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| POSCO Chairman Choi Jeong-woo |
By Park Jae-hyuk
POSCO Chairman Choi Jeong-woo was appointed as a new board member of the World Steel Association (worldsteel) during its annual meeting in Tokyo from Oct. 15 to 18, according to company officials Sunday.
He is now qualified as a candidate for the association's executive committee consisting of 15 top decision makers.
However, POSCO missed an opportunity to lead the global steel industry because former Chairman Kwon Oh-joon, who was supposed to be the worldsteel chairman this month, resigned abruptly in July.
The association representing the interests of 170 steelmakers worldwide instead elected Gerdau Vice Chairman Andre Gerdau Johannpeter as its new leader. Gerdau is the world's 18th-largest steelmaker in terms of production.
Korean steelmakers fear that they may have fewer chances to make their voices heard in the global steel market.
Amid mounting global protectionism, Kwon had been regarded as proficient to deal with disputes because of his communication skills and personal networks.
"Korea has had less influence in the association since China emerged as the new powerhouse in the industry," a steel industry official said. "Given that Korea has also been a victim of the global protectionist policy, it is too bad that POSCO lost the opportunity to lead the association."
Kwon, who was appointed as the worldsteel vice chairman during its board meeting in Brussels in October 2017, was initially supposed to serve one year as its chairman from October 2018. According to its protocol, one who spends a year as vice chairman can be chairman the following year.
However, his sudden resignation put an end to that plan. The association did not allow Kwon to hand over his vice chairmanship to his successor.
Industry officials say POSCO will be unable to lead the association for a while, because Kwon's successor needs time to build up his reputation.
Kwon had been able to become the worldsteel vice chairman after managing POSCO for four years.
Until now, only three POSCO chairmen served as head of the association. They include Kim Man-je, Lee Gu-taek and Chung Joon-yang.
Critics point out that POSCO may face a similar happening, considering that past chairmen of the world's fifth-largest steelmaker have been replaced by new chiefs whenever the regime changes.
Kwon was supposed to lead POSCO until March 2020.
Although he cited his health as a reason for his early retirement, media and industry officials speculated that he was pressured by the Moon Jae-in administration as the government had excluded Kwon from the business delegation accompanying the President's visits to other countries.
POSCO was alleged to have bribed former President Park Geun-hye by donating money to nonprofit foundations managed by the former President's longtime confidant, Choi Soon-sil.
Including Kwon, eight former chairmen of POSCO have failed to complete their terms so far.
POSCO declined to comment on the appointment of the new worldsteel chairman.
