This webpage provides all new individual investors with an easy-to-understand introduction to Nippon Shokubai businesses and strengths as well as an overview of the kind of value the company brings to society.
Chapter 1
Business Profile
The Global Leader in Raw Materials for Disposable Diapers
Nippon Shokubai is a chemical manufacturer that provides a diverse range of chemical materials.
The “Nippon Shokubai” name is not written on the products that we all choose from store shelves. However, our technologies are used in many products that are indispensable to our daily lives by helping enhance the performance of those products. IONELTM is one major example that is found in lithium-ion batteries and the superabsorbent polymers used as a raw material for disposal diapers and other products.
Superabsorbent Polymers
Top Share Worldwide
Opportunity Brought by Broader Use of Disposal Diapers
Superabsorbent polymers are small chemical powders that can absorb 1000 milliliters of water per gram of polymer powder. In the 1980s when cloth diapers were still commonplace, Nippon Shokubai began the large-scale production of these superabsorbent polymers, which contributed to the wide spread use of disposable diapers. A growing population worldwide and an economic boom heightened the demand for disposable infant diapers as well as increased the need for disposable diapers designed for the elderly. These products contribute to a higher quality of life for all people as essential items for raising children and caring for elderly.
IONELTM
Contributions to the Shift Toward Electric Vehicles via Higher Performance Lithium-ion Batteries
IONELTM is a material used as an electrolyte in lithium-ion batteries. Degradation at high temperatures and a loss of performance at low temperatures are typical problems seen in lithium-ion batteries. IONELTM can stabilize quality at a wide range of temperatures and prolong the lifespan of these batteries.In recent years, IONELTM is more and more highlighted as a material able to overcome the issues seen in the lithium-ion batteries used in electric vehicles, which are quickly becoming commonplace.
Original Technologies & History
- Founding and Commercialization of Phthalic Anhydride
- We successfully realized the first commercial production of phthalic anhydride in Japan through technologies using our own catalysts. This phthalic anhydride contributed to the development of the vinyl chloride industry.At the time, the demand for this phthalic anhydride boomed as a raw material for aircraft coatings and synthetic resins.
- Commercialization of Ethylene Oxide
- Nippon Shokubai successfully commercialized ethylene oxide using purely domestic technologies at a time when most petrochemical companies relied on technologies from overseas. This breakthrough contributed significantly to the development of the Japanese petrochemical industry. Ethylene oxide is used in raw materials for polyesters and polyethylene terephthalate (PET) plastic bottles.
- Development of a New Acrylic Acid Production Method
- We developed a new low-cost, large-scale production method for manufacturing acrylic acids. Many acrylic acid manufacturers throughout the world use this production method today. Our acrylic acid has not only been used as a raw material for coatings and adhesives but also to produce a variety of derivative acrylic acid products.
- Launched Mass Production of Superabsorbent Polymers
- We successfully began the mass production of the superabsorbent polymers used mainly in disposal diapers but also other products. Nippon Shokubai currently leads in both the technology and production while boasting the world’s top production capabilities*.
*Based on Nippon Shokubai research as of April 2022
- Realization of Commercial ACRYVIEWATM Production
- Our commercialization of ACRYVIEWATM acrylic resin used in flat-panel displays has contributed to larger yet thinner liquid-crystal displays.
- Establishment of IONELTM Mass Production Technology
- IONELTM is a material used as an electrolyte of lithium-ion batteries. Nippon Shokubai successfully established the world’s first IONELTM mass production technology, acquiring numerous patent rights. As a material also used in electric vehicles, the demand for IONELTM is expected to grow in the future.
- Nippon Shokubai continues to aim to foster even greater future growth.
Business Domains
Nippon Shokubai is involved in a tremendously wide range of business domains. The technology that our company has cultivated since its founding are used in many ways all around us.
- Consumer Products/Construction Materials
- We supply a wide variety of raw materials from the superabsorbent polymers used in disposable diapers and other such items to cleaning compounds used in household and industrial detergents, coatings for building exteriors, and admixture polymers to produce strong concretes.
- ICT
- Our technologies help enhance the quality of semiconductors and imagining products. Nippon Shokubai supplies polymers for the optical films used in liquid crystal displays, materials for 3D printers and much more.
- Energy and Resources
- We provide materials for lithium-ion batteries and fuel cells while also contributing to the effective use of energy.
- Life science
- Nippon Shokubai is also developing business supporting medical and pharmaceutical companies, such as contract manufacturing of middle molecular drugs. We even help better health and the quality of life by providing raw materials for cosmetics as well as food additives.
- Environment Remediation
- We supply products that contribute to a cleaner environment. Applications for these products include everything from processing automotive exhaust gas and waste water to removal of dioxins.
Our chemicals contribute to higher quality and performance in the products that we see around us every day.
We provide prosperity and comfort to everyone through technological capabilities amassed over many years.
Providing Prosperity and Comfort to People and Society, with Our Unique Technology
Prosperity and comfort are not only material but harmonious with the global environment as well as social and spiritual.
We will keep contributing to the realization of a sustainable society by practicing our TechnoAmenity mission in the future.
Nippon Shokubai delivers chemicals and materials with greater functionality to manufacturing companies which in turn contribute to products with a higher level of functionality.
Since our founding, we have realized technology and products never seen in Japan or even the world before. Our efforts to produce and deliver high-quality products have earned Nippon Shokubai significant trust.
Our chemical products are used in a wide range of business domains from the consumer goods around us all to the construction, automotive, and precision machine industries. These chemicals are essential to realize prosperity and comfort in our daily lives.
Chapter 2
Strengths of Nippon Shokubai
Capabilities Realizing High-quality Material Development and a Stable Supply of Products
Nippon Shokubai has a Materials Business and a Solutions Business.
The Materials Business mass produces a stable supply of high-quality materials to deliver around the globe. The Solutions Business capitalizes on the research and development capabilities amassed by Nippon Shokubai to provide unique functionality to overcome the problems that customers face.
Nippon Shokubai exerts the strengths it has built in each of these businesses.
Materials Business
Stable Large-scale Production of High-quality Materials
The Materials Business delivers high-quality chemical materials, whether acrylic acids, superabsorbent polymers, or ethylene oxide, to customers involved in a variety of different businesses. Of course, Nippon Shokubai takes advantage of its technological capabilities that realize high-quality chemical materials but also leverages its organizational strengths that enable a stable supply of products worldwide from bases in Japan and overseas.
We have built a production system that ensures the highest level of quality utilizing our own systems for the integrated production of products from raw materials. This enables Nippon Shokubai to support fluctuating demand in a timely manner.
Solutions Business
Unique Functions Provided to Support Diverse Customer Needs
The Solutions Business provides unique functions to overcome the challenges faced by customers. We generate a high level of added value by understanding the situations which customers find themselves in, identifying the issues, and proposing solutions through combining a broad range of technologies, which is one strength of Nippon Shokubai.
Nippon Shokubai operates the Materials Business to supply high-quality materials and the Solutions Business to provide unique functionality to overcome customer challenges.
The Materials Business leverages our technological capabilities to produce high-quality products and our organizational strengthens to realize a stable product supply in order to deliver materials to the world. The Solutions Business capitalizes on its strengths to provide unique functionality in tune with customer challenges.
Chapter 3
Future Prospects
Contributions to Sustainability via the Power of Chemicals
Surrounding Business Environment & Long-Term Vision
The business environment is dramatically changing around Nippon Shokubai in recent years. Amid the globalization of chemical products, our Group must meet the needs of our diverse customer base flexibly.
In light of this external environment, Nippon Shokubai established “TechnoAmenity for the Future” as a long-term vision to foster sustainable growth in the future. This vision promotes three transformations with the aim to realize our 2030 goals.
“TechnoAmenity for the Future”
Long-term Vision
FY2030 Goals
- Provide materials and solutions required by people and society
- Become a chemical company that keeps evolving by identifying social trends
- Develop with various stakeholders inside and outside the company
Three transformations
Business Transformation
Expand the Solutions Business
- Develop products and solutions for each market and business domain
- Identify needs and customers challenges to strengthen solution proposals
- Establish timely production systems
Achieve Materials Business Resilience
- Thoroughly reduce costs, enhance productivity, and promote a digital transformation
- Forge alliances with other companies and restructure the business
- Promote decarbonization and recycling
Strategic Transformation for Environmental Initiatives
Sustainability Initiatives
- Promote Group-wide efforts that can help realize carbon neutrality by 2050
Organizational Transformation
Strengthen the Management Platform
- Transform into an organization with sustainable growth and a company where diverse human resources are motivated to work
- Further strengthen the management platform to support growth
Shift to a Problem-solving Company
Nippon Shokubai will work to expand the Solutions Business as part of its business transformation.
Our goal is to become a problem-solving company required by much more customers through accurately understanding circumstances around each customer and market as well as any issues and strengthening our solution proposals.
We will promote measures to strengthen our ability to propose solutions so that Nippon Shokubai can respond to more diverse customer needs in the future.
Utilization of Unique Technologies to Solve Environmental Issues
Nippon Shokubai will reduce CO2 emissions from its production processes and strengthen development and marketing of eco-friendly products that take advantage of its technological capabilities to realize carbon neutrality by 2050.
We will also fully leverage the technical strengths unique to a chemical manufacturer to help solve environmental issues.
- Solution Series
- 01
The predominate method currently used to desalinate seawater consumes a very large amount of electricity. To solve this problem, these regions are starting to use a Nippon Shokubai osmotic pressure generating agent to desalinate seawater. This new desalination method can improve the capacity of freshwater production while saving energy and lowering costs.
In this way, our products will contribute to the realization of efficient and sustainable water production systems.
- Solution Series
- 02
Encourage the Use of Hydrogen Energy
The expansion of the Solutions Business as a means to provide unique functions to help customers overcome challenges aims to shift Nippon Shokubai into a problem-solving company.
We will further improve the technological and development capabilities which we have cultivated thus far while also strengthening our ability to propose and market solutions as well as solve problems for customers.
Even though the business environment around us dramatically changes, Nippon Shokubai will strive to not only evolve into an organization with a resilient business structure but also achieve the 2030 goals.
Message from the President
I would like to thank you for reading through all the information on this webpage. I know our businesses can be difficult to understand due to the nature of a company providing products and solutions to other businesses. I do hope this information has shown how our technologies and products exist in the many items essential to day-to-day life.
Nippon Shokubai will flexibly adapt to the fiercely changing world and drive forward its transformations with an even greater sense of urgency. We will also contribute to the realization of a sustainable society based on the “TechnoAmenity” mission to provide prosperity and comfort to people and society, with our unique technology.
I would like to thank you for reading through all the information on this webpage. I know our businesses can be difficult to understand due to the nature of a company providing products and solutions to other businesses. I do hope this information has shown how our technologies and products exist in the many items essential to day-to-day life.
Nippon Shokubai will flexibly adapt to the fiercely changing world and drive forward its transformations with an even greater sense of urgency. We will also contribute to the realization of a sustainable society based on the “TechnoAmenity” mission to provide prosperity and comfort to people and society, with our unique technology.
COLUMN 01
Production Bases and Capabilities Worldwide
Nippon Shokubai has the highest quality and production volume in the world for superabsorbent polymers and acrylic acids, which are a raw material of superabsorbent polymers. We have realized the stable facility operation necessary to respond to global demand.
COLUMN 02
Sustainability Initiatives
Nippon Shokubai is advancing initiatives that help to reduce the environmental impact of superabsorbent polymer manufacturing processes. Our European subsidiary has acquired the international certification standard for a manufacturing method that uses eco-friendly raw materials. We are currently preparing to put this method into practical use.
- Main Product
- Superabsorbent Polymers
These powders are used in disposable diapers and other such products.
- Acrylic Acids
- Manufactured from Bio-based Propylene
*Derived currently from petrochemicals
- Caustic Soda
- Procured as Caustic Soda Using Renewable Energies
Reducing the Environmental Impact
Realize Efficient Desalination