Hyundai Steel, South Korea’s second-largest steel producer, has indefinitely suspended operations at its Pohang Plant No. 2, effective June 7. The company, which had previously postponed the shutdown last November due to union opposition and operated on a reduced schedule, cited deteriorating market conditions as the reason for the complete halt.

Pohang Plant No. 2, one of the domestic producers of steel sections, especially H-beams, had a brief return to work on June 9-10 for union meetings before the suspension resumed.

In addition, Hyundai Steel is also seeking to divest its machinery business division at Pohang Plant No. 1, which produces excavator tracks, due to declining profitability. The company is reportedly in talks with Daejoo KC Group for its sale.