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June 11, 2024

Zeon to construct new production plant for cyclo olefin polymers
Zeon CorporationZeon Corporation (Zeon; head office: Chiyoda-ku, Tokyo; President and CEO: Tetsuya Toyoshima) decided at a meeting of theBoard of Directors today to construct a new production plant for cyclo olefin polymers (COP), specialty plastics that constituteZeon’s key product. The decision was made in line with Zeon’s Group-wide strategy of “Polishing up existing businesses” and“Exploring new businesses,” as laid out in the Medium-Term Business Plan.
Zeon had been studying ways to enhance resilience by diversifying the location of its COP production sites. The company
selected Shunan City, Yamaguchi Prefecture, from a list of candidate sites in Japan and overseas, and it has acquired a businesssite for constructing a new plant. Currently produced at the Mizushima Plant (Kurashiki City, Okayama Prefecture), COP
business has been positioned under the Medium-Term Business Plan as a growth area that requires a focused effort to polishup and explore new business opportunities. Demand for COP is expected to remain strong due to such properties as excellent
optical stability, low water absorbency, and extremely low impurity. In addition to its use in optical films and optical lenses,
COP is increasingly being adopted for medical and semiconductor applications, and this latest decision to expand production
capacity was made in anticipation of further growth in demand in the years to come.
The new plant will boost combined annual production capacity for COP to approximately 54,000 tonnes, including the existing
COP annual capacity of approximately 42,000 tonnes at the Mizushima Plant.
In selecting the site for the new plant, Zeon looked outside Okayama Prefecture from the perspective of its business continuity
plan, ultimately settling on the Shunan Industrial Complex in Yamaguchi Prefecture for its convenient proximity to the Mizushima
Plant and being close to the Tokuyama Plant, also located in Shunan City, Yamaguchi Prefecture. Zeon is considering theconstruction of additional plants for highly profitable products on the newly acquired business site, and plans to significantly
update the product portfolio of the Tokuyama Plant, which currently consists mainly of general-purpose products, and also shift
resources, including operating personnel, to the production of highly profitable products.
Zeon will continue to actively promote business restructuring to enhance its corporate value over the medium to long term.
Outline of the new plant
1. Location: Yuka-cho, Shunan City, Yamaguchi Prefecture, Japan
2. Site area: Approximately 186,500 m2
3. Annual production capacity: Approximately 12,000 tonnes
4. Start of construction: Second half of FY2025
5. Completion of construction: First half of FY2028
6. Total investment amount: Approximately 70 billion yenOutlook
This project will have a negligible impact on consolidated earnings for the fiscal year ending March 31, 2025.

For more information, contact:
Department of Corporate Communications, Corporate Sustainability Division, Zeon Corporation
Phone: +81-3-3216-2747

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