JG Summit considers exiting loss-making petrochemicals

JG Summit Holdings Inc., led by Lance Gokongwei, is considering exiting its loss-making petrochemicals business to improve overall results.

The company announced an indefinite shutdown of at least two years for the JG Summit Olefins Corp. (JGSOC) plant, which ceased production in January 2025 due to challenging market conditions.

Despite the shutdown and P3.3-billion loss in Q1, Gokongwei expressed confidence that this decision will help improve consolidated results moving forward.

The company has transferred all JGSOC debts to JG Summit and is focusing on preserving assets while evaluating strategic options for the petrochemicals business.

JG Summit plans to accelerate growth in its food and property businesses, led by Universal Robina Corp. (URC) and Robinsons Land Corp. (RLC), respectively.