Chung (second from left), Head of POSCO Industrial Gas Hydrogen Business Department Byeong-Og Yoo (far right), and Vice President/Head of Hyundai Motor Fuel Cell Department Se-hoon Kim (far left) taking a commemorative photo.
POSCO decided to cooperate with Hyundai Motor in the hydrogen business.
POSCO and Hyundai Motor signed a business agreement to cooperate on hydrogen business at POSCO, Pohang. The event was attended by POSCO CEO Jeong-Woo Choi, Head of POSCO Industrial Gas Hydrogen Business Department Byeong-Og Yoo, Hyundai Motor Chairman Eui-Sun Chung, Hyundai Motor President Young-Un Gong, and Hyundai Steel Vice President Jong-Seong Park.
At the signing ceremony, POSCO CEO Jeong-Woo Choi said, “Currently, POSCO has 7,000 tons of production capacity for by-product hydrogen and has also been engaging in green hydrogen projects overseas.” He added. “With POSCO producing and supplying hydrogen and Hyundai Motor putting them into use, we will find various opportunities for cooperation and will secure initiatives for the hydrogen economy.”
Both companies accepted achieving carbon neutrality and converting to the hydrogen economy as vital tasks to create sustainability and agreed on the following: 1) developing utilization technology for hydrogen energy, 2) converting current operating vehicles within POSCO steelworks to pollution-free fuel cell electric vehicles, and 3) joint partnership in hydrogen business.
Regarding the development of hydrogen energy utilization technology, POSCO will develop green hydrogen manufacturing technology using ammonia, and Hyundai Motor will promote fuel cell power generation business utilizing POSCO green hydrogen. Also, both companies will continue to collaborate in the development and application research of next-generation materials for hydrogen vehicles based on POSCO’s world-class steel technology.
In addition, 1,500 vehicles currently being operated at POSCO Pohang and Gwangyang Works will be replaced with Hyundai Motor’s pollution-free fuel cell electric vehicles gradually. Hyundai Motor will develop commercial hydrogen trucks appropriate for steel logistics, while POSCO plans to use by-product hydrogen produced in steelworks as the energy source for these hydrogen trucks. Both companies also agreed to cooperate to construct hydrogen stations for hydrogen trucks within the steelworks.
POSCO and Hyundai Motor will also join forces in the hydrogen business, which both companies have been promoting respectively. With POSCO by-product hydrogen production capacity and Hyundai Motor fuel cell business competency, the companies will develop domestic projects for fuel cell power generation and seek ways to participate in green hydrogen production projects overseas.
The two companies have previously collaborated in the hydrogen sector by applying Poss470FC, the world’s first non-coated bipolar plate for fuel cell electric vehicles developed by POSCO, to Nexo, Hyundai Motor automotive model. The newly established MOU is expected to create greater synergy in the hydrogen business.
Meanwhile, in December 2020, POSCO announced that it plans to lead the decarbonization era under the vision of a “green hydrogen pioneer driving the hydrogen economy”. Accordingly, POSCO declared plans to establish a hydrogen production capacity of 5 million tons by 2050 and achieve 30 trillion KRW in hydrogen sales. Hyundai Motor has successfully launched “Nexo,” its fuel cell electric vehicle, and has set goals to produce 500,000 fuel cell electric vehicles and 700,000 hydrogen fuel cell systems by 2030.