SEOUL, March 12 (Yonhap) — POSCO Chairman Choi Jeong-woo won a second term to lead the South Korean steel giant for another three years, POSCO said Friday.

The decision at the company’s annual shareholders meeting came as POSCO has been pushing to boost production capacity of key components for electric vehicle batteries as part of a diversification strategy.

Earlier this week, POSCO International Corp. said its steel processing unit, POSCO SPS, will produce 10,000 tons a year of fuel-cell bipolar plates by 2027, which is enough to manufacture about 245,000 hydrogen fuel-cell electric vehicles.

Currently, POSCO SPS produces 1,400 tons of fuel-cell bipolar plates per year at its plants in Cheonan, about 90 kilometers south of Seoul.

Last month, POSCO Chemical Co., an affiliate of POSCO, announced its plan to invest 275.8 billion won (US$248 million) to expand its production capacity of cathodes, a key component for EV batteries.

POSCO Chemical said the plant in the southern city of Gwangyang will boost its annual production capacity of cathodes to 100,000 tons by 2023, which is enough to manufacture about 1.1 million electric vehicles equipped with 60 kWh battery packs.

 POSCO Chemical also said it plans to set up plants in China and Europe to timely supply cathodes to EV battery makers.

 The EV battery market has been on a roll as automakers around the world race to go electric and eco-friendly due to tightened regulations on greenhouse gas emissions, which scientists say are to blame for global warming.