From the Sector

•    First production supercar created with Hypetex coloured carbon fibre
•    Paint-replacement technology reduces weight to enhance performance

British car manufacturer Briggs Automotive Company (BAC) has created a unique Hypetex coloured carbon fibre version of its Mono R, reducing the weight by removing the need for paint.  

The original BAC Mono R was created to be lighter and more powerful than the standard model, with 343bhp and 555kg total weight, equating to a power-to-weight ratio of 618bhp-per-tonne. By removing the need for paint coatings in this version, the net weight of the exterior is reduced compared to a painted shell, resulting in a further improved overall performance.

The car’s body was created using Hypetex’s titanium carbon fibre twill, and finished with a crystalized lacquer, offering a unique aesthetic finish. The ultra-lightweight supercar can accelerate from zero to 60mph in less than 2.5 seconds.  

Hypetex’s paint-replacement technology retains the visible weave, allowing for a bold design and a choice of colours without technical compromises, perfectly aligning with BAC’s initiatives to maximise performance whilst creating bespoke supercars. Paint generally adds 138 grams per metre squared, whereas Hypetex adds just 17 grams for the same area, offering an 8x weight saving.
This bespoke version of BAC’s single-seater Mono R was subject to BAC’s renowned BAC Bespoke programme, which ensures that no two Monos are the same. The client, a US-based collector, worked with BAC’s design team to design the car to their personal taste.   

Born out of Formula 1 technology, Hypetex offers manufacturers sustainable aesthetic materials with technical and efficiency benefits. This collaboration is an all-British success story, with the Hypetex carbon fibre body built by Formaplex, a leading UK-based manufacturing company who manufacture lightweight engineered solutions for top tier customers in Automotive, Aerospace and Defence markets. BAC’s supply chain is 95% UK-based.  

Hypetex continues to expand its growing portfolio of the use of coloured carbon fibre to add personalisation to the automotive field, with its material recently featured on the 2024 Ford Mustang Dark Horse.  

• ITA Master's graduate wins Hanns Voith Foundation Award 2023

In his Master's thesis, Flávio André Marter Diniz, a graduate of the Institut für Textiltechnik of RWTH Aachen University (ITA), developed ultra-thin polyethylene (PE) carbon fibres with a filament diameter 2-3 times smaller than usual. In addition, the use of PE-based precursors will make it possible to reduce the price of carbon fibres by 50 per cent in the future, thus opening up a wide range of other possible applications in key industries such as wind power, aerospace and automotive. For this groundbreaking development, Marter Diniz was awarded the Hanns Voith Prize with the Hanns Voith Foundation Award in the category "New Materials". The prize is endowed with € 5,000 in prize money.

Flávio André Marter Diniz won the prize in the category "New Materials" for his master thesis entitled "Investigation of the stabilisation and carbonisation process for the production of ultra-thin polyethylene-based carbon fibres".

The use of carbon fibres in highly stressed lightweight construction solutions, such as today's growth applications of wind turbines or pressure tanks, has become indispensable due to their excellent mechanical properties and low density. High manufacturing costs of conventional PAN precursor-based carbon fibres make the material very cost-intensive. In addition, it is not sufficiently available. New manufacturing approaches that develop alternative raw materials and manufacturing processes can be a key and growth engine for further industrial composites applications.

The aim of the work was to develop a new and cost-effective manufacturing process for high-quality ultra-thin carbon fibres using a polyethylene precursor. For this purpose, the sulphonisation process, which is time-consuming today, was to be significantly shortened. As a result, Mr. Marter Diniz produced novel ultra-thin polyethylenebased carbon fibres with a filament diameter < 3 μm with an excellent surface quality of the fibres without detectable structural defects. The fibre diameter is 2-3 times smaller than that of conventional PANbased CF. This provides the basis for mechanically high-quality material properties. At the same time, Mr. Marter Diniz was able to reduce the sulphonisation time by 25 percent. The developed material and technology set important milestones on the way to cheaper carbon fibres. With PE-based precursors, the price of CF can be reduced by 50 percent compared to conventional PAN-based CF.  

A total of five other young scientists were awarded in six categories (Drive Technology, Innovation & Technology/Artificial Intelligence, New Materials, Paper, Hydropower and Economic Sciences. This year, for the 10th time, the Hanns Voith Foundation awarded the Hanns Voith Prize to outstanding young scientists.

• Sales increase of 12.8% to €1,135.9 million
• EBITDApre improves by 23.4% to €172.8 million
• Net financial debt reduced from €206.3 million to €170.8 million
• Fiscal 2023 expected to be investment and stabilization year

SGL Carbon was again able to improve sales and earnings in fiscal year 2022 following 2021. All four business units contributed to this success.
Sales in fiscal 2022 increased by 12.8% year-on-year to €1,135.9 million (previous year: €1,007.0 million). The rise in sales was mainly due to both volume effects and the successful implementation of pricing initiatives to compensate higher raw material, energy and transport prices. At 23.4%, adjusted EBITDA (EBITDApre) improved at a higher rate than sales and amounted to €172.8 million in fiscal 2022 (previous year: €140.0 million). Increased sales and the associated higher capacity utilization also contributed to the improvement in earnings, as well as focusing on market segments with higher margin potential.
 
Earnings development of SGL Carbon
The increase in EBITDApre by €32.8 million to €172.8 million was mainly driven by the Graphite Solutions business unit (+€30.6 million). The Composite Solutions (+€7.9 million) and Process Technology (+€5.2 million) business units also contributed to the improvement in profitability. Although the Carbon Fibers business unit was able to offset the loss of a lucrative supply contract with an automotive customer in terms of sales with new orders from the wind energy sector, but these sales showed a significantly lower margin level. Accordingly, EBITDApre of this business unit decreased by €11.2 million to €43.2 million (previous year: €54.5 million).

Taking into account net one-off effects and non-recurring items of €8.9 million (previous year: €30.7 million) and depreciation and amortization of €60.8 million (previous year: €60.3 million), reported EBIT amounted to €120.9 million (2021: €110.4 million). This corresponds to an increase of 9.5%.
As a result of the pleasing business performance, the successes of the transformation and non-operating one-off effects and non-recurring items (€8.9 million), a positive Group’s net profit of €126.9 million (previous year: €75.4 million) was achieved in 2022. It should be noted that consolidated net income includes tax income of €31.3 million (previous year: minus €6.2 million). This development is mainly due to valuation adjustments on deferred tax assets amounting to €41.8 million, based on the good business development combined with positive earnings prospects in the USA. Current tax expenses amounted to €11.4 million in 2022 (previous year: €11.9 million).
 
Net financial debt and equity
In fiscal 2022, net financial debt was reduced significantly by 17.2% to €170.8 million compared with the end of 2021 (€206.3 million). The main reason for the decrease is the repayment of financial liabilities in the amount of €29.0 million. Free cash flow decreased from €111.5 million to €67.8 million in 2022. In this context, it should be taken into account that in the previous year, free cash flow included cash inflows of €30.6 million from the sale of land not required for operations.
After 2021, the equity ratio increased again to 38.5% at the end of 2022 (previous year: 27.0% I 2020: 17.5%). Due to the significantly improved earnings situation, the return on capital employed (ROCE) also rose from 8.0% in the previous year to 11.3% in 2022.
 
Development of the business units
As the largest business unit with a share of Group sales of around 45%, Graphite Solutions contributed €512.2 million to Group sales in 2022 (previous year: €443.6 million). The 15.5% increase in sales is based in particular on the positive development of the important market segments Semiconductor & LED and Industrial Applications. Compared to the previous year, sales to customers in the semiconductor & LED industry increased by 49.6%, driven in particular by increasing demand of materials and components for the production of silicon carbide-based high-performance semiconductors. Combined with the increase in sales, GS EBITDApre improved by 34.8% to €118.5 million (previous year: €87.9 million). Accordingly, the EBITDApre margin increased from 19.8% to 23.1%. Volume effects due to higher sales as well as margin effects from the product and customer mix had a positive impact.  Especially the higher sales with customers from the semiconductor industry should be taken into account.

In fiscal 2022, the Process Technology (PT) business unit benefited from the good order situation in recent months and increased its sales by 21.9% to €106.3 million. The main clients of the PT business unit are customers from the chemical industry. The positive development of PT is also reflected in EBITDApre which rose from €4.7 million in the same period of the previous year to €9.9 million. Higher capacity utilization and the successful passing on of increased raw material costs led to an improvement in the EBITDApre margin from 5.4%  to 9.3% in 2022. Energy costs play only a minor role at PT.

In the reporting year, sales of the Carbon Fibers (CF) business unit increased by 3.0% to €347.2 million (previous year: €337.2 million). It should be noted that CF had to absorb the scheduled expiry of a supply contract with an automotive customer at the end of June 2022. These sales were offset by orders from the wind industry and Industrial Applications. However, EBITDApre in the CF division decreased by 20.7% year-on-year to €43.2 million (previous year: €54.5 million). This earnings development is mainly attributable to the expiry of the high-margin automotive contract. In addition, a special effect from energy derivatives in the amount of minus €9.2 million impacted CF earnings in the 1st quarter of 2022. However, the implemented energy price hedges enabled the business unit to maintain its production capability throughout the entire fiscal year, that the weakening of earnings was mitigated.
The Composite Solutions (CS) business unit confirmed its upward trend in fiscal 2022 with a 25.0% increase in sales to €153.1 million (previous year: €122.5 million). The most important market segment for the CS business unit is the automotive industry. In line with the highly positive business performance, EBITDApre of CS increased by 65.3% to €20.0 million (previous year: €12.1 million). This figure also includes non-recurring positive effects of €3.7 million from compensation payments received from automotive customers for premature project terminations.

The non-operating Corporate segment contributed €17.1 million to Group sales (previous year: €16.5 million). In line with continued strict cost management as part of the transformation, EBITDApre improved slightly to minus €18.8 million (previous year: minus €19.2 million).

Outlook
"If we summarize our expectations for the 2023 financial year, it can be summed up under the guiding principle: -invest and stabilize," CFO Thomas Dippold comments on the forecast for 2023.
For the fiscal year 2023 we continue to expect solid demand for our materials and products. In particular, we expect that the demand for special graphite products for high-temperature processes, e.g. in the semiconductor, solar and LED industries, will continue to increase. On the other hand, the first-time full-year effect from the expiry of a supply contract with an automotive customer in the carbon fiber segment and the sale of our business in Gardena (USA) will burden sales development.

"The increasing demand for high-performance semiconductors for electromobility or renewable forms of energy will also boost the demand of components made of graphite for the production of these semiconductors. To benefit from the related opportunities, we will expand our production capacities in this segment and invest a double-digit million amount in 2023 . Based on existing supply relationships, we will implement this investments partly together with our customers," explains CEO Dr. Torsten Derr.
On the cost side, we expect energy and raw material prices to remain at a high level in 2023, along with significant wage increases. Our forecast implies that higher factor costs can be partially passed on to customers through price initiatives.
Based on the assumptions described, we expect Group sales to be at prior-year level and EBITDApre to be between €160 million and €180 million in the financial year 2023.
In the medium term (until 2027), we anticipate a further improvement in our EBITDApre margin between 18% and 19%.

Due to the continued good business development, especially in the Carbon Fibers Business Unit, SGL Carbon SE is increasing its Group sales and earnings guidance for the current fiscal year and now expects Group sales of approximately €1.2 billion (previously: approximately €1.1 billion). The company expects to achieve adjusted EBITDA (EBITDA pre = earnings before interest, taxes, depreciation and amortization before one-off effects and non-recurring items) of €170 - €190 million (previously: €130 - €150 million) in 2022.

Based on lower prices for acrylonitrile as main raw material of the Business Unit Carbon Fibers as well as higher than expected customer demand for acrylic and carbon fibers combined with consistently good production capacity utilization and capability, the management of SGL Carbon SE assumes an improved earnings development of this Business Unit.

SGL Carbon assumes that the factors mentioned will continue at least until the end of the year and that the earnings situation of the Business Unit Carbon Fibers will exceed previous expectations. Combined with the continued good business development of the other three Business Units (Graphite Solutions, Process Technology and Composite Solutions), an improvement in the sales and earnings situation at Group level is expected.

In line with the forecast increase for adjusted EBITDA (EBITDA pre) to between €170 and €190 million (previously: €130 - €150 million), the company is forecasting adjusted EBIT (earnings before interest and taxes and before one-off effects and non-recurring items) of between €110 and €130 million (previously: €70 - €90 million). The forecast for return on capital employed (ROCE) of originally 7% - 9% has been raised to 10% to 12% corresponding to the development of earnings. The expectations for free cash flow (significantly below previous year's level of €111.5 million) remain unaffected by the expected improvement in sales and earnings.

The updated forecast for fiscal 2022 has been prepared on the basis of the currently prevailing market environment and assumes no deterioration in the general conditions, in particular due to the war in Ukraine and its consequences for the global economy.
 
The definition of key figures used in this release is aligned to the Annual Report 2021. There were no changes in the scope of consolidation or accounting methods compared with the previous guidance.

With the goal of making recycling of lightweight, high-volume fiber and flake recyclate much more economical and, in some cases even possible, Coperion has developed a new version of its ZS-B side feeder. Using the innovative ZS-B MEGAfeed, plastic recyclate with a bulk density under 200 kg/m³, long considered intake-limited and thus not worth recycling, can be reliably fed in large quantities into Coperion’s ZSK twin screw extruder and be concurrently recycled and compounded.

The ZS-B side feeder’s novel design makes it possible to feed very high rates of fiber and flakes, such as PA, PE, PET, and PP. As a result, the ZSK twin screw extruder’s high capacity can be fully exploited when the ZS-B MEGAfeed is used. Very high throughputs in both mechanical and chemical recycling of post-industrial and post-consumer waste are achieved.

Increased Throughput in Numbers
With a ZSK 58 Mc18 twin screw extruder, the throughput increase and thus the potential of the new ZS-B MEGAfeed becomes very clear. When recycling PA fibers with a bulk density of ~40-50 kg/m3, throughputs of 70 kg/h were previously achieved using conventional equipment. When the PA fibers were fed into the ZSK extruder using the ZS-B MEGAfeed, throughputs increased about fourteenfold to 1,000 kg/h. Similar results were achieved recycling carbon fibers with a bulk density of ~50-70 kg/m3; in this case, throughputs increased from 50 kg/h to 2,500 kg/h using the ZS-B MEGAfeed. When recycling PCR (Post-Consumer Recycled) flakes, throughputs increased from 50 kg/h to 700 kg/h, and from 80 kg/h to 1,300 kg/h with multilayer film flakes.

Key to Economical Recycling of A Wide Variety of Plastics
Plastics previously considered not recyclable are becoming a valuable raw material using the new Coperion ZS-B MEGAfeed. For example, PCR flakes or recyclate from carbon fiber-reinforced plastics can now be fed into the ZSK extruder at high feed rates and recycled economically.

In the case of mechanical upcycling, upstream processes necessary for compounding, such as compacting, melting and agglomeration, are completely eliminated using the ZS-B MEGAfeed technology. In this recycling process, flakes and fibers can be fed directly into the ZSK extruder, where they are melted, compounded, devolatilized, and filtered in a single step. In so doing, both investment costs and energy consumption drop. The production process becomes significantly more efficient. Moreover, the thermal product stress is reduced and recyclate quality increases.

Even when recycling PET, the feed rate is no longer a limiting factor. With the ZS-B MEGAfeed, PET flakes and fibers can be fed into the ZSK twin screw extruder in large quantities with no pre-drying or crystallizing, where they can be processed with the highest degree of profitability.

The ZS-B MEGAfeed can also feed large quantities of post-consumer waste, adding appreciable value to the chemical recycling process with the ZSKs. ZSK throughput rates are very high with the ZS-B MEGAfeed. Preheating of the recyclate via mechanical energy input of the twin screws thus becomes even more economical for further processing in the reactor.

Existing Coperion extruders can be retrofitted with ZS-B MEGAfeed technology to greatly expand their spectrum of applications and increase their throughput rates.

• Low impact of Ukraine war on business performance in 1st quarter
• 12.2% increase in sales to €270.9 million based on growth in all four business units
• Adjusted EBITDA improves by 11.5% to €36.8 million

SGL Carbon generated consolidated sales of €270.9 million in Q1 2022 (Q1 2021: €241.5 million). This corresponds to an increase of €29.4 million or 12.2% compared to the same period of the prior year. All four business units contributed to the pleasing increase in sales. In parallel, adjusted EBITDA improved by 11.5% to €36.8 million in the reporting period.

Sales development
In the first three months of fiscal 2022, the sales increase of €29.4 million was driven by all four operating business units: Graphite Solutions (+€11.3 million), Carbon Fibers (+€6.6 million), Composite Solutions (+€7.2 million) and Process Technology (+€6.0 million).
In particular, sales to customers in the automotive and semiconductor industries and a significant recovery in the industrial applications segment were key factors in the increase in sales. Sales of the Process Technology business unit to customers in the chemical industry also developed pleasingly. The effects of the war in Ukraine, which has been ongoing since the end of February 2022, had only a little impact on SGL Carbon's sales performance in the 1st quarter.

Earnings development
Despite the increasingly difficult market environment in the course of Q1 2022, associated with temporary supply and production bottlenecks at their customers, temporarily interrupted transport routes, and significantly higher energy prices, SGL Carbon was able to keep the adjusted EBITDA margin almost stable year-on-year at 13.6%.  
Adjusted EBITDA increased by 11.5% to €36.8 million in the reporting period. Higher capacity utilization in the business units and product mix effects contributed to the improvement in earnings, together with the cost savings achieved as a result of the transformation. By contrast, higher raw material, energy and logistics costs as of end of February 2022 had a negative impact on earnings. The Carbon Fibers business unit was particularly affected by the energy price increases. One-time expenses of €9.2 million in conjunction with energy transactions burdened the Carbon Fibers business unit in the 1st quarter of 2022.  
To secure our production and delivery capabilities, around 85% of the energy requirements of the entire SGL Carbon for 2022 are price-hedged.
Adjusted EBITDA and EBIT do not include in total positive one-time effects and special items of €8.5 million, among other things from the termination of a heritable building right to a site no longer in use. Taking into account the one-time effects and special items presented as well as depreciation and amortization of €14.1 million, reported EBIT increased by 83.5% to €31.2 million (Q1 2021: €17.0 million). The net profit for the period developed correspondingly and more than tripled from €6.1 million to €21.4 million in a quarter-on-quarter comparison.

Outlook
The sales and earnings figures for the 1st quarter 2022 confirm the stable demand from different market segments. Price increases and volatility in the availability of raw materials, transportation services and energy were largely offset by savings from the transformation program and pricing initiatives at the customers.
For 2022, SGL Carbon continues to expect volatile raw material and energy prices, which were included in their forecast for 2022 at the time of planning. However, there are uncertainties about the extent and duration to which SGL Carbon and the customers will be affected by the impact of the war in Ukraine or temporary supply chain disruptions due to the lockdowns in China. Therefore, SGL Carbon's outlook for fiscal 2022 does not include supply and/or production interruptions at customers or the impact of a possible energy embargo that cannot be estimated at this time.  
SGL Carbon's forecast also implies that factor cost increases can be at least partially passed on to the customers through pricing initiatives. SGL Carbon has also included the revenue and earnings impact from the expiry of a supply contract with a major automobile manufacturer at the end of June 2022 in our forecast.

• Hypetex® to Showcase Coloured Carbon and Flax Fibre Solutions
• Hypetex, London, April 20 2022, Booth R52, Hall 6

Hypetex, the market leaders in colouring carbon and natural fibre materials, will demonstrate both the processing and sustainability benefits of its patented colourisation technology when it exhibits for the first time at JEC World 2022.

Exhibiting as part of the Composites UK stand (Booth R52), Hypetex will display its portfolio of uniquely coloured carbon fibre materials including 3K woven styles, ultra-lightweight spread tow fabrics, UD, and 3D materials. Hypetex will also present details of its latest eco-friendly coloured flax materials  which combine sustainably grown natural flax with sustainable colouring technologies. Hypetex patented colouring technology, available in an extensive palette of standard and bespoke colours and shades, can be applied to traditional woven fabric constructions, non-woven UDs, spread tow and bespoke fabric designs. The technology replaces a traditional coloured painted finish, providing an exceptional depth of colour to any composite part, improving thermal conductivity and reducing heat absorption ,whilst reducing the overall weight and processing time with no compromise to the mechanical performance of the composite structure.

By removing the need for painting, and the associated preparation steps, Hypetex technology provides manufacturers with a repeatable straight out of the mould coloured finish, that is not only easy to integrate into all composite processes, but also takes additional materials, consumables, and process time out of the component cost. As part of its continued commitment to leading the drive for more sustainable composite solutions, and its focus on improvements based on the ESG framework. Hypetex will also display its new range of coloured flax fibre textiles. The advanced colouring technology used protects the natural flax fibres throughout the high temperature processes required for composite production, avoiding burning or any discolouration issues common to natural fibres. In addition, Hypetex colouring solution is an ecofriendly sustainable alternative to traditional dyeing processes which are a significant cause of global water pollution.

The Hypetex team will be on hand throughout the show to provide additional details on Hypetex materials and their integration into the manufacturing process. Visitors to the Hypetex stand will be able see Hypetex carbon and flax products in raw fabric, and how its unique colour palette translates into the most distinctive finished moulded components. Hypetex partners SHD Composites, Textreme, Sigmatex and Angeloni will also have materials and components on display at JEC World 2022, including sporting equipment such as racquets, sticks, and skateboards, which highlight the massive range of processing options and potential applications for this novel technology. One such application, the adidas Kromaskin field hockey stick, with a unique Hypetex coloured Textreme spread tow carbon finish, will also be part of the JEC Innovation Planets feature.

Mit ihren Forschungsergebnissen zur Herstellung von Kohlenstofffasern aus Holz bewarben sich die DITF erfolgreich um den ersten Preis der „Cellulose Fibre Innovation of the Year“. Nominiert wurden die DITF im Rahmen der „International Conference on Cellulose Fibres 2022“, die vom 2. bis 3. Januar in Köln stattgefunden hat.

Zum zweiten Mal kürte das nova-Institut für Ökologie und Innovation im Rahmen der „International Conference on Cellulose Fibres 2022“ herausragende wissenschaftliche Forschung, die nachhaltige Lösungen für die Wertschöpfungskette von Zellulosefasern liefert. Die DITF Denkendorf präsentierten sich mit dem Thema „Kohlenstofffasern aus Holz“ inmitten eines aktuellen Forschungsfeldes, das ressourcenschonende Alternativen zu Fasern auf fossiler Basis liefert.

Das Kompetenzzentrum Biopolymerwerkstoffe der DITF Denkendorf erhielt bei der Nominierung den ersten Platz mit der Präsentation von Kohlenstofffasern (Carbonfasern), die in einem neuartigen und nachhaltigen Verfahren aus dem Rohstoff Holz gewonnen werden. Die HighPerCellCarbon®-Technologie beschreibt ein patentiertes Verfahren, das unter der Federführung von Dr. Frank Hermanutz weiterentwickelt worden ist: In Folge dessen können in einem nachhaltigen und besonders umweltschonenden Prozess Carbonfasern auf der Basis von Biopolymeren erzeugt werden.

Das HighPerCellCarbon®-Verfahren umfasst das Nassspinnen von Zellulosefasern unter Verwendung ionischer Flüssigkeiten (IL) als Direktlösungsmittel. Das Filamentspinnverfahren stellt den zentralen technischen Teil. Es erfolgt in einem umweltfreundlichen und geschlossenen System. Das Lösungsmittel (IL) wird dabei vollständig rezykliert. Die auf diesem Wege erzeugten Zellulosefasern werden in einem weiteren Entwicklungsschritt durch einen Niederdruck-Stabilisierungsprozess direkt in Carbonfasern umgewandelt, gefolgt von einem geeigneten Carbonisierungsprozess. Während des gesamten Verfahrensablaufs entstehen keine Abgase oder giftigen Nebenprodukte.

Neben der Rezyklierfähigkeit des verwendeten Lösungsmittels steht besonders die Verwendung des Rohstoffs Holz für Ressourcenschutz. Erdölbasierte Ausgangsstoffe, die üblicherweise in der industriellen Herstellung von Carbonfasern Verwendung finden, werden durch nachwachsende Biopolymere substituiert.

TCV, Teijin’s carbon fiber business base in Vietnam, was established in May 2019. Teijin Limited announced that Teijin Carbon Vietnam Co., Ltd. (TCV) in Ha Nam, Vietnam, has started operating commercially to manufacture carbon fiber products including prepreg, a fiber sheet pre-impregnated with matrix resin as an intermediate material for composites. TCV initially will produce carbon fiber materials for sports and outdoor activities, including fishing, golf, bicycle and ice hockey goods, for markets in Southeast and South Asia and Asia-Pacific. Sales will be handled by TCV as well as carbon　fiber sales affiliates of Teijin operating in these markets.

Teijin’s sales affiliates in Singapore, Shanghai and Taipei work to identify demand opportunities as well as provide customer services in Asia. Internal collaborations between these companies and TCV shall strengthen Teijin’s presence in the upstream and downstream sectors of Asia’s fast-growing markets.

Increasingly strict environmental measures and the upgrading of environmental frameworks, such as sustainable development goals (SDGs) and the Paris Agreement, are expected to stimulate greater use of lightweight and highly rigid carbon fiber. Demands are growing in Asia, especially in the fields of sports and outdoor activities, industry and aerospace. COVID-19, for example, has led to new trends in sports and　outdoor activities, such as renewed interest in fishing due its compatibility with social-distancing protocols.