South Korea’s largest steelmaker Posco said Tuesday it is set to launch a new logistics corporation by the end of this year to integrate logistics capabilities within the group.

The new corporation, tentatively named Global Smart Platform, plans to enhance logistics efficiency by taking charge of integrated contract and operation management of the transportation volume of Posco and its affiliates. It will also seek to support logistics partners to build smart and eco-friendly infrastructure, the steelmaker said.

Posco said the launch of the new logistics unit is to eliminate redundancy and waste as currently diverse transportation contracts at home and abroad are scattered among various departments and affiliates.

The new corporation plans to increase efficiency by integrating logistics services and to grow into a logistics platform based on artificial intelligence and robot technology, according to the steelmaker.

As to some industry concerns that the establishment of the new logistics unit will invade the shipping and transportation business areas, Posco said it has “no plans to enter” the shipping industry or transportation industry. 

By Shin Ji-hye (shinjh@heraldcorp.com)