Conducts a wide range of trading and business, from basic chemicals such as methanol, to functional materials focusing on plastics, as well as inorganic chemicals such as industrial salts and rare earths. We are also developing businesses in the environmental and life science fields to contribute to building a low-carbon, circular economy society.
Strengths of the Division
- ●A wide variety of products, materials, and business proposal capabilities
- ●An extensive customer network of over 5,000 companies around the world
- ●Top-level business scale and name recognition among general trading companies
- ●Operational know-how accumulated through our gas chemical business
- ●A plastic resin business with a global sales and procurement network
- ●Business know-how in the C5 and petroleum resin business value chain
- ●Large share and stable supply of Indian-sourced industrial salt in the Asian market
- ●Growing global demand for chemicals accompanying economic growth in emerging countries
- ●Emergence of new supply chains due to changes in resource supply structures
- ●Development of new materials to meet the progress and advancement of environmentally-conscious needs at the global level
- ●Reduction in demand and/or transaction volume of some products due to tighter safety and environmental regulations in certain countries
- ●Pressure on earnings due to volatile market conditions and fluctuations in foreign exchange rates
- ●Reduced demand and stagnation of economic activity worldwide due to the spread of the COVID-19 pandemic
The supply chain for chemicals covers a broad range, and due to the effects of the COVID-19 pandemic, the automotive industry and other industries have suffered from a temporary drastic drop in demand. Market conditions that had declined for various products due to a drop in crude oil prices are showing signs of recovery. By levering our strengths, namely our business foundation and marketing functions, we are putting speedy and flexible measures in place so that we are ready once economic activity resumes and demand recovers in countries around the world.
The supply structure of the global chemicals industry stands at a major turning point. Market needs are also continuing to change, with consumer demand expanding due to the growing number of middle-income earners in emerging countries, especially those in Asia, and the development of new products and technologies in response to environmental issues. While improving the strengths of existing businesses, we will also deepen our involvement in SDGs and ESG initiatives and develop new businesses that utilize new technologies in the fields of plastic recycling and biochemicals.
Methanol business (Kaltim Methanol Industri in Indonesia)
Industrial salt (India)
■European chemical marketing and distribution company (solvadis deutschland gmbh)
In 2017, we acquired solvadis deutschland gmbh, a Europe-based chemical marketing and distribution company with a long history in sulfur, sulfuric acid, and methanol. solvadis handles as much as 1 million tons of methanol and one of its subsidiaries that provides a stable supply of necessary materials to chemical manufacturers in the H?chst Industrial Park in Germany. In April 2020, as part of our efforts to enhance our distribution functions, we began the operation of facilities to solidify molten sulfur-which is used as a raw material for resins, textiles, fertilizer, and tires-at our logistics center in Belgium. Through this, we expect to be able to provide a stable supply to the region and increase our trade volume.
■Plastics Business in Asia
To meet the increase in environmental needs in Asia, we are aiming to participate in more recycling businesses and expand sales of environmentally-friendly materials, green polyethylene and other materials that the company has been handling for many years. We will enhance the proposals we offer to brand owners and promote the use of environmentally-conscious materials. A large type mold manufacturing company for automotive parts in India that we have invested in is using its sophisticated technological capabilities to support the growing number of cars and motorcycles being manufactured there, thereby contributing to the vehicle industry in India and the surrounding regions.
Because sugarcane absorbs CO2 during growth, green polyethylene is considered to emit zero net CO2 when burned as a waste material. In 2012, Sojitz Pla-Net acquired the sales rights for this product in Asia and Oceania from Braskem S.A. in Brazil. We are striving to facilitate the spread of environmentally friendly packaging materials through collaboration with retail businesses such as major convenience stores and making proposals to major brand holders.