Sojitz Corporation

CLOSE

Metals, Mineral Resources & Recycling Division

In addition to upstream investment and trading in metal resources and ferrous materials, the Metals, Mineral Resources & Recycling Division has made a full-scale entry into the circular economy field, which includes recycling businesses, and this division is working to create and promote new businesses that respond to social needs.

Strengths of the Division

External Environment

Opportunities

  • Trends in demand for mineral resources, steel, and industrial materials in emerging countries
  • Demand for new products arising from strengthened and revised environmental regulations
  • Increased demand for new technologies and materials that contribute to the development of a sustainable society
  • Higher demand for eco-friendly businesses, such as recycling and by-product management

Risks

  • Fluctuations in market prices and exchange rates resulting in falling revenues
  • Rising geopolitical risks, such as resource nationalism and trade friction between the United States and China
  • Substitute products and strengthened regulations resulting in lower product competitiveness
  • Global trend toward carbon taxes and other stringent environmental regulations

Growth Strategy

Against the backdrop of global warming and the accelerating shift toward a decarbonized society seen in recent years, we will transition to sustainable businesses in the metals and resources fields. We will also strengthen our efforts in the field of recycling with an eye toward the circular economies of the near future.

Osamu Matsuura

Executive Officer, COO
Metals, Mineral Resources & Recycling Division

Under Medium-Term Management Plan 2023, the Metals, Mineral Resources & Recycling Division will strengthen and streamline its existing businesses, which include metal resources and steel products. At the same time, the division is fully engaged in the creation of new businesses that address trends such as the shift toward decarbonization and resource recycling as it seeks to transform its business portfolio.

There are three specific business areas on which we will focus.

The first is the circular economy field, particularly the areas of metal and waste recycling. In this field, we will seek to establish businesses with a significant sense of scale.

The second area is new businesses that address social needs related to hydrogen, rechargeable batteries, and new materials. We are accelerating our initiatives in this area.

The third area is upstream interests. Specifically, we will conduct ongoing investments in competitive upstream interests in metal resource fields. By conducting asset replacement when necessary, the division will build a high-quality portfolio of upstream assets.

In this manner, we will endeavor to bolster competitiveness in existing business fields while fostering future earnings pillars based on social trends.

Businesses

Business Map

Niobium mine in Brazil (Companhia Brasileira de Metalurgia e Mineração)

Products created using 3D metal printer (JAMPT Corporation)

■Coking Coal and Steel Products Businesses

In order to achieve sustainable growth and address rising global environmental awareness, the Metals, Mineral Resources & Recycling Division is quickly withdrawing from thermal coal businesses. At the same time, we are ramping up production and pursuing cost reductions at the Gregory Crinum coal mine, Sojitz’s flagship coking coal mine in Australia. Making use of the mine’s existing infrastructure, and our accumulated expertise as the sole general trading company with experience operating its own mine, we will venture into contract mining in surrounding mines.

Meanwhile, in the steel products business of Metal One Corporation, which Sojitz founded together with Mitsubishi Corporation, we are pursuing synergies while collaborating and providing support.

■Circular Economy Businesses

Sojitz is growing circular economy businesses that promote the reuse and recycling of resources based on the trends toward decarbonization and resource recycling. Our initiatives on this front have included investment in IT asset disposition company TESAMM JAPAN K.K.; polyethylene terephthalate chemical recycling company PET REFINE TECHNOLOGY, Co., Ltd.; and renewable resource procurement platform provider Recotech Co., Ltd. In such circular economy businesses for recycling metal, plastic and other waste, we aim to develop businesses with a certain degree of scale in order to make contributions to the realization of a recyclingoriented society.

■Businesses That Respond to Social Needs

We will pursue the creation of new businesses in the fields of rechargeable batteries and decarbonization,where there is great societal need.

In addition to initiatives already underway, including the development of anode materials for lithium-ion batteries for use in electric vehicles, participation in production and sales businesses for the new material graphene, and hydrogen-related demonstration projects, we have also launched a rechargeable battery reuse and recycling business as well as initiatives in emissions trading and CCUS (carbon capture, utilization, and storage).

Moreover, 3D metal printing business operator JAMPT is responding to demand for high-mix, low-volume production of high-precision products. Uses for this company’s 3D metal printing approach include the development of lighter weight automotive components as well as dental applications.

TOPICS

Participation in IT Asset Reuse and Recycling Businesses

In January 2021, Sojitz acquired a stake in TES-AMM JAPAN K.K., the Japanese branch of TES Group, one of the largest global IT asset disposition service providers. Through this investment, we look to promote the normalization of reuse and recycling of IT equipment in order to contribute to the realization of circular economies. In addition, TES Group is moving forward with the development of a lithium-ion battery recycling business that utilizes Sojitz’s network.

Organization

TOP

Page top