Dow chem., SKorean Firm in Venture
SEOUL, South Korea (AP) _ LG Chemical Corp. of South Korea said Wednesday it will build a $320 million engineering plastics plant in South Korea in a 50-50 joint venture with Dow Chemical Co. of the United States.
Construction will begin in the first half of 1999 in the Yochon petrochemical industrial complex on the south coast and is due to be completed in 2001.
The venture, known as LG Dow Polycarbonate Ltd., will have an annual production capacity of 130,000 tons of polycarbonate, a plastics material used in compact discs, mobile phones and car interiors, the company said.
The plant will export $200 million worth of polycarbonate a year, and will also sell supply South Korean manufacturers, LG officials said. South Korea meets half of its polycarbonate needs with imports.
Dow Chemical is the world’s No. 5 chemical company with annual sales estimated at $20 billion. LG Chemical, a unit of South Korean conglomerate LG, is the country’s largest chemical company with $4 billion in 1997 sales.