Nippon Chemi-Con

Basic Information

Stock Code
6997
Industry
Electric Equipment
Category Detail
Semiconductors & Electronic Components
Prefecture
Tokyo
Establishment Year
August 1931
Listing Year
September 1970
Official Website
https://www.chemi-con.co.jp/
TSE Information
TSE Information
Yahoo! Finance
Yahoo! Finance
Other Companies
Kohoku Kogyo, Denki Kogyo, TDK, Teikoku Tsushin Kogyo, Tamura Corporation, Nippon Denpa, Sumida Corporation, Mitsui High-Tec, Taiyo Yuden, Murata Manufacturing, Nichicon, KOA

Overview

Nippon Chemi-Con is a leading capacitor manufacturer in the electric equipment industry, founded in 1931, boasting the world's No.1 market share in aluminum electrolytic capacitors, with strengths in its technological capabilities and integrated production system from the front-end processes.

Current Situation

Nippon Chemi-Con recorded consolidated sales of approximately 122.7 billion yen and operating profit of 3.7 billion yen for the fiscal year ending March 2025. Its main product is aluminum electrolytic capacitors, in which it holds a global competitive edge, and it also provides electronic components such as electric double-layer capacitors, varistors, and choke coils. While advancing brand unification and technological innovation, it has paid substantial fines in various countries due to past price cartel issues. Moving forward, it is focusing on expansion into new areas such as developing coils for EVs, strengthening its systems to meet high-quality and diverse customer needs. Amid global market expansion, it is working on building sustainable production systems and maintaining cost competitiveness, while promoting growth strategies toward 2030. It has multiple production bases and sales networks both domestically and internationally, supplying electronic components through a wide range of sales channels. Based on talent development and technological innovation, it differentiates itself from competitors in the industry while aiming to enhance sustainable corporate value.

Trivia

Interesting Facts

  • Founded in 1931, an electronic components manufacturer with over 90 years of history.
  • Holds the world's top market share in aluminum electrolytic capacitors.
  • Actively developing components for electric vehicles.
  • Has faced sanctions from multiple countries since 2014 due to a series of cartel issues.
  • Unified its brand to CHEMI-CON in 2023.
  • Operates numerous factories and sales bases domestically and internationally.
  • Electric double-layer capacitors adopted in Mazda's i-ELOOP.
  • Expands globally with multiple overseas subsidiaries.
  • Proprietary integrated front-end production system is key to quality.
  • Serves a wide range of markets with diverse capacitor products.

Hidden Connections

  • Supplies electric double-layer capacitors to Mazda's i-ELOOP system, building strong ties with the automotive industry.
  • Secures competitive advantages through technical collaborations and joint developments with major domestic and international electronic component manufacturers and automotive parts suppliers.
  • Price cartel issues resulted in large fines from competition authorities worldwide, serving as a catalyst for enhancing corporate social responsibility awareness.
  • Maintains both competition and collaboration on industry standards with peers like Nichicon, Murata Manufacturing, and TDK.
  • Expanded multilayer ceramic capacitor business through acquisition of Marcon Electronics, achieving business diversification.
  • Brand unification aims to boost marketing and recognition domestically and internationally, strengthening the unified CHEMI-CON brand.
  • Its long-cultivated integrated front-end production system is highly regarded as a model of excellence in Japanese manufacturing.
  • Employs a global strategy with production dispersed across multiple domestic factories (Ome, Iwate, Miyagi, Niigata, etc.) and overseas bases.

Future Outlook

Growth Drivers

  • Increasing demand for onboard components amid EV market expansion.
  • Growing demand for high-performance electronic components for IoT and AI.
  • Cost advantages from integrated front-end production system.
  • Market differentiation through new materials and high-durability components.
  • Strengthening of global production and sales networks.
  • Growth in demand for eco-friendly products due to environmental regulations.
  • Rising needs for high-reliability components in industrial equipment.
  • Sales expansion in emerging overseas markets.
  • Heightened customer awareness of sustainable products.
  • Market share growth via brand unification.
  • Growth in next-generation mobility and renewable energy sectors.
  • Extended product lifecycles through technological innovation.

Strategic Goals

  • Maintain and expand world market share leadership.
  • Achieve over 30% sales ratio from EV-related components.
  • Reduce CO2 emissions in production processes by 50%.
  • Maximize quality and efficiency of global production bases.
  • Reduce environmental impact through sustainable product development.
  • Aggressive introduction and commercialization of new technologies and materials.
  • Talent strategy promoting diversity and inclusion.
  • Establish mass production system for ultra-compact, high-performance capacitors.
  • Strengthen CSR across the entire supply chain.
  • Transparent management system fulfilling social responsibilities.

Business Segments

Electronic Components for Automotive Industry

Overview
Provides high-reliability components for automotive electronic controls as electrical equipment parts.
Competitiveness
High-quality assurance through integrated production system
Customers
  • Automakers
  • Automotive parts suppliers
Products
  • High-Reliability Aluminum Electrolytic Capacitors
  • Electric Double-Layer Capacitors
  • Choke Coils

Electronic Components for Industrial Equipment

Overview
Contributes to improving reliability of industrial equipment, centered on high-performance capacitors.
Competitiveness
Diverse product lineup and technological development
Customers
  • Industrial machinery manufacturers
  • Control equipment manufacturers
  • Medical equipment manufacturers
Products
  • Conductive Polymer Solid Electrolytic Capacitors
  • Film Capacitors
  • Varistors

Materials and Components for Electronics Manufacturers

Overview
Supplies high-quality components and materials for integration in electronic devices.
Competitiveness
Ability to meet segmented needs
Customers
  • Smartphone manufacturers
  • IT equipment manufacturers
  • Home appliance manufacturers
Products
  • Multilayer Ceramic Capacitors
  • Electrode Foil for Electrolytic Capacitors
  • Embedded Module Components

Semiconductor Manufacturing-Related Business

Overview
Provides high-precision materials for semiconductor-related fields.
Competitiveness
Trust built through long-term transactions
Customers
  • Semiconductor manufacturers
  • Semiconductor equipment manufacturers
Products
  • Silicon Wafer Sales
  • Electronic Component Mounting Materials

Manufacturing Equipment and Facility Sales

Overview
Sales and maintenance of industrial manufacturing equipment.
Competitiveness
High-performance equipment lineup developed in-house
Customers
  • Electronic component manufacturers
  • Industrial equipment manufacturers
Products
  • Capacitor Manufacturing Equipment
  • Automation Equipment

Sales Agency and Logistics Services

Overview
Provides sales agency and logistics-related services for products.
Competitiveness
Network spanning Japan and overseas
Customers
  • Electronic component trading companies
  • Logistics companies
Products
  • Product Transportation
  • Inventory Management Services

R&D Material Supply

Overview
Supplies customizable materials for research and development.
Competitiveness
Customized provision with technical support
Customers
  • University research institutions
  • Private research facilities
Products
  • Special Capacitors
  • Prototype Electronic Components

Components for Renewable Energy

Overview
Provides electronic components for renewable energy applications.
Competitiveness
Application of low-environmental-impact technologies
Customers
  • Solar power system manufacturers
  • Wind power equipment manufacturers
Products
  • High Heat-Resistant Capacitors
  • Electric Double-Layer Capacitors

Product Supply for Overseas Markets

Overview
Strengthening product deployment for global markets.
Competitiveness
Rapid supply in collaboration with local bases
Customers
  • Overseas electronics manufacturers
  • Overseas automakers
Products
  • Export Electrolytic Capacitors
  • Special Components for Overseas

Components for Green Technology

Overview
Focuses on development and manufacturing of environmentally friendly products.
Competitiveness
Adoption of advanced material technologies
Customers
  • EV manufacturers
  • Environmental equipment manufacturers
Products
  • High-Performance Coils for EVs
  • Energy-Saving Capacitors

Electronic Component Packaging Business

Overview
Manufactures and sells semiconductor-related packaging products.
Competitiveness
High-precision manufacturing technology
Customers
  • IC manufacturers
  • Semiconductor packaging manufacturers
Products
  • Ceramic Packages
  • Lead Frames

Sales of Industrial Materials for Electronic Components

Overview
Supply and management of materials necessary for manufacturing.
Competitiveness
Procurement capabilities and logistics efficiency
Customers
  • Component manufacturers
  • Assembly plants
Products
  • Raw Materials
  • Parts

Competitive Advantage

Strengths

  • World No.1 market share in aluminum electrolytic capacitor technology
  • Quality stability from integrated front-end production
  • Extensive product lineup
  • Wide domestic and international production base network
  • Long industry track record and trust
  • Strong development and technological capabilities
  • Global customer base
  • High-standard manufacturing management systems
  • High technology adoption capabilities
  • Ability to meet diverse market needs
  • Manufacturing efficiency improvements through equipment investments
  • Improved market recognition via brand unification
  • Stable material procurement capabilities
  • Experienced management team
  • Collaboration capabilities with overseas subsidiaries

Competitive Advantages

  • Cost competitiveness from unique integrated front-end production system
  • Global leadership in high-reliability electrolytic capacitors
  • Strong market recognition of proprietary brand CHEMI-CON
  • Meets wide customer needs with diverse capacitor product lineup
  • Rapid response system via global manufacturing and sales bases
  • Early entry into new products and areas through technological development
  • Preemptive development of technologies for next-gen mobility markets like EVs
  • Stable revenue sources from long-term transactions with broad customers
  • Sustainable production systems and environmental responsiveness
  • International certifications in product quality management
  • Maximized manufacturing efficiency through ongoing equipment investments
  • Maintaining technological superiority via patents
  • Trusted compliance with security-related laws and regulations
  • Risk diversification through diversified business portfolio
  • Robust supply chain management system

Threats

  • Profit pressure from intensifying global price competition
  • Risk of shortened product lifespans due to rapid technological innovation
  • Global economic uncertainty and foreign exchange fluctuation risks
  • Strengthened regulations and trade barriers in key markets
  • Potential market share loss from emerging alternative technologies
  • Declining sales due to in-house production trends among major customers
  • Rising costs from raw material price surges
  • Supply chain disruption risks from international tensions
  • Ongoing reputation damage and sanctions from past cartel issues
  • Additional cost burdens from strengthened environmental regulations
  • Rise of competitors in emerging markets
  • Labor shortages and talent outflow risks

Innovations

2023: CHEMI-CON Brand Unification

Overview
Unified all product lines under the CHEMI-CON brand name to enhance recognition.
Impact
Strengthened market brand value

2023: Development of New Coil for EV Charging Ports

Overview
Developed and launched a high-performance coil that is 10% smaller in diameter for EV applications.
Impact
Enhanced product competitiveness and market expansion

2024: Trademark Change for Film Capacitors

Overview
Changed the film capacitor brand to Taitsu to aim for new market development.
Impact
Clarified product positioning

2021: Development of High-Reliability Conductive Polymer Electrolytic Capacitors

Overview
Began mass production of solid electrolytic capacitors with long life and excellent heat resistance.
Impact
Expanded adoption in automotive and industrial equipment fields

2022: Adoption of Nanocrystalline Materials for Industrial Inductors

Overview
Commercialized high-performance choke coils using new nanocrystalline alloy material.
Impact
Improved market competitiveness and product diversification

Sustainability

  • Promotion of CO2 emission reduction programs in manufacturing processes
  • Improving waste recycling rates and promoting resource circulation
  • Reducing environmental impact through decreased use of hazardous substances
  • Expanding introduction of energy-efficient equipment
  • Strengthening safety and health management systems and improving work environments
  • Active participation in local environmental conservation activities
  • Formulation and implementation of green procurement policies
  • Compliance with sustainability standards across the supply chain
  • Talent policies promoting women's empowerment and diversity
  • Acquisition of ISO14001 and social responsibility certifications