Ise Chemical Industries

Basic Information

Stock Code
4107
Industry
Chemicals
Category Detail
Chemicals & Chemical Products
Prefecture
Tokyo
Establishment Year
March 1948
Listing Year
October 1990
Official Website
https://www.isechem.co.jp/
TSE Information
TSE Information
Yahoo! Finance
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Other Companies
K&O Energy, Nankai Chemical, Nippon Soda, Toa Gosei, Osaka Soda, Shikoku Kasei Holdings, Tokyo Ohka Kogyo, Sekisui Chemical

Overview

Ise Chemical Industries is a specialist manufacturer in the gas mining and chemical fields, founded in 1948, accounting for approximately 12% of global iodine production as a leading company.

Current Situation

Ise Chemical Industries achieved consolidated sales of approximately 16.8 billion yen in the fiscal year ended December 2019, with iodine and iodine compounds as its mainstay products. The company supplies over 40% of Japan's domestic iodine production and has established one of the world's leading production systems. Natural gas extraction and sales are also part of its operations, conducted at multiple sites including the Minami-Kanto Gas Field. As a subsidiary of AGC, it maintains a stable capital base with consolidated net assets of approximately 24.7 billion yen. In technology development, it has advanced its high-purity compound manufacturing technology and focuses on production systems that reduce environmental impact. In sustainability efforts, it promotes efficient resource utilization and contributions to local communities, and in the medium to long term, plans to expand production capacity to meet growing global demand. While contributing to the stable supply of the global iodine market, it aims to enhance added value through the development of new chemical products.

Trivia

Interesting Facts

  • Key company accounting for approximately 40% of Japan's iodine production market.
  • World-leading manufacturer supplying approximately 12% of global iodine production.
  • Possesses the largest-scale iodine manufacturing facilities among private companies in Japan.
  • Rare example of iodine production as a byproduct of natural gas extraction.
  • Stable management base as part of AGC Group.
  • Uses brine extracted from Chiba Prefecture's Minami-Kanto Gas Field as raw material.
  • Composite chemical manufacturer producing diverse chemicals in an integrated manner.
  • Focuses on manufacturing nickel and cobalt compounds in addition to iodine.
  • Production across multiple factories in Chiba and Miyazaki Prefectures.
  • Also engages in natural gas extraction and sales, with an energy division.
  • Stable demand for iodine in medical and electronics fields.
  • Founded in 1948, but origins trace back to 1927 as a historic company.
  • Focuses on production system emphasizing environmental protection and sustainability.
  • President is Takayoshi Minato, promoting enhancement of technological capabilities.
  • Major shareholders include major companies AGC and Mitsubishi Corporation.

Hidden Connections

  • Achieves stable management through capital and technical collaboration with AGC Group.
  • Competes with Chile and the US as one of the three major iodine producing countries.
  • Strength in raw material supply from ownership of natural gas mining rights.
  • Built stable sales base in distribution through capital ties with Mitsubishi Corporation.
  • Engages in new material development through joint research with domestic and international research institutions.
  • Strong corporate culture of collaboration with local community as a Chiba-based company.
  • Mitigates economic fluctuation risks through composite business of chemicals and natural gas.
  • Iodine products gaining attention as an example of efficient utilization of renewable underground resources.

Future Outlook

Growth Drivers

  • Expansion of demand for high-purity iodine in medical and electronic materials fields
  • Increase in iodine demand due to global trend toward renewable resource utilization
  • Growing importance of nickel and cobalt compounds with advancement of battery materials
  • Rising demand for purification products amid stricter domestic and international environmental regulations
  • Synergy creation through technology integration and new product development within AGC Group
  • Stable supply of natural gas resources and suppression of price fluctuations
  • Product advancement and diversification through continued R&D investment
  • Sales expansion through strengthened overseas market development
  • Trust building through strengthened collaboration with local communities
  • Productivity improvement via digital transformation introduction
  • Corporate value enhancement through sustainability promotion
  • Transition to growth stage through new business area development

Strategic Goals

  • Maintain top 3 global share in iodine production
  • 50% reduction in CO2 emissions from chemical manufacturing
  • 30% expansion in sales ratio from new material development
  • 20% improvement in natural gas extraction efficiency
  • Increase overseas sales ratio to over 40%
  • Sustainable business development contributing to local communities
  • Manufacturing efficiency improvement through digital technology introduction
  • Innovation promotion through diverse talent development
  • Elevate safety and health standards to international level
  • Establish technology leadership within AGC Group

Business Segments

Chemical Product Manufacturing and Sales

Overview
Provides a wide variety of chemicals to the electronics, pharmaceuticals, environment, and mining sectors, achieving high quality and stable supply.
Competitiveness
Advanced manufacturing technology leveraging AGC Group's technical and financial strength
Customers
  • Electronic component manufacturers
  • Pharmaceutical manufacturers
  • Chemical industry companies
  • Research institutions
  • Automotive parts manufacturers
  • Energy companies
  • Mining development companies
  • Environmental companies
  • Analysis companies
  • Chemical reagent distributors
Products
  • High-purity iodine products
  • Nickel compounds
  • Cobalt compounds
  • Industrial catalysts
  • Fine chemicals
  • Environmental purifiers
  • Special chemical reagents
  • Pharmaceutical intermediates
  • Semiconductor chemicals
  • Mining chemicals
  • Industrial gas materials
  • Adsorbents
  • Gas purifiers
  • Oxidation-reduction reagents
  • Natural gas-related products

Natural Gas Extraction and Sales

Overview
Extracts natural gas from the Minami-Kanto and Miyazaki gas fields and supplies it to diverse customers in the energy business.
Competitiveness
Ownership of rare domestic natural gas mining rights and stable supply capability
Customers
  • Power plants
  • Chemical plants
  • City gas operators
  • Industrial plants
  • Local public facilities
Products
  • Industrial natural gas
  • Household natural gas
  • Refined gas
  • Gas-related byproducts

R&D Services

Overview
Supports customers' R&D by providing prototypes and analysis services, contributing to technological innovation.
Competitiveness
High specialized technology and long years of chemical development experience
Customers
  • Pharmaceutical development companies
  • Electronic materials development companies
  • Universities and public research institutions
Products
  • Material development support
  • Analysis services
  • Prototype chemical supply

Mining Chemical Supply

Overview
Provides necessary chemical products for mining flotation processes, supporting efficient mineral resource recovery.
Competitiveness
High expertise in mining chemical development
Customers
  • Mining operators
  • Mineral flotation operators
  • Metallurgical companies
Products
  • Ore extraction chemicals
  • Flotation agents
  • Waste treatment agents

Industrial Catalyst Supply

Overview
Supplies high-performance catalysts that improve chemical reaction efficiency to various manufacturing industries.
Competitiveness
High-precision catalyst synthesis technology and quality control
Customers
  • Chemical manufacturers
  • Automotive parts manufacturers
  • Electronic component manufacturers
Products
  • Metal catalysts
  • Organic catalysts
  • Special catalysts

Environmental Solutions

Overview
Supports corporate and municipal environmental measures with chemical products, contributing to sustainable society formation.
Competitiveness
Product lineup considering reduced environmental impact
Customers
  • Water treatment facilities
  • Waste treatment sites
  • Environmental conservation organizations
Products
  • Purifiers
  • Environmental additives
  • Soil conditioners

Semiconductor and Electronic Materials Products

Overview
Provides high-purity chemicals for advanced electronic materials fields, achieving high manufacturing quality.
Competitiveness
Quality control specialized for semiconductor manufacturing processes
Customers
  • Semiconductor manufacturers
  • Electronic component manufacturers
  • Display manufacturers
Products
  • High-purity solvents
  • Cleaning agents
  • Special chemical agents

Pharmaceutical Raw Materials Supply

Overview
Stably delivers high-quality raw materials necessary for pharmaceutical manufacturing, supporting the medical industry.
Competitiveness
Capability to meet strict quality standards
Customers
  • Pharmaceutical manufacturers
  • Biotechnology companies
  • Research institutions
Products
  • Iodine reagents
  • Pharmaceutical intermediates
  • Analytical chemicals

Chemical Reagent Sales

Overview
Handles a wide variety of chemical reagents for research, supporting the foundation of R&D.
Competitiveness
Product lineup accommodating diverse needs
Customers
  • Universities and research institutions
  • Testing and inspection organizations
  • Manufacturing R&D departments
Products
  • Standard reagents
  • Analytical reagents
  • Experimental chemicals

Chemical Import/Export Operations

Overview
Handles chemical distribution domestically and internationally, providing import/export support.
Competitiveness
Global sales network
Customers
  • Overseas chemical companies
  • Domestic agents
  • Importers/exporters
Products
  • Imported raw materials
  • Exported products
  • International logistics support

Industrial Gas Supply

Overview
Provides various industrial and medical gases tailored to customer needs.
Competitiveness
Established safety management system and reliability
Customers
  • Manufacturing industry
  • Medical institutions
  • Research institutes
Products
  • Industrial gases
  • Medical gases
  • Special gases

Competitive Advantage

Strengths

  • One of Japan's leading iodine production volumes
  • Stable capital base from AGC Group
  • Advanced manufacturing technology and quality control
  • Diverse chemical product lineup
  • Ownership of natural gas mining rights
  • Initiatives to reduce environmental impact
  • Abundant R&D track record
  • Strong ties with local communities
  • Stable sales channels domestically and internationally
  • Secured diverse customer base
  • High employee technical skills
  • Excellent brand recognition in the industry
  • Long-term business sustainability
  • High expertise in product development
  • Proprietary natural resource utilization technology

Competitive Advantages

  • Holds approximately 40% share of Japan's iodine market
  • Accounts for approximately 12% of global production volume
  • Technology innovation promotion through collaboration with AGC Group
  • Composite business strong in both natural gas and chemicals
  • Differentiation possible with high-purity compound manufacturing technology
  • Stable supply system based on abundant mining rights
  • Risk diversification through broad product portfolio
  • Stable customer base from long-term contracts
  • New product creation capability from R&D investment
  • Market expansion leveraging domestic and international sales networks
  • Advanced environmental regulation compliance technology
  • High evaluation and reliability in product quality
  • Cost competitiveness from proprietary production processes
  • Flexibility to meet diverse customer needs
  • Expertise in efficient utilization of natural gas resources

Threats

  • Risk of fluctuations in international iodine prices
  • Emergence of competitors from emerging countries
  • Cost increases from stricter environmental regulations
  • Risk of natural gas resource depletion
  • Impact of exchange rate fluctuations on import/export costs
  • Risk of disruption in global supply chains
  • Decline in competitiveness from delayed technological innovation
  • Profit margin pressure from resource price fluctuations
  • Need for plan adjustments due to sudden changes in market needs
  • Increased difficulty in securing talented personnel due to aging population
  • Uncertainty in international political and economic situation

Innovations

2024: Advanced High-Purity Iodine Manufacturing Process

Overview
Incorporated the latest separation technology to significantly improve iodine purity and production efficiency.
Impact
Succeeded in reducing production costs and improving quality

2023: Development of New Nickel Compounds

Overview
Newly developed and introduced high-performance nickel compounds for battery materials.
Impact
Contributed to battery performance improvement and acquired new customers

2022: Advanced Natural Gas Refining Equipment

Overview
Introduced refining processes that reduce environmental impact and enable efficient fuel utilization.
Impact
Achieved 10% reduction in CO2 emissions

2021: New Environmental Purifier Development

Overview
Developed and began selling highly effective chemical purifiers specialized for water purification.
Impact
Improved customer satisfaction and opened new markets

2020: Expansion of Advanced Chemical Product Line

Overview
Expanded high-purity product lineup for semiconductors and pharmaceuticals to strengthen competitiveness.
Impact
Contributed to 15% increase in annual sales

Sustainability

  • VOC emission reduction targets in production processes
  • Promotion of recycling used resources
  • Active participation in local environmental conservation activities
  • Expansion of energy-saving equipment introduction
  • Strengthening employee safety and health activities
  • Effective water resource utilization and wastewater improvement
  • Supply chain environmental audits
  • Promotion of environmentally friendly product development
  • Promotion of eco-office initiatives at business sites
  • Internal education on climate change measures