Mitsubishi Gas Chemical Company, Inc.
Regarding the Suspension of Construction Work at MGC Specialty Chemicals Netherlands B.V.
The consolidated subsidiary MSCN has suspended construction work of the MXDA manufacturing facility. Due to difficulty in economic viability, factory closure procedures will begin, with removal completion planned by 2029.
Key Figures
- Construction Suspension Decision Date: February 20, 2026
- Establishment of MSCN: January 2021
- MXDA Production Capacity: Annual 25,000 MT
AI要約
Background of Construction Suspension
MGC Specialty Chemicals Netherlands B.V. (MSCN), a consolidated subsidiary of Mitsubishi Gas Chemical Company, Inc., has decided to suspend construction of the metaxylene diamine (MXDA) manufacturing facility. Due to significant changes in the business environment including construction delays, soaring construction costs, and intensified competition, options such as resuming construction or collaborating with other companies were considered, but economic viability was deemed difficult to secure. Accordingly, impairment losses on fixed assets were recorded in the quarterly financial reports for November 2025 and February 2026.
Future Measures and Impact on Performance
Going forward, factory closure procedures including removal of the facilities will commence, with removal completion scheduled for 2029. The impact of this matter on the consolidated and non-consolidated performance for the fiscal year ending March 2026 is currently under review and will be promptly disclosed if necessary. Costs such as facility removal expenses and contract processing fees are expected to be recognized going forward.
