MOSCOW (MRC) -- Hanwha Solutions plans to increase its caustic soda, chlorine and ethylene dichloride (EDC) capacity annually at its Yeosu facility in South Korea, the company said.
Hanwha Solutions currently produces 840,000 tonnes of caustic soda per year and is the No. 1 company in the CA field in Korea. Caustic soda is a raw material necessary for cleaning, smelting, and bleaching of industrial materials such as metals, and it is essential to remove impurities in the cathode material production process, which is a core material for secondary batteries. It is also used to extract aluminum, a key material for lightweight materials, from rough bauxite. With this investment, Hanwha Solutions will build a caustic soda production facility with a total annual production capacity of 1.11 million tonnes by adding up to 270,000 tonnes, and leap forward as a major global producer.
As caustic soda production expands, the production of chlorine, a by-product, will also increase by 250,000 tonnes. In addition, the production of ethylene chloride (EDC), which is used as a raw material for polyvinyl chloride (PVC) by reacting chlorine with ethylene, will also increase by more than 280,000 tonnes. Hanwha Solutions is actively reviewing PVC facility expansion based on the additionally secured EDC volume.
Hanwha Solutions expected that additional sales of more than 300 billion won per year would be generated by commercial production of capacity expansion in the first half of 2025.
Earlier it was reported that Hanwha Solutions carried out planned annual preventive measures at the ethylene vinyl acetate (EVA) plant in Ulsan (Ulsan, South Korea). Thus, maintenance at this enterprise with a total capacity of three lines of 120,000 tonnes of EVA per year began on 18 October of this year and was completed on 10 November.
As MRC reported earlier, the June production of sodium hydroxide (caustic soda) amounted to 103,000 tonnes (100% of the main substance) against 105,000 tonnes a month earlier. For the first half of the year, the total production of caustic soda amounted to 642,500 tonnes, which is 1.2% less than the same indicator of the last year.
South Korean Hanwha Chemical was established in 1965. It is the first company in the country to start producing PVC, HDPE, linear polyethylene and chlor-alkali products.