Japan Composite Co., Ltd., a joint subsidiary of Mitsui Chemicals, Inc. and Nippon Shokubai Co., Ltd. has agreed to acquire the sheet molding compound (SMC) and molding operations of DIC Kako Inc.The two companies signed the contract for the deal on August 3, 2020. The business acquired will be named as "JC Kako Co., Ltd." and is due to begin operations from December 01, 2020.

 

The incorporation of DIC Kako’s SMC business will make for a dual-plant setup between Shimizu and Narita, boosting Japan Composite’s SMC production capacity by 70 percent to 33,000 tons for a more stable, robust supply structure.

 

In addition, with the resultant integrated supply chain spanning the unsaturated polyester resin used as a raw material through to the SMC and its molding process, this will further enhance Japan Composite’s ability to offer solutions to customers.

 

A compound of unsaturated polyester resin mixed with filler and glass fiber before being rolled into sheets, SMC offers strength and a resistance to hot and cold water means that give it use in a wide range of applications, including automobiles and household amenities such as kitchens, toilets and baths. The expansion in demand for housing renovation has given rise to a growing need for high-performance SMC offering a premium design finish. In the automotive sector, meanwhile, the shift to electric vehicles and the need to reduce vehicle weight is driving rising demand for structural parts and other exterior applications that take advantage of SMC's outstanding heat resistance, strength and dimensional stability.

 

In view of strengthening the Mitsui Chemicals Group’s Mobility Solutions strategy, Japan Composite will seek to enhance the global expansion of mobility applications for the fiber-reinforced composite material that is SMC by tapping into the group’s various materials, technologies, molds and prototype support functions.