Dec 2, 2016
Teijin to Reorganize Polyester and Aramid Fiber Businesses
for Further Competitiveness and Growth
Teijin Limited announced today that it would integrate its industrial-application polyester fibers business and the Products Converting Business Group to form the new Fibers & Products Converting Business Group next April 1, aiming to strengthen and expand these businesses under a new structure. Industrial-application polyester fibers are currently part of the High Performance Fibers Business Unit, which is in the Advanced Fibers & Composites Business Group. The unit will specialize in aramid fibers business after the reorganization.
The reorganization will establish a structure for providing maximum customer value with existing polyester and aramid-fiber products and services for industrial applications. It also will facilitate new development activities. The reorganization accords with Teijin's strategy to become a company that supports future society by leveraging core strengths for the provision of solutions based on integrated high-performance materials and technologies, and by collaborating with customers to provide new value needed by society.
The Fibers & Products Converting Business Group will strengthen the competitiveness of Teijin's polyester fibers businesses and develop solutions based on Teijin's highly competitive materials. For apparel applications, it will strengthen development through the establishment of an extra-reliable supply chain that newly integrates R&D and raw material and fiber productions with existing textile-processing and sewn-products supply functions. For industrial applications, the group will provide trusted high-end solutions for automobiles and other segments by reinforcing supply capabilities through the integration of functions ranging from materials development and processing to final production.
The existing High Performance Fibers Business Unit will continue to manage Teijin's aramid fibers global business. It also will proactively develop solutions in a broadened range of fields and applications. This will be done in collaboration with Teijin Aramid B.V., utilizing respective global business bases and sales networks for the provision of advanced para- and meta-aramid fibers, which offer different properties.
The High Performance Fibers Business Unit integrated Teijin Group's domestic polyester fibers business and aramid fibers business for industrial applications in October 2012. The reorganization has enabled the unit to identify and deliver solutions quickly and accelerate development of the materials' end-product application.
The existing Products Converting Business Group has development, technologies and procurement capabilities for a broad range of materials. It combines textile-processing technologies with converting know-how and networks centered on Teijin Frontier Co., Ltd.
The decision to form the Fibers & Products Converting Business Group is based on Teijin's recognition of synergies between its development and production functions for polyester fibers and processing technologies and marketing functions for textiles. The integration of related strengths in technology, functions and marketing has great potential to enhance Teijin Group's capability to offer new solutions. In terms of aramid fibers, the High Performance Fibers Business Unit will continuously realize accelerated marketing functions needed to serve growing global demand for products that offer properties such as high tensile strength, tensile modulus and impact resistance.
"The High Performance Fibers Business Unit has earned the confidence of customers as a material manufacturer and provider of polyester fibers for a broad range of industrial applications, including automobiles, bedding and infrastructure," says Masaya Endo, General Manager of Advanced Fibers & Composites Business Group of Teijin Group. "I am convinced that this reorganization will strengthen our capability to provide advanced solutions for polyester fibers, and it will enable us to strengthen our commitment to meeting diverse global needs for aramid fibers."
"The Products Converting Business Group has been providing unique solutions through hybrid businesses combining converting and manufacturing, paying close attention to needs for polyester fibers in apparel applications," says Shinji Nikko, General Manager of Products Converting Business Group of Teijin Group. "The new group will develop an integrated system?from production to sales?and leverage the expertise of the existing Products Converting Business Group by complementing business functions in polyester fibers for industrial applications."
About the Teijin Group
Teijin (TSE: 3401) is a technology-driven global group offering advanced solutions in the areas of sustainable transportation, information and electronics, safety and protection, environment and energy, and healthcare. Its main fields of operation are high-performance fibers such as aramid, carbon fibers & composites, healthcare, films, resin & plastic processing, polyester fibers, products converting and IT. The group has some 150 companies and around 16,000 employees spread out over 20 countries worldwide. It posted consolidated sales of JPY790.7 billion (USD 7.4 billion) and total assets of JPY 823.4 billion (USD 7.7 billion) in the fiscal year ending March 31, 2016. Please visit www.teijin.com.
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