Lotte Chem fortifies green biz cooperation with US state of Louisiana
From left, Lotte Chemical basic material business president Hwang Jin-koo, Louisiana Governor John Bel Edwards, Lotte Chemical Vice Chairman Kim Kyo-hyun and Secretary of Louisiana Economic Development Don Pierson pose for a photo at a meeting to discuss joint partnership at Lotte World Tower in Seoul, Thursday. Yonhap
By Lee Kyung-min
The top executives of Lotte Chemical met Louisiana Governor John Bel Edwards, Thursday, to fortify cooperation in the green energy business, according to market watchers, Friday.
The U.S. state of Louisiana is where the chemical affiliate of Lotte Group built a manufacturing complex. It was the first time that a local chemical firm established a production facility in the U.S.
The Lotte affiliate has an ethane cracking center (ECC) and ethylene glycol plant in Lake Charles, Louisiana, with a capacity of producing 1 million tons of ethylene and 700,000 tons of mono-ethylene glycol.
Ethylene is widely used in the chemical industry. Much of it goes toward polyethylene, the most commonly produced plastic. It is a polymer, primarily used for packaging, including plastic bags, plastic film, geomembranes and containers including bottles.
Mono-ethylene glycol is a vital ingredient for the production of polyester fibers and film, polyethylene terephthalate resins and engine coolants. End uses for the ingredient range from clothing and other textiles, packaging and kitchenware, engine coolants and antifreeze.
Lotte Chemical Vice Chairman Kim Kyo-hyun and the firm's basic material business President Hwang Jin-koo met with the governor for discussions on the firm's commitment to carbon neutrality spanning the sectors of hydrogen-ammonia and battery materials.
“Louisiana has enjoyed a long and beneficial trade relationship with Korea and we are happy to strengthen our economic development ties here with companies such as Lotte Chemical,” Edwards said, according to his office.
“Louisiana exported $4.9 billion (6.4 trillion won) worth of goods to Korea in 2022, and our total imports were valued at $1.35 billion. Opportunities abound for continued economic activity between our two countries and we are working actively with Korean companies to launch or expand their operations in our state.”
Kim said the successful operation of the facilities in Louisiana since 2019 is attributable to the support of the governor.
“Thanks to the support of the Louisiana government, Lotte Chemical successfully completed our large investment in Lake Charles,” Kim said.
“Future investment opportunities of our firm in the U.S. will expand to include clean energy. We look forward to Louisiana's continued support for our investments for sustainable growth for both,” he added.