Overview
- Lotte will separate its Daesan naphtha-cracking operations and fold the new entity into HD Hyundai Chemical, according to regulatory filings.
- The submission is the first corporate plan since the government called in August for sector-wide capacity cuts of up to 25% across Seosan, Ulsan and Yeosu.
- The companies say the combined operation will improve production consistency and operational stability while pivoting toward higher-value and eco-friendly products.
- Industry Minister Kim Jung-kwan urged Yeosu-based firms to file plans quickly and said those missing the end-December deadline will be excluded from government support.
- The ministry said it will soon unveil support measures including tax incentives, R&D assistance and streamlined regulations, while firms in Yeosu and Ulsan have not yet filed detailed proposals.