August 2, 2024

Nippon Shokubai Announces a Subsidiary in Indonesia Plans
to Expand Its Superabsorbent Polymers (SAP) Plant
NIPPON SHOKUBAI CO., LTD. (headquarters: Osaka, Japan, President: Kazuhiro Noda, hereinafter “NipponShokubai”) hereby announces that Nippon Shokubai has resolved, at its board meeting held on July 30, 2024, togive approval to the investment plan at PT. NIPPON SHOKUBAI INDONESIA (hereinafter “NSI”).
The plan is to build superabsorbent polymers (hereinafter “SAP”) plant with 50,000 metric tons per year (“T/Y”),
as follows.
1. Background of the investment
SAP, one of Nippon Shokubai’s core businesses, shows steady growth of demand as a key material for diapers
globally, particularly in the regions the populations are anticipated to increase rapidly.
As a result of the study, Nippon Shokubai concluded to expand the capacity of NSI, as it had already expanded its
production facility of acrylic acid (hereinafter “AA”) by 100,000 T/Y (total AA capacity after the expansion:
240,000 T/Y) and can take advantages of its strength from the vertically integrated production from AA to SAP tomeet the strong demand growth in Asian region and the expectation for synergistic effect with the existing plant.
On the other hand, for the old SAP production facilities with relatively low productivity in Himeji, Japan, Nippon
Shokubai will consider stopping some of these facilities to optimize Nippon Shokubai’s global SAP supply network
in future.
2. Feature of investment
Production capacity

SAP 50,000 T/Y(current capacity 90,000 T/Y, total 140,000 T/Y after completion)

Schedule

Mechanical completion– January 2027

Commercial operation – July 2027
LocationExisting plant site of NSI

Investment amountApprox. 110 million US dollars

3. Corporate outline of NSI
Established

August 1996

Location

Cilegon, Banten Province, Republic of Indonesia (head office and plant)

Representative

Shinichiro Yoshimoto (Mr.) President Director

Business

Manufacture and sale of AA, acrylates and SAPCapital

120 million US dollars (paid-in capital) 99.9％ contributed by Nippon Shokubai

Number of employees

448 (as of March 31, 2024)
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Websitehttps://shokubai.co.id/

4. Influence on the business results
This project makes no influence on the business results of the current fiscal year ending on March 31, 2025. As forthe business results in future, after the operation on fiscal year 2027, Nippon Shokubai will maintain and improve
profitability by utilizing the above mentioned new plant effectively.

【Related releases】
Inauguration Ceremony Held for a New Acrylic Acid Facility in Indonesia (May 24, 2023)
https://www.shokubai.co.jp/en/news/2023052412480/

About NIPPON SHOKUBAI CO., LTD.: Nippon Shokubai utilizes the unique technology to manufacture chemicals
such as ethylene oxide, acrylic acids, catalysts, superabsorbent polymers. We use chemistry to make the impossible
possible, and offer unprecedented solutions to the world, specifically in Environment & Energy, Electronics &Imaging and Daily Use fields. Our corporate mission is "TechnoAmenity: Providing prosperity and comfort topeople and society with our unique technology".
For more information: https://www.shokubai.co.jp/en【Contacts】
Corporate Communications Dept.,
NIPPON SHOKUBAI CO., LTD.
TEL: +81-3-3506-7605

E-mail: shokubai@shokubai.co.jp

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