TOKYO—Shin-Etsu Chemical is making a major new investment in its silicones portfolio, a core part of the group's functional materials business segment.
The $690 million program, it said, is aimed at expanding applications for the group's silicones products as well as enhancing the functionality of its products portfolio. The project will lead to an expansion of the group's line-up of environmentally friendly silicones, according to a July 27 press release.
Under the plan, Shin-Etsu will invest in the flagship silicones production hub at its complex in Gunma Prefecture, Japan.
The group also will make new investments in other Japanese sites at Naoetsu, Niigata Prefecture, and Takefu, Fukui Prefecture.
Funding also will support enhancements to Shin-Etsu's plant in Thailand, where it manufactures silicone monomer and polymers, as well as units in other Asian countries, the U.S. and Hungary.
At the same time, the group will "accelerate efforts" to become carbon-neutral by moving forward with greener manufacturing processes.
The new investment program follows another nearly $700 million round of expansions announced in February last year.
With these investments "almost implemented," Shin-Etsu said demand for high-performance silicone products was continuing to grow.
In particular, the Tokyo group said there were "high expectations" for eco-friendly products that can help customers advance their carbon-neutrality goals.
Shin-Etsu's silicones products can be used in a wide range of applications such as lightweighting of aircrafts and electric vehicles.
