Data released by the Financial Supervisory Service of Korea shows that POSCO's revenue in 2025 reached 35.011 trillion won, a year-on-year decrease of 6.8%; Hyundai Steel's revenue was 22.7332 trillion won, a year-on-year decrease of 2.1%. Despite the contraction in revenue, both companies achieved year-on-year growth in operating profit through strengthened internal management.
Evaluation and Analysis
Wire Rod
The year-on-year decline in operating revenue of major South Korean steelmakers POSCO and Hyundai Steel (POSCO down 6.8%, Hyundai Steel down 2.1%) indicates weak demand in the steel market, which may put downward pressure on wire rod spot prices, as reduced revenue typically reflects weakening downstream demand or intensified price competition. Although operating profit growth stemmed from internal management improvements, it was insufficient to offset the overall impact of insufficient demand. Combined with recent wire rod futures contracts (e.g., the 2610 contract closed at 3,453 RMB/ton, down 12 RMB/ton; the 2611 contract closed at 3,450 RMB/ton, unchanged), prices remained stable with a slight downward trend and trading volume was low, further reinforcing expectations of downward pressure on spot prices and creating a generally bearish signal for futures prices.
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