SEOUL, July 17 (Korea Bizwire) — Daelim Industrial Co., a major construction and petrochemical player in South Korea, said Friday that it will invest US$50 million in its synthetic rubber unit, Cariflex, to meet growing demand for rubber latex amid the coronavirus pandemic.
The facility investment will double the annual production capacity of synthetic rubber latex at the Cariflex plant in Paulinia in Brazil, Daelim Industrial said, without providing details on the increased capacity.
The new plant is set to begin its operation in the first quarter next year.
In March, Daelim Industrial completed the acquisition of the Cariflex business of American chemical giant Kraton Corp. for $530 million.
The move came in response to the growing demand for surgical gloves amid the COVID-19 pandemic.
Cariflex produces high-quality synthetic rubber and rubber latex that are widely used in making surgical gloves, condoms, probe covers, medical and food packaging adhesives, and other products.