Kumho Petrochemical focuses on fostering growth potential this year

Kumho Petrochemical's rubber plant in Ulsan / Courtesy of Kumho Petrochemical

Amid a major transition in the global petrochemical industry, Kumho Petrochemical Group is focusing this year on exploring new opportunities and strengthening its growth potential to better position itself for the future.

According to the group, Sunday, it is now focusing on analyzing fast-evolving industry trends and building an optimal portfolio to turn future demand into profit.

As part of this effort, the company said it is redesigning its core businesses to meet and reflect future demands.

Kumho Petrochemical is working to expand customer engagement for its high-performance synthetic rubber product, solution styrene-butadiene rubber (S-SBR), in response to the rapid growth of the electric vehicle (EV) tire market.

The growing weight of EV batteries and the unique driving characteristics of electric vehicles — such as rapid acceleration and deceleration — raise concerns about tire durability and wear. S-BBR is viewed as a solution to address those concerns with its unique physical properties, which help overcome the trade-offs traditionally seen in tire technology between durability, wear resistance and fuel efficiency.

Kumho Petrochemical’s carbon nanotube business is also drawing attention as a next-generation material for EV batteries. Carbon nanotubes were initially used as composite materials to enhance the strength of synthetic rubber and resins, but they are gaining attention as conductive agents used in battery cathodes and anodes.

In addition to business realignment, the group’s affiliates are also working to diversify their portfolios.

Kumho Mitsui Chemicals completed a 200,000-ton capacity expansion for methylene diphenyl diisocyanate (MDI) last year to reach a total annual production capacity of 610,000 tons. To strengthen its market leadership, the company is developing low-carbon and environmentally friendly MDI products, as well as acquiring various environmental certifications to enhance its competitiveness.

Kumho Polychem is also developing sustainable products by incorporating recycled materials that meet international standards and using bio-based components in its synthetic rubber products. In response to the growing eco-friendly mobility sector, the company plans to introduce new thermoplastic elastomer components designed for EVs.

Kumho Resort is exploring ways to enhance the customer experience by aligning with the latest travel trends. Its golf division is revamping the Asiana Country Club in Yongin, Gyeonggi Province, with the goal of earning eco-friendly certification. The resort division also plans to offer a wider range of experiences through unique attractions, including a state-of-the-art yacht and a new golf course at its resorts in South Gyeongsang and Gangwon Provinces.