[Edaily Reporter Park Sun-Yeop ] LOTTE CHEMICAL CORPORATION and HANWHA SOLUTIONS are both trading higher following news of approval for the restructuring of the Yeosu Petrochemical Industrial Complex.
According to MP Doctor on the 22nd, as of 9:44 a.m. today, LOTTE CHEMICAL CORPORATION(011170)is trading at 59,300 won, up 2,700 won (4.77%) from the previous trading day. At the same time, HANWHA SOLUTIONS(009830)is also trading at 28,150 won, up 1,550 won (5.83%).

The Ministry of Trade, Industry and Energy announced today that it has given final approval to the “Yeosu No. 1” petrochemical business restructuring plan submitted by Yeocheon NCC, LOTTE CHEMICAL CORPORATION, HANWHA SOLUTIONS, and DL Chemical. This marks the second approved petrochemical business restructuring case, following the Daesan No. 1 project last February.
The core of the restructuring plan involves closing Yeocheon NCC’s Plant No. 2—in addition to Plant No. 3, which has already ceased operations—and merging the remaining Plant No. 1 with LOTTE CHEMICAL CORPORATION’s Yeosu plant to establish a consolidated entity. Through this, the companies plan to reduce ethylene production capacity by approximately 1.4 million metric tons per year.
LOTTE CHEMICAL CORPORATION, HANWHA SOLUTIONS, and DL Chemical will each hold one-third of the shares in the merged entity. HANWHA SOLUTIONS and DL Chemical plan to repay Yeocheon NCC’s debt through a capital increase totaling 545 billion won and invest an additional 253.2 billion won in the transition to high-value-added products and infrastructure development.
The government will provide a support package worth over 700 billion won, including new financing for facility integration and the shift to high-value-added products. The merged entity plans to restructure its business to focus on high-value-added products such as medical-grade low-density polyethylene (LDPE) and polyolefin elastomers (POE) for automotive and wire applications.