Toray to Establish High-Performance Resin Production Base in Guangdong

Toray Industries, Ltd. announced plans to establish a new production base in Guangdong Province, China, to produce high-performance resin compounds. This strategic move is part of Toray Plastics (China) Co., Ltd.'s efforts to meet the growing demand for materials with excellent heat resistance, chemical resistance and mechanical strength, which are essential for automotive electrical components, electrical connectors and electronic devices. The new plant will be located on the site of Toray Resins (Foshan) Co., Ltd. and is expected to begin operations in April 2025.

As part of the expansion plan, Toray is also considering transferring part of the production from Toray Plastics (Shenzhen) Co., Ltd. to the new plant. Despite the slow economic recovery, China remains an attractive market due to the large scale of the automotive industry and an annual growth rate of 5%. China's support for new energy vehicles, coupled with strict environmental regulations, is expected to drive increased demand for high-performance resins, especially in the automotive sector.

Toray sees this market shift as an important opportunity to enhance its influence in China. The new plant aims to stabilize the supply of high-performance resins to meet the growing demand in and around South China, especially for new energy vehicles, advanced communications, and applications in electrical and electronic components including solar power generation. The plant will also serve as an important hub for Toray's global operations, with a focus on Southeast Asia and other international markets.

Toray's decision to build this new plant is in line with its strategy to strengthen its supply chain network and expand its international business. By increasing local production capabilities, Toray aims to provide greater flexibility, support new product development, and meet changing customer needs. The company is committed to expanding its business globally, with a particular focus on increasing the use of high-performance resins in industries such as automotive and electronics.

The new production base marks an important step for Toray to capitalize on the strong growth potential of China's automotive and technology industries. By investing in localized manufacturing and focusing on cutting-edge applications such as new energy vehicles, Toray will be better able to meet the region's growing demand for high-performance materials.