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Analysis South Korea readies petrochemical overhaul as sector faces deep crisisOversupply from China and Middle East leaves Korean firms exposed, raising risks for banks, jobs and policymakers South Korea’s petrochemical industry has been sliding into its deepest slump in decades as global oversupply and weakening demand erode profitability, posing risks of financial contagion and political backlash if policy execution fails to match rhetoric. The Ministry of Trade, Industry and Energy (MOTIE) is finalizing a policy package expected to include incentives for industrial restructuring, including asset sales, facility closures and mergers and acquisitions, while easing regulatory bottlenecks such as antitrust reviews and permitting delays. MOTIE officials are coordinating with industry groups and other ministries to present a plan at the end of this month, amid intensifying calls for © Korea Risk Group. All rights reserved. |





