Chey Tae-won, chairman of SK Group, made extra efforts for seven years to establish China-Korea Petrochemical, the joint venture formed by SK Global Chemical and China Petroleum & Chemical Corp. (Sinopec).
The joint venture, which marked the fourth anniversary this year, is now paying handsome dividends, posting an operating profit of 191.1 billion won in the first quarter of this year, the highest in its history. Some analysts expected the joint venture's annual operating profit to reach at least 2.2 billion yuan this year.
This can be interpreted as a sign showing that Chey's "global partnering" and "China Insider" strategies are working well.
SK Global Chemical and Sinopec invested a total of 3.3 trillion won to set up the joint venture in Wuhan, China, in October 2013, the largest business tie-up between Korea and China since the two countries opened official diplomatic relations.
China-Korea Petrochemical is capable of churning out 2.5 million tons of petrochemical products per year, including 800,000 tons of ethylene, 600,000 tons of polyethylene, and 400,000 tons of polypropylene. email@example.com