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Mitsubishi Rayon acquiring US subsidiary of SGL Group

16 Jan '17

1 min read

Japanese company Mitsubishi Rayon is acquiring SGL Carbon Fibers LLC, the US subsidiary of German carbon fibre producer SGL Group, in a bid to enhance its carbon fibres business in North America. Mitsubishi’s subsidiary Mitsubishi Rayon Carbon Fiber and Composites is buying all of the shares of SGL Carbon Fibers and will integrate it by April 2017.

Mitsubishi decided to acquire the US company to increase its carbon fibre capacity in order to meet the growing demand for large tow, and this addition will increase its carbon fibre production capacity by 1,000 tons.

Combined with the ongoing expansion of capacity of regular-tow carbon fibre at its two US plants, Mitsubishi’s carbon fibre production capacity will increase from 10,100 tons per year to 14,300 tons within 2017.

Additionally, the company may also expand capacity at SGL Carbon Fibers based on the requirements and growth of the carbon fibre market.

Mitsubishi Rayon plans to leverage the characteristics of high-performance large tow and thereby capture the growth of the automotive and other industries through collaboration with its intermediary and moulding material development and manufacturing bases in Europe, North America, Japan and the rest of Asia. (AR)

Fibre2Fashion News Desk – India

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