• ­Investing KRW 1 trillion in Vietnam to establish a bio butanediol plant with an annual production capacity of 200,000 tons.
  • Building the world's first integrated production system for bio spandex, from raw materials to finished fibers.

SEOUL, South Korea, July 31, 2024 /PRNewswire/ -- Cho Hyun-joon, Chairman of Hyosung, has identified "Bio BDO" as the future growth driver for the company.

Butanediol (BDO) is a chemical used to manufacture PTMG, which is used in the production of spandex. BDO is also used to manufacture packaging materials, automotive interior components, and industrial compounds.

Bio BDO is produced by fermenting sugars derived from renewable sources such as sugarcane or corn. Compared to conventional products that are produced with fossil fuels, Hyosung's bio BDO is expected to reduce carbon dioxide emissions by over 90%, making it a highly regarded material in the eco-friendly market.

  • Investing KRW 1 trillion in Vietnam to establish a bio butanediol plant with an annual production capacity of 200,000 tons

After observing the rapid shift in the global textile market toward eco-friendly products, Chairman Cho swiftly decided to invest in bio BDO.

In April, Hyosung TNC announced its plan to invest KRW 1 trillion in southern Vietnam's Bà Rịa–Vũng Tàu Province to build a new plant capable of producing 200,000 tons of bio BDO annually.

The company plans to start production and sales of bio BDO with an initial capacity of 50,000 tons per year beginning in the first half of 2026.

  • The world's first integrated production system for bio spandex, from raw materials to finished fibers

With Chairman Cho's investment in bio BDO, Hyosung TNC will establish the world's first vertically integrated production system for bio spandex in Vietnam. The plant in Bà Rịa–Vũng Tàu Province will produce bio BDO, which will be converted into PTMG at the Dong Nai plant, and subsequently used to mass-produce bio spandex.

This integrated production system is optimized for customers in the global eco-friendly premium textile market, including Europe and the United States. It enhances production efficiency through stable raw material supply and allows for quick responses to market demands by speeding up the production system's operations. Additionally, it secures cost competitiveness by reducing transportation costs and minimizes environmental impact by lowering fuel consumption for transportation.

Chairman Cho Hyun-joon stressed, "The bio business, which focuses on transitioning from fossil fuel-based raw materials to plant-based ones, will be a key pillar of Hyosung's centennial vision. Strengthening our global market strategy by focusing on our bio BDO and bio spandex integrated production system is key to elevating Hyosung's premium brand status."

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SOURCE Hyosung Corporation

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