Key facts
- Six petrochemical companies and over 40 officials indicted for price-fixing.
- Alleged collusion involved eight petrochemical products valued at 16.39 trillion won ($11.75 billion).
- The period of alleged price-fixing was from November 2021 to April 2026.
- Indicted companies include LG Chem, Aekyung Chemical, OCI, Lotte Fine Chemical, PKC, and Unid.
- Key individuals indicted include OCI Vice Chairman Kim Yu-shin and former PKC CEO Jang Young-soo.
Prosecutors in Seoul have indicted six major petrochemical companies and over 40 of their current and former officials on charges of colluding to fix prices on essential products. The companies allegedly manipulated prices for eight petrochemicals, including PVC, plasticizers, caustic soda, and hydrochloric acid, over several years, impacting transactions valued at more than 16 trillion won (US$11.75 billion).
The indicted firms are LG Chem, Aekyung Chemical, OCI, Lotte Fine Chemical, PKC, and Unid. Among the individuals facing charges are OCI Vice Chairman and CEO Kim Yu-shin and former PKC CEO Jang Young-soo. Two executives, a former head of PKC's sales division surnamed Bae and a former head of LG Chem's business division surnamed Hwang, have been referred for trial while in detention.
The alleged price-fixing scheme spanned from November 2021 to April 2026. Prosecutors highlighted that the collusion persisted despite the government's provision of 146.5 billion won in support for the petrochemical industry, which was intended to mitigate the impact of rising international oil prices driven by Middle East conflicts.