Kumho Petrochemical Takes on Uncertainty Head-On with Specialty Products, Accelerates Portfolio Advancement

Commercial Production of Core EV Material 'SSBR' Begins

Establishment of Large-Scale Production Systems for MDI and EPDM

"Seeking Directions for Sustainable Growth"

Amid prolonged difficulties in the petrochemical industry due to heightened domestic and global uncertainties stemming from the Middle East crisis, Kumho Petrochemical is working to overcome the crisis by focusing on upgrading its portfolio with a specialty product-centric strategy.

A researcher at Kumho Petrochemical Central Research Institute is conducting research. Kumho Petrochemical

On April 3, Kumho Petrochemical announced, "We aim to turn this period of uncertainty into an opportunity through proactive research and development (R&D) investment and customer-tailored market responses."

Starting in the first quarter of this year, Kumho Petrochemical began the commercial operation of solution-styrene butadiene rubber (SSBR), a core material for electric vehicles, while also strengthening its competitiveness. SSBR is a high-performance synthetic rubber that can simultaneously improve the conflicting properties of tire wear, fuel efficiency, and durability. It also excels in energy efficiency and carbon emissions reduction. The material is particularly well suited for the electric vehicle environment, which is characterized by increased battery weight and frequent acceleration and braking.

Kumho Mitsui Chemicals decided last year to invest in production process optimization to boost its methylene diphenyl diisocyanate (MDI) production capacity by 100,000 tons. This follows a 200,000-ton capacity expansion in 2024 and brings the total increase over two years to 300,000 tons.

Kumho Polychem also built an annual production system of 310,000 tons last year by expanding its ethylene propylene diene monomer (EPDM) capacity by 70,000 tons. EPDM is a high-performance specialty synthetic rubber that can withstand extreme environments better than general-purpose synthetic rubber. Its excellent heat resistance, weather resistance, and chemical resistance make it widely used across automotive, shipbuilding, and various industrial sectors.

Kumho P&B Chemicals is working to secure sales stability through supply contracts with major clients, while also accelerating entry into new markets such as the Middle East and Europe. Despite volatility in the global trade environment, including tariffs and anti-dumping measures, the company is focusing on strengthening the competitiveness of its product portfolio and maintaining stable business operations. Notably, it is expanding its presence in high value-added areas through the development and commercialization of water-based eco-friendly epoxy products. D&K Chemtech, a joint venture with Dongsung Chemical, supplies phenolic foam (PF) boards—a functional flame-retardant and core flame-retardant insulation material—through Kumho Petrochemical’s premium window brand, Hugreen.

Kumho Petrochemical continues to expand its differentiated product lineup to proactively respond to rapidly changing customer needs. A Kumho Petrochemical official stated, "In a business environment where uncertainty has become the norm, the Kumho Petrochemical Group is maintaining a steady response based on the accumulated competitiveness of each business sector," adding, "Rather than focusing on short-term results, we are pursuing sustainable growth by concentrating on the fundamentals of technology, quality, and customer trust."

This content was produced with the assistance of AI translation services.