[The Industrial Heart Beats Again] Blue Ocean 'NB Latex', Aggressive Investment to Become Global No.1

K Manufacturing Industry On Site<8> Kumho Petrochemical
Kumho Petrochemical Ulsan Synthetic Rubber Plant... Establishing a Total Production System of 950,000 Tons in 2024
World's Only 'Continuous Polymerization Facility'... Producing Products with High Tensile Strength and Easy Coloring
Raising Internal Safety Management Standards
Advanced Wastewater Treatment Facility Using Waste Heat... Accelerating ESG Management

[Ulsan= Asia Economy Reporter Hwang Yoon-joo] NB latex is considered a representative petrochemical material that has secured a core business position in the petrochemical industry after COVID-19. The annual growth rate, which was 8-10% before COVID-19, more than doubled due to the surge in demand for hygiene products such as quarantine and medical gloves after the pandemic. The NB latex market is dominated by four companies?Kumho Petrochemical (35%), which holds the largest market share, LG Chem, Malaysia's Sintomer, and Taiwan's Nantex?accounting for 80% of total production. In particular, Kumho Petrochemical, which produces high-quality NB latex after COVID-19, is gaining attention.

The Secret to Being Global No. 1: ‘Continuous Polymerization’ Equipment... Advantages of Uniform Quality and Easy Coloring

Kumho Petrochemical Synthetic Rubber Plant in the Ulsan Petrochemical Complex. The 50,000-pyeong scale NB latex facility truly boasted its reputation. As the world's largest single plant, even before arriving at the factory, visitors were overwhelmed by the approximately 40-meter-high capsule-shaped medium-pressure reactor.

The reason Kumho Petrochemical has firmly maintained its world No. 1 position lies in this plant. When fully launching the NB latex business, it introduced the more expensive ‘continuous polymerization’ equipment instead of the existing ‘batch polymerization’ equipment. Kumho Petrochemical is the only company in the world equipped with ‘continuous polymerization’ facilities.

Unlike batch polymerization, which empties the tank and repeats the process after producing NB latex from raw materials, continuous polymerization operates from raw material input to final production in one continuous run. This allows for consistent NB latex quality and easy coloring. Hygiene gloves made from Kumho Petrochemical’s NB latex are famous for having superior tensile strength compared to competitors.

Yoo Won-dae, head of the production technology team at Kumho Petrochemical’s Ulsan Synthetic Rubber Plant, said, "3g of NB latex is used per pair of hygiene gloves, and through technology development, we are reducing the weight to develop thinner and lighter gloves." He added, "We have advantages over competitors in production processes, product quality, and production scale, so overseas well-known latex glove manufacturers prefer our products even if the unit price is somewhat higher."

Kumho Petrochemical is not resting on its laurels and is aggressively investing. Currently, an expansion project with a capacity of 70,000 tons is underway on one side of this plant. When this project is completed in January next year, the annual NB latex production capacity will increase from 640,000 tons to 710,000 tons. Additionally, a recent decision to expand by 240,000 tons has also been made. According to this plan, Kumho Petrochemical will establish a 950,000-ton system in 2024, becoming the unrivaled No. 1.

Practicing ESG Management... Reducing Carbon Emissions by Using Waste Heat

Efforts are also being accelerated for ESG (Environmental, Social, and Governance) management aimed at carbon neutrality. A recent example is Kumho Petrochemical’s installation of advanced wastewater treatment facilities. Since 2015, the company has been using waste heat as an energy source through agreements with nearby companies.

The ‘safety management’ policy has also been recently strengthened. Not only has the company created its own safety accident prevention guidelines within the Ulsan plant, but system managers in the plant have also been assigned mainly from experienced personnel to ensure immediate response in case of emergencies.

Gwak Tae-young, manager of the production technology team at Kumho Petrochemical, said, "Following the first quarter, the second quarter of this year is also expected to achieve the highest performance since the company’s founding," adding, "In line with the ESG management policy, we are paying attention to safety and environmental aspects on-site as well as financial value."