Sojitz Corporation

CLOSE

Chemicals Division

The Chemicals Division conducts a wide variety of trading and businesses, ranging from basic chemicals, such as methanol, to functional materials focusing on plastic resins as well as inorganic chemicals like industrial salts and rare earths. We are also developing businesses in the environmental and life science fields to contribute to building a low-carbon, recycling-oriented society.

Division Strategy

We will pursue sustainable growth by further strengthening businesses in which we have strengths, such as methanol, and by creating materials businesses in line with a low-carbon and recycling-oriented society.

Taro Okamura

Executive Officer, COO
Chemicals Division

The structure of the chemical industry is undergoing a massive transformation amid the rising social demand for a transition to a decarbonized society. In response to this trend, the Chemicals Division is shifting away from petroleum-derived products to resources produced through organic synthesis and to more eco-friendly products. Our policy under the current medium-term management plan is to concentrate our resources on the environmental and life science fields as we tackle new challenges that go beyond the traditional boundaries of the chemical industry.

As the world abandons its prior focus on economic rationality to decouple security from the economy and become more segmented, the fundamental value of trading businesses—delivering what people need, where they need it, when they need it—is being reevaluated. These trends are expected to become even more pronounced as we move toward 2030. Accordingly, it will be important for us to foster employees who can build the networks and connections needed to respond to changes in the global supply chain in order to accomplish Sojitz’s vision for 2030 of becoming a general trading company that constantly cultivates new businesses and human capital.

Strengths of the Division

External Environment

Opportunities

  • Rising global demand for chemicals accompanying economic growth in emerging countries
  • Supply chain changes to be seen after the COVID-19 pandemic
  • Development and production of new materials in response to progress and advancement of eco-friendly needs at the global level

Risks

  • Social pressure directed toward petrochemical products as part of transition to a low-carbon society
  • Pressure on business revenue due to volatile market conditions and fluctuations in foreign exchange rates
  • Supply-related risks accompanying rapid demand fluctuations to be seen during post-COVID-19 pandemic recovery (difficulty securing supplies, stressed distribution, etc.)

Businesses

Business Map

C5 and petroleum resin:Cymetech corporation (U.S.A.)

Industrial salt (India)

■Environment and Life Science Businesses

In the healthcare field, the Chemicals Division aims to incorporate growth from the domestic and Asian markets as well as from the large U.S. and European markets. To this end, we have begun creating frameworks through M&A activities targeting synergies with existing businesses. Examples of these M&A activities include investments in material manufacturers in the field of foods with function claims offering products boasting benefits for combating lifestyle diseases and dementia as well as investments in manufacturers of hemanalysis systems and research reagents. Through these investments, we plan to develop new businesses that take advantage of testing data. Elsewhere, we are developing functional fertilizers that help address issues related to microplastics through collaboration with fertilizer manufacturers in the agri-product field.

■Plastic Resin Business
(Sojitz Pla-Net Corporation, Pla Matels Corporation)

The Chemicals Division is developing businesses in three growth fields that contribute to the environment as well as to communities. These fields are food packaging, green plastics and recycling, and nextgeneration automotive components. In the food packaging field, we are supplying items that address changing lifestyles in Europe and the United States while also introducing these items into China and other Asian markets. Meanwhile, the insight and inter-personal networks we have developed in environmental and recycling fields are being utilized to accelerate recycling field initiatives related to green polyethylene, biomass, and marine biodegradable resins. We are also offering one-stop service for resins and electronics manufacturing services in relation to automotive components. Through these various initiatives, we will pursue balanced increases in the value of Sojitz Pla-Net Corporation and Pla Matels Corporation.

Visit Sojitz’s special page on green polyethylene here

■European Chemical Businesses
(Sojitz SOLVADIS GmbH)

Acquired in 2017, solvadis deutschland gmbh (now Sojitz SOLVADIS GmbH) is a chemical marketing and distribution company with a long history that has helped us maintain a stable flow of transactions for sulfur, sulfuric acid, methanol, and liquid chemicals even amid the COVID-19 pandemic. At this company, we are strengthening and differentiating distribution functions in Europe and bolstering transaction volumes while also taking advantage of Sojitz’s network to engage in joint initiatives with competitive chemical manufacturers in other regions.

Organization

TOP

Page top