Shinto Paint

Basic Information

Stock Code
4615
Industry
Chemicals
Category Detail
Chemicals & Chemical Products
Prefecture
Hyogo Prefecture
Establishment Year
April 1933
Listing Year
June 1951
Official Website
https://www.shintopaint.co.jp/
TSE Information
TSE Information
Yahoo! Finance
Yahoo! Finance
Other Companies
Dainichiseika Color & Chemicals, Manac CP, Dainippon Paint, Nippon Paint Holdings, Kansai Paint, Chugoku Marine Paints, Fujikura Kasei, Atomix, SK Kaken, DIC, Sakata INX, artience

Overview

Shinto Paint is a leading domestic chemical paint manufacturer headquartered in Amagasaki City, Hyogo Prefecture, founded in 1933, primarily specializing in electrodeposition paints for automobiles and aluminum products.

Current Situation

Shinto Paint recorded consolidated sales of approximately 19 billion yen for the fiscal year ended March 2024, but operating profit and net profit were in the red. Its main business is automotive electrodeposition paints, and through its partnership with U.S.-based Axalta, it is promoting the development of high-quality products. Water-based paints account for 70% of company-wide sales, with a focus on strengthening environmentally friendly products. In March 2025, it became a consolidated subsidiary of Dainippon Paint, enhancing capital stability and business collaboration. In 2021, suspicions of falsified test data for water pipe paints came to light, and the company is working to strengthen product quality management. Moving forward, it has set a strategy to achieve sustainable growth by balancing technological innovation and environmental considerations. It operates multiple production bases and sales offices primarily in Japan, pursuing regionally rooted business development. Active product development and overseas expansion are positioned as keys to future growth.

Trivia

Interesting Facts

  • Shinto Paint has one of the top domestic track records in powder coatings
  • Became a consolidated subsidiary of Dainippon Paint, stabilizing capital relations
  • 70% water-based paint ratio, high even by industry standards
  • Partnered with U.S. Axalta for automotive paints
  • Contributing to the paint industry for over 90 years since founding in 1933
  • Head office and main factory located in Amagasaki City, Hyogo Prefecture
  • 2021 water pipe paint test data falsification incident
  • Stable market position as Japan's 16th largest paint manufacturer
  • Major shareholder Dainippon Paint holds 50.1% of shares
  • Operates multiple affiliates and subsidiaries domestically and internationally
  • Possesses corrosion resistance technology for water pipe paints
  • Strength in environmentally compatible powder coating technology
  • Owns multiple distinctive industrial paint brands
  • Provides high-quality products backed by long-term technological accumulation
  • Diverse product lineup corresponding to various customer industries

Hidden Connections

  • Global technology exchange and joint product development advancing through partnership with Axalta
  • Contributes to overall group technological enhancement as top shareholder of Dainippon Paint
  • Previously had capital ties with Sumitomo Chemical but now excluded from consolidation
  • Water pipe paint test falsification issue prompted industry-wide quality management review
  • High evaluation from industry for environmentally compatible powder coating technology
  • Overseas bases centered on Southeast Asia for paint production and sales
  • Sophisticated painting technology in automotive sector draws industry attention
  • Customized paint technology for diverse industrial uses is source of competitiveness

Future Outlook

Growth Drivers

  • Expansion of demand for water-based and powder coatings amid stricter environmental regulations
  • Increasing needs for high-functionality paints due to vehicle electrification
  • Synergy effects from strengthened collaboration with Dainippon Paint Group
  • Acceleration of overseas expansion centered on Asian markets
  • New product development through technological innovation
  • Brand trust recovery through strengthened quality management
  • Establishing competitive edge in environmentally compatible paints market
  • Product customization responding to customer needs
  • Promotion of green procurement and strengthening of global supply chain
  • Production efficiency improvements via DX adoption

Strategic Goals

  • Achieve over 80% water-based paint ratio
  • Expand overseas sales to over 30% of total
  • Achieve 30% reduction in CO2 emissions
  • Diversify product lineup and increase value-added
  • Establish integrated management system with Dainippon Paint Group
  • Eliminate quality scandals and enhance customer trust
  • Expand recognition as environmental leader in paint industry
  • Increase R&D investment to 10% of sales
  • Corporate activities emphasizing coexistence with local communities
  • Business innovation and efficiency via DX promotion

Business Segments

Automotive Paints Division

Overview
Segment supporting automotive body durability and aesthetics through the supply of high-functionality paints.
Competitiveness
High-quality product provision through technical partnership with Axalta
Customers
  • Automobile manufacturers
  • Automotive parts manufacturers
  • Automobile repair shops
  • Painting contractors
Products
  • Electrodeposition paints
  • Body paints
  • Repair paints

Industrial Paints Division

Overview
Segment specializing in protection and functional enhancement of industrial products.
Competitiveness
Achieving both durability and environmental performance through advanced technology
Customers
  • Electronics manufacturers
  • Foundries
  • Metal processors
  • Construction companies
Products
  • Powder coatings
  • Rust-preventive paints
  • Heat-resistant paints

Architectural and Housing Paints Division

Overview
Business providing environmentally compatible paints for housing and buildings.
Competitiveness
Balance of reduced environmental impact and high functionality
Customers
  • Construction contractors
  • Housing manufacturers
  • Renovation contractors
  • Real estate management companies
Products
  • Exterior wall paints
  • Interior paints
  • Waterproof paints

Water Pipe Paints Division

Overview
Segment emphasizing quality and safety in paints for water pipes.
Competitiveness
Product development with superior corrosion resistance
Customers
  • Water utilities
  • Cast iron pipe manufacturers
  • Government agencies
Products
  • Synthetic resin paints
  • Rust-preventive paints

Overseas Sales Division

Overview
Global expansion centered on Asia, responding to overseas customer needs.
Competitiveness
Strengthened collaboration with overseas subsidiaries
Customers
  • Overseas automobile manufacturers
  • Overseas industrial product manufacturers
  • Overseas construction contractors
Products
  • Electrodeposition paints
  • Powder coatings
  • Architectural paints

Environmental Measures Products Division

Overview
Business area focusing on development and provision of products compliant with environmental regulations.
Competitiveness
Domestic top-class water-based paint technology
Customers
  • Corporate environmental management departments
  • Recycling businesses
  • Environmental consultants
Products
  • Water-based paints in general
  • Low-VOC paints
  • Environmentally safe paints

Painting Equipment and Services Division

Overview
Division handling equipment and services ancillary to paints.
Competitiveness
Comprehensive technical support system
Customers
  • Painting contractors
  • Factory equipment managers
  • Maintenance service companies
Products
  • Painting equipment sales
  • Maintenance services
  • Technical support

Industrial Equipment Maintenance Division

Overview
Provides paints and technical services specialized for maintenance of industrial equipment.
Competitiveness
High-durability paints and rapid response capabilities
Customers
  • Manufacturers
  • Construction companies
  • Public entities
Products
  • Rust-preventive maintenance paints
  • Repair paints
  • On-site technical support

Heat-Resistant and Special Paints Division

Overview
Specialized division focusing on development of paints for harsh environments.
Competitiveness
Proprietary heat- and chemical-resistant technologies
Customers
  • Chemical plants
  • Power plants
  • Heavy industry
Products
  • High heat-resistant paints
  • Chemical-resistant paints
  • Special functional paints

R&D and Technical Support Division

Overview
Handles advanced technology development and technical support for business divisions.
Competitiveness
Abundant experience and advanced technical capabilities
Customers
  • Internal production departments
  • External technical partners
Products
  • New product development
  • Technical consulting

Competitive Advantage

Strengths

  • Proprietary electrodeposition paint technology
  • Environmental responsiveness with 70% water-based paint ratio
  • Strategic partnership with Axalta
  • Stable capital backing from Dainippon Paint
  • Multi-faceted domestic production base network
  • Extensive customer base (automotive and industrial sectors)
  • High technological development capabilities
  • Proven track record in powder coatings
  • High-quality product supply system
  • Long industry experience and trust
  • Active strengthening of quality management
  • Competitive environmentally considerate products
  • Strong domestic sales network
  • Comprehensive technical support system
  • Global expansion in the automotive sector

Competitive Advantages

  • Advanced electrodeposition paint technology from joint development with U.S. Axalta
  • High market share of water-based paints adapting to stricter environmental regulations
  • Strengthened capital and management foundation by Dainippon Paint
  • Broad product lineup responding to diverse industry needs
  • Rapid product supply capability from multiple domestic bases
  • Specialized applications of powder coatings leveraging proprietary technology
  • Long-term trust relationships with customers
  • Leading position in environmentally compatible product development
  • High evaluation from industry for stable supply of high-quality products
  • Swift quality management improvements and risk control
  • Technical proposal capabilities and support system across multiple areas
  • Product innovation through collaboration with global partners
  • Safety and environmental performance compliant with industry standards
  • Speed in product development and sales
  • Enhanced customer support through regionally rooted sales network

Threats

  • Risk of trust decline due to quality issues
  • Intense price competition in the paint market
  • Cost pressures from surging raw material prices
  • Increased compliance burden from further environmental regulations
  • Intensifying technological competition with overseas firms
  • Profit instability from exchange rate fluctuations
  • Market share erosion by new entrants
  • Competitive disadvantage from delays in new technology development
  • Risk of damage to production bases from natural disasters
  • Demand decline from political and economic fluctuations
  • Sales decline from client financial deterioration
  • Legal risks from product safety regulation violations

Innovations

2025: Management Integration by Dainippon Paint

Overview
Became a consolidated subsidiary via Dainippon Paint's tender offer, strengthening capital and management foundation.
Impact
Enables business expansion with stable financial base

2023: Development of High-Performance Water-Based Electrodeposition Paint

Overview
Introduced water-based electrodeposition paint with enhanced environmental performance through partnership with Axalta.
Impact
Maintains 70% water-based paint ratio and improves environmental responsiveness

2022: Complete Overhaul of Quality Management System

Overview
Fundamentally improved quality management system following revelation of falsified test data for water pipe paints.
Impact
Significantly contributes to product safety and corporate trust recovery

2021: Development of Solvent-Free Powder Coating Technology

Overview
Established manufacturing technology for solvent-free powder coatings to reduce environmental impact.
Impact
Improves environmental compatibility of industrial paints

2024: Expansion of Overseas Subsidiary Production Capacity

Overview
Expanded production facilities at local subsidiaries in Thailand and Indonesia to accelerate Asian expansion.
Impact
Contributes to increasing overseas sales ratio

Sustainability

  • Maintaining over 70% water-based paint ratio to reduce VOCs
  • Strengthening quality management system to ensure product safety
  • Improving energy efficiency in production processes
  • Reducing waste and promoting recycling
  • Establishing guidelines for procuring low-environmental-impact raw materials
  • Setting and implementing CO2 emission reduction targets
  • Conducting employee environmental awareness training
  • Collaborative environmental conservation programs with local communities
  • Promoting acquisition of domestic and international environmental certifications
  • Reducing environmental impact across the entire product lifecycle