Diplomatic and Economic Strategies for "Plastic-Free Society"
About
This issue brief was developed in the context of South Korea’s new administration pledging to establish a “Roadmap to Plastic-Free Society,” and ahead of the resumed negotiations of the Intergovernmental Negotiating Committee (INC-5.2) in August 2025. Aimed at domestic policymakers, the brief critically examines the strategic rationale for Korea to support a global target to reduce plastic production.
Rather than viewing production reduction as a threat to national interests, the brief argues that endorsing such a target aligns with Korea’s long-term economic and diplomatic goals. By participating in shaping global norms, Korea can respond proactively to the dual challenge of climate crisis and industrial oversupply while enhancing the sustainability of its petrochemical sector.
Executive summary
This issue brief proposes a two-track strategy for Korean government to address the interconnected crises of climate change and industrial overcapacity driven by the overproduction of plastics. Internationally, Korea should support the adoption of a global target to reduce primary plastic production through the global plastics treaty. Domestically, it should accelerate industrial restructuring by curbing the production of general-purpose petrochemical products and advancing the sector’s green transition.
Supporting global production reduction is a pragmatic diplomatic strategy. By actively endorsing a global target to reduce primary plastic polymer production, Korea can generate momentum for collective action to curb global oversupply. Korea’s continued ambiguity risks diminishing its leadership in international negotiations.
To ensure a just and timely transition at home, the brief underscores the need for robust public investment in the decarbonization of Korea’s petrochemical industry. Drawing on the policy experiences of Germany and Japan, it recommends that the Korean government expand financial support for low-carbon innovation—such as lifecycle GHG reduction technologies and portfolio shifts away from primary plastic products. Strengthening the Emissions Trading Scheme (K-ETS), increasing paid allocation of permits, is also crucial.
Key findings
Plastic overproduction is driving both climate and industrial crisis: As plastic production continues to rise, greenhouse gas emissions from fossil fuel-based plastics are increasing in parallel. Korea’s petrochemical sector is suffering from prolonged overcapacity and declining profitability due to global oversupply of primary plastics.
Supporting a global production cap is in Korea’s national interest: Endorsing a global target to reduce plastic production can help address industrial oversupply, stabilize markets, and strengthen Korea’s leadership in international climate diplomacy.
Korea holds a critical position in the global plastics value chain: As the world’s fourth-largest producer of ethylene and a major exporter of synthetic resins, Korea plays a pivotal role in plastic production and must lead by example in shaping sustainable production standards.
Public investment and regulatory alignment for decarbonization remain insufficient: Compared to Germany and Japan, Korea’s fiscal and policy support for decarbonizing its petrochemical sector is limited. Expanding upstream regulations, integrating full lifecycle emissions into the “Plastic-Free Roadmap,” and reforming the K-ETS to include broader paid allocation of permits are essential to a viable industrial transition.
