# POSCO

> POSCO has a disclosed material system at steelmaking scale: 2.092 million tonnes of ferrous scrap purchased in 2025, more than KRW 346 billion in other recycled-material purchases, and a stated target to keep by-product recovery at 98% or more. The useful work is to qualify one stream against one real destination, with chemistry, standard, logistics and buyer acceptance visible.

- Industry: Metals & Mining
- Collection: Active
- Materials: Cement, Copper, Minerals, Steel
- Processes: Recycling
- Evidence through: 2026-09-18
- Canonical URL: https://www.materialtransition.com/library/posco

## Material inputs to resolve

Integrated steelmaking, scrap-based production and steel by-product management

POSCO reports 2.092 million tonnes of domestic and imported scrap purchases in 2025, commercial low-carbon-steel sales using double scrap charging, and recycling of slag, dust and sludge. It also reports a by-product recycling rate above 98%. These disclosures do not establish a new supplier contract, available capacity or a project-specific buyer.

**2.092M t** 2025 domestic and imported scrap purchases

**>98%** Reported steel by-product recycling rate

**10%** Target CO2 reduction for double scrap charging

**2026** Gwangyang EAF operation planned

- Domestic and imported ferrous scrap
- Steelmaking by-products including slag, dust and sludge
- Recycled refractories and recoverable copper streams

### Outputs and residuals to resolve

- Steel products, including low-carbon steel routes
- Cement-clinker substitute or aggregate-grade slag where standards permit
- Recovered resources and managed designated waste

**First decision:** Select one physical stream and one compliant destination. Establish grade, chemistry, contamination, logistics, standard and buyer acceptance before modeling avoided virgin inputs.

## Scrap system

POSCO reports 2.092 million tonnes of domestic and imported scrap purchased in 2025, costing KRW 939.6 billion.

#### Steel route

The company reports commercial sales of low-carbon steel made with double scrap charging and an EAF planned for Gwangyang operation in 2026.

#### By-product route

POSCO describes recycling slag, dust and sludge, with blast-furnace slag positioned for cement clinker substitution where the relevant standard and application permit it.

#### Evidence boundary

The public record supports these operations and targets. It does not identify a new feedstock source, contracted tonnage or project-level product allocation.

### Decision boundary

POSCO has real scale in both scrap purchasing and by-product management. The first useful artifact is a material passport for one stream, not a company-wide circularity score.

## Material flow map

| Material or stream | Qualification gate | Process or destination | Evidence still needed |
|-|-|-|-|
| Ferrous scrap | Grade, residuals, moisture and delivery schedule | Double scrap charging or EAF route | Supplier quality, yield and allocation |
| Blast-furnace slag | Chemistry, granulation and local standard | Cement or construction use | Certified product standard and buyer acceptance |
| Dust, sludge or designated waste | Hazard classification and recovery feasibility | Specialist recycling or lawful treatment | Site permit, processor and mass balance |

This is a public screening map. It separates company-disclosed flows from open qualification work. It does not convert a destination into a buyer or an announced ambition into operating capacity.

## Three defensible entry lanes

#### Scrap-quality qualification

Scrap scale is public. The differentiator is consistent chemistry and delivery into a named production route.

**Next evidence:** Grade mix, residual elements, transport terms and mill acceptance criteria.

#### Standardize one slag end use

Slag can only displace clinker or aggregate when its chemistry and standard fit are documented.

**Next evidence:** Material testing, applicable standard, local code and end-user approval.

#### Make the EAF transition operational

The planned Gwangyang EAF changes the scrap question from abstract demand to plant commissioning readiness.

**Next evidence:** Commissioning schedule, scrap specification, power assumptions and product allocation.

## Evidence register

- **2025 Sustainability Report** POSCO ESG https://sustainability.posco.com/S91/S91F10/eng/cmspage.do?cmspreview=T&mmcd=2645996979005384 [1]
- **Environmental Impact and circular economy** POSCO ESG https://sustainability.posco.com/S91/S91F10/eng/cmspage.do?cmspreview=T&mmcd=2676068505003784 [2]
- **Climate Change and low-carbon steel** POSCO ESG https://sustainability.posco.com/S91/S91F10/eng/cmspage.do?mmcd=2648825310001953 [3]

Source hierarchy: filings and company disclosures first. The brief states what those sources support and leaves the unresolved plant, grade, permit, buyer and mass-balance questions explicit.

## Material Transition editorial interpretation

The next useful working session starts with: Select one physical stream and one compliant destination. Establish grade, chemistry, contamination, logistics, standard and buyer acceptance before modeling avoided virgin inputs.

## Sources

- [1] 2025 Sustainability Report - https://sustainability.posco.com/S91/S91F10/eng/cmspage.do?cmspreview=T&mmcd=2645996979005384
- [2] Environmental Impact and circular economy - https://sustainability.posco.com/S91/S91F10/eng/cmspage.do?cmspreview=T&mmcd=2676068505003784
- [3] Climate Change and low-carbon steel - https://sustainability.posco.com/S91/S91F10/eng/cmspage.do?mmcd=2648825310001953

From the Material Transition company brief library: https://www.materialtransition.com/library/posco