S Korea’s Samsung, SK unveil $2.3 trillion chip plans

Spanish Market: Battery materials, Metals
29/06/26

South Korean chipmakers Samsung Electronics and SK Hynix will invest 2,655 trillion Korean won ($1.62 trillion) and W1,100 trillion, respectively, in a massive chipmaking expansion push to meet artificial intelligence (AI) demand, the firms said today.

Samsung will allocate W2,030 trillion of investment for semiconductor clusters, including at its Pyeongtaek city campus as well as the Yongin national industrial complex, which sits just south of Seoul.

The other W625 trillion will focus on areas such as AI semiconductors, robots and batteries, with W425 trillion going to the Honam region that is located in the southwest of the country. Samsung plans to allocate W60 trillion into integrating AI transformation and robot transformation for its manufacturing business that spans from smartphones to solid-state battery and energy storage systems (ESS), the latter of which is located in the Ulsan region.

SK Hynix expects to channel its investments into multiple sites. W600 trillion will go to the Yongin semiconductor cluster where it will complete a fourth fab by 2033, 12 years ahead of schedule. Around W100 trillion will go into a Cheongju production base that includes building new fabs. The other W400 trillion will go towards a cluster in the country's southwest region, where it will be used to secure and build new production base, according to SK.

SK Hynix will also invest W1,000 trillion to build an AI data centre with a total capacity of 15GW, starting with 5GW in phase 1 before adding another 10GW by 2035, it said.

By Joseph Ho

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26/06/26

Mexico central bank holds rates at 4-year low

Mexico City, 26 June (Argus) — Mexico's central bank (Banxico) on Thursday held its target interest rate at 6.5pc, its lowest level in more than four years, and signaled support for keeping rates unchanged through its outlook horizon as inflation slows. The unanimous decision to hold rates unchanged was the first since Banxico cut rates to 6.5pc on 7 May. The bank reduced the benchmark rate 450 basis points over 18 half- and quarter- point rate cuts made from a cyclical high of 11.25pc in March 2024. "The document confirmed the neutral stance by the central bank," said Mexican bank Banorte, as such, the bank affirmed its "call that the reference rate will remain unchanged at 6.50pc in the remainder of 2026 and throughout 2027." T he central bank made minimal changes to its statement, retaining forward guidance that underscores a neutral policy stance. "Looking ahead, the governing board believes it will be appropriate to maintain the reference rate at its current level," bank governors said. Banxico noted that headline inflation slowed to 3.55pc in mid-June from 4.45pc in April, with both core and non-core inflation easing. Banxico kept its forecast for both headline and core inflation to converge to its 3pc target in the second quarter of 2027. Banxico also toned down its discussion of risks from the US-Iran conflict, saying "recent negotiations suggest a solution is underway." The bank made only minor revisions to its inflation forecasts, lifting its headline estimate for the current quarter to 4.1pc from 4pc and making small upward adjustments to core inflation forecasts for the final three quarters of 2026. The board said inflation risks remain skewed to the upside. Mexican bank Banorte noted "a slight rearrangement" of those risks, highlighting the greater weight given to climate-related impacts, consistent with the formation of El Nino. By James Young Send comments and request more information at feedback@argusmedia.com Copyright © 2026. Argus Media group . All rights reserved.

India starts AD probe into hot-rolled steel imports

26/06/26

India starts AD probe into hot-rolled steel imports

Mumbai, 26 June (Argus) — India has opened an anti-dumping (AD) investigation into hot-rolled flat steel products originating in or exported from China, Japan and Russia. The investigation was launched following an application by domestic producers JSW Steel, JSW Vijayanagar Metallics and Jindal Steel Odisha, a notification from the Directorate General of Trade Remedies (DGTR) dated 25 June said. The producers claimed that import volumes from the three origins had increased sharply and were undercutting domestic prices. The producers submitted prima facie evidence of dumping, which the DGTR found satisfactory. The agency will now investigate "the existence, degree, and effect of the dumping," the notice said. Indian finished steel imports increased over 2023 and 2024 because of surplus supply and weak domestic demand in other major steel producing countries, particularly China. But imports fell in 2025 after India imposed safeguard duties on a provisional basis from April, followed by a three-year extension in December. Inflows rebounded in April and May 2026 as a sharp rise in domestic steel prices opened arbitrage opportunities and pipe makers booked overseas material for re-export. China and Japan doubled their exports to India during this period. The products under the current AD investigation fall under the HS codes 7208, 7211, 7225 and 7226, the DGTR notification said. The products are alloy or non-alloy steel of thickness up to 25mm and width up to 2100mm. Steel imports under these HS codes stood at 4.7mn t, down 23pc on year, in 2025, with South Korea, China, Japan and Russia accounting for 89pc of the volumes, data from global trade tracker (GTT) show. But in January-April 2026, inflows rose 4pc on year to 1.5mn t, according to GTT data. The domestic producers who filed the application have proposed January-December 2025 as the investigation period, the DGTR said. The agency also plans to investigate injury to the domestic industry over the financial years ended March 2023, 2024 and 2025 as well as the investigation period. India has strengthened trade barriers to limit inflows of cheaper seaborne steel and shield the domestic industry over the last year. Alongside safeguard measures, India also imposed AD duties on Vietnamese hot-rolled flat steel and on Chinese cold-rolled non-oriented steel imports. Earlier this week, India started an investigation into imports of cold-rolled grain-oriented electrical steel from multiple-countries. The impact of the latest AD investigation on Indian coil prices is expected to be limited, though it could stoke some restocking interest. While imports will be increasingly unviable, seasonally weak demand during the monsoons coupled with rising local availability could keep hot-rolled coil (HRC) prices under pressure, market participants said. The Argus weekly Indian domestic HRC assessment for 2.5-4.0mm material stood at 57,600 rupees/t ($610/t) ex-Mumbai, excluding goods and services tax on 19 June. Prices have retreated from a recent peak of Rs59,000/t reached at the start of April because of sluggish demand, though tighter supply owing to mill maintenance activity prevented a steeper decline. But now most mills have finished maintenance work and JSW Steel has restarted its blast furnace in June after a prolonged shutdown for capacity upgradation, raising supply of HRC in the domestic market. Some Indian steel consumers may continue importing under the advance authorization scheme which allows imports without duties or Bureau of Indian Standard (BIS) certifications if the goods are re-exported, a trader said. Chinese HRC was entering India primarily under the re-export policy, because of the absence of BIS certifications required for customs clearance. But a major domestic steel mill, which regularly buys coils from Japan, could be impacted, industry participants said. By Amruta Khandekar Send comments and request more information at feedback@argusmedia.com Copyright © 2026. Argus Media group . All rights reserved.

UK raises HRC quota, EU-to-UK HDG quota cut

25/06/26

UK raises HRC quota, EU-to-UK HDG quota cut

London, 25 June (Argus) — The UK government on Thursday published the long-awaited update to its steel safeguard quotas, setting the overall quota volume at 3.218mn t — 21pc higher than provisional volumes published in March. The cut compared with the previous safeguard regime has been softened to 51pc, from 60pc in an earlier proposal. The biggest changes are to flat products, while some quotas, such as for rebar, are unchanged from their provisional volumes. The overall quota for hot-rolled coil (HRC) has been lifted sharply, while the quota for importing hot-dipped galvanised (HDG) from the EU has been reduced significantly. In contrast, quotas for South Korean and Vietnamese HDG are unchanged. "We recognise that this will create changes to trade flows including with some of our closest trading partners... Where quotas are filled, imports above these levels will face a 50pc tariff. The measure will apply only to products that can be made in the UK," trade minister Chris Bryant said. The EU HRC quota (category 1) has been revised up to 375,000 t/yr from the provisional 68,226 t/yr for the quota year beginning on 1 July. The Indian quota has been raised to 33,456 t/yr from 12,405 t/yr, while the South Korean quota has increased to 8,785 t/yr from 3,258 t/yr. The UK government has worked closely with the EU to reflect the two sides' integrated supply chains, Bryant said. "We have... agreed an approach that reflects the UK and EU's highly interconnected supply chains. This will provide stability for UK-EU steel trade from 1 July, while we continue to work together to strengthen UK-EU steel trade longer term," he said. Market participants questioned whether the South Korean HRC allocation would be commercially viable, given it allows shipments of only around 2,196 t/quarter. Compared with the expiring safeguard year, a key change on HRC is that Turkey and Taiwan have lost their country-specific quotas, with those volumes folded into the residual allocation. But the residual HRC quota has been raised sharply to 49,763 t/yr from the provisional 18,452 t/yr. But the overall HRC quota remains much tighter than under the current safeguard year, which market participants expect could support UK HRC prices. Prices for UK HRC were assessed last week at £715/t ddp Midlands. In HDG (category 4), the EU quota was reduced from the provisional 634,773 t/yr to 510,273 t/yr. But annual quotas for India, South Korea and Vietnam were left unchanged at 125,796t, 100,753t and 174,367t, respectively. Some market participants said the scale of Vietnamese HDG volumes allowed into the UK could weigh on prices. Indian-owned Tata Steel UK said the final quota levels do not reflect UK market conditions and still leave key segments — including metallic coated steel, packaging steel and hollow sections — exposed to import pressure. The company warned that this could undermine the competitiveness, sustainability, growth and investment outlook of the UK steel sector, and called on the government to revisit the framework while continuing to work with domestic producers. The government has also removed some product codes "where new information confirmed there was no UK production" and added others "where there is evidence of production", Bryant said. In category 12A (alloy merchant bars and light sections), code 72283070 has been added. In category 12B (non-alloy merchant bars and light sections), code 72149950 has been added. In category 14 (stainless bars and light sections), codes 72221910 and 72221990 have been removed. In category 26 (other welded tubes), codes 73061100 and 73062100 have been removed. In category 28 (non-alloy wire), codes 72173049 and 72173090 have been added, while codes 72172010, 72172030, 72172050, 72172090, 72179020, 72179050 and 72179090 have been removed. Beyond HRC and HDG, the biggest revisions to the UK's provisional annual quotas are as follows: category 6 (tin mill products): +58,000t to 69,795t (+491.7pc) category 12B (non-alloy merchant bars and light sections): +64,102t to 70,812t (+955.3pc) category 17 (angles, shapes and sections of iron or non-alloy steel): +147,572t to 270,762t (+119.8pc) category 28 (non-alloy wire): -20,491t to 59,734t (-25.5pc) By Andrey Telegin Send comments and request more information at feedback@argusmedia.com Copyright © 2026. Argus Media group . All rights reserved.

Wogen, Australia's IG6 ink graphite offtake deal

25/06/26

Wogen, Australia's IG6 ink graphite offtake deal

Sydney, 25 June (Argus) — Australian graphite developer and refiner International Graphite (IG6) has signed a non-binding supply and offtake agreement with UK trading firm Wogen, the company said today. Under the agreement, Wogen will supply IG6's Collie micronised graphite plant in Western Australia (WA) state with up to 10,000 t/yr of graphite flake concentrate. Meanwhile, IG6 will supply Wogen's Hong Kong-based Pacific arm with at least 3,000 t/yr of micronised spherical graphite for exclusive sale to Asia-Pacific customers, primarily in Japan and South Korea. The product would need additional processing to be used in battery anodes, the company told Argus today. Terms of sales will be agreed on a spot basis. Wogen may extend lines of credit to facilitate the sales, the company said. The company expects the terms will be converted into a binding agreement before the 4,000 t/yr Collie facility begins commercial production in mid-2027, pushed back from its original commissioning target of January 2027. The mine will ramp up over the following 18 months starting from the commissioning in mid-2027. IG6 may eventually supply Collie with flake graphite from its planned Springdale mine in WA, but has paused exploration and drilling at the site while it focuses on commissioning Collie and its mid-stream joint-venture with Alkeemia in Italy. The company received A$4.7mn ($3.24mn) grant from the Australian federal government in 2023 to develop the mine . By Daniel Gage-Brown Send comments and request more information at feedback@argusmedia.com Copyright © 2026. Argus Media group . All rights reserved.

Early gas turbine bet key to Chevron-Microsoft deal

24/06/26

Early gas turbine bet key to Chevron-Microsoft deal

Houston, 24 June (Argus) — A developer behind a massive west Texas data center power project locked up scarce turbine supply years before signing customers, giving it a head start that helped secure a deal with Chevron and Microsoft. "Having the supply chain secured allowed us to meet an aggressive timetable," Brian Boland, chief financial officer at Joulent, the power development arm of energy investment firm Engine No. 1, said in an interview with Argus Wednesday. Early procurement of gas turbines and the high-voltage equipment needed to power a project that will begin operations without a connection to the local grid was "critical" to landing the deal, he said. The Kilby project is a planned 2.67GW gas-fired facility in west Texas that will be located next to a Microsoft data center. Joulent is developing the power-generation plant in a partnership with Chevron, which will supply electricity directly to the data center through a subsidiary under a 20-year power purchase agreement. More data-center developers are seeking to build their own generation and operate independent of the grid, or "behind-the-meter," because of extended wait times to get connected through the traditional interconnection process. The rush to build gas-fired plants to meet the expected surge in data center-driven power demand growth has squeezed gas turbine supply globally, with major turbine manufacturers reporting substantial production backlogs and lead times stretching up to 7-8 years. Anticipating such a backlog, Engine No.1 locked in roughly 4GW of gas turbines as well as high-voltage equipment like transformers and breakers in the past three years, before even partnering with Chevron to develop a power generation plant. This early procurement was "critical" to being able to meet Microsoft's 2028 time frame, said Boland. Protecting ratepayers While the project will begin operations fully behind the meter, Boland said it is designed to eventually connect to the grid, with the equipment required to do so already secured. Until then, the facility will rely on a combination of gas turbines, battery storage and multiple generation units to maintain reliability. The battery system will serve as a "synthetic reserve" to absorb fluctuations in data center demand and stabilize the system during sudden load changes or unit trips. Under this arrangement, regular ratepayers are shielded from costs associated with Microsoft's power needs, said Boland, and eventually the project will be able to provide excess power to the grid. Rising power prices have become a flashpoint around the US as some markets with heavy concentrations of data centers have seen household electricity bills rise by double digits. "We do not want to drive up costs on ratepayers," he said. "We're very focused on insulating customers from price increases because of the incremental demand." Chevron will build out the gas infrastructure needed to supply the plant, including a roughly 20-mile lateral connection to the Waha Hub, a key pricing point for Permian Basin gas supplies. The site's proximity to the hub allows the project to tap into the region's large volumes of associated gas, which Boland said provides a cost advantage and reduces concerns about fuel availability. Waha gas prices typically trade at a deep discount because of a long-standing shortage of pipeline capacity to take product out of the region. With Permian gas production totaling roughly just over 25 Bcf/d, it is unlikely that even surging demand from data centers and other large industrial users would meaningfully shift pricing dynamics, Boland said, adding sustained oil production is expected to keep associated gas volumes high and excess supply persistent. Joulent is looking to replicate the model beyond the Kilby project. The company has about 25GW of projects in its development pipeline and is in discussions with additional customers. The firm is pursuing sites in the Permian as well as other regions, aiming to build out a series of multi-gigawatt facilities across multiple markets. By Jasmina Kelemen Send comments and request more information at feedback@argusmedia.com Copyright © 2026. Argus Media group . All rights reserved.

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S Korea’s Samsung, SK unveil $2.3 trillion chip plans

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