Mitsui Chemicals to Launch MILASTOMER™ Production in North America

March 26, 2018

TOKYO–(BUSINESS WIRE)–Mitsui Chemicals, Inc. (TOKYO:4183)(President & CEO: Tsutomu Tannowa)
has decided to set up a new production facility for MILASTOMER™
thermoplastic olefin elastomer at the Ohio-plant of its U.S. subsidiary
Advanced Composites, Inc. (President: Keiji Shite).

Overview of New Production Facility
1. Product	MILASTOMER™
2. Location	Advanced Composites, Inc., Ohio plant
3. Capacity	1 production line; 6,000 tons/year
4. Schedule (tentative)	Construction begins January 2019. Completion in June. Operations commence in October.

The primary ingredients of MILASTOMER™ thermoplastic olefin elastomer
are olefin rubber and olefin resin. With its low density, light weight
and excellent moldability, Mitsui Chemicals markets the soft resin
worldwide as a substitute for vinyl chloride and vulcanized rubber. The
many uses for MILASTOMER™ include auto parts, building gaskets,
toothbrushes, golf club grips and more. Global demand is projected to
rise, primarily for applications such as automotive interior covers,
weather strips, air bag covers and steering bellows. Demand for use in
automotive interior covers is expected to expand especially in North
America.

Mitsui Chemicals currently owns production centers in Japan, Europe and
China. The new facility in the U.S. will address growing demand in North
America and serve as the company's fourth production base worldwide.
Mitsui Chemicals America, Inc. will sell MILASTOMER™ in North America,
while Advanced Composites, Inc. will handle production.

As Mitsui Chemicals is working to further strengthen its MILASTOMER™
business, the company will provide a safe and steady supply by correctly
gauging global growth in demand so as to continue expanding business.

Overview of Advanced Composites, Inc.
1. Established	June 1986
2. Capital and Stakes	US$14,100,000 Mitsui Chemicals America, Inc. (wholly owned by Mitsui Chemicals): 59.8% Prime Polymer Co. Ltd.: 3.0% Mitsui & Co. Ltd. (incl. Mitsui Plastics, Inc.): 27.0% Marubeni America Corporation: 10.2%
3. President	Keiji Shite
4. Head Office and Plants	Head Office: Ohio Plants: Ohio, Tennessee
5. Business	Production, sale and research of polypropylene compounds Contracted production of MILASTOMER™ (to be added October 2019)