Mitsui Chemicals Announces It Will Shut Down Production Capacity at One Factory

On November 21, Mitsui Chemicals Co., Ltd. announced that it will shut down the polyethylene terephthalate (PET) production capacity of the Iwakuni Otake Factory in October 2024 (planned). The plant's PET production capacity is 145,000 tons/year.

Mitsui Chemicals began producing PET resin at its Otake Plant in Iwakuni in 1984, and its PET business has steadily expanded as domestic demand for PET bottles for beverages has grown. However, since 2013, the increase in imports of low-cost overseas products and the increase in demand for recycled PET bottles that do not require virgin resin have forced the company's PET plants to operate at low production capacity. Therefore, Mitsui Chemicals believes in that it is difficult to maintain PET resin production and ensure profits at the same time in Japan.

Currently, Mitsui Chemicals is promoting the transformation of its business portfolio in accordance with its long-term business plan "VISION 2030".

In the basic materials and green materials business areas, the company aims to accelerate the reduction of volatility through the expansion of high-performance products and business restructuring, thereby establishing a business foundation that can improve capital efficiency and create stable earnings.

In addition, the Group will lead the transformation of circular economy and contribute to reducing environmental impact and realizing a low-carbon society.