Kumho Mitsui Chemicals Decides to Expand MDI Production Capacity by 200,000 Tons

Increase MDI Production Capacity by 1.5 Times with 400 Billion Investment

[Asia Economy Reporter Hwang Yoon-joo] Kumho Mitsui Chemicals, a subsidiary of Kumho Petrochemical Group, announced on the 21st that it is planning a 200,000-ton expansion of its MDI (Methylene Diphenyl Diisocyanate) plant in Yeosu.

On April 1st, Kumho Mitsui Chemicals held an extraordinary general meeting of shareholders and gave final approval for the 200,000-ton expansion investment, valued at approximately 400 billion KRW. Upon completion of the expansion in 2024, Kumho Mitsui Chemicals' annual MDI production capacity will increase to 610,000 tons, about 1.5 times the current 410,000 tons, with sales expected to exceed 1.5 trillion KRW.

This expansion includes recycling facilities that reduce certain chemicals generated during the MDI production process with chlorine and other substances to be reinjected as raw materials. Kumho Mitsui Chemicals plans to reduce environmental pollution risks from product manufacturing while improving the self-sufficiency rate of key raw materials.

On Yong-hyun, President of Kumho Mitsui Chemicals, stated, "With the conviction to become a pioneer in the polyurethane industry, we have continuously expanded production capacity and developed the latest processes and products. Through this expansion, we will leap forward as a global leading MDI maker."

Meanwhile, Kumho Mitsui Chemicals has steadily increased its MDI production capacity in line with the continuous growth of the MDI market, from 200,000 tons in 2012 to 350,000 tons in 2018, and 410,000 tons in 2019.