Value Chain Partnerships to Accelerate Commercialization of Biobased Materials

Transcription

1 Value Chain Partnerships to Accelerate Commercialization of Biobased Materials June 18 th, 2013 Sustainable Resources Department

2 Contents About Mitsuibishi Chemical Our view on Sustainable Resources Partnership Method to enhance speed Conclusion

3 Who we are Mitsubishi Chemical Holdings Corporation (MCHC)* Performance Products * Listed Health Care Industrial Materials Figures for consolidated net sales and paid-in capital are for the year ended March The KAITEKI Institute, Inc. Mitsubishi Chemical Holdings America, Inc. Mitsubishi Chemical Holdings (Beijing) Co., Ltd Mitsubishi Chemical Corporation (MCC) Mitsubishi Tanabe Pharma Corporation* (MTPC) Mitsubishi Plastics, Inc. (MPI) Mitsubishi Rayon Co., Ltd. (MRC) Paid-in capital: 50.0 billion Consolidated net sales: 2,019.6 billion Group employees: 27,828 Paid-in capital: 50.0 billion Consolidated net sales: billion Group employees: 9,198 Paid-in capital: 21.5 billion Consolidated net sales: billion Group employees: 8,549 Paid-in capital: 53.2 billion Consolidated net sales: billion Group employees: 8,203 [ Line of businesses ] Performance products Healthcare Industrial materials etc. [ Line of businesses ] Pharmaceuticals etc. [ Line of businesses ] Plastics products Inorganic fiber materials etc. [ Line of businesses ] Chemicals & plastics Carbon fiber & composite materials Water treatment etc.

4 Group Philosophy Chemistry is a field of science but also refers to compatibility, relationships, and connections among different objects, different people, and between people and objects as well. Good Chemistry for Tomorrow therefore expresses our commitment to creating better relationships among people, society, and our planet. Based on Good Chemistry for Tomorrow, we will seek to achieve KAITEKI with unlimited potential and expansion.

5 KAITEKI is a Japanese word for comfort, and encompasses values that companies should practice worldwide in the 21st century. KAITEKI in the 21st century signifies challenging state of sustainability, materializing comfort for people, comfort for society and comfort for the Earth. We will act accordingly. is Three decision criteria for corporate activities Sustainability Health Comfort

6 Monitoring MOS Value MCHC corporate value is the summation of economic value and MOS value MCHC corporate value Economic value Operating income Growth rate ROA Sales Profit rate ROE MOS value Sustainability (Environment, Resources) Health Comfort MCHC Group Businesses Sustain -ability Index Health Index Comfort Index MOS Indexes S-1 Contribution to reduce environmental impact through products & services S-2 Practice energy saving & reduction of depletion resources S-3 Contribution to reduce environmental impact through supply chain management H-1 Contribution to medical treatment H-2 contribution to improvements of QOL H-3 contribution to early detection and prevention of diseases C-1 Deliver products (development and manufacturing) for comforting lifestyle C-2 Improve stakeholder satisfaction C-3 Recognition of corporate trust

7 Next-Generation Growth Businesses for KAITEKI Healthcare solutions Image Organic EL Lighting Lighting design: Uchihara Creative Lighting Design Inc. Organic photo Semiconductor Advanced performance products Sustainable resources Healthcare solutions Agribusiness solutions OPV modules and materials Organic thin-film photovoltaic modules Truck equipped with thin-film OPV DURABIO Bio-based engineering plastic GS Pla Bio-degradable Plastic application Nutrient cultivation system for tomatoes Vegetable factory container These businesses contribute to sustainability, health, and comfort by drawing on the Group's core technologies, and we are committed to their rapid commercialization as the drivers of our Innovation Strategy.

8 Why Sustainable Resources? Current business = volatile cost structure Requirement from customers Change in business environment Shrinking domestic market Increasing pressure from imported material Excess crackers Capacity reduction Shortage in certain chemicals A shift is critical

9 Our approach to Sustainable Resources Drop in material from sustainable resources to convert existing business into bio DURABIO TM Bio-based engineering plastic GS Pla TM Polybutylene succinate Sustainable Resources Methanol Ethanol Succinic Acid, etc. Biomass Unused gas Naphtha Naphtha Cracker C2 C3 C4 BTX Fraction optimization C2 C3 C4 Derivatives Current Petrochemical Process

10 Our portfolio of bio plastics Add value and differentiate from market Biomass-based DURABIO Bio PE PLA BioPBS Durable Non-Biodegradable Engineering plastics PP PS PE PVC Bio-Succinic Acid Petro based GS Pla PBS Biodegradable Petroleum resource based

11 What we need to accomplish Customers want the same product under the same conditions as they have today Cost competitiveness Bio premium is difficult to realize Same quality Optimization of bio-related impurities is key Stable supply Security of raw materials Simple but difficult

12 If everybody works independently End user Consumer Initial user Polymers Monomers Difficult to know where to go Takes time and resources to find solution Too much work to do by ourselves (cost, quality, performance, )

13 An effective approach to commercialization End user Consumer Initial user Monomers Polymers What is needed? Why is it needed? Understanding the final target is important Also, mutual effort to solve problems is essential

14 Example: Partnership with Faurecia Joint R&D of bioplastics used in automobile interior parts Pursue development of tailor made biomass based PBS by 2014

15 An effective approach to commercialization End user Consumer Initial user Polymers Monomers Detail discussions within the value chain enables speedy development

16 A Green Puzzle Raw materials Biomass) Cost competitiveness Bug development, Fermentation Process Applications Efficiency Quality Size Collaboration with partners is essential in constructing a competitive and stable business

17 In conclusion Customers expect chemicals from sustainable resources to have the same quality and competitiveness as conventional petrochemicals Partnerships are essential to achieve speed to market and establish solid business foundations Especially, mutual effort to find solutions (know the requirement and communicating limitations) is the most efficient way for product development. Thank you