Lotte Chilsung Beverage Signs Business Transfer Agreement for PET Operations with Lotte Aluminum

Lotte Chilsung Beverage Anseong Plant

[Asia Economy Reporter Seungjin Lee] Lotte Chilsung Beverage is increasing the self-production rate of PET bottles, a major beverage packaging container, to enhance production efficiency and strengthen cost competitiveness.

On the 5th, Lotte Chilsung Beverage held a board meeting and reviewed and approved the business transfer of part of Lotte Aluminum's PET business. The business transfer target for the PET business includes the human and physical assets of Lotte Aluminum for PET self-production, with a transfer price of 6.85 billion KRW. The transfer date was set for March 1.

Through this contract, Lotte Chilsung Beverage expects to reduce costs related to external purchase and logistics by acquiring five preform injection molding machines from Lotte Aluminum and increasing the self-production rate of PET bottles.

With this acquisition, Lotte Chilsung Beverage plans to maximize efficiency through internalization and vertical integration of beverage production by simultaneously conducting preform production, bottle manufacturing, and beverage filling at the Anseong plant. In the future, the company will add new preform injection molding machines at the Anseong plant to operate a total of six injection machines and expand the aseptic lines that simultaneously perform bottle manufacturing and filling to three, thereby solidifying its position as the largest beverage production plant in Korea.

A Lotte Chilsung Beverage official said, "The business transfer of the PET business is part of the ZBB (Zero Based Budgeting) project aimed at improving beverage business efficiency. Through this vertical integration, where injection molding, bottle manufacturing, and beverage filling are all conducted in one plant, we will secure cost competitiveness and enhance profitability, further strengthening our differentiated competitiveness as the number one beverage company in Korea."

Meanwhile, the Anseong plant is a smart factory that promotes automation of production lines and a data-driven 'Manufacturing Execution System,' leading the digital transformation (DT) of production lines.

This content was produced with the assistance of AI translation services.