Mitsui Chemicals will significantly reduce the production capacity of resin raw materials

Recently, Mitsui Chemicals announced that the company will significantly reduce the production capacity of toluene diisocyanate (TDI), a polyurethane raw material used in construction materials and coatings. Accordingly, by July 2025, the annual production capacity of the Omuta Plant in Fukuoka Prefecture, which is engaged in TDI production, will be reduced from 120,000 tons to 50,000 tons.

It is said that due to the impact of Japan's population reduction, the demand for TDI in the Japanese market is declining. As a certain amount of demand will continue, there will be no full shutdown of factories. Mitsui Chemicals considers converting raw materials for building TDI into biomass and enhancing recycling of materials.

Currently, Mitsui Chemicals is implementing reforms, including restructuring and downsizing its petrochemical business, which is vulnerable to market volatility. This summer, the company is expected to stop domestic production of high-purity terephthalic acid (PTA), a polyester fiber raw material, in Japan. Mitsui Chemicals also announced that it will sell its subsidiary in Singapore, which produces phenol, to a major British chemical company.