Hyundai Steel breaks ground on $5.8B Louisiana steel mill

Hyundai Steel has broken ground on a US$5.8 billion electric arc furnace (EAF)-based steel mill in Ascension Parish, Louisiana. This project marks the company’s first steel production base in North America and is designed to bolster the domestic automotive supply chain.

The facility, operated by the joint venture Hyundai-POSCO Louisiana Steel—comprising Hyundai Steel, POSCO, Hyundai Motor Company, and Kia Corporation—is expected to begin commercial production in 2029. It aims for an annual capacity of 2.7 million tonnes of hot-rolled and cold-rolled steel sheets. The project is projected to create 5,400 jobs, including 1,300 direct positions.

The mill will utilize advanced direct reduction technology and electric arc furnaces, a process that can reduce carbon dioxide emissions by approximately 70 percent compared to traditional coal-based blast furnace production. This investment is part of Hyundai Motor Group’s broader US$26 billion commitment to US manufacturing through 2028, covering automotive production, steelmaking, and robotics.