Toray Industries to Increase Production Capacity of Regular Tow Carbon Fiber Bundles to Meet Growing Demand for Pressure Vessels

Toray Industries, Inc. announced plans to increase the production capacity of its two factories for regular tow carbon fiber bundles. This capital investment will add production lines to Toray Composite Materials America, Inc.'s factory in Spartanburg, South Carolina, USA and to Toray Advanced Materials Korea Inc.'s factory in Gumi, Gyeongsangbuk-do, South Korea. These investments will increase Toray Group's production capacity by over 20% to 35,000 tons per year, starting from 2025.

This significant increase in production capacity is in response to the growing demand for pressure vessels in the United States and South Korea. The clean energy revolution is driving the demand for hydrogen, natural gas, and other industrial applications, and these expanded targets for high-strength carbon fiber, with up to 24,000 filaments per fiber bundle, will also supplement the total supply of other core markets such as aviation.

Toray expects demand for regular tow carbon fiber to grow at an annual rate of 17% amid the decarbonization trend. The decarbonization trend indicates a growing demand for compressed natural gas transport vehicles and natural gas transport tanks, increasing the demand for pressure vessels, including compressed natural gas tanks, hydrogen tanks, and other pressure vessel applications. This trend will also increase the use of regular tow carbon fiber in fuel cell passenger cars, trucks, trains, and ships.

Toray has positioned sustainable development as a key part of its medium-term management plan, the "AP-G 2025 Project." The company sees the industrial application of carbon fiber composite materials as a means to accelerate its response to climate change. Toray will leverage its comprehensive strengths, uphold its corporate philosophy of contributing to society by creating new value, and help achieve a carbon-neutral economy by 2050.