Hyosung Corp. Plans to Construct PP (Polypropylene) and PDH Plants in Vietnam

Hyosung Corp. has proposed to build PDH (Propane Dehydrogenation), PP (Polypropylene) complex and LPG (Liquefied Petroleum Gas) storage facilities.

Vietnam: Hyosung Corporation, Seoul based renowned textile and chemical manufacturing industrial conglomerate, announced to invest USD1.2 Billion to build natural gas-fueled Propane Dehydrogenation (PDH), Polypropylene (PP) complex and Liquefied Petroleum Gas (LPG) storage facility in Vietnam. The company has signed a MoU with Vietnam government for construction of this complex. The complex would be constructed in the Thanh district of Ba Ria-Vung Tau province. The construction of the project would be executed in two phases. In first phase, the company would invest USD335 Million to develop PP line and USD133 Million for LNG tank. Later, in second phase, the company plans to build second PP line and PHD unit with an investment of USD225 Million and USD500 Million, respectively.        

TechSci Research depicts that post the completion of this complex, the company would sufficiently cater to the demand for polypropylene in emerging markets such as China, Vietnam, and rest of Southeast Asian countries. With this, Hyosung Corporation’s market share will eventually take a leap in propylene and polypropylene global market.

According to the recently published report by TechSci Research, “Global Propylene Market By Application, By Region, Competition Forecast and Opportunities, 2011 - 2025”, the global propylene market is forecast to grow at a CAGR around 6% during 2016-2025, on account of growing industrialization and rising demand for demand for eco-friendly paints across commercial and residential set ups. Additionally, announcements of various emerging OPT plants for propylene coupled with smooth trading practices between countries is boosting global propylene market. Furthermore, polypropylene is projected to dominate global propylene market, on account of increasing government regulations for reducing greenhouse gas emissions in environment supported by tremendous growth in the production of light commercial vehicles and packaging industries.