LG Chem CEO Shin Hak-cheol announced investment plans worth 10 trillion won in ESG-based sustainable growth sectors, the company said on July 14.
At a press conference held online on July 14, CEO Shin stated LG Chem selected ▲eco-friendly sustainable business ▲e-mobility centering on battery materials ▲global innovative new drugs as the three major new growth engines, declaring that 10 trillion won will be invested in these fields by 2025.
Shin said, “The standard for measuring competitiveness in the business world should be based on sustainability for revenue and operating profits, and this should be reflected in all business processes, strategy, and investment, etc.”
He added, “From this perspective, our business portfolio will be overhauled toward being based on ESG, while pursuing sustainable growth.”
LG Chem selected three new growth engines that will be in accordance with ESG, while maximizing the growth potential of existing businesses.
LG Chem plans to begin full-scale production of the world’s first bio-balanced SAP product that received ISCC Plus certification from this month, and supply them to global clients such as the US and Europe.
It will also focus on enhancing its mechanical and chemical recycling capacities to build a circular economy for waste plastics. For mechanical recycling, plans are to strengthen the existing market
Meanwhile, LG Chem is also establishing an eco-platform for 100% circulation of plastic resources for cosmetic product containers together with the start-up, innerbottle, to provide eco-friendly packaging solutions, while also engaging in joint research to apply recycled plastic materials such as PCR (Post Consumer Recycle) ABS, etc. in cosmetic product containers.
CEO Shin commented, “It is essential to switch the business portfolio based on ESG to respond to the market and clients that are rapidly changing.”
He added, “There are currently over 30 projects including M&As, joint ventures (JV), strategic investments, etc. under review to cooperate with external companies having the relevant technologies and clients.”