Lee Min-hyung joined The Korea Times in 2014 and has worked as a journalist mainly in Korea’s finance, tech and automotive industry. He specializes in content creation, breaking news and in-depth analysis currently on transportation and mobility. You can reach him via mhlee@koreatimes.co.kr.
Kumho Petrochemical to build optimal business portfolio for 2025
Kumho Petrochemical's rubber plant in the southeastern city of Ulsan / Courtesy of Kumho Petrochemical
By Lee Min-hyung
Kumho Petrochemical Group will focus on establishing an optimal business portfolio as part of its 2025 management priority to brace for the lingering market uncertainty, the company said Wednesday.
To this end, the firm is placing a strategic focus on conducting in-depth industry analysis to anticipate potential demand in the future and build a stable and profitable business portfolio.
Kumho Petrochemical, the key affiliate of the group, is particularly raising the profile of its technological prowess for the production of a high-performance synthetic rubber product, Solution Styrene Butadiene Rubber (SSBR), in response to its growing demand in an era of electric vehicles (EVs), it said.
SSBR is best known for its ability to overcome inherent trade-offs among durability, wear resistance and fuel efficiency in existing tire technologies. As the global auto industry shifts to EVs, demand is rising for tires that can endure the increasing weight of batteries and frequent sudden acceleration and deceleration.
The trend will help not just industry players, but even consumers to understand the importance of SSBR. Kumho Petrochemical said it aims to lead the market with its specialized SSBR technology tailored for EV tires.
The firm’s carbon nanotubes (CNTs) are also emerging as key materials for secondary battery production. CNTs are now gaining prominence as conductive additives for cathodes and anodes in batteries with the rise of the market for secondary batteries. As the transition to EVs accelerates, Kumho Petrochemical is closely monitoring global policy changes and industrial trends so it can strategically expand its CNT production capacity and technological advancements.
The group is also diversifying its portfolio into eco-friendly products and leisure opportunities.
Kumho Mitsui Chemicals completed a 200,000-ton expansion of its methylene diphenyl diisocyanate (MDI) production capacity last year. The chemical material is used as a polyurethane raw material.
As competition increases among global MDI producers, the company is strengthening its market position through eco-friendly and sustainable products. To enhance competitiveness, Kumho Mitsui Chemicals is actively developing low-carbon MDI and obtaining various environmental certifications.
Kumho Resort is exploring opportunities to enhance customer experiences in line with evolving travel trends. The firm’s golf business division, which operates Asiana Country Club, is seeking to win eco-friendly golf course certification by engaging in diverse landscaping projects.
“Kumho Petrochemical Group remains committed to seizing new opportunities by proactively adapting to industry trends and diversifying its business portfolio, ensuring continued growth amid a rapidly changing market landscape,” an official from the company said.