LG Chem Halts PBAT Production Plans Amid Profitability Concerns

On February 18, industry insiders reported that LG Chem has suspended operations at its PBAT plant in Daejeon and begun reallocating staff. Initially, the company had intended to transition from trial production last year to full-scale production this year. However, due to profitability concerns, it has opted to indefinitely postpone these plans.

A representative from LG Chem stated, “While the mass production of PBAT has been delayed, we have not ceased related business activities.” They added that this decision is part of their efforts to respond to market changes and enhance the efficiency of their product portfolio.

The move reflects the company's strategic recalibration in response to shifting market dynamics, signaling a cautious approach as they aim to optimize resources and maintain competitiveness in the evolving chemical landscape.