Mitsui Chemicals Announces Withdrawal from Toner Binder Resin Operations

Mitsui Chemicals, Inc. has announced its decision to discontinue production of styrene-acrylic resin and polyester resin for toner binders, effective in the first half of fiscal 2025. This strategic move aligns with the company's ongoing efforts to optimize its product portfolio and focus on core competencies.

Mitsui Chemicals' VISION 2030 Long-Term Business Plan envisions "Chemistry for a Sustainable World" as the company’s ultimate goal. To achieve this, the company is focusing on portfolio reform, with the aim of becoming a truly global specialty company. This strategy is built on two key pillars: a high-growth, high-profitability global specialty chemicals business and a sustainable green chemicals business centered around competitive derivatives.

The Coatings & Engineering Materials Division, under the ICT Solutions Business Sector of Mitsui Chemicals Inc., is involved in producing styrene–acrylic resin and polyester resin for toner binders. However, the profitability of this business has come under significant strain due to intense price competition, rising raw material costs, and declining demand for printing, driven by changes in work styles since the COVID-19 pandemic.

In response to the challenging market conditions, Mitsui Chemicals made extensive efforts to rationalize the business and reduce costs. Despite these efforts, the company has concluded that maintaining the necessary level of profitability is no longer feasible. As a result, Mitsui Chemicals has decided to withdraw from the business of producing styrene–acrylic resin and polyester resin for toner binders. This decision reflects the company's strategic focus on optimizing its portfolio and concentrating on more sustainable and profitable ventures in line with its VISION 2030 plan.

Mitsui Chemicals plans to withdraw from the production of toner binder resins, specifically styrene–acrylic and polyester resins, sold under the brand names ALMATEX™ and ALMASTAR™. The manufacturing operations at the Mobara Branch Factory are scheduled to cease by the first half of fiscal 2025. As the company moves forward with this decision, it is committed to minimizing disruptions to stakeholders and ensuring a smooth transition. This move aligns with Mitsui Chemicals' broader strategic focus on optimizing its portfolio and concentrating on more sustainable and profitable business areas.

The decision to withdraw from the production of toner binder resins is expected to have a minor impact on the financial performance of the Mitsui Chemicals Group. Consequently, the company does not anticipate any changes to its current earnings forecast. Mitsui Chemicals remains focused on executing its long-term business strategy while continuing to monitor its financial health. The group will ensure that this strategic shift does not disrupt its overall business outlook or hinder its ongoing efforts to achieve sustainable growth in other key areas of its portfolio.