Kureha

Basic Information

Stock Code
4023
Industry
Chemicals
Category Detail
Industrial Materials
Prefecture
Tokyo
Establishment Year
June 1944
Listing Year
May 1949
Official Website
https://www.kureha.co.jp/
TSE Information
TSE Information
Yahoo! Finance
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Overview

Kureha is a chemical manufacturer founded in 1944, boasting high technological capabilities and a diverse product lineup centered on functional resins, pharmaceuticals, agrochemicals, and carbon fibers, making it one of Japan's leading fine chemical companies.

Current Situation

Kureha recorded consolidated sales of approximately 142.4 billion yen and operating profit of approximately 18 billion yen in the fiscal year ended March 2020, possessing a stable revenue base. It secures high market share in its mainstay functional resin products and medical pharmaceuticals. It also holds advanced technology in high-performance materials such as carbon fibers, capturing a portion of the global market share. After restoring its business sites damaged by the Great East Japan Earthquake, it actively promotes regional support activities. In the long term, it emphasizes sustainability, enhancing product portfolio sophistication and global expansion. It continues R&D investment, focusing on technological innovation to meet diverse market needs from packaging materials to pharmaceuticals. It thoroughly implements corporate governance and aims for stable management as a member of the Fuyo Group. Recently, it has appropriately addressed internal misconduct issues and strives to strengthen its corporate risk management system.

Trivia

Interesting Facts

  • First domestic producer of polyvinylidene chloride resin.
  • Household wrap 'Kurewrap' was commercialized earlier than Asahi Kasei's 'Saran Wrap.'
  • Holds approximately 70-80% global share in carbon fiber materials.
  • Polyglycolic acid products, mass-produced after 31 years, used in drilling plugs.
  • Actively donated to agricultural recovery projects after Great East Japan Earthquake.
  • Member of Fuyo Group with high management stability.
  • Deep connections with shareholders and related companies across diverse industries.
  • Iwaki plant, one of Japan's largest, uniquely features residential facilities.
  • Antitumor agent Krestin co-marketed with Daiichi Sankyo.
  • Fishing line 'Seaguar' is a high-durability product using polyvinylidene fluoride.
  • Adhesive technology for food wraps is proprietary and patented.
  • Pioneer in early R&D of environmentally friendly products.
  • Established in 1944, spun off chemical division from Kureha Spinning.
  • Operates 33 subsidiaries and affiliates domestically and internationally.
  • Publicly disclosed prompt and transparent response to internal misconduct.

Hidden Connections

  • As a Fuyo Group member, strong ties with Mitsubishi and Mizuho financial institutions.
  • Long-term partnership with major pharmaceutical companies for anticancer agent Krestin development.
  • Carbon fiber products used in diverse applications from aerospace to wind power generation.
  • Pharmaceutical formulation technology applicable to agrochemicals, creating synergies.
  • Iwaki plant damaged in Tohoku Pacific Offshore Earthquake is a key local economic hub.
  • Packaging materials business has transactions with multiple major domestic food manufacturers.
  • Joint projects with environmental groups on biodegradable resin R&D.
  • Agrochemical business advancing technical collaborations with companies like Nihon Nohyaku.

Future Outlook

Growth Drivers

  • Increasing demand for carbon fibers and high-functional materials.
  • Enhanced market competitiveness through environmentally friendly product development.
  • Creation of high value-added pharmaceutical and agrochemical products.
  • Productivity improvements and advanced quality control via digitalization.
  • Aggressive expansion into global markets.
  • Growing societal demand for sustainability responses.
  • Needs for enhanced functionality and diversification of packaging materials.
  • Management emphasizing coexistence with local communities.
  • New market creation through technological innovation.
  • Securing stable financial base in the long term.
  • Synergy enhancement through group collaborations.
  • Promotion of management strategies for sustainable growth.

Strategic Goals

  • Maintain and expand world share in carbon fiber field.
  • Sustainable packaging materials to account for over 70% of sales.
  • Achieve top domestic share in pharmaceutical and agrochemical products.
  • Carbon neutral across all production sites.
  • Further strengthening of regional social contribution activities.
  • Continuous expansion of R&D investment.
  • Expanded acquisition of domestic and international CSR certifications.
  • Company-wide penetration of diversity-respecting work styles.
  • Target sales of approximately 180 billion yen from 2025 to 2030.
  • Optimization of product production efficiency and quality.

Business Segments

Packaging Materials Manufacturing

Overview
Handles design and manufacturing of packaging materials for food and pharmaceuticals.
Competitiveness
High-functional film manufacturing technology
Customers
  • Food Processors
  • Distributors
  • Retailers
  • Pharmaceutical Companies
  • Agribusiness Companies
Products
  • Polyvinylidene Chloride Film
  • Multi-layer Bottle Materials
  • Industrial Heavy-Duty Bags
  • Pharmaceutical Packaging Materials

Functional Resin Materials Sales

Overview
Provides various high-functional resin materials for industrial use.
Competitiveness
Product lineup with excellent heat and chemical resistance
Customers
  • Engineering Plastics Manufacturers
  • Electrical Equipment Manufacturers
  • Automotive Parts Manufacturers
  • Semiconductor Equipment Manufacturers
Products
  • Fortron KPS
  • KF Polymer
  • Microcapsule Technology

Carbon Fiber and Materials Manufacturing

Overview
Strength in production and sales of high-performance carbon materials.
Competitiveness
Carbon fiber technology holding 70-80% world share
Customers
  • Aerospace Companies
  • Automakers
  • Energy Companies
  • Electronic Parts Manufacturers
Products
  • Carbon Fiber
  • Activated Carbon Products
  • Graphite Electrodes

Pharmaceutical Manufacturing and Sales

Overview
Handles R&D and supply of high-functional pharmaceuticals.
Competitiveness
Proprietary formulation technology and clinical applications
Customers
  • Medical Institutions
  • Veterinary Professionals
  • Pharmaceutical Wholesalers
Products
  • Antitumor Agent Krestin
  • Chronic Renal Failure Treatment Kremezin
  • Veterinary Pharmaceutical Kobaldin

Agrochemicals and Agricultural Materials

Overview
Provides effective fungicides and agrochemical materials.
Competitiveness
High-quality raw material manufacturing technology
Customers
  • Farmers
  • Horticultural Businesses
  • Agricultural Machinery Manufacturers
Products
  • Metconazole
  • Ipconazole
  • Agrochemical Intermediates

Packaging Machinery Manufacturing

Overview
Designs and manufactures machinery to improve packaging efficiency.
Competitiveness
High-precision and flexible manufacturing equipment
Customers
  • Food Factories
  • Pharmaceutical Manufacturing Plants
  • Logistics Companies
Products
  • Automatic Filling and Sealing Machines
  • Multi-function Packaging Equipment

Competitive Advantage

Strengths

  • Advanced resin processing technology
  • Global share in carbon fiber field
  • Diversified business portfolio
  • Strong support from Fuyo Group
  • Proprietary pharmaceutical formulation technology
  • High market recognition of high-functional packaging materials
  • Community-based social contribution activities
  • Continuous R&D investment
  • Stable financial base
  • Extensive domestic and international sales network
  • High customer trust
  • Deployment of environmentally friendly products
  • Highly specialized technical staff
  • Transparency in management and strengthened governance
  • Diverse subsidiary network

Competitive Advantages

  • Holds 70-80% global share in carbon fiber, providing high superiority
  • Food wrap 'NEW Kurewrap' is a top-class domestic brand
  • Possesses proprietary product lines such as anticancer agents and renal failure drugs
  • Excels in development of advanced materials like multi-layer films and special resins
  • Comprehensive capabilities covering packaging machinery and industrial materials
  • Stable funding and collaboration benefits within Fuyo Group
  • Enhanced social credibility through regional contributions since Great East Japan Earthquake
  • Polyglycolic acid products, successful after 31 years of R&D, provide competitiveness
  • Advanced lineup of heat- and chemical-resistant resin products
  • High quality control for medical and agrochemical products
  • Balanced business composition of consumer goods and B2B products
  • Long-established trusted brand power
  • High technological accumulation and applicability across multiple fields
  • Robust customization capabilities to meet customer needs
  • Superior manufacturing processes considering environment and safety

Threats

  • Risk of growth slowdown due to maturing domestic market
  • Intensifying competition with overseas giants
  • Cost risks from fluctuations in material prices and raw materials
  • Increased adaptation burden from stricter environmental regulations on products and manufacturing methods
  • Market share erosion from emergence of new technologies or substitute materials
  • Risk of factory equipment damage from natural disasters
  • Challenges in securing talent due to declining working population
  • Impacts from policy changes or export regulations
  • Stricter regulations on pharmaceuticals
  • Impacts from international trade friction
  • Negative impact on profit margins from exchange rate fluctuations
  • Corporate image deterioration from scandals

Innovations

2025: Introduction of New Carbon Fiber Manufacturing Technology

Overview
Succeeded in improving carbon fiber strength and production efficiency.
Impact
Significantly enhances market competitiveness

2024: Establishment of Mass Production Technology for High-Functional Polymers

Overview
Developed mass production technology for new polyvinylidene fluoride products balancing heat and chemical resistance.
Impact
Enables rapid response to customer demands

2023: Successful Commercialization of Polyglycolic Acid Products

Overview
Achieved mass production of shale oil drilling plug materials after 31 years of research.
Impact
Contributes to sales expansion in new markets

2022: Strengthened Bioplastic Research

Overview
Advanced development projects for bio-based materials to reduce environmental impact.
Impact
Contributes to sustainability goals

2021: Improved Automation Technology for Packaging Machinery

Overview
Successfully developed and introduced IoT-compatible automatic filling and sealing machines.
Impact
Achieves efficiency in manufacturing sites

Sustainability

  • Ongoing donations to Tohoku disaster recovery support activities
  • Promotion of product waste recycling
  • Expansion of energy-saving equipment in factories
  • Strengthened efforts to reduce hazardous substance emissions
  • Collaborative environmental education programs with communities
  • Advanced safety and health management
  • Development and provision of sustainable agrochemicals
  • Promotion of environmentally considerate packaging materials development
  • Promotion of employee diversity and work-life balance
  • Improved transparency of environmental reports
  • Promotion of green procurement
  • Regional medical support and health promotion activities