SEOUL, Nov. 7 (Yonhap) — Lotte Chemical Corp. has launched a new petrochemical plant in Indonesia as part of efforts to expand its presence in the Southeast Asian petrochemical market, the company said Friday.
The petrochemical arm of South Korea’s major retail conglomerate Lotte Group said it held an opening ceremony for the new plant, located in Cilegon, West Java, on Thursday with Indonesian President Prabowo Subianto in attendance.
“The project represents one of the largest investments made by a South Korean business in Indonesia,” Lotte Group Chairman Shin Dong-bin said at the ceremony.
“The plant will serve as a symbol of strong bilateral relations, as well as an important ground to bolster Indonesia’s petrochemical industry and national competitiveness,” Shin added.
Lotte Chemical began construction of the plant in 2022 on a 110-hectare site with an investment of US$3.9 billion. The plant was completed in May and underwent a three-month pilot run.
The facility has an annual production capacity of 1 million tons of ethylene, 520,000 tons of propylene and 350,000 tons of polypropylene, along with other petrochemical products.
Jakarta has been promoting its “Making Indonesia 4.0” initiative, which centers on fostering major manufacturing industries, including the chemical sector.
“The company will proactively target the Southeast Asian market, which holds high growth potential, by having Indonesia as a major hub,” a Lotte Chemical official said.
Lotte Group Chairman Shin Dong-bin speaks during an inauguration ceremony of Lotte Chemical Corp.’s new petrochemical plant in Cilegon, West Java, on Nov. 6, 2025. (Yonhap)
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