Chori

Basic Information

Stock Code
8014
Industry
Wholesale
Category Detail
Textiles, Chemicals & Paper Wholesalers
Prefecture
Osaka Prefecture
Establishment Year
September 1948
Listing Year
September 1959
Official Website
https://www.chori.co.jp/
TSE Information
TSE Information
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Other Companies
Nippon Road, Nihon Waso Holdings, Nippon Sanso HD, Furukawa Battery, Yagi, GSI Creos, Horita Marumasa

Overview

Chori is a specialized trading company for fibers and chemical products established in 1948. As a consolidated subsidiary of Toray, it is a long-established company with a strong supply network centered on its China business.

Current Situation

Chori reports consolidated sales of approximately 308 billion yen and operating profit of about 15 billion yen, maintaining stable operations. In its core fiber and chemical wholesaling business, it leverages ties with Toray, with a particular focus on expanding in China and other Asian markets. In recent years, it has strengthened its handling of machinery and industrial materials, aiming to grow as a general trading company by utilizing its extensive domestic and international distribution networks. Financially, consolidated net assets stand at a stable approximately 82.1 billion yen, and it is building a global framework amid an increase in overseas subsidiaries. Going forward, it will expand handling of chemicals that contribute to a sustainable society, strengthen development of environmentally considerate products, and invest in new technologies. In tandem with business strategies that take global environmental issues into account, it seeks to boost competitiveness through DX and supply chain reforms. With support from its largest shareholder Toray, it is strategically pursuing stable growth via higher overseas sales ratios and diversification toward 2030. Recent personnel changes and expansion of transactions in the Hokuriku region are steadily advancing through community-rooted initiatives.

Trivia

Interesting Facts

  • Founded in 1861, originating from a raw silk wholesaler in Nishijin
  • Established stable management base through subsidiary acquisition by Toray
  • Early establishment of local corporation in China led to successful market development
  • Rare in Japan as a composite trader of fibers and chemicals
  • Strong domestic share in fabrics for women's apparel
  • Subsidiary offers unique chemical analysis services
  • Also handles industrial machinery wholesaling to promote business diversification
  • 1,304 employees deployed widely domestically and internationally
  • Led the industry in fiber raw material wholesaling since the 1970s
  • Long-established trading company listed on the Tokyo Stock Exchange Prime Market

Hidden Connections

  • Close business collaboration due to Toray's 52.33% shareholding
  • Subsidiary based in Shanghai handles broad chemical business
  • Differentiates from competitors as a composite wholesaler of fibers, chemicals, and machinery
  • Long history from raw silk wholesaler fosters strong trust with producers
  • Technical support enabled through collaboration with subsidiary handling chemical analysis
  • Industrial machinery wholesaling division closely tied to Toray Group technologies
  • Major clients include chemical manufacturers and apparel companies
  • Related companies centered in Shizuoka Prefecture handle textile product manufacturing

Future Outlook

Growth Drivers

  • Increasing demand for fibers and chemicals in China and Asia
  • Market expansion for environmentally friendly products and biodegradable materials
  • Management stability backed by Toray Group's technology and financial strength
  • Potential for new business expansion in industrial machinery
  • Advancement of supply chain digitalization
  • Rapid response to customer needs through localization of overseas bases

Strategic Goals

  • Raise overseas business sales ratio to over 50%
  • Expand ratio of environmental products such as biodegradable plastics
  • Significant improvement in operational efficiency through DX
  • New product development via integration of fibers and chemicals
  • Expand market share in industrial machinery
  • Enhance corporate ESG ratings to strengthen social trust
  • Sustainable growth through co-creation with local communities

Business Segments

Textile Products Wholesaling

Overview
Stable supply of fiber materials and processed products to the apparel industry.
Competitiveness
Robust supply chain backed by Toray as the leading shareholder
Customers
  • Apparel manufacturers
  • Women's apparel planning companies
  • Apparel retailers
  • OEM manufacturers
Products
  • Women's apparel fabrics
  • Linings and accessories
  • Textile processed products

Chemical Wholesaling

Overview
Provides a wide range of chemicals for non-pharmaceutical fields.
Competitiveness
Technical support system via subsidiary chemical analysis services
Customers
  • Chemical manufacturers
  • Industrial product manufacturers
  • Lubricating oil manufacturers
  • Cosmetics manufacturers
Products
  • Basic chemicals
  • Derivatives
  • Surfactant raw materials
  • Lubricating oil raw materials

Industrial Machinery Wholesaling

Overview
Stable supply of industrial machinery to various manufacturing sectors.
Competitiveness
Advanced technical support through collaboration with the Toray Group
Customers
  • Automotive industry
  • Manufacturing industry
  • Inspection machinery manufacturers
  • Transportation equipment manufacturers
Products
  • Transportation equipment parts
  • Manufacturing machinery
  • Inspection and measurement machinery

Competitive Advantage

Strengths

  • Solid management base as a Toray subsidiary
  • Expansion capabilities in overseas business centered on China
  • Diversified business portfolio
  • Extensive supply chain network
  • High customer trust as a specialized trading company
  • Possession of technical support services such as chemical analysis
  • Market expansion through handling of industrial machinery

Competitive Advantages

  • Utilization of Toray Group's R&D resources
  • Rapid response capabilities through local subsidiaries in the China market
  • Strength in combined wholesaling of fibers and chemicals
  • Advanced chemical analysis and processing technical support
  • Product development closely aligned with customer needs
  • Growth potential in the industrial machinery sector
  • Rich product lineup for diverse customer segments

Threats

  • Intensifying competition in overseas markets
  • Risk of fluctuations in material prices
  • Profit margin pressure from exchange rate impacts
  • Cost increases due to stricter environmental regulations
  • Responding to technological innovations from new entrants
  • Heightened trade barriers due to geopolitical risks

Innovations

2024: Strengthening Development of Biodegradable Plastic Straws

Overview
Advancing research and development of environmentally friendly biodegradable plastic products.
Impact
Contributes to reducing environmental impact and creating new markets.

2023: Expansion of Chemical Business at Local Chinese Subsidiary

Overview
Focusing on chemical analysis and process improvements centered on Chori (Suzhou) Materials Technology.
Impact
Strengthens solution provision to local customers.

2022: DX Promotion for Operational Efficiency

Overview
Introduced cloud-based sales management systems and AI-driven supply-demand forecasting.
Impact
Improves inventory reduction and customer responsiveness.

2021: Expansion of Industrial Machinery Wholesaling Division

Overview
Strengthened market entry by handling new inspection machinery.
Impact
Contributes to acquiring new customers and increasing sales.

2020: Expansion of Environmentally Compatible Chemical Product Lineup

Overview
Advancing product development using low-environmental-impact raw materials.
Impact
Expands sustainable trading partners and strengthens brand.

Sustainability

  • Development and promotion of biodegradable materials
  • Efforts to reduce environmental impact of chemicals
  • Strengthening environmental management at overseas subsidiaries
  • Collaboration with local communities on environmental protection activities
  • Promotion of energy-saving office operations