Seoul – Kumho Petrochemical is acquiring the full ownership Kumho Polychem, a 50-50 synthetic rubber joint venture with JSR Corp.
In an 11 May statement, the South Korean supplier said the move to acquire JSR’s 50% share would strengthen its portfolio in the synthetic rubber business.
Established 1985, Kumho Polychem specialises in the production of high-performance synthetic rubber including ethylene propylene diene monomer (EPDM), thermoplastic vulcanisate (TPV), and other materials mainly for automotive applications.
With a capacity to produce 220 kilotonnes per annum, the company is claimed to be the fourth largest EPDM manufacturer in the world.
The acquisition, Kumho Petrochemical said, was “a proactive attempt” to strengthen its competitive advantage as it anticipated a deficit in global EPDM production.
The deficit, said the petrochemicals supplier, will be driven by aging production facilities and a recovery in the automotive and other downstream industries.