POSCO to extend output reduction into Q2

SEOUL, March 23 (Yonhap) -- POSCO, the world's fourth-largest steelmaker, plans
to extend its output cut into the second quarter as demand from automakers and
builders continues to remain weak, according to industry sources on Monday.

The country's leading steel mill may slash production by up to one million tons of
crude steel through June, they said.
POSCO slashed production in December for the first time in its 40-year history,
joining moves by foreign rivals such as Arcelor Mittal and Nippon Steel Corp. as
the global recession weakened demand.
The steelmaker said earlier it would slash its output of crude steel by around
200,000 tons February, following a reduction of 570,000 tons during the two
previous months.
POSCO CEO Chung Joon-yang said last month the company's output reduction in the
first three months of the year may reach up to 800,000 tons.
POSCO forecast earlier that sales would fall by up to 12 percent this year and
steel output could drop by as much as 12 percent to 29 million tons.
sam@yna.co.kr
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