November 22, 2023

To whom it may concern
SEKISUI CHEMICAL CO., LTD.

The start of mass production of thermal gap filler materials in the United States
SEKISUI CHEMICAL CO., LTD. (President and Representative Director: Keita Kato; hereinafter "SEKISUICHEMICAL") has established a new plant in the United States to produce thermal gap filler materials for EVs(electric vehicles) and other environmentally friendly vehicles of its consolidated subsidiary, SEKISUI POLYMATECH
CO., LTD. (CEO: Chikao Shimizu; hereinafter "SEKISUI POLYMATECH") has begun mass production in October.

1. BackgroundIn the United States, the federal government has been strongly promoting the of EVs, and the number of EV
production in the U.S. market in 2025 is expected to reach 4 million cars, which is more than three times of theamount in 2022. As the result, the demand for LiB (lithium-ion battery) thermal gap filler materials is rapidly
expanding from OEMs (automobile manufacturers) and LiB/electrical component manufacturers in the U.S.
The thermal gap filler materials, which are produced by SEKISUI POLYMATECH, have already received highpraise from OEMs and /electrical component manufacturers in Japan, China, and Europe due to their superior
performance, including high thermal conductivity and low outgassing. From this background, SEKISUIPOLYMATECH established SEKISUI POLYMATECH AMERICA, LLC (SPA) in January 2023, and had build a new factoryin Calvert City, KY (*) since January 2023. After prototyping and trial sales started in September 2023, SPA has
begun full-scale mass production from October 2023.
*Inside the factory of SEKISUI SPECIALTY CHEMICALS AMERICA, LLC

2. SPA（New Factory in US）Overview
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Company Name: SEKISUI POLYMATECH AMERICA, LLC
Location: 246 Johnson Riley Rd, Calvert City, KY 42029 U.S.A.
Capital: 4.5MUS$ (100% investment by SEKISUI AMERICA CORPORATION)
Building Area: Approx. 3,000 m2
Main Products: Grease-type thermal gap filler materials

3. Future Business Development
SEKISUI POLYMATECH now has a thermal gap filler materials production system in five global locations, in Japan,Thailand, China, Europe, and the United States. SPA has a production capacity of 1.4 million liters per year, which isequivalent to the amount installed in approximately 700,000 EVs. The thermal gap filler materials business ofSEKISUI POLYMATECH aims to achieve for sales of 20 billion yen in fiscal year 2025 including the U.S. plant.

【Reference 1】
SEKISUI POLYMATECH CO., LTD. Overview
Establishment: November, 2012
Capital: 990 million yen (100% investment by SEKISUI CHEMICAL)
Representative: Chikao Shimizu, President and Representative Director
Business description: Manufacture and sale of automotive and electronics parts
Headquarter: 8-10-1 Tajima, Sakura-ku, Saitama-shi, Saitama 338-0837, Japan
https://polymatech.co.jp/

SEKISUI AMERICA CORPORATION Overview
Establishment: December, 1983
Capital: 8,421 thousand U.S. dollars
Representative: Ian Moran, President
Business description: Regional Headquarters in North America
https://www.sekisui-corp.com/

SEKISUI SPECIALTY CHEMICALS AMERICA, LLC Overview
Establishment: June, 2009
Capital: 107 million U.S. dollars
Representative: Cory Sikora, President
Products: High performance Polyvinyl alcohol polymer and copolymer product range “Selvol”
Applications: Paper, Adhesives, packaging, construction, personal care, and other specialty formulation
Other Products: Thermo-Expandable Microspheres ”Advancell”, Polyvinyl Acetal Resins “S-LEC BK”
https://www.sekisui-sc.com/【Reference 2】
Press release on January 16, 2023
https://www.sekisuichemical.com/news/2023/1383439_40406.html＜Contact information regarding this matter＞■PressPublic Relations Department, SEKISUI CHEMICAL
Email： kouhou@sekisui.com■Customers other than those involved in the press
Mobility Business Strategy Department, SEKISUI CHEMICAL
Email： sekisui-mobility-pr@sekisui.com