Suncheon City Signs 450 Billion KRW Investment Agreement with Lotte Chemical... Creating Over 500 Jobs

Driving Regional Economic Revitalization with 250 Billion KRW First Phase and 200 Billion KRW Second Phase Investments

[Suncheon=Asia Economy Honam Reporting Headquarters Reporter Lee Hyung-kwon] Suncheon City, Jeollanam-do (Mayor Heo Seok) announced on the 6th that it has signed a large-scale investment agreement with Lotte Chemical Corporation involving an investment amount of 450 billion KRW and the creation of about 500 jobs.

At the signing ceremony held at the Jeonnam Provincial Office, Lotte Chemical CEO Lee Young-jun, Sampak LFT CEO Yoon Sung-taek, Suncheon Mayor Heo Seok, Jeonnam Governor Kim Young-rok, Gwangyang Deputy Mayor Kim Kyung-ho, and Song Sang-rak, head of the Gwangyang Bay Area Free Economic Zone Authority, attended. They agreed to promote the expansion of advanced materials processing and hydrogen industry-related investments within the Yulchon 1 Industrial Complex.

This investment, totaling 450 billion KRW and creating 500 jobs, will proceed in phases. The first phase involves 250 billion KRW, through Lotte Chemical’s subsidiary Sampak LFT, relocating the advanced materials process from the existing Lotte Chemical Yeosu plant to expand compounding businesses such as ABS, PC, and PP manufacturing. The second phase, worth 200 billion KRW, will focus on the hydrogen industry, including hydrogen tanks and secondary battery separator manufacturing.

Lotte Chemical Corporation started as Honam Petrochemical during the national project to develop the Yeosu Petrochemical Complex, operating downstream facilities such as HDPE, PP, and MEG.

Since its establishment in 1976, through over 40 years of continuous challenge and innovation, it has grown into a global chemical company operating large-scale production facilities stably at key locations worldwide including Korea, Malaysia, the United States, and Uzbekistan. It is actively entering overseas markets and new businesses to realize its vision as a ‘Global Top 7 Integrated Chemical Company.’

Lotte Chemical aims to achieve carbon-neutral growth by 2030 and reach net-zero carbon emissions by 2050.

The petrochemical sector accounts for 9.5% of South Korea’s greenhouse gas emissions.

Lotte Chemical’s efforts as a global chemical company to adapt to the worldwide transition to a green era are remarkable.

Suncheon City is promoting carbon neutrality through fostering itself as Korea’s ecological capital and garden city, and is preparing to host the 2023 Suncheon Bay International Garden Expo.

Lotte Chemical’s large-scale investment and eco-friendly management strategy are expected to play a significant role in revitalizing the local economy and creating a green ecosystem.

Lee Young-jun, CEO of Lotte Chemical Corporation, said, “We thank the related organizations for providing a good site,” adding, “Through this investment, we will take a step forward as a global chemical company laying the foundation for regional development and, ultimately, national progress.”

Suncheon Mayor Heo Seok expressed gratitude to all involved, including Lotte Chemical, Jeonnam Province, and the Gwangyang Economic Authority, for their efforts in attracting this investment. He stated, “This large-scale investment will be a major turning point for Suncheon’s development, and we will continue to develop the city into a business-friendly environment.”