Outline of Showa Denko

The Showa Denko Group is a group of chemical companies that produce individualized products in various fields including petrochemicals, chemicals, inorganics, aluminum, and electronics.

Corporate message

We shall listen more to customers and further hone our technologies, and shall thereby Act to create products and services that touch “the heart” and Act to offer solutions that make “society” better

Our Vision

Net Sales 2018

Performance Trends


*As of December 31, 2018

The Showa Denko Group has 10,476 employees, including 1,871 female employees.


History of the SHOWA DENKO Group

The Showa Denko Group started its operations by focusing on the future possibilities of the electrochemical industry, which utilized one of Japan's important resources: abundant water energy.

We aim to contribute to the realization of society where affluence and sustainability are harmonized.

Business & Products


We will realize dreams for the future with Power of chemistry × Power of technology

We develop individualized product groups that realizes your dreams by utilizing our unique ideas and reliable technologies that make the most of the potential of chemistry.


The Petrochemicals segment provides basic petrochemicals such as ethylene and propylene, organic chemicals derived from them including acetyls and allyl alcohol, and synthetic resins.

[Petrochemicals Segment's sales]:268.9billion yen(Share in sales:26%)

Ethylene, Polypropylene


The Chemicals segment provides industrial gases and chemicals, high-performance chemicals, elastomers, high-purity gases and chemicals for the semiconductor industry, and resin composites.

[Chemicals Segment's sales]:156.5billion yen(Share in sales:15%)

High-purity gases for electronics, Unsaturated polyester resin molding compound(BMC)


The Electronics Sector provides HD media, SiC epitaxial wafer for power devices, compound semiconductors such as ultra high-bright LEDs rare earth magnetic alloys, and lithium-ion battery materials.

[Electronics Segment's sales]:105.8billion yen(Share in sales:10%)

Hard disks, Lithium-ion battery materials


The Inorganics segment provides ceramics products such as abrasives, refractories, and carbon products such as graphite electrodes for electric steelmaking furnaces.

[Inorganics Segment's sales]:266.1billion yen(Share in sales:25%)

Graphite electrodes, SUPER-TITANIA(TM) high-purity titanium oxide


The Aluminum segment provides aluminum materials such as rolled products, extrusions, and forged products, and high-value-added aluminum products such as heat exchangers, and aluminum cans for beverages.

[Aluminum Segment's sales]:108.3billion yen(Share in sales:10%)

Aluminum cans, Continuously-cast aluminum rods and their forgings (SHOTIC)


The Others segment sells chemicals, resins, metals, and electronic materials, and provides building materials.

[Others Segment's sales]:143.4billion yen(Share in sales:14%)

E-POLE(lighting system), Sound-insulating fireproof dual-layer pipe

Mobile phones, Smart phones

Lithium-ion battery materials (Anode materials, Carbon nanofibers, Aluminum laminate film), Rare-earth magnetic alloys, Heat-resistant transparent film

Solar power panels

SiC epitaxial wafers, High-purity gasses for semiconductor processing

Beverage-related products

Aluminum cans, Carbon dioxide

Tap water

Sodium hypochlorite (antimicrobial)

Motor bicycle

Vinyl ester resins (helmets), Forged aluminum products

Personal computers

Hard disk media, High-purity gasses and chemicals for semiconductor processing, Abrasives for semiconductors

Showa Denko's Advantages

Wide-ranging technologies, products, and businesses

Starting from electrochemistry, the Showa Denko Group expanded the scope of its technologies to cover inorganic and organic chemistry, and metal materials. Through the use of these technologies, the Group now supplies materials and components to the information communication and automobile industries, and also provides various products that are indispensable to people's lives.

In addition to these, we produce various products with our original technologies.
Products derived from electrochemistry have limitless potential.

Showa Denko's "Only one"/"No.1" products

The Showa Denko Group pioneered in commercial production of aluminum in Japan, and also produced ammonium sulfate fertilizer with home-grown method for the first time in Japan. Thus the Showa Denko Group has been providing society with useful products as a pioneering company since its foundation. We will continue contributing to the sound growth of society as an individualized company that create "Only one" and "No. 1" products and technologies.

High-purity gases for electronics

No.1 share in the world

These gases are used for etching, cleaning and membrane formulating processes in production of semiconductors and LCDs.

Graphite electrodes

Our high-quality large-diameter electrodes occupy No.1 share in the world

Graphite electrodes are used in electric steelmaking furnaces to melt scrap steel, and contribute to recycling of steel.

High-purity aluminum foil for capacitors

No.1 share in the world

This aluminum foil is used to produce aluminum electrolytic capacitors to be used in cars and power plants.

Ultra-bright LED

No.1 brightness in the world

We produce our proprietary red LED chips that emit 660nm wavelength light which is optimum for plant-growth at the top brightness in the world.

Carbon nanofibers(VGCF™)

The first commercialization in the world

VGCF is an additive to anodes of lithium ion batteries. It improves charge and discharge performance, life and capacities of LIBs.

Ethyl acetate

In-house developed production technology unique in the world

We produce various petrochemical products which are used as printing ink for food packages, solvents for paints, etc., with our original technologies.

Intellectual property strategy

We position the intellectual property strategy as one of our crucial management strategies. We make every effort to secure our superiority based on intellectual property rights, especially in the principal businesses and newly developed important products by establishing patent networks.

Protection of intellectual property

Overseas Operation

Overseas bases 41bases

*as of December 2018

CSR Activities

Environmental efforts

Our ammonia production process was certified by Eco Mark, first in the world

Eco Mark

Eco Mark certified
Process to produce ammonia through recycling of plastic containers
Kawasaki Plant, Showa Denko

Proprietary process to produce liquefied ammonia

On July 17, 2015, SDK's proprietary process to produce liquefied ammonia was accredited by Japan Environment Association, which sponsors the "Eco Mark Program" to praise environment friendly products/processes, to be eligible for Eco Mark, as the first case of production process in the world.

Aluminum can recycling activity

Since 2001, the Showa Denko Group and its cooperative companies have been promoting aluminum can recycling activity with the participation of their employees.

Medium-term Business Plan "The TOP 2021"

Showa Denko Group's Mission, Vision and Value

Mission (The meaning of our existence): We will satisfy all stakeholders.
Vision (Our goal): KOSEIHA Company
= "KOSEIHA Company" is "an aggregate of KOSEIHA Businesses that can maintain high levels of profitability and stability."
Value (Means to realize Vision): Maximization of CUSTOMER Experience
= Change our business model and offer solutions beyond manufacturer's limits

Basic concept

“KOSEIHA Company,” which is our Vision, is an aggregate of KOSEIHA Businesses that can maintain high levels of profitability and stability. The Group aims to make half or more if its businesses KOSEIHA Businesses by 2025. Therefore, in The TOP 2021, the Group will change its course toward long-term business growth, thereby establishing a stable foundation which will continuously support the Group’s growth far into the future.

Showa Denko Group's management policy

Basic strategy

1) Dramatic improvement in existing businesses

Enhance:These businesses compete in mature markets and enhance offering value by evolving business models.

Grow:We will accelerate growth of these businesses in growing market at home and abroad.

Change:We will change business models of them, considering expansion into downstream.

2) Creation of new businesses (Create)

To realize continuous growth of the Group, we must create new businesses. Therefore, we will take strategic discontinuous measures such as M&As, in addition to R&D to realize organic growth of the Group.

3) Inter-business cooperation

We will aim to offer solutions adapted to changing in market requirements for materials, with backcasting from the future of industries.

4) Strengthening base of strategy

The Group will promote various measures which will also be incorporated into the next medium-term consolidated business plan starting in January 2022, including strengthening of R&D functions and marketing functions, and introduction of AI/IoT.

Performance targets (3-year total)

Net sales ¥3,400 billion

Operating income ¥480 billion (Operating margin 14.1%)

Net income ¥330 billion

ROA 12.6%

ROE 19.5%

Note 1: ROA is based on operating income, and the simple average of 3 years.
Note 2: ROE is the simple average of 3 years.

Financial strategy

To realize continuous growth of the Group, we must invest in a timely and appropriate manner. The Group sets clear criteria for capital investment, and carefully select investments. We use cash flow for investment to improve productivity, and improve business efficiency through use of Cash Conversion Cycle (CCC) as management tool.
We will pay dividends in a stable manner, and promote financial policy, keeping increase in return to shareholders in mind, while executing M&As and other discontinuous investment.

Important targets to enhance corporate value

*Gross D/E ratio

Investment policy (3 year total)

Investment in facility improvement ¥120 billion

Investment in organic Growth ¥130 billion

Investment in M&A 150 billion

Research and development (R&D)

We will focus our R&D resources on 10 technical fields corresponding to 7 priority business domains, and accelerate creation of value-adding pipelines for businesses.

Priority domains, R&D 10 notable technical fields