TOKYO--(BUSINESS WIRE)--Mitsui Chemicals, Inc. (TOKYO: 4183) (President & CEO: Tsutomu Tannowa) and Prime Polymer Co., Ltd. (President: Naoshi Hamada), owned 65 percent by Mitsui Chemicals and 35 percent by Idemitsu Kosan Co., Ltd. (TOKYO: 5019) (Representative Director & CEO: Shunichi Kito), announced today that the Group will establish Mitsui Prime Advanced Composites Europe B.V. in the Netherlands, together with Mitsui & Co., Ltd. (TOKYO: 8031) (President & CEO: Tatsuo Yasunaga). The new company will be Mitsui Chemicals’ first European production base for polypropylene (PP) compounds in response to growing global demand for automotive-use PP, it is scheduled to start operations in June 2020.
Mitsui Chemicals Group currently operates eight production bases around the world (Japan, the U.S., Mexico, Europe, Thailand, China, India and Brazil) and has five research bases (Japan, the U.S., Europe, Thailand and China) and has continued to enhance its production systems, sales and R&D of high-performance PP compounds, which can be used to help reduce the weight of automobiles.
Recently strengthened environmental regulations have driven an increasing global need for lighter automobiles. As a result, demand for PP compounds is rising each year to meet light-weighting needs in bumpers, instrument panels and more. Mitsui Chemicals Group’s light-weight solutions are well accepted by automobile manufacturers all over the world and the Group expects to see its business expansion in Europe.
By establishing the new company with production, sales, technology service, and R&D function in the Netherlands, the Group reinforce close customer support providing effective light-weight solution in Europe and bolster the Group’s global network.
Mitsui Chemicals Group will continue to strengthen and expand PP compounds business through enhancing production, sales and technology service structure to supply high-quality products, responding to automobile manufacturers’ light-weight needs and their global development.
Overview of New Company
|Company name (tentative)||Mitsui Prime Advanced Composites Europe B.V. (ACE)|
|Location||Chemelot Industrial Park, Limburg, the Netherlands|
|Capital||18.4 million euros|
|Ownership||Mitsui Chemicals, Inc.: 75%|
|Prime Polymer Co., Ltd.: 10%|
|Mitsui & Co., Ltd.: 15%|
|Production capacity||30,000 tons/year|
|Beginning of operations||June 2020 (tentative)|
About Mitsui Chemicals
Mitsui Chemicals’ roots can be traced back to 1912 when it began producing raw material for chemical fertilizers from coal gas byproducts, the first company in Japan. This undertaking significantly contributed to increasing agricultural productivity, a major social issue at the time. Later, the company evolved its technology from coal chemicals to gas chemicals, and in 1958 it built Japan’s first petrochemical complex and so provided impetus to Japan’s industrial sector. Today, the company boasts many world-class products with over 150 companies in 30 countries. Its business portfolio includes environment-friendly materials for next-generation mobility, healthcare services to realize health and happiness in an ageing society, packaging that ensures the reliability and safety of food products, agrochemicals that contribute to increased production of food, electronic materials, and environment-friendly materials for the energy sector.