OCI dismisses concerns over Trump's possible impact on solar power industry
OCI Holdings Chairman Lee Woo-hyun speaks during a press conference at the company headquarters in Seoul, Tuesday. Courtesy of OCI Holdings
The U.S.'s solar power and other renewable energy industries will remain solid, even if former U.S. President Donald Trump is re-elected as the next president in November, the head of OCI Holdings said Tuesday.
Lee Woo-hyun, chairman of the Korean polysilicon maker’s holding firm, told reporters at a press conference that Trump will not carry out policies hostile to voters working in renewable energy industries.
“America’s reliance on green energies will not decline as the number of people working in renewable energy industries is nearly double the number of those working in fossil fuel industries,” he said. “The U.S. also needs massive amounts of electricity for its transition to electric vehicles.”
His remarks were a refutation regarding speculation that the Republican presidential candidate’s election may have negative impacts on OCI’s exports of materials for solar power generation from its Malaysian factory to the U.S. market.
However, Lee remained vigilant over China’s dominance in the global solar power market, despite the Joe Biden administration’s moves to impose heavier tariffs on Chinese products. The chairman promised that his company would strengthen its competitiveness to survive amid the rivalry with Chinese competitors, which supply their products at extremely low prices.
“We had to shut down our factory in Gunsan, North Jeolla Province, after losing in the price war with China between 2013 and 2020, but our ongoing expansion in Malaysia will enable us to vie with Chinese firms in terms of costs,” he said.
The press conference was held to celebrate the first anniversary of the launch of OCI’s holding company structure, but attention was focused more on its plan for the pharmaceutical business, because the company failed earlier this year to merge with Hanmi Pharmaceutical Group, due to a backlash from the latter’s shareholders including the two sons of Hanmi Chairwoman Song Young-sook.
The sons also ousted their mother from the company the same day, as she had sought the merger.
During the press conference, Lee maintained a cautious stance on OCI’s strategies for its pharmaceutical business, although he indicated his company’s intention to look for new opportunities in overseas markets.
“Our company seems to be more conservative now as we have had tough times due to the failed deal,” he said. “We will be better prepared when we pursue another M&A.”
In response to a question about his two uncles holding larger stakes in OCI Holdings than the chairman, Lee dismissed concerns about possible disputes over management rights.