Kureha Corporation has unveiled an ambitious blueprint to bolster its production capabilities for polyvinylidene fluoride (PVDF) at the renowned Iwaki Factory situated in Fukushima, Japan. PVDF, renowned for its versatile applications as a binding material in lithium-ion batteries (LiBs) and as an engineering-grade plastic in diverse industrial sectors, has emerged as a pivotal player in the wake of the burgeoning electric vehicle (EV) market and the escalating environmental consciousness that fuels it.

This strategic move comes as a direct response to the mounting demand for LiB binders in the automotive realm, which has experienced exponential growth thanks to the rapid expansion of electric vehicles. In light of this trajectory, Kureha Corporation has decided to fortify its position in the market by amplifying its PVDF production capacity.

Currently, the Kureha Group oversees the production of PVDF through two primary channels: the Iwaki Factory in Japan, churning out an annual output of 6,000 tons, and a wholly owned subsidiary in China with a capacity of 5,000 tons per year. Recognizing PVDF as its most promising venture, the Group has identified it as a critical driver of growth. In line with this, the Group has embarked on an expansion initiative, catalyzed by the relentless demand surge, coupled with the ever-increasing momentum of the electric vehicle revolution.

The core of this endeavor is a multifaceted capacity augmentation project, which not only addresses market demand but also takes into account the environmental footprint of the manufacturing process. This project stands as a testament to the Group's commitment to sustainable practices and is being executed with their most substantial investment to date.

The cornerstone of this ambitious undertaking is the establishment of a brand-new manufacturing facility dedicated to PVDF. Nestled within the precincts of the Kureha Iwaki Factory in Fukushima, Japan, this facility will span the production gamut, encompassing the construction of the edifice itself, as well as the procurement and installation of state-of-the-art equipment. The anticipated culmination of this facility is projected for March 2026, at which point it is slated to yield an annual production capacity of 8,000 tons.

In monetary terms, Kureha Corporation is poised to inject approximately JPY 70 billion into this enterprise, reflecting their resolute commitment to not only fortify their position in the PVDF market but also to steer their broader corporate trajectory in the direction charted by their ambitious mid- and long-term management strategy, aptly titled 'Toward Creating a New Future.' Within the ambit of this strategic framework, Kureha's spotlight remains firmly trained on Advanced Materials, with PVDF occupying a pivotal place as a catalyst for growth.

In conjunction with the establishment of the forthcoming manufacturing facility, which will manifest its impact in the market a few years down the line, Kureha Corporation is diligently embarking on interim measures aimed at heightening profitability in the PVDF domain. These measures encompass debottlenecking and enhancing the capacity of their existing facilities, innovating novel polymer grades, and bolstering and streamlining their global supply chain. An additional feather in Kureha's cap is their qualification for government grants specifically designated for the expansive ambit of this project. This speaks to the project's alignment with broader economic and developmental initiatives.

In summary, Kureha Corporation's resounding declaration to escalate PVDF production at their Iwaki Factory reverberates through the growing landscape of electric vehicles and advanced materials. Through comprehensive expansion endeavors and a strong focus on sustainability, the corporation positions itself not only as a key player in the PVDF arena but as a harbinger of growth and innovation in the larger industrial spectrum.