Kumho Petrochemical accelerates shift to high-value business with synthetic rubber capacity expansion

Kumho Petrochemical said Tuesday it is accelerating a shift toward a high-value-added business structure to navigate growing domestic and external uncertainties.

The company is focusing on strengthening its competitiveness in solution styrene-butadiene rubber, or SSBR, a high-performance synthetic rubber drawing attention as a key material for the electric vehicle era. SSBR can simultaneously improve the conflicting properties of tire wear resistance, fuel efficiency and durability, and also offers advantages in energy efficiency and carbon emission reduction. It is considered particularly well-suited for electric vehicles, which are characterized by added battery weight and frequent acceleration and braking. Kumho Petrochemical completed a 35,000-ton annual SSBR capacity expansion last year and brought the new facilities into full operation in the first quarter of this year.

Kumho Mitsui Chemicals decided last year to increase its methylene diphenyl diisocyanate (MDI) production capacity by 100,000 tons, bringing its total capacity additions over the past two years to 300,000 tons. The investment was designed to maximize capital efficiency and cost competitiveness by making effective use of existing facilities, drawing on Kumho Mitsui Chemicals' proprietary process technology.

Kumho Polychem completed a 70,000-ton EPDM capacity expansion last year, establishing an annual production capacity of 310,000 tons. EPDM is a high-performance specialty synthetic rubber capable of withstanding extreme conditions beyond the reach of general-purpose synthetic rubber. It is widely used across the automotive, marine and industrial sectors for its superior heat resistance, weather resistance and chemical resistance. Kumho Polychem plans to expand its specialty product lineup with EPDM at the forefront.

Kumho P&B Chemicals is also pushing into new markets in the Middle East and Europe, pursuing the development and commercialization of water-based eco-friendly epoxy products as part of that effort. D&K Chemtech, a joint venture with Dongsung Chemical, distributes PF board — a functional semi-noncombustible insulation material — through Kumho Petrochemical's premium window brand Huggreen.

Kumho Resort is focusing on expanding customer experiences in line with shifting travel and leisure trends. The golf division, which operates Asiana Country Club, is raising customer satisfaction through ongoing facility investment, including landscaping improvements, turf management, lake water quality control and drainage system upgrades. The resort division is strengthening experiential content centered on distinctive amenities, including a park golf course at Seorak and a state-of-the-art yacht facility in Tongyeong.

"Even in a business environment where uncertainty has become the norm, we are maintaining a steady response grounded in the competitiveness we have built across each business area," a Kumho Petrochemical Group official said. "Rather than focusing on short-term earnings, we are concentrating on the fundamentals — technology, quality and customer trust — as we pursue a path of sustainable growth."