POSCO International, Netherlands’ Hardt sign deal on hyperloop project

POSCO International Corp., the general trading arm of South Korea’s steel giant POSCO Holdings Inc., said on Tuesday it is entering the hyperloop business through a partnership with a Dutch partner.

Under an initial agreement signed with Hardt Hyperloop, POSCO International will provide rolled steel to the European Hyperloop Center (EHC), an industrial complex under construction in the Netherlands, for the development of a hyperloop transportation system.

The Korean company said it is also considering buying a stake in Hardt Hyperloop and executing joint marketing efforts in Europe.

Hyperloop is a concept of high-speed transport for passengers or cargo by using magnetic levitation and propulsion. The zero-emission transport network envisions connecting cities within a short travel time, potentially offering an alternative to short-haul flights and easing congestion at airports.

A hyperloop can travel at a speed of 1,200 km per hour, meaning it can reach Busan, Korea's southern port city, from Seoul in about 20 minutes, according to POSCO International.

The system also draws attention as an eco-friendly means of transportation as it consumes only about 10% of the energy used by aircraft.

In the US, Tesla Chief Executive Elon Musk is known to be active in the hyperloop business.

“We will increase our corporate value by aggressively investing in eco-friendly businesses such as hyperloop,” said POSCO International Chief Executive Joo Si-bo.

Write to Seo-woo Jang at suwu@hankyung.com
In-Soo Nam edited this article.