KH Neochem to close Yokkaichi solvent plant in December 2025

KH Neochem Co. has decided to stop production and sales of some solvents produced at its Yokkaichi plant by December 2025.

The solvents whose production and sales are stopped this time are mainly used as raw materials for coatings and inks.

However, in addition to the slow recovery of demand, rising raw material prices and increased fixed manufacturing costs have further exacerbated the challenges of the operating environment. Although KH Neochem has continued to implement measures such as improving production efficiency, the company believes that it is no longer feasible to ensure the profitability required to maintain the business in the medium and long term.

Looking ahead, the company will continue to transform its business portfolio, promote sustainable operations by contributing to a sustainable society by utilizing unique materials that are indispensable to the world, and ensure continued growth in corporate value.