Lotte Group to focus on bio, mobility as growth drivers

Industry

Published: 14 Jul. 2022, 19:10 Updated: 15 Jul. 2022, 11:06

Lotte Group to focus on bio, mobility as growth drivers

Lotte Group Chairman Shin Dong-bin, sixth from left, poses for a photo with Busan mayor Park Heong-joon, fifth from left, after promising support for Busan's bid for World Expo 2030, on Thursday. [LOTTE CORPORATION]

Lotte Group Chairman Shin Dong-bin announced Lotte will focus on new growth drivers such as bio and mobility at a biannual value creation meeting Thursday.

Chairman Shin said Lotte will focus on expanding its business portfolio in the future. Bio, healthcare and wellness were some of the fields named. The company will aim to get more contract development and manufacturing orders and carry out its bio business through Lotte Biologics, which was established in June.

Mobility was another sector, with plans to add more electric vehicle (EV) charging stations. Lotte Data Communication acquired 71.94 percent of JoongAng Control, an EV charging station manufacturer, for 69 billion won ($52.5 million) in January.

“In a time of economic difficulties such as rising interest rates and stagflation, we will face even bigger struggles if we only focus on short-term goals such as revenue and operating profit figures,” said Shin. “We need to all think about what we need to achieve for ideal growth and look into other companies that are thought to have big potential in the future.”

Lotte companies gather to evaluate their business performance and discuss future plans twice a year. Thursday’s meeting took place at the Signiel Busan and was the first to take place in Busan as the companies discussed plans to support the government to host the World Expo 2030 in the city.

Companies part of the chemical business unit, which include Lotte Chemical and Lotte Fine Chemical, will focus on producing battery materials, bioplastics and hydrogen energy.

Apart from business plans, Lotte companies also discussed ways to help Busan host the World Expo in 2030.

Its food and retail businesses — Lotte GRS’ Lotteria and Lotte Shopping’s Lotte Department Store and Lotte Mart — will have various advertisements and posters in its branches to promote Busan’s bid. Lotte Hotel and Lotte Duty Free will promote the bid abroad in their branches in the United States, Vietnam, Japan and Australia.

Shin also visited Busan City Hall before the meeting where he discussed the progress of the construction of Lotte Tower Busan. The building will be completed by the end of 2025 with the aim of creating more jobs in Busan and offering entertainment facilities.

BY LEE TAE-HEE [lee.taehee2@joongang.co.kr]