Kuraray
Basic Information
- Stock Code
- 3405
- Industry
- Chemicals
- Category Detail
- Chemicals & Chemical Products
- Prefecture
- Tokyo
- Establishment Year
- June 1926
- Listing Year
- May 1949
- Official Website
- https://www.kuraray.co.jp/
- TSE Information
- TSE Information
- Yahoo! Finance
- Yahoo! Finance
- Other Companies
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Overview
Kuraray is a chemical manufacturer founded in 1926 that develops high-performance resins and fiber products domestically and internationally, holding top-class industry status through proprietary technology-based functional materials development.
Current Situation
Kuraray achieved consolidated net sales of approximately 780.9 billion yen and operating profit of approximately 75.5 billion yen for the fiscal year ending December 2023, with overseas sales accounting for about 68% as a global company. Its flagship functional resins include POVAL film for LCD applications with an 80% global share and EVAL for food packaging with 70%, maintaining strong market competitiveness. It addresses diverse industry needs with a wide range of materials, including proprietary artificial leather Clarino and high-performance elastomers. In recent years, it has strengthened its global supply chain through acquisitions of synthetic plants and U.S. companies. To reduce environmental impact, it is developing biomass-derived products, barrier films, and advancing sustainability initiatives. Challenges include settlement losses from the 2018 U.S. EVAL plant fire, but it is securing future competitiveness through R&D and business diversification. Moving forward, it will pursue strategies centered on functional resin market expansion and overseas growth, aiming for sustainable growth through 2030.
Trivia
Interesting Facts
- Kuraray developed the world's first domestic synthetic fiber Vinylon
- "Magic Tape" is Kuraray's registered trademark
- Artificial leather "Clarino" holds high share in the randoseru market
- LCD POVAL film accounts for over 80% global share
- Founder Oohara Magosaburo is one of modern Japan's representative industrialists
- One of the few chemical manufacturers headquartered in Otemachi Tower
- Changed industry classification from fiber products manufacturer to chemicals in 2007
- Once operated the wedding venue "Kuraray Shiragiku"
- Gained attention using ducks and alpacas as CM characters
- 2018 fire at U.S. EVAL plant led to large-scale litigation
- Kuraray's corporate emblem stylizes "Nijusan-in" symbolizing humility
- Overseas sales ratio reached 68% in 2018, advancing globalization
- KURAFLEX nonwoven products are used in medical fields
- Acquired synthetic resin plant from German company to expand production base
- Received exclusion order for activated carbon antitrust violation
Hidden Connections
- Kuraray and Kurashiki Spinning share founder Oohara family roots but currently have no capital ties
- "Mirabakesso" CM featured a shear-cut alpaca for heatstroke prevention
- U.S. subsidiary Kuraray America is a major EVAL resin production base
- Transactions with many automotive-related companies including Nidec and Toyota
- Founded aiming for domestic rayon production at inception
- Corporate emblem philosophy based on humility teachings of founder’s mentor Morita Setsusai
- Tokyo head office located in Otemachi Tower as a key financial and tech hub in the capital region
- Supplies numerous essential functional resin components to the global LCD panel industry
Future Outlook
Growth Drivers
- Expansion of resin products from growing demand for LCD panels and other electronic materials
- Growth in functional resin market utilizing biomass raw materials
- Product demand expansion overseas, especially in Asian emerging countries
- Ongoing development of high-functionality materials for advanced automotive industry
- Increased demand for environmentally compatible products due to stricter regulations
- New material creation capabilities from R&D investment
- Efficiency improvements in global production and sales networks
- Manufacturing process innovation via IoT and AI utilization
- Advancement of corporate responsibility for sustainable society
- Risk diversification and stable growth through diversified management
- Enhanced response to customer needs
- Stable supply through resilient supply chain
Strategic Goals
- Maintain and expand overseas sales ratio above 70%
- Achieve over 30% sales ratio from biomass-derived products
- Reduce CO2 emissions by 40% (vs. FY2010)
- Maintain and strengthen global shares in POVAL and EVAL
- 20% sales increase from new products and technologies
- Maintain R&D expense to sales ratio above 5%
- Achieve highest standards in safety, health, and compliance
- Activate innovation through promotion of workforce diversity
- Improve business efficiency through digitalization
- Strengthen partnerships with local communities
Business Segments
Functional Resin Products
- Overview
- Develops and supplies versatile products using high-functionality resins to meet advanced technical needs of customers.
- Competitiveness
- World top-class technological strength and extensive global production bases
- Customers
-
- Electronics manufacturers
- Automotive parts manufacturers
- Food packaging manufacturers
- LCD panel manufacturers
- Building materials manufacturers
- Cosmetics manufacturers
- Medical device manufacturers
- Industrial materials manufacturers
- Agricultural materials manufacturers
- Chemical trading companies
- Products
-
- POVAL Film
- EVAL Resin
- High-performance elastomers
- Barrier films
- Synthetic leather
- Special resin compounds
- Medical materials
- Superabsorbent resins
- Environmentally compatible materials
- Adhesives
Chemical Fibers and Nonwovens
- Overview
- Leverages advanced fiber technology to supply high-quality materials to customers in diverse industrial sectors.
- Competitiveness
- Proprietary fiber manufacturing technology and superior environmental resistance product lineup
- Customers
-
- Textile manufacturers
- Medical supplies manufacturers
- Automakers
- Interior manufacturers
- Industrial materials suppliers
- Sports goods manufacturers
- Protective gear manufacturers
- Agricultural materials manufacturers
- Filter manufacturers
- Building materials manufacturers
- Products
-
- Vinylon fiber
- Vecran fiber
- Nonwoven products
- High-functionality fiber composites
- Flame-retardant fibers
- High heat-resistant fibers
- Functional yarns and yarn processed products
- Medical nonwovens
- Industrial filters
- Protective clothing materials
Trading and Related Services
- Overview
- Utilizes an extensive network to provide chemical product sales and related services.
- Competitiveness
- Global procurement capabilities and extensive industry expertise
- Customers
-
- Domestic and international chemical trading companies
- Manufacturers
- Distributors
- Logistics service providers
- Environmental service providers
- Retailers
- Construction companies
- Food processors
- Pharmaceutical manufacturers
- Resource recycling companies
- Products
-
- General chemical products
- Industrial materials
- Environmentally compatible products
- Logistics services
- Packaging materials
- Functional materials
- Export/import agency services
- Technical consulting
- Materials procurement support
- Recycled products
Research & Development and Technical Services
- Overview
- Supports the group's competitive edge through innovative materials and technology development.
- Competitiveness
- Specialized knowledge across a wide range of research fields and substantial technological accumulation
- Customers
-
- Kuraray Group business divisions
- Universities and research institutions
- National Institute of Advanced Industrial Science and Technology
- Private companies
- Public institutions
- Products
-
- Materials development
- Manufacturing process technology
- Applied research
- Joint research support
- Technology licensing
- Patent management
- Quality control technology
- Environmental improvement technology
- Product testing services
- Production technology support
Competitive Advantage
Strengths
- World-leading functional resin development technology
- Diverse product portfolio and proprietary brands
- Global production and sales network
- Strong customer base and stable business relationships
- Aggressive M&A for business expansion
- High R&D investment and technological innovation capabilities
- Development capabilities for environmentally compatible products
- Long years of market experience and reliability
- Adaptability to diverse industrial applications
- High-share products backed by proprietary technology
- Strong intellectual property rights and patent portfolio
- High-quality manufacturing management system
- Financial strength and management stability
- Active overseas expansion and sales base development
- Initiatives in environmental and social contributions
Competitive Advantages
- Overwhelming market dominance with 80% global share in LCD POVAL film
- Technological prowess achieving 70% global share in food packaging EVAL products
- Market leadership in artificial leather via proprietary brand 'Clarino'
- Superior delivery times and costs through global production bases
- Enhanced manufacturing capacity and technological innovation via ongoing M&A and acquisitions
- Deep penetration into niche markets with high-performance elastomers and nonwovens
- Broad customer base対応 and long-term partnerships
- Product development adapting to environmental regulations ahead of competitors
- Rapid market introduction of new materials through robust R&D organization
- Reliable product supply via thorough quality management
- Stable financial base supporting large-scale investments and R&D
- Enhanced corporate image through community contributions and sustainability efforts
- Industry-leading intellectual property making imitation difficult
- Risk diversification across diverse business areas
- Optimized production efficiency through group-wide resource sharing
Threats
- Risk of cost increases from global raw material price fluctuations
- Increased manufacturing process burdens from stricter environmental regulations
- Intensified competition and price wars in global markets
- Uncertainty in overseas operations due to geopolitical risks
- Business risks such as fires and manufacturing accidents
- Risks related to legal regulations like activated carbon antitrust violations
- Impact of exchange rate fluctuations on earnings
- Decline in market competitiveness from delayed technological innovation
- Production delays from supply chain disruptions
- Brand risks from information security issues
- Demand reduction risks from economic downturns
- Delays in addressing social responsibility and environmental issues
Innovations
2024: Strengthening Development of Biomass-Derived Resins
- Overview
- Aims for sustainable resource use by developing high-performance resin products from biomass.
- Impact
- Contributes to environmental load reduction and new market creation
2023: High-Performance Research on Next-Generation Nonwovens
- Overview
- Advances R&D on stronger, environmentally harmonious nonwoven materials.
- Impact
- Expected expansion in adoption for medical and hygiene fields
2022: Smart Packaging Material Technology Development
- Overview
- Develops smart packaging technology using functional resins to reduce food loss.
- Impact
- Realization of distribution efficiency and environmentally considerate packaging
2021: Expansion of Recycled Resin Technology
- Overview
- Practicalizes performance enhancement technology for resins compatible with plastic recycling.
- Impact
- Strengthened contribution to circular economy
2020: Launch of New High-Performance Elastomer Products
- Overview
- Develops new elastomers with enhanced heat and chemical resistance for automotive components.
- Impact
- Strengthened competitiveness in automotive market
Sustainability
- Active promotion of biomass-derived materials
- Deepening of factory CO2 reduction and energy-saving measures
- Establishment of product collection and recycling systems
- Thorough safety and health management and workplace environment improvements
- Environmental conservation activities in collaboration with local communities
- Strengthening environmental and social responsibility in supply chains
- Promotion of green procurement
- Plastic waste reduction programs
- Employee environmental awareness education
- Transparent disclosure and communication of environmental data
- Acquisition and renewal of international environmental standard ISO 14001
- R&D investment in sustainable material development