Asahi Kasei Fibers will establish a subsidiary in Thailand for the manufacture and sale of spunbond nonwovens. The investment will enable Asahi Kasei Fibers to significantly expand its business in the Asian hygiene market, which is expected to grow significantly in coming years.
The new 20,000 ton per year spunbond plant is scheduled to begin production in September 2012.
Since launching its spunbond business in 1973, Asahi Kasei Fibers has developed a wide range of applications for its spunbond brand. These include hygienic products such as disposable diapers as well automotive materials and other industrial applications and general consumer products. With Japanese production sites in Moriyama, Shiga, and in Nobeoka, Miyazaki, Asahi Kasei Fibers has mainly focused on developing its business in Japan.
As China, ASEAN, and other Asian markets sustain their remarkable economic development, overseas demand for hygiene materials, particularly for disposable diapers, is forecasted to continue to increase significantly, and Japanese diaper manufacturers are expanding production in Asia. The new subsidiary and plant in Thailand will serve as a strong overseas production and sales base for Asahi Kasei Fibers to meet growing demand in Asia, according to executives.
Asahi Kasei Fibers will study the addition of further capacity in Thailand as the market for hygiene items continues to grow. The timing of subsequent expansions will be determined appropriately in line with market growth.