KG Steel plans to raise the production capacity of its pickling and rolling mill (PLTCM) at its Dangjin works by six times to 300,000 metric tons/year, the South Korean steelmaker said in a statement on Feb. 10, to improve its competitiveness in the cold rolled steel sector.

The output boost from 50,000 mt/y is part of the company’s large‑scale equipment rationalization plan costing about Won 35 billion ($24.1 million), the company said.

KG Steel’s decision comes as the South Korean government introduced a “Steel Industry Advancement Plan” in November to reduce excess steel capacity and enhance future competitiveness.

KG Steel disclosed neither the timetable for the output increase nor its costs.

According to KG Steel, its overall PLTCM production capacity stands at 1.8 million mt/y.

Typically, PLTCM improves the surface quality of steel strips and removes impurities, thereby preparing them for cold-rolling.

“We expect protectionist trade practices to continue this year, following last year,” a KG Steel official said. “We will focus our efforts on improving profitability by reorganizing our revenue structure.”

In 2025, India implemented a provisional 12% safeguard duty on alloy and non-alloy steel flat products for 200 days on April 21, followed by a three-year staggered safeguard duty on Dec. 30.

Over April-December 2025, South Korea was India’s leading finished steel supplier with 1.71 million mt, down 18.9% year over year.