Message from President
Toho Titanium Co., Ltd. was founded in Chigasaki, Kanagawa in 1953 and since then has been pursuing the possibility of titanium and related technologies and providing titanium products and services to customers all over the world.
Titanium metals have remarkable and unique characteristics—they are light, strong,
corrosion-resistant and highly biocompatible. Thanks to these characteristics, the metals are utilized in aircraft engines and bodies, pipes and heat exchangers used in desalination, LNG and chemical plants, artificial bones and joints for medical supplies, sporting goods such as golf club, and even building materials. As it is a new metal whose commercial production started in 1948, market demand for and the applications of titanium are expected to keep expanding further.
While demand for titanium metals is on a long-term growth trend, manufacturers of titanium sponge have in recent years been faced with severe business environment caused by structural changes such as movements toward vertical integration in the titanium industry, increased capacities of titanium sponge production in the world, and higher prices for titanium ores and electric power. With these as a backdrop, we implemented structural reforms of our titanium metals business in FY 2014-2015, including improvement in plant efficiency through reduction in the titanium sponge production capacity of Chigasaki Plant, cutbacks on fixed costs and other measures to raise production efficiency, while at the same time pursuing growth strategies such as a joint venture project for manufacturing titanium sponge in the Kingdom of Saudi Arabia and a joint venture project with Nippon Steel & Sumitomo Metal Corporation for manufacturing titanium alloy for aerospace applications.
While working on the development of new technologies and products with a focus on the possibilities of technologies related to titanium production, we have also developed catalysts for producing polypropylene as well as materials for internal electrodes and dielectric of multi-layer ceramic capacitors (“MLCC”), which are main products of our catalysts and chemicals business. In parallel with the structural reforms of the titanium metals business mentioned above, we have endeavored to strengthen the catalysts and chemicals business by ensuring a steady supply of the products and, through the collective efforts of our sales, R&D, engineering and production divisions, actively developing new products based on our technical expertise that can make a difference, all with a view to provide sufficient value to satisfy customer needs in a rapidly changing and highly competitive market.
Having achieved intended results with those measures, we have moved on to the next stage from FY 2016 to strengthen our management base with a view toward realizing sustainable growth, following our Medium and Long Term Management Strategies which has a unifying theme “We will pursue quality and thereby strengthen and secure our management base.” In FY 2017, we also set a numerical target regarding the Medium and Long Term Management Strategies, together with focal points for its achievement, and formulated a Medium Term Plan for FY 2017-2019, according to which each division of the company is striving to realize quality, cost and other advantages that will give us a competitive edge.
We remain committed to paving the way for the future of the Toho Titanium Group by steadily implementing measures described above, with our “Management Philosophy” and “Fundamental Policies” as revised in 2016 positioned as guiding principles. I appreciate your continued support and guidance.
President and Representative Director
Toho Titanium Co., Ltd.