Business Strategies - Basic Chemicals

Relationship Between Our Products and Daily Life

製品ラインナップ

 

Strength of This Business(Resonac Pride Products and Services )

Kawasaki Plastic Recycling 

Percentage of feedstock derived from used plastics 
Reduction of GHG emissions 
Conversion to economic value 

KPR

Medium- to Long-Term Vision of Basic Chemicals

With pride in and responsibility for supporting the future of people and communities, we pursue manufacturing in harmony with the global environment. Through co-creation and technological innovation, we will establish a pioneering model for an urban chemical park and showcase it globally. 

Vision for 2030 and Roadmap to Achieve It

Achievements to Date IssuesPriority Measures for Phase 2
  • Redefined our responsibility as a “foundational business” that supports people’s lives and transformed the way we operate. Advanced energy-efficiency measures, price revisions, and operational improvements, making the restoration of profitability and stable supply our highest priority. 
  • Promoted optimization of facility management and investment from a long-term perspective while strengthening frontline capabilities and improving operational efficiency from a long-term perspective, thereby laying the foundation for stably supplying products that support social infrastructure. In 2025, decided to: (1) produce low-carbon ammonia using only hydrogen derived entirely from used plastics and textiles as feedstock; and (2) reduce GHG emissions by converting the fuel used in on-site power generation facilities to city gas and hydrogen. 
  • Established the GX Strategy Promotion Department within the Basic Chemicals Business Unit and put in place an organizational structure capable of developing a business model that circulates resources without waste, centered on decarbonization-driven transformation toward carbon neutrality (CN) by 2050. 
  • Strengthening capabilities for decarbonization and resource circulation 
    Implement measures to further reduce GHG emissions while expanding the environmental value we add to our products. 
  • Addressing structural issues of the Basic Chemicals Business 
    Address challenges such as rising raw material and fuel costs, the need to upgrade aging facilities, and labor shortages, thereby further strengthening our business foundation. 
  • Enhancing the value of our product lines that support society
    and daily life to further evolve and develop into a “business that
    offers differentiated value”
  • Priority measures include business transformation through digital transformation (DX), improving productivity through human resource development and the transfer of technical expertise, and accelerating the development of new resource-circulation products through co-creation. 
  • Further strengthening our business structure’s resilience to market fluctuations and clarifying its role as a foundational business that generates stable earnings and supports the Group’s overall growth strategy. 
Plans for 2026 
Priority Measures : Transition to the Phase of Implementing Structural Reforms 
In 2026, we will maintain and strengthen our earnings base through stable procurement and appropriate price pass-through in response to rising raw material and fuel procurement costs resulting from the worsening situation in the Middle East. At the same time, we will roll out ISCC PLUS-certified acrylonitrile (AN) as a circular feedstock for textiles and resins, creating a premium market by leveraging its environmental value, stable supply, and price competitiveness. We will also resolve the issues of driver shortages and aging of chartered vessels in a timely manner while further developing our logistics infrastructure. Furthermore, we will support sustainable growth by steadily advancing the development of new technologies and products that will become pillars of future growth, while creating a work environment that puts safety first. Through these initiatives, we will seek to balance short-term results with medium- to long-term value creation. 

Changing Society: Specific Example

Resonac began the gasification chemical recycling of used plastics in 2003 and has a track record of stable operation spanning more than 20 years. Since launching “CirculaC”, a resource-circulation model, in 2025, Resonac has been working to expand its network of partners. Take textiles, for example. Acrylic fibers made using the ammonia and acrylonitrile produced by Resonac as feedstocks are turned into clothing, and the used clothing is then recycled into ammonia through our gasification chemical recycling process. Or take agricultural plastics. Ammonia and carbon dioxide are produced from plastics used for field mulch sheets and in greenhouses; the ammonia is used as fertilizer and the carbon dioxide to promote plant growth, thereby creating a circular system. Working with our customers, suppliers, and local communities, Resonac will transform the way materials that support social infrastructure are produced and used. We will lead the transition to a circular economy, ahead of broader societal change. 

Sustainability Is a Catalyst for Structural Reform and Improved Profitability
 

The Kawasaki Plant in Japan was established in 1930 and began producing ammonia (NH3), synthesized using hydrogen (H2) and airborne nitrogen (N2) as feedstocks. Starting with hydrogen production through water electrolysis, the plant has successively shifted its hydrogen feedstock to solid fossil feedstocks, petroleum, by-product gases (off-gases) generated by neighboring companies, and used plastics (urban oilfields*3), anticipating societal needs in order to develop and strengthen the business. Following our “second founding” as Resonac, we aim to have 100% of the hydrogen feedstock at the Kawasaki Plant derived from used plastics and textiles by 2030, the 100th anniversary of the plant’s establishment. This initiative was highly acclaimed, earning the Minister of the Environment Prize at the Fiscal 2025 Green and Sustainable Chemistry (GSC) Awards. The Kawasaki Plant will continue to serve as a foundational business that generates stable earnings and supports Resonac’s value creation, while remaining a source of trust. 

TOPICS 2026

Resonac Receives the “Minister of the Environment Award” at the 25th Green and Sustainable Chemistry Awards

Lotte and Resonac to Launch Chemical Recycling of Used Plastic Packaging via Gasification

Resonac to Expand Low-Carbon Ammonia Business Using Chemical Recycling of Plastics