Chief Executive Kim Dong-chan of Samyang Foods on the 26th said about the monthlong military tensions in the Middle East, "We will closely monitor the situation and work in cooperation with our partner companies."
Meeting with reporters after the 56th regular shareholders meeting held that day at the Samyang Round Square Building in Jung-gu, Seoul, Kim said, "There are concerns about disruptions in supplies of petrochemical products due to insufficient oil supply. Not immediately, but if the situation is prolonged, we judge that partner companies could face difficulties."
Even amid rising uncertainty, the company intends to maintain its stance of expanding its global business. Kim said, "We are establishing a production subsidiary and building a plant in Jiaxing, China," adding, "Construction began in Jul. last year, and we are aiming to complete it in Jan. 2027."
In particular, it plans to focus on targeting the U.S. and European markets. Kim said, "We believe we have not yet secured a satisfactory portion (market share) in the U.S. and European markets. To increase that share, we plan to continue expanding in the U.S. and Europe," adding, "Currently, Samyang Foods is pursuing localization through a local plant in China. After that, we plan to expand by region, including Southeast Asia and the Middle East."
Kim also said the company plans to expand its business portfolio beyond Buldak spicy ramyeon this year. He said, "We will move beyond our traditional focus on ramyeon and expand our product lines with new brands and items such as Taenggeul to contribute to sales and operating profit," adding, "We are especially preparing new products for the Southeast Asian market, including Maeptaeng."
Earlier at the shareholders meeting, Kim said, "We will sustain growth by increasing production efficiency and diversifying our business structure around strategic brands," adding, "We will strengthen our production base through process improvements and equipment upgrades, and respond flexibly to expanding global demand." He continued, "We will also expand investment and marketing for strategic brands to secure mid- to long-term growth drivers," adding, "Beyond ramyeon, we will expand our product lines to sauces, snacks, and ready-to-eat meals, and maximize synergy with our existing food business by fostering new growth brands in healthcare and plant-based protein."
Meanwhile, Samyang Foods approved a proposal at the shareholders meeting to appoint Jeon Su-hong, former head of operations for the Investment Group in the Planning Team of Samsung Electronics' DS Division, as an internal director. A proposal to appoint attorney Mok Seung-ho of KIM&CHANG as an outside director and audit committee member was also passed.
In addition, the following major proposals were all passed as originally drafted: ▲ adding to the business purpose an office support business for joint development and sales of goods and services with subsidiaries and sub-subsidiaries and for joint use of facilities and IT systems ▲ approval of the 65th-term financial statements and consolidation financial statements ▲ partial amendment of the articles of incorporation ▲ approval of the limit on directors' remuneration.