Japan's Kuraray has moved to reshape its global methacrylate operations, announcing that it will transfer all shares of its wholly owned subsidiary, Kuraray Methacrylate (Zhang Jia Gang) Co, to Jiangsu Double Elephant Group Co. The companies have formally signed a share transfer agreement, Kuraray said.

 

The decision marks a major strategic shift for the Tokyo-based chemical manufacturer as it confronts weakening demand in China, once a key growth market for its high-end acrylic products.

 

Founded in 2004, Kuraray Methacrylate (Zhang Jia Gang) built its reputation on high-quality cast methacrylic resin sheets, supplying luxury-brand acrylic bathtubs across China and serving as a manufacturing base for the Japanese market. But the prolonged slump in China’s real-estate sector—the core driver of bathtub demand—has sharply eroded sales and dragged down profitability.

 

Kuraray has been reshaping its business mix under its medium-term plan, “PASSION 2026,” which calls for a more selective portfolio and reduced methyl methacrylate (MMA) production capacity. Against that backdrop, the company said the sale reflects both shifting market conditions and a push for greater operational efficiency.

 

Amid “major changes in the Chinese market,” Kuraray concluded that handing control of the subsidiary to Jiangsu Double Elephant Group—China’s largest MMA producer—offers the best path to ensure its technologies “will continue to be put to good use” and that its cast sheet business can remain viable under new ownership.