South Korean steel giant Posco Group has put itself on an emergency management footing, its holding company said Sunday, as business units across the group brace for weaker profits amid an expected slowdown of the global economy.
The decision came in a Thursday meeting of Chairman Choi Jeong-woo and other top executives of Posco Group, Posco Holdings Inc. said.
Posco Holdings said the group’s top executives reviewed risk factors for each major businesses unit, such as steel, infrastructure, energy and second battery materials.
The group assessed that the global economy was facing a “complex crisis,” and predicted weakening of profits due to sluggish demand, rising raw material and energy costs and supply chain instabilities.
The executives decided to seek efforts to strengthen profitability by overhauling its overall procurement, production and sales operations, and reassess group-wide investment plans, Posco Holdings said. (Yonhap)