Chemical Industry Update: Sumitomo Chemical Announces Transfer of Caprolactam Technology! Japanese Chemical Companies Are Accelerating Their Transformation

The company announced a performance improvement plan: the Basic Materials Division and the Industrial Chemicals Division will be merged into a single Basic Materials Division, and approximately 30 businesses will undergo divestiture or downsizing. In 2015, Sumitomo Chemical shut down its liquid-phase caprolactam production line at its Ehime Plant in Japan, with an annual capacity of 95,000 tons. The line had been operational since 1965—nearly 50 years—and the company stated that its cost competitiveness had deteriorated significantly in terms of maintenance and repair expenses. In October 2022, Sumitomo Chemical officially ceased operations of its gas-phase caprolactam production facility at the Ehime Plant, with an annual capacity of 85,000 tons—marking its formal exit from the caprolactam business. Additionally, on December 4, 2023, Sumitomo Chemical announced its decision to shut down, by the end of March 2024, its cyclohexanone production unit at the Ehime Plant—which began operations in 1973 and has an annual capacity of 100,000 tons—thereby completely withdrawing from domestic production of nylon raw materials in Japan. In January 2024, the company announced plans to discontinue one polarizer film production line each at its Pyeongtaek Plant in South Korea and its Tainan Plant in Taiwan by mid-2024; some production lines at one of its Japanese plants had already been halted. The cited reasons for these reductions were declining TV demand and oversupply caused by increased output from other manufacturers. In April 2024, Sumitomo Chemical announced the transfer of equity stakes in two of its Chinese subsidiaries—Sumitomo Chemical Electronic Materials (Hefei) Co., Ltd. and Sumitomo Chemical Electronic Materials (Chongqing) Co., Ltd.—to Zhenjiang Runjing High-Purity Chemical Technology Co., Ltd. These subsidiaries primarily manufacture etching/stripping solutions and developers. Sumitomo Chemical’s President, Keiichi Iwata, stated: “Over the past decade, more than 90% of Sumitomo Chemical’s strategic investments have been concentrated in specialty chemicals. Currently, specialty chemicals account for approximately 70% of the company’s sales. Specialty products include polarizing films for organic LCD displays, photoresists, battery materials, and biomaterials. The company will further increase the proportion of its specialty chemicals business.” Mitsui Chemicals Mitsui Chemicals Group is a long-established major Japanese chemical enterprise, comprising 135 subsidiaries and four affiliated companies. Its business is divided into four main segments: Life & Health Solutions, Mobility Solutions, ICI Solutions, and Basic & Green Materials. The Basic & Green Materials segment includes phenol/PTA, polyurethanes, and green chemistry businesses. In 2022, Mitsui Chemicals reported revenue of ¥1.88 trillion (RMB 95.11 billion) and net profit of ¥82.936 billion. From 2013 to 2022, its average annual revenue growth rate was 2.0%, indicating modest growth. At the end of 2023, Mitsui Chemicals unveiled its “Vision 2030,” declaring that, as part of its portfolio restructuring, it aims to become a truly global specialty chemicals company—anchored on two pillars: (1) high-growth, high-profit global specialty chemicals businesses, and (2) sustainable green chemicals businesses centered on competitively differentiated derivative products. Mitsui Chemicals began optimizing multiple businesses as early as 2022: In July 2022, Mitsui Chemicals dissolved its polyurethane materials joint venture with SKC of South Korea.

Top 20 Global Chemical Companies by Revenue in 2025

Westlake Corporation announced its fiscal 2025 fourth-quarter and full-year results. Fourth-quarter net sales totaled $2.533 billion, compared to $2.843 billion in the prior-year period. Net loss attributable to the company for the quarter was $544 million, versus a net loss of $782 million in the prior-year period. Full-year net sales amounted to $11.17 billion, down from $12.142 billion in the prior year. Full-year net loss attributable to the company was $1.508 billion, compared to net income of $602 million in the prior year. International Flavors & Fragrances Inc. (IFF) announced its fiscal 2025 fourth-quarter and full-year results. Fourth-quarter net sales totaled $2.589 billion, down 7% year-on-year from $2.771 billion. Operating profit for the quarter was $97 million, down 24% year-on-year from $127 million. Net income attributable to shareholders for the quarter was $18 million, versus a net loss of $60 million in the prior-year period. Full-year net sales totaled $10.89 billion, down 5% year-on-year from $11.184 billion. Full-year operating loss was $382 million, versus operating income of $766 million in the prior year. Full-year net loss attributable to shareholders was $374 million, versus net income of $263 million in the prior year. Celanese Corporation announced its fiscal 2025 fourth-quarter and full-year results. Fourth-quarter net sales totaled $2.204 billion, down from $2.358 billion in the prior-year period. Operating profit for the quarter was $93 million, versus an operating loss of $1.419 billion in the prior-year period. Net income for the quarter was $22 million, versus a net loss of $1.922 billion in the prior-year period. Full-year net sales totaled $9.544 billion, down from $10.268 billion in the prior year. Full-year operating loss was $786 million, versus an operating loss of $720 million in the prior year. Full-year net loss was $1.151 billion, versus a net loss of $1.534 billion in the prior year. Eastman Chemical Company announced its fiscal 2025 fourth-quarter and full-year results. Fourth-quarter sales totaled $1.973 billion, down from $2.245 billion in the prior-year period. Net income attributable to the company for the quarter was $105 million, versus $330 million in the prior-year period. Full-year sales totaled $8.752 billion, down from $9.382 billion in the prior year. Full-year net income attributable to the company was $474 million, versus $905 million in the prior year. DuPont de Nemours, Inc. announced its fiscal 2025 fourth-quarter and full-year results. Fourth-quarter net sales totaled $1.693 billion, up slightly from $1.689 billion in the prior-year period. Net loss attributable to common shareholders for the quarter was $126 million, versus a net loss of $117 million in the prior-year period. Full-year net sales totaled $6.849 billion, up from $6.719 billion in the prior year. Full-year net loss attributable to common shareholders was $779 million, versus net income of $703 million in the prior year. DuPont previously completed the spin-off of its Electronics Materials business into an independent, publicly traded company named Qnity Electronics. Huntsman Corporation announced its fiscal 2025 fourth-quarter and full-year results.

Mitsui Chemicals Basic & Green Materials Loss Widens in FY2025

May 13, 2026

Mitsui Chemicals' Basic & Green Materials unit reported a widened operating loss of ¥18.4 billion in FY2025 driven by weak demand and low plant rates. Restructuring measures aim to narrow losses to ¥3.0 billion in FY2026 despite ongoing Middle East conflict risks.

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