FILE PHOTO: The logo of Lotte Chemical is seen at its building in Seoul, South Korea, June 7, 2016. REUTERS/Kim Hong-Ji/File Photo
KUALA LUMPUR: Lotte Chemical Titan Holding Bhd expects to strengthen its position as the region's leading polyethylene producer following a breakthrough in the mass production trial of metallocene linear low-density polyethylene (mLLDPE).
mLLDPE, a thermoplastic and a form of linear low-density polyethylene (LLDPE) , is a main component for producing plastic items such as industrial film, food packaging, and stretch and shrink film.
Lotte Chemical Titan said in a statement that producers using mLLDPE could achieve their output margins with a comparatively lower polymer input, leading to cost savings. It has superior transparency and impact strength compared to conventional LLPDE, resulting in better efficiency and competitiveness to customers.
“Our breakthrough with mLLDPE comes after several trial productions since 2012. As a company dedicated to continuous innovation, Lotte Chemical Titan can now introduce to our customers mLLDPE which is a cleaner and lighter alternative to conventional LLDPE,” said its president and chief executive officer Lee Dong Woo.
“Commercial production of mLLDPE will effectively widen our product portfolio and we are confident that this product can meet the needs of our local and regional customers given its excellent qualities.”
With this new development, Lotte Chemical Titan said it would be the first producer of mLLDPE in Malaysia and Indonesia, supplying to the domestic market demand of about 150 kilotonnes per year.
The company targets to begin distribution of mLLDPE within Q4 2017, following customer evaluations.
The product is produced in collaboration with South Korea’s Lotte Chemical Corp using the company’s own catalyst technology.
Currently, mLLDPE is made at LCT’s PT Lotte Chemical Titan Nusantara plant in Cilegon Indonesia, a strategically-placed manufacturing location that allows for easy shipment to multiple countries in the region.
* See also Lotte Chemical shares sink 24pct after Q2 earnings slide
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