Mitsubishi Chemical to consolidate 3 Thai, Taiwan units each to streamline operations
BANGKOK, NNA – Japan’s largest chemical maker Mitsubishi Chemical Corp. will consolidate three Thai and Taiwan subsidiaries each as early as in April 2020 as part of its efforts to restructure group arms at home and abroad.
The company said in a statement last week that Mitsubishi Chemical (Thailand) Co. plans to merge two group subsidiaries – Mitsubishi Chemical Performance Polymers (Thailand) Co., a polyvinyl chloride compounds and thermoplastic elastomers maker, and Rhombic (Thailand) Co., a firm inspecting and analyzing plastic compounds.
Mitsubishi Chemical (Thailand), which has overseen the group’s operations in the Southeast Asian country, will become a 100 percent subsidiary of the Tokyo-based firm and hire some 230 employees after taking over almost all the workers of the two units.
The merger is a component of plans by Mitsubishi Chemical Holdings Corp., its parent company, to reduce 182 group branch units by the end of March 2021. The group with annual revenue of nearly 4 trillion yen ($36.8 billion) intends to divest or withdraw businesses worth a 300 billion yen revenue by then to rebuild its business portfolios and boost profitability.
The holding company had a total of 754 affiliates as of the end of March this year, of which 448 located outside of Japan. In the Asia Pacific region, it had 217 group branches, according to its website.
Mitsubishi Chemical also plans to consolidate a Taiwan representative office and three Taiwan firms wholly owned by the Japanese group – Tai-Young High Tech Co., a manufacturer of high-purity process chemicals for electronics industries, Tai-Young Chemical Co., an ion exchange resins maker, and Tai-Young Film Co., a microporous film maker.
The Japanese company will establish its wholly-owned Mitsubishi Chemical Taiwan Co. after the integration, it said in the statement.