| LG Chem's naphtha cracking center that produces petrochemical products in Yeosu, South Jeolla Province. / Courtesy of LG Chem |
LG Chem is aiming to become one of the world's top five chemical company by 2024 by doubling its sales and achieving double-digit operation profit growth, the chemical, battery making and biotech affiliate of LG Group said Thursday.
| Logo for LG Chem |
To accomplish this goal, it will work on developing high-value products to extend its market leadership and invest heavily in research and development in its core businesses.
The company is already regarded as a leading chemical maker. This year it was named as one of the world's top 10 chemical companies in the global chemical ranking by U.S.-based Chemical & Engineering News (C&EN) magazine, which is published by the American Chemical Society.
LG Chem also ranked fourth on the list of the world's most valuable and strongest chemical brands this year, one up from the previous year, according to an annual report of the U.K.-based brand valuation company Brand Finance.
To attain a sustainable growth, LG Chem is accelerating R&D spending. It will invest a 1.3 trillion won in R&D activities in 2019, which is the highest in its history, and increase the number of researchers to 6,200 by the end of the year.
In petrochemical sector, it will focus more on developing high-value products such as acrylonitrile butadiene styrene (ABS), poly olefin and acrylonitrile butadiene latex products. With a production capacity of 2 million ton, it will especially try to solidify its No. 1 status in ABS products.
LG Chem also has been strengthening its R&D activities in the lithium-ion battery sector. It also plans to expand its battery production capacity to 100 gigawatt hours, which is capable for producing about 1.7 million electric vehicles (EVs) in 2020. To meet growing demand for EV batteries, it will keep advancing its battery material production technology as well.
In the life science sector, LG Chem has been focusing on developing medicine for diabetes and related diseases and anticancer medicines.