Asahi Kasei, Mitsui Chemicals and Mitsubishi Chemical agree 45/45/10 equity split for western Japan ethylene JV
- Joint operating entity equity split: Mitsui Chemicals 45%, Mitsubishi Chemical 45%, Asahi Kasei 10%.
- Plan to close the Mizushima ethylene plant by 2030 and consolidate operations at Osaka Petrochemical Industries' facility.
- Focus on decarbonizing and optimizing ethylene production capacity in western Japan.
- Final joint venture details, including the equity ratio, will be determined in a forthcoming JV agreement.
Equity split and next steps
Asahi Kasei, Mitsui Chemicals and Mitsubishi Chemical agreed to advance integration discussions on the premise that the joint operating entity’s equity will be Mitsui Chemicals 45%, Mitsubishi Chemical 45% and Asahi Kasei 10%; finalized details, including the equity ratio, will be set in a forthcoming joint venture agreement.
Asset consolidation and timeline
Under a basic agreement signed in January 2026, the partners aim to discontinue the Mizushima ethylene production facility of Asahi Kasei Mitsubishi Chemical Ethylene Corp. by 2030 and consolidate operations at the Osaka Petrochemical Industries facility, a consolidated subsidiary of Mitsui Chemicals.
Strategic objectives
The initiative targets decarbonization and optimization of ethylene production capacity in western Japan to strengthen competitiveness and build a more sustainable basic chemicals business; ethylene is identified as an upstream feedstock used across industries such as consumer goods, automotive and semiconductors.
Source: Asahi Kasei