TOKYO—Mitsui Chemicals Inc. is expecting to start an elastomer capacity expansion at its production facility in Chiba, Japan, in the third quarter of 2017.
In its financial results for the second quarter, ended June 30, the Japanese company said the new line at the Mitsui Chemicals' subsidiary Sun Alloys Co. will add 5,000 metric tons per year of capacity for thermoplastic olefin elastomer Milastomer.
The expansion was announced in July 2016, where the Japanese company said the move was in response to upswings in demand for the materials.
Mitsui Chemicals notes that demand is growing significantly for uses in automotive materials, gaskets and civil engineering joint fillers, with the uptrend expected to continue in automotive interiors and as weather strips.
Mitsui Chemicals said the group's mid-term business plan positions its mobility segment as a targeted business domain that drives growth along with the health care and food & packaging domains.
The group's Milastomer business is a core business in the mobility domain, the company added, noting that it would continue to expand and grow the business.