LG Chem to triple elastomer output by 2018

[THE INVESTOR] LG Chem announced on July 25 that it will build the country’s largest elastomer plant by 2018.

According to the plans, the company will inject 400 billion won (US$351.79 million) into building an elastomer production facility at its plant in Seosan, South Chungcheong Province. The new facility will be capable of producing 200,000 metric tons of elastomers on an annual basis. 

Once the plant is complete, LG Chem’s elastomer production capacity will be pushed up to 290,000 tons. The company’s revenues generated from elastomers is estimated to reach 600 billion won.

If all goes to plan, the company will become one of the world’s three largest elastomer makers.

The global market for elastomers is projected to grow rapidly reaching 3.5 trillion won by 2020 from 2.4 trillion won last eyar.

By Choi He-suk (cheesuk@heraldcorp.com)