Trump Tariffs Loom Large in South Korea’s ‘Steel City’

This picture taken on February 13, 2025 shows steelworks of South Korea's largest steelmaker POSCO in Pohang. (AFP)
This picture taken on February 13, 2025 shows steelworks of South Korea's largest steelmaker POSCO in Pohang. (AFP)
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Trump Tariffs Loom Large in South Korea’s ‘Steel City’

This picture taken on February 13, 2025 shows steelworks of South Korea's largest steelmaker POSCO in Pohang. (AFP)
This picture taken on February 13, 2025 shows steelworks of South Korea's largest steelmaker POSCO in Pohang. (AFP)

Smoke billows from chimneys as factories churn in South Korea's steelmaking heartland, now under threat from Washington's swingeing new tariffs on the port city's largest export.

The city of Pohang on South Korea's east coast for decades pumped out the steel that fueled the country's breakneck economic rise.

South Korea was the fourth largest exporter of the metal to the United States last year, accounting for 13 percent of its total steel imports.

But the industry has faced intense strain in recent years from foreign competition.

And businesses, officials and workers in the city now fear a planned 25 percent tariff on all steel imports to the United States beginning next month could have devastating impacts -- and major knock-on effects on South Korea's economy.

"The steel industry is a vital national industry that serves as a fundamental material for key sectors such as construction, automotive and shipbuilding," Pohang's mayor Lee Kang-deok told AFP.

"If the steel industry collapses, the entire South Korean economy will be destabilized," Lee warned.

"If we fail to respond effectively to President Trump's tariff measures, our country's economy could face an even greater shock, leading to an irreversible situation."

- 'Steel city' -

Lying around 270 kilometers (168 miles) southeast of Seoul, Pohang has carved out a rare place as a key industrial hub in a country beset by deepening regional inequality -- and where most resources are tightly concentrated in the capital.

It is home to the nation's top steelmaker, POSCO, a major force in South Korea's industrialization and development as an export powerhouse, alongside giants like Hyundai Steel and Dongkuk Steel.

"Pohang has long been a symbolic steel city that has supported South Korea for decades, serving as a backbone for the country's development," said Bang Sung-jun, a former Hyundai Steel worker and an official at the Korean Metal Workers' Union's Pohang branch.

"The steel industry has provided quality jobs and sustained the local economy," he told AFP, while acknowledging the pollution produced and the often dangerous conditions for workers in the industry.

How those workers respond to the current crisis, he added, "will determine whether the city of Pohang can sustain its steel industry, putting its very survival at stake".

- 'Significant' impact -

South Korea's steel industry has faced intense pressure in recent years as it grapples with oversupply -- particularly from China -- and a decrease in global demand.

The US tariffs are likely to intensify those challenges, and analysts warn that should cheap Chinese steel barred from the US market begin to flood regions like Southeast Asia and Europe, South Korean steel producers will face deepening price competition.

"Trump's protectionism certainly will affect South Korea's long-suffering steel industry, already squeezed by low-price exports from China and unfavorable Japanese yen exchange rate," Vladimir Tikhonov, professor of Korea studies at the University of Oslo, told AFP.

"The impact will be significant," he said.

Some suggest the tariffs could offer opportunities for South Korean firms to find new export markets.

But for workers in Pohang, where several mills have already shut down, job security and the threat of further layoffs overshadow any potential benefits.

AFP reporters visited a factory owned by Hyundai Steel which closed late last year. It did not appear to be operating and was guarded by a handful of staff at the time of the visit.

Journalists saw signs hung by unionized workers criticizing the management and demanding an apology, and through an open door, what looked like debris piled up inside.

"For us workers, it has always been a crisis without any opportunities," said Bang, the unionist.

Worker Lee Woo-man, who has worked as a subcontractor for POSCO for two decades, told AFP that 20 of his colleagues have lost their jobs in the past year.

He expected employment in the city to "decrease even more" over the next four years and believes Trump's tariffs will speed up the decline of the city, which he said has lost the vibrancy it had when he was young.

Lee said he grew up watching the smoke rise from the chimneys of massive mills, thinking to himself: "POSCO is feeding Pohang".

But now that view makes him worry.

"I don't know when this will all fall apart."



Saudi Arabia Reinforces Global Mining Leadership at PDAC 2026 in Canada

Al-Belushi noted that the Kingdom has offered over 46,000 km² for exploration - SPA
Al-Belushi noted that the Kingdom has offered over 46,000 km² for exploration - SPA
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Saudi Arabia Reinforces Global Mining Leadership at PDAC 2026 in Canada

Al-Belushi noted that the Kingdom has offered over 46,000 km² for exploration - SPA
Al-Belushi noted that the Kingdom has offered over 46,000 km² for exploration - SPA

Saudi Arabia participated in the Prospectors and Developers Association of Canada (PDAC) convention, held March 1–4, 2026, highlighting exploration and mining opportunities in the Kingdom built on vast geological data and supported by a reformed regulatory framework.

On the sidelines of the conference, Deputy Minister of Industry and Mineral Resources for Mineral Resources Management Abdulrahman Al-Belushi, delivered keynote remarks at the Saudi Showcase titled “KSA: The Future Hub for Global Mineral Processing,” highlighting the Kingdom’s transformation from an emerging jurisdiction to a top global mining destination.

Al-Belushi emphasized that Saudi Arabia’s $2.5 trillion mineral wealth, modern regulatory framework, transparent licensing rounds, large-scale geological mapping program covering 700,000 km² of the Arabian Shield, and its world-class mine-to-market facilities provide a strong foundation for global investors seeking long-term opportunities across the mining sector, SPA reported.

During his participation at the International Mines Ministers Summit (IMMS), Al-Belushi highlighted the importance of global partnerships to meet rising mineral demand and shared details of the Future Minerals Forum’s Ministerial Roundtable Initiative, which promotes economic development, responsible supply, and capacity building across the mining sector.

Al-Belushi noted that the Kingdom has offered over 46,000 km² for exploration and is actively addressing financing gaps through a suite of competitive incentives, including the Exploration Enablement Program to support early-stage investment.

He also highlighted ongoing talent development initiatives, such as the recently launched Saudi School of Mines at the fifth Future Minerals Forum in January, alongside more than 80 years of geological data made digitally accessible to investors through the National Geological Database (NGD).

Throughout PDAC 2026, the Saudi delegation engaged in a series of bilateral meetings with global mining executives, investors, and institutional partners to accelerate collaboration across exploration, mining services, processing, and downstream integration.

By combining governance reform, large-scale geological data, financial risk-sharing mechanisms, and integrated mine-to-market infrastructure, Saudi Arabia is positioning itself as a strategic partner in strengthening global mineral supply chains.

Saudi Arabia’s participation at PDAC affirms that the Kingdom’s mining sector has moved from an emerging market to a competitive global destination. Through a modernized regulatory framework, extensive geological data, and competitive incentives, the Kingdom continues to strengthen its position as a trusted and preferred destination for mining investment—a reliable partner in building resilient and sustainable mineral supply chains.


S&P Global: UK Consumers Hit by Worries Over War in Iran

A man shops in a supermarket in Chanverrie, France, October 16, 2024. REUTERS/Stephane Mahe
A man shops in a supermarket in Chanverrie, France, October 16, 2024. REUTERS/Stephane Mahe
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S&P Global: UK Consumers Hit by Worries Over War in Iran

A man shops in a supermarket in Chanverrie, France, October 16, 2024. REUTERS/Stephane Mahe
A man shops in a supermarket in Chanverrie, France, October 16, 2024. REUTERS/Stephane Mahe

British consumers have turned their least confident since the start of last year following the outbreak of war in the Middle East, financial data firm S&P Global said on Monday in an early sign of the potential impact of the conflict on the economy.

S&P Global's Consumer Sentiment Index - based on a survey conducted ⁠March 5-9 - dropped ⁠to 44.1 in March from 44.8 in February, its lowest since January 2025.

"A marked deterioration of consumer sentiment in March means we are seeing the first ⁠concrete signs of the war in the Middle East damaging the UK economy," Maryam Baluch, an economist at S&P Global Market Intelligence, said, according to Reuters.

Households were the most downbeat about their financial prospects since December 2023 and the wariest about making big purchases in 14 months, the firm said.

The Bank ⁠of ⁠England, along with private economists, is watching for the impact of the US-Israeli war with Iran on the economy, including any hit to consumer spending as the rise in global energy prices threatens to push up inflation.

The BoE is likely to delay a previously expected interest rate cut on Thursday.


Gold Falls as Inflation Fears Pressure Fed Rate-cut Outlook

AFP_96 Gold bars weighing 1000 grams each are displayed at the Austrian Gold and Silver Refinery _Oegussa_ in Vienna
AFP_96 Gold bars weighing 1000 grams each are displayed at the Austrian Gold and Silver Refinery _Oegussa_ in Vienna
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Gold Falls as Inflation Fears Pressure Fed Rate-cut Outlook

AFP_96 Gold bars weighing 1000 grams each are displayed at the Austrian Gold and Silver Refinery _Oegussa_ in Vienna
AFP_96 Gold bars weighing 1000 grams each are displayed at the Austrian Gold and Silver Refinery _Oegussa_ in Vienna

Gold prices dipped on Monday, pressured by concerns that surging oil costs could stoke inflation further and prompt a more hawkish policy stance by major central banks including the US Federal Reserve, dulling the appeal of the non-yielding asset.

Spot gold fell 0.7% to $4,983.17 per ounce, as of 0944 GMT. US gold futures for ‌April delivery ‌fell 1.5% to $4,987.30.

"The gold market has moved its ‌focus ⁠from looking at ⁠the implications of the Hormuz trade closure, and towards implications of longer-term inflation," said Bernard Dahdah, an analyst at Natixis.

"Higher oil prices mean higher inflation and this has repercussions on the Fed. The Fed could pivot, stop cutting rates and that puts downward pressure on gold prices."

Oil held above $100 a ⁠barrel, up more than 40% this month ‌to its highest levels since 2022, ‌after US-Israeli strikes on Iran prompted Tehran to halt shipments through ‌the Strait of Hormuz.

US President Donald Trump on Sunday pressed ‌allies to help secure the Strait of Hormuz as Iranian forces continue attacks on the vital waterway amid the US-Israeli war on Iran, now in its third week.

The Fed will meet this week ‌for a two-day policy meeting, where it is widely expected to hold interest rates steady.

Other ⁠central ⁠banks including the European Central Bank, the Bank of England and the Bank of Japan will also meet this week, with the focus on policymakers' assessment of the Iran war on inflation, growth and future policies.

"But we expect central banks to be watchful of inflation risks without making knee-jerk policy rate hikes," UBS said in a note.

"In addition, the longer the US-Iran conflict goes on, the higher the risk of negative economic impacts, which should support hedging demand for gold."

Elsewhere, spot silver fell 2.6% to $78.46 per ounce. Spot platinum held steady at $2,024.85 and palladium slid 0.5% to $1,542.92.