https://mp.weixin.qq.com/s/jHVuSA1VQPLCLd_2PoyBwQ

ISK Yokkaichi Plant. (Photo Source: ISK)

ISK today announced that the Board of Directors approved plans to restructure its inorganic chemicals business, and it will permanently shut down sulfate-based production at its location in Yokkaichi, Japan, as at the end of March 2027.

1. Background

Under our long-term vision, "Vision 2030", starting from 2021, with the slogan" Originality, Acceleration. Global Reach. Transforming Lives Through the Power of Chemistry.", lSK has devoted itself to enhance the value of its products in the society. As part of the plan, ISK has been studying how were structure its inorganic chemicals business, where we face severe competitions with Chinese players. As the result, while we continue to fulfill our supply responsibility for chloride-based TiO2 products as a sole manufacturer in Japan, we will dramatically convert our production structure toward functional materials focusing on materials for electronic components

2. Outline of the restructure

ISK will solidify its revenue base by reviewing the product portfolio organization, sales and R&D strategies, and optimizing the entire business operations to accelerate the shift toward highly functional, high-value-added products including new products. To minimize the inconvenience which maybe caused by the cessation of our sulfate-based production, we will continue to operate the plant until the end of March 2027, and we will also study the possibility to alliance with others

3. Financial Forecast

As the result of this restructure plan, lSK books the impairment loss of JPY 6.7 billion as an extraordinary loss for FY2023 ending at the end of March2024.