Seoul: Lotte Group Chairman Shin Dong-bin has called for comprehensive efforts to achieve a turnaround this year, emphasizing the need for qualitative growth despite a challenging business environment.

According to Yonhap News Agency, Shin highlighted in his New Year's message that persistent inflation, interest rates, and exchange rates, along with geopolitical risks, are expected to continue affecting consumer sentiment and increasing raw material prices. He noted that the group's core businesses require fundamental changes due to structural shifts in demographics. Lotte operates in sectors including retail, petrochemicals, tourism, and construction.

Of particular concern is Lotte's petrochemical division, which has been posting losses, impacting the group's overall performance amid a prolonged industry downturn. Lotte Chemical Corp. has taken measures to improve its financial structure by selling stakes in overseas joint ventures and non-core assets since late 2024.

In a move aligned with a government-led restructuring program, Lotte Chemical announced in November its plan to spin off its naphtha cracking center operations at the Daesan petrochemical complex in Seosan. This will create a new entity in collaboration with HD Hyundai Chemical, aiming to better manage inventories and respond to market demand.

Shin also urged employees to produce "differentiated results based on autonomy," encouraging them to independently recognize challenges and commit to solving them to achieve distinctive outcomes.