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Asahi Kasei And Teijin Set Up New Joint Venture To Reorganise Global Fibre And Trading Operations

Asahi Kasei has taken a decisive step in its long-term portfolio transformation strategy through a planned integration of Asahi Kasei Advance and Teijin Frontier, creating a new joint venture that will operate under Teijin Frontier’s structure from October 1, 2026. The venture will be controlled 80% by Teijin and 20% by Asahi Kasei, according to an announcement released in Tokyo on December 1. The move combines two of Japan’s most experienced companies in technical fibres, global sourcing and advanced textile solutions.

The integration brings together Asahi Kasei Advance, established in 2015 to handle fibres, chemicals and construction materials, and Teijin Frontier, a major supplier of polyester fibres, apparel textiles, industrial materials and mobility components. Teijin Frontier currently employs 878 people while Asahi Kasei Advance has 553 employees. The combined entity will operate one of the strongest supply chains in Asia across procurement, manufacturing and international distribution. Hangzhou Asahikasei Textiles, currently part of Asahi Kasei China, will shift to Asahi Kasei Advance ahead of the merger.

Asahi Kasei noted that the transaction has no material impact on consolidated earnings, but supports its broader strategy under the Trailblaze Together mid-term plan. The company continues to exit low return segments including MMA monomers and is investing in high growth fields including photosensitive polyimides used in semiconductor processes. Global demand for advanced semiconductor materials is expected to touch US$1 trillion by 2030, driven by electrification, AI and high-performance computing. Industry analysts view the new joint venture as a structural realignment that reflects the shift towards specialised materials, sustainable fibre innovation and globally integrated supply networks.

The integration brings together Asahi Kasei Advance, established in 2015 to handle fibres, chemicals and construction materials, and Teijin Frontier, a major supplier of polyester fibres, apparel textiles, industrial materials and mobility components. Teijin Frontier currently employs 878 people while Asahi Kasei Advance has 553 employees. The combined entity will operate one of the strongest supply chains in Asia across procurement, manufacturing and international distribution.

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