The Largest Single Functional Advanced Material Production Plant in South Korea to Be Established in Jeonnam

Lotte Chemical Sambak LFT Yulchon Plant Groundbreaking Ceremony

The largest single domestic functional advanced materials production plant will be established in Jeonnam.

Jeonnam Province announced on the 30th that the groundbreaking ceremony for Lotte Chemical Sampak LFT Co., Ltd.'s Yulchon factory was held at Yulchon 1 Industrial Complex.

About 150 people attended the groundbreaking ceremony, including Kim Young-rok, Governor of Jeonnam Province, Lee Hoon-ki, CEO of Lotte Chemical, Lee Young-jun, CEO of Lotte Chemical Advanced Materials, Han Myung-jin, CEO of Sampak LFT, and Seo Dong-wook, Chairman of the Jeonnam Provincial Council.

Sampak LFT Co., Ltd. is a subsidiary of Lotte Chemical that produces functional advanced materials. In December 2021, an investment agreement was signed with Jeonnam Province, Suncheon City, Gwangyang City, and Gwangyang Economic Zone Authority to carry out the first phase of the functional advanced materials production project (KRW 250 billion) and the second phase of the secondary battery separator and hydrogen tank production project (KRW 200 billion) on 246,871㎡ (74,678 pyeong) of Yulchon 1 Industrial Complex, and full-scale investment has begun.

The functional advanced materials produced at the compound factory, whose construction started on this day, are products that mix two or more chemical materials to enhance their inherent functions. Once completed, it will have an annual production capacity of 500,000 tons, the largest single scale in the country.

Functional advanced materials are lighter than metal materials and less affected by external shocks, and demand is increasing in various domestic and international fields from everyday consumer goods to cutting-edge new materials, so continuous growth is expected.

Governor Kim Young-rok said, “Despite the difficult economic situation of high oil prices and high exchange rates, I deeply appreciate the bold investment in Jeonnam with a view to the future,” and added, “Jeonnam Province will strongly support Lotte Chemical Sampak LFT to leap forward as a global advanced materials company by establishing corporate support infrastructure such as carbon capture and utilization/storage and simulation-based process improvement in response to changes in the industrial environment.”