Sumitomo Chemical has decided to discontinue the production of ethylene-propylene-non-conjugated diene rubber (EPDM), a synthetic rubber, at Chiba Works in Japan and to terminate sales of EPDM by the end of March, 2023.
Sumitomo Chemical has been working to increase the value added to its products and reduce manufacturing costs to strengthen the competitiveness of its EPDM business. The maintenance and repair costs of the production facilities for EPDM, however, which have been in operation for more than 50 years, is increasing year after year. Under these circumstances, we reached the conclusion that it is difficult to secure stable profits over the medium to long term.
Sumitomo Chemical will continue to direct its resources to fields in which the Company has competitive advantages, aiming to achieve sustained growth through creation of new value.