Inoac Corporation Business Report FY ended Dec. 2014

Recent Years

New Company

-In December 2013, the Company announced that it invested USD 20 million to establish Inoac Polymer Lanka (PVT) Ltd., a new urethane foam manufacturing company in Sri Lanka. Operations at the new plant started in October 2013. The new plant is the Company's fourth production base in Asia, after plants in China, Thailand and Indonesia. The new plant is initially supplying urethane foam to the Indian apparel industry. The Company hopes to market urethane foam to the automotive industry over the medium term. INOAC says it will consider expansion of the plant depending on demand trends.

Business Partnership

-In 2011, ABC Group Inc. announced the signing of a global alliance agreement with Japan's Inoac Corporation. This agreement will allow both parties to strengthen their respective global capabilities by leveraging their complementary manufacturing footprints, technologies and customer relationships. Both parties will also engage in joint research & development projects to further strengthen their respective product portfolios. (From a press release on October 11, 2011)

Joint Ventures

-In February 2015, Ningbo Huaxiang Electronic Co., Ltd. announced that the company, Polyfoam Asia Pte. Ltd., and Kenjou Investment Co., Ltd. will add investments in their joint venture, Ningbo Inoac Huaxiang Automobile Products Co., Ltd. Polyfoam Asia is Japan-based Inoac's subsidiary and Kenjou Investment is a joint venture between Kenjou of Taiwan and Inoac. Ningbo Huaxiang Electronic will invest CNY 40.8 million, Polyfoam Asia will invest CNY 17.3 million, and Kenjou will invest CNY 18.3 million, which will change their shareholding ratio in the joint venture to 50%, 30%, and 20%, respectively. At the same time, Ningbo Inoac Huaxiang Automobile Products will acquire the following assets from Ningbo Huaxiang Electronic:
-100% of Shanghai Huaxiang Auto Parts Co., Ltd. shares
-all assets and business, excluding land, of Shanghai VW Lianxiang Automobile Products Co., Ltd.
-100% of Chendu Huaxiang Auto Parts Co., Ltd. shares
-25% of Ningbo Huaxiang Auto Trim Parts Co., Ltd. shares; the shares will be transferred from Feigmei Deutschland GMBH.
Ningbo Inoac Huaxiang Automobile Products will also acquire Polyfoam's hard/soft foam business and assets, as well as 100% of Dongguan Inoac Kenjou Automotive shares currently owned by Kenjou. (From an announcement by the company on February 11, 2015)

-In July 2014, Cooper-Standard Holdings Inc. announced that it is forming a joint venture with Inoac Corporation expanding the reach of Cooper Standard's fluid transfer systems products in the Asia Pacific automotive market. Upon closing, expected in the third quarter of 2014, Cooper Standard would own 51% and Inoac would own 49% of the joint venture named Cooper Standard Inoac Pte. Ltd. The focus of the first phase of the joint venture will be based in China with production expected to begin in the third quarter of 2015. Expansion into additional countries is planned to follow. Combined, the two companies currently operate more than 50 plants throughout the Asia Pacific region. Key products for the new joint venture are expected to include low pressure hose and transmission oil cooler lines for radiator, emissions, vacuum brakes, turbo chargers, heater, air conditioning and power steering applications. (From a press release on July 31, 2014)

-In 2011, ABC Group Inc. announced the signing of a joint venture agreement with Ningbo Inoac Huaxiang Automobile Products Co., Ltd. (IHX) of China to form Ningbo ABC Inoac Huaxiang Co., Ltd. (AIH), based in Ningbo City, Jiangsu province, China. The customer base at the AIH joint-venture facility will include Volkswagen, Toyota, Nissan and Daimler. The following product lines will be produced at the joint-venture facility: interior, exterior and engine support products. IHX was formed as a joint venture between Japan's Inoac Corporation and China's Ningbo Huaxiang Electronic Company Limited. (From a press release on April 5, 2011)

-In 2007, the Company announced that it will establish four joint venture companies in North America with Woodbridge Foam Corp., Canada, in the automotive seats urethane foam business. It will further develop the current partnership in Asia including Japan into a long, expanded alliance. The Company will invest in four companies of the Woodbridge Group in North America as early as Dec. 31, 2007 to establish fifty-fifty joint ventures. While the Company will make 50% investments in three Woodbridge companies in Texas and one in Mexico, Woodbridge Foam will make a 50% investment in Kyushu INOAC Co., Ltd., Yukuhashi City, Fukuoka Prefecture. (From an article in the Nikkan Jidosha Shimbun on Nov. 20, 2007)

R&D Facilities

Name Location Remark
The Company,
Main Global R&D Headquarters
- -
Inoac Technical Center Co., Ltd. Kanagawa Pref., Japan The Company, by positioning the development of new materials, which are at the leading edge of the industrial sector, at the core of its R&D functions, is focusing its R&D activities on environmental technologies and biomass.
Inoac USA Inc. Michigan, USA Conducting market surveys, gathering information, and pursuing new technology, in addition to collaborating with academia.
Suzhou Inoac New Polymers Co., Ltd. Suzhou, China R&D activities on technologies focused on market needs

R&D Activities

-As of Dec. 2014, the Company is conducting the following R&D activities;

  • Developing high-performance polyurethane
  • Developing rubber materials and tires
  • Developing functional products made from plastics
  • Developing new uses for high polymer materials
  • Improving recyclability and working on environmentally friendly products


  Dec. 2014 Dec. 2013 Dec. 2012
Total 1,741 1,513 1,403
  (in million JPY)
  FY ended Dec. 31, 2014 FY ended Dec. 31, 2013 FY ended Dec. 31, 2012 FY ended Dec. 31, 2011 FY ended Dec. 31, 2010
Sales 163,000 162,900 171,100 149,400 168,400