TOKYO, December 8, 2021 -- Ube Industries, Ltd. announced today that the Company has decided to build a new plant for polyimide film (product name: UPILEX®), sales of which are expanding for circuit substrates for liquid crystal display (LCD) TVs and organic light emitting diode (OLED) displays for smartphones. The new plant will be constructed at Ube Chemical Factory in Ube City, Yamaguchi Prefecture. The plant will start trial operations in October 2024, raising the production capacity by 20%.

A plant for polyimide raw material monomer (biphenyl tetracarboxylic dianhydride; BPDA) is already under construction to expand and will go online in the second half of fiscal 2023. By increasing production of polyimide film following the increase in production of raw material monomer, Ube Industries will further expand its polyimide business while providing a stable supply to its customers.

Polyimide film is used as a circuit substrate material for electronic information devices. Demand for polyimide film is anticipated to continue increasing in line with the growth of markets for smartphones, personal computers, digital consumer electronics, and automobiles. UPILEX® is manufactured by Ube Industries' proprietary BPDA thermal imide process and has superior heat resistance, mechanical properties and dimensional stability compared to other polyimide films. Because of these advantages, UPLEX® commands a large market share for chip on film (COF) applications primarily for LCDs and OLED displays In addition, demand for polyimide film for flexible printed circuit (FPC) applications has been strong.

The Company decided to carry out this facility expansion in order to actively increase production capacity and ensure a stable supply of products to meet strong demand.

The new plant will be equipped with technology to further improve productivity, and to handle a variety of product grades under a flexible production system.

In April 2022, Ube Industries will change its trade name to UBE Corporation and take a new step forward as a chemicals company. The Company will leverage its sound manufacturing capabilities honed over its long corporate history and specialty chemicals technologies to continue creating value as required in a sustainable society. It will realize sustainable growth as a global company that addresses global environmental issues and contributes to the health and longevity of people and enrichment of society.

The Company will further shift toward specialty chemicals to become a business entity that is resistant to shifting market conditions as well as being resilient and having growth potential. Driving this will be the polyimide business, in which the Company will leverage its strengths based on integrated production from raw materials to film and varnishes. Going forward, Ube Industries will bolster and expand its business foundations to contribute further to revenue growth.