Shin Dong-bin Leads Vietnam and Indonesia Projects... Expanding Southeast Asia Business

Vietnam, Thu Thiem Eco Smart City Groundbreaking Ceremony
Indonesia, Site Inspection of Line Project
Establishment of Integrated Smart Logistics Center and Other Infrastructure

At the groundbreaking ceremony of Thu Thiem Eco Smart City in Ho Chi Minh City, Vietnam, Shin Dong-bin, Chairman of Lotte Group (right), and Phan Van Mai, Chairman of the Ho Chi Minh City People's Committee, are taking a commemorative photo.

[Asia Economy Reporter Lim Chun-han] Lotte is accelerating its entry into the Southeast Asian market by promoting large-scale projects in Indonesia and Vietnam.

On the 4th, Lotte announced that it held a groundbreaking ceremony for the 'Thu Thiem Eco Smart City' in the Thu Thiem district of Ho Chi Minh City on the 2nd, coinciding with Vietnam's Independence Day. This is a large-scale project that precedes Lotte's full-scale expansion into Southeast Asia since starting its business in Vietnam in 1996 with the food sector. Shin Dong-bin, Chairman of Lotte Group, emphasized, "This year marks the 30th anniversary of diplomatic relations between Korea and Vietnam, and with this project as a milestone, Lotte Group will further expand its investments in Vietnam. The Eco Smart City, which rises from five basement floors to 60 floors above ground, will house smart residential and distribution facilities that consolidate Lotte's capabilities, becoming a landmark representing Vietnam in the future."

The Thu Thiem Eco Smart City project involves developing a large-scale complex on a 50,000㎡ site with a total floor area of approximately 680,000㎡?1.5 times the size of COEX?including commercial facilities such as a shopping mall spanning from five basement floors to 60 floors above ground, along with offices, hotels, residences, cinemas, and apartments. Lotte plans to invest a total of $900 million to complete the Thu Thiem Eco Smart City not just as a simple complex but as Vietnam's first premium smart complex by integrating Lotte's cutting-edge smart technologies and distribution know-how. The groundbreaking ceremony was attended by Chairman Shin, Kim Sang-hyun, Head of the Distribution Division, Ahn Se-jin, Head of the Hotel Division, Ha Seok-ju, CEO of Lotte Construction, and other Lotte Group officials, as well as Park No-wan, Ambassador and Consul General of Korea to Vietnam. Additionally, about 380 people including Phan Van Mai, Chairman of the Ho Chi Minh City People's Committee, Le Tan Hai, former Politburo member, Nguyen Thanh Phong, Central Party Committee member, Ho Chi Minh City government officials, local developers, and construction personnel attended.

Shin Dong-bin, Chairman of Lotte Group, is visiting the Indonesia Line project site in person to check the progress of the project.

In Indonesia, Lotte is promoting large-scale projects centered on the chemical sector. On the 29th of last month, Chairman Shin personally visited the site of Lotte's largest overseas investment, the 'LINE Project' in Indonesia, to check the progress and encourage employees. Lotte Chemical, in partnership with its subsidiary Lotte Chemical Titan, is investing a total of $3.9 billion in Banten Province, Indonesia, to develop the LINE Project, a mega petrochemical complex. This project involves constructing a naphtha cracker (NCC) and vertically integrating with existing polyethylene (PE) plants. Once completed, the project will produce 1 million tons of ethylene, 520,000 tons of propylene, and 250,000 tons of polypropylene annually, enabling Lotte Chemical to produce 5.5 million tons of ethylene annually both domestically and internationally. Kim Kyo-hyun, Vice Chairman of Lotte Chemical, said, "We have proactively anticipated the growth potential of the Southeast Asian market and the increasing demand for petrochemical products and have been pushing forward with the LINE Project. We expect it to strengthen Lotte Chemical's global business competitiveness and contribute to Indonesia's economic growth and job creation."

Lotte is also building foundational infrastructure in Vietnam and Indonesia. Lotte Global Logistics is constructing an integrated smart logistics center in Dong Nai Province, southern Vietnam, aiming for completion in 2024. In response to the increasing demand for fresh and frozen foods locally, the center will enhance cold chain capabilities to enable storage and transportation at ambient, refrigerated, and frozen temperatures. Lotte Global Logistics plans to expand its export-import cargo business in Vietnam by securing forwarding specialists and container yards. In Indonesia, following the removal of foreign restrictions on the transportation industry last year, Lotte is expanding its transportation business. Anticipating large-scale logistics demand ahead of Indonesia's administrative capital relocation project, Lotte Global Logistics will focus on building transportation networks in the Jakarta area and EPC (engineering, procurement, and construction) logistics projects.

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