Mitsui Chemicals, Asahi Kasei to integrate nonwovens business

Mitsui Chemicals and Asahi Kasei recently announced that the two companies will integrate the development, manufacturing and sales of non-woven fabric-related products in Japan and Thailand, and transfer them to a new company jointly established by Mitsui Chemicals and Asahi Kasei. The new company will be established on October 2, 2023, with a registered capital of 500 million yen, and the name will be Mitsui Chemicals Asahi Life Materials Co., Ltd.

The non-woven fabric production bases of the two companies in Japan include sunrex, a wholly-owned subsidiary of Mitsui Chemicals, and Mitsui Chemicals Nagoya Factory. Asahi Kasei's Moriyama plant will be commissioned by the new company for production and will be integrated into the new company through splitting and absorption. In terms of foreign production bases, the production bases of Mitsui Chemicals and Asahi Kasei in Thailand will continue to be engaged in the production and sales of non-woven fabrics as subsidiaries of the new company.

With the continuous updating of production equipment of Asian manufacturers, the competition in the non-woven fabric market will become increasingly fierce. Accordingly, Mitsui Chemicals and Asahi Kasei implemented the reorganization and integration of non-woven fabric business, aiming to strengthen the business foundation, consolidate and expand the domestic and Asian markets.