Lotte Chemical Temporarily Lowers Product Prices For Small And Micro Enterprises

Lotte Chemical announced on Friday that to alleviate the cost pressure on small and medium-sized enterprise customers amid global supply chain disruptions, the company plans to temporarily reduce the supply prices of its core products.

Lotte Chemical has split off its independent subsidiary, Lotte Daesan Petrochemical, and has notified customers of a price adjustment plan for its main products, citing stable supply chains and deepening customer relationships as reasons.

This price adjustment measure is based on the naphtha supply stabilization subsidy policy implemented by South Korea’s Ministry of Trade, Industry and Energy in 2026, and aims to help customers hedge against the risks brought by raw material price fluctuations in the petrochemical industry. Lotte Chemical stated that it will take into account the raw material input share of various products, market conditions, and the contract terms of each customer, and notify eligible customers in batches of the product scope subject to price adjustments, the implementation period, and the specific support details.

Against the backdrop of growing uncertainty in external markets, Lotte Chemical has taken multiple measures to stabilize domestic supply chains, including redirecting part of its export capacity to the domestic market and flexibly adjusting production and equipment maintenance schedules.

In April this year, the company introduced a typical safeguard measure: its Lishui plant, which holds specialized certification for medical-grade products, postponed its scheduled equipment maintenance by one week to ensure the emergency supply of medical-grade polypropylene for infusion bags. To avoid a capacity gap during the maintenance period, the company also urgently allocated 3,900 tons of propylene feedstock from its Dashan plant to the Lishui plant.

Lotte Chemical stated, “We will always uphold the development philosophy of mutual benefit and coexistence with our customers, and continue to help enhance the overall competitiveness of the domestic petrochemical industry.”

Meanwhile, multiple petrochemical companies have also followed suit with price cuts. Hanwha Solutions announced on July 2 that it would lower the unit price of its flagship products by up to 250,000 won (about $166).