Tokyo – Mitsui Chemicals is to increase its MDI capacity by 50% in South Korea. The MDI is produced in Yeosu by Kumho Mitsui Chemicals, the Seoul-headquartered joint venture with Korean synthetic rubber maker Kumho.
Mitsui Chemicals’ president and CEO Hashimoto Osamu revealed plans to increase MDI capacity by 200kT/year by 2024 in his presentation of the company’s annual report in early June. It represents a KRW400bn ($360m) investment.
The capacity increase, from 410 to 610 kT/year, is in response to the anticipated growth in applications for high-performance monomeric MDI. These include uses in the automotive sector, where an increasing preference for in-vehicle comfort, luxury car seats, and noise, vibration, harshness applications are driving growth.
Mitsui also shared its growth strategy for the coming decade. It envisages operating income to rise from JPY200bn ($180bn) in 2025 to JPY250bn by 2030.
Despite challenges such as an increase in protectionist policies, global polarisation, increased country risks and changes in globalisation, the company plans to inves6 JPY1.8tr in the decade from 2021 to 2030.
Progress in its restructuring programme for its basic chemicals business turned around significant losses. The company plans to continue with its focus on structural reform, reducing volatility, stabilising earnings and improving competitiveness.
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