POSCO International CEO Joo Si-bo, center, poses with Hardt Hyperloop co-founder Tim Houter, left, and CEO Bertrand Van Ee in Songdo, Incheon, Tuesday, after signing a letter of intent for the two companies' cooperation on a next-generation high-speed transportation project. Courtesy of POSCO International

By Park Jae-hyuk

POSCO International CEO Joo Si-bo and Hardt Hyperloop CEO Bertrand Van Ee signed a letter of intent in Incheon, Tuesday, to seek collaboration in a next-generation high-speed transportation system project.

Founded in the Netherlands in 2016, Hardt was recognized for winning a hyperloop contest hosted in 2017 by SpaceX. It is also regarded as a company that leads the standardization of relevant technologies.

The Korean firm vowed to supply POSCO's steel to the European Hyperloop Center (EHC) which is under construction in the Netherlands. Both companies also agreed to marketing cooperation in their hyperloop business and the Korean firm's investments in the Dutch company.

"Trading companies were able to survive in the past by discovering business opportunities in the framework of conventional industries, but from now on, they cannot be sustainable, unless they create a new paradigm," the POSCO International CEO said. "As an investment company, we will think outside of the box and enhance our corporate value by discovering creative and futuristic eco-friendly businesses and making aggressive investments."

Hyperloop, a portmanteau of hypersonic and loop, is a proposed high-speed transportation system using a large, sealed and low-pressure tube and a magnetically levitating capsule.

POSCO International has shown interest in hyperloop technology, which the company expects will bring revolutionary changes to transportation systems. It is also expected to help growth in various other sectors, thanks to its eco-friendliness, economic feasibility and safety.

The Korean firm seeks to dominate the hyperloop market through gradual investments in the EU Network project, as well as through its planned supply of steel for the EHC. It also plans to foster the hyperloop ecosystem in collaboration with POSCO Group's other affiliates.