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Showa Denko Packaging Concentrates Production in Kansai Area

November 26, 2003

Showa Denko Packaging Co., Ltd. (SPA), a consolidated subsidiary of Showa Denko K.K. (SDK), has concentrated its production of aluminum cap seals and aluminum food containers in the Kansai region. Specifically, production at SPA's Nara and Sakai Plants has been suspended and transferred to its Hikone Plant. At the same time, the Hikone Plant has been expanded through addition of Plant No. 2.

SPA was formed in October 2001 as a result of the merger of the aluminum-based fabricated foil business of SDK and the plastics-based laminate business of Heisei Polymer Co., Ltd., another consolidated subsidiary of SDK.

SPA is producing a wide variety of high-performance, high-quality products by combining inorganic and organic chemical technologies. In addition to food packaging (cap seals and press-molded containers), SPA provides pharmaceutical packaging, outer packaging for polymer batteries, and dust-free bags for transport of silicon wafers.

As a result of the concentration of production in the Kansai region at the Hikone Plant, SPA has strengthened its competitive edges as follows:

  • 1.Integrated production line covering the whole production stages—printing, aluminum foil/resin lamination, shaping of containers and forming of bags—at the Hikone Plant, which has Class 100,000-10,000 cleanliness.
  • 2.Materials and products remain in the clean rooms from acceptance until shipment, resulting in higher cleanliness
  • 3.Lead-time for respective processes, including photogravure, has been minimized, because various processes at different locations have been concentrated at one plant.

SPA will aim to expand sales in food/pharmaceuticals/electronics packaging by meeting strict requirements in these markets. At the same time, SPA will promote development of differentiated products on the strength of its expertise in aluminum fabricating technology.

Note: Aluminum cap seals” mean closures for food containers made by coating aluminum foil with plastics. First introduced in the 1970s. Now used widely in packaging for instant noodles, chilled dessert (including yogurt and jelly), milk beverage, and coffee cream. The market in Japan for this key component of food packaging is worth approximately ¥20 billion.

[Reference]

Outline of Showa Denko Packaging Co., Ltd.

  • 1.Head office: 31, Suzukawa, Isehara City, Kanagawa Prefecture
  • 2.President: Yasushi Washio
  • 3.Capital: ¥1.7 billion (owned 100% by SDK)
  • 4.Number of employees: Around 230
  • 5.Annual sales: Approx. ¥11 billion (for fiscal 2003)
  • 6.Marketing offices: in Tokyo and Osaka
  • 7.Current production sites: Isehara Plant (the same location as the head office); and Hikone Plant (Hikone City, Shiga Prefecture)
  • 8.Features of the Hikone Plant
    Plant No. 1: Total floor area of 5,916 m2, including 3,595 m2 of clean room space
    Plant No. 2: Total floor area of 2,717 m2, including 1,967 m2 of clean room space
    Number of workers: Approx. 140
    Main facilities: Photogravure printing machines; dry laminating machines; extrusion laminating machines; various types of coating machines, press molding machines; and bag-forming machines