TOKYO—Zeon Corp. and Sumitomo Chemical Co. are planning a joint study on the possible consolidation of their solution styrene butadiene rubber businesses by April, the companies have announced.
The study will examine the viability of transferring their respective SSBR operations, and those run by subsidiaries, into a new joint venture company, according to a statement.
“This new partnership will accelerate new product development, enhance cost competitiveness and secure a stable product supply,” according to the Japanese polymer makers.
Sumitomo and Zeon have, to date, reached only a “basic agreement” for the study, which is not legally binding. Their next target is to agree particulars relating to the business consolidation and details of the new joint venture company.