What caused Hanwha Solutions' chemical division to swing from an operating loss to a profit in Q1?

The chemical division swung to an operating profit of 34.1 billion won in Q1—up from an operating loss of 91.2 billion won year-on-year—due to cost reductions achieved through direct power purchase agreements, recovery in overseas operations, robust wire and cable demand driven by electrification, and spread expansion across select products.

How does Hanwha Solutions expect its key chemical product segments (LDPE, EVA, PVC, TDI, chlor-alkali) to perform in 2026 amid global supply-demand shifts?

For 2026, Hanwha expects significant price volatility for LDPE and EVA due to Middle East conflict–driven supply uncertainties and new Chinese domestic capacity; caustic soda prices surged in Q1 but are expected to gradually decline as global capacity additions are delayed; PVC is expected to move past its trough into early-stage normalization, with limited downside due to retirement of older Chinese plants and global capacity reductions; and TDI prices spiked due to producer operating rate adjustments and geopolitical conflict, but downward pressure is likely as oversupply persists and upside momentum fades.

Hanwha Solutions chemical division swings to profit, forecasts profit growth

May 5, 2026

Hanwha Solutions' chemical division swung to a Q1 operating profit of 34.1 billion won, driven by cost reductions and demand recovery. It forecasts sustained profitability in Q2 despite geopolitical risks affecting feedstocks, anticipating price volatility in polymer markets.

chemweek

2026-05-05

Hanwha Solutions chemical division swings to profit, forecasts profit growth

Hanwha Solutions chemical division swings to profit, forecasts profit growth

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