MOSCOW (MRC) -- Tosoh Corp. has unveiled a Yen200 billion (EUR1.47 billion) investment plan to expand production capacity and improving earnings during the 2023-2025 period, said European-rubber-journal.
Under the medium-term business plan, Tosah will increase output of a range of products, including polychloroprene rubber, flame retardants and other additives in rubber production. Tosoh manufactures chloroprene rubber at its site in Nanyo, Japan.
In 2019, the Japanese supplier started a two-year debottlenecking project to raise capacity of the plant by 3 kilotonnes per annum (ktpa) to 37ktpa. The chemical group's business plan announcement, issued 10 Aug, did not provide details on the size of the capacity expansions.
Under the medium-term programme, Tosoh aims to increase its operating income to Yen150 billion by 2025, from the Yen144 billion forecast for 2022. The company also expects sales to increase from an estimated Yen890 billion this year to Yen1,160 billion by 2025.
As MRC informed earlier, Tosoh Corporation, a major Japanese petrochemical producer, has announced it will permanently stop producing and selling toluene diisocyanate (TDI) and TDI-related products from its Nanyo complex in Japan, effective April 2023. Despite the continuous implementation of measures to improve profitability, the environment surrounding this business has become increasingly severe in recent years, and there are no prospects for improvement, the company stated. Tosoh currently produce 25,000 t/y of TDI at the site.
As MRC reported earlier, Tosoh resumed normal production at its caustic soda plant in Nanyo City (Nanyo, Yamaguchi Prefecture, Japan) with the capacity of 1.188 million tons of caustic soda and 1.06 million tons of chlorine per year on June 24, 2021. The company experienced some technical issues when restarting after a scheduled repair. Since June 12, the caustic and chlorine production capacity utilisation was reduced by about 30%.
Founded in 1935, Japan's Tosoh Corporation, headquartered in Tokyo, is an international chemicals and specialty materials company. The main activity of the company is the production of chlor-alkali and petrochemical products, which include ethylene, propylene, polypropylene, polyethylene and synthetic rubbers. The Tosoh Group globally includes over 130 companies with manufacturing facilities and offices in Japan, China, the Philippines, Indonesia, Singapore, Taiwan, South Korea, Germany, Belgium, Holland, Italy, UK, Greece, Switzerland and the USA.