Kao Establishes Production Company for Chemical Products in China

- Building New Plant in Jinshan District, Shanghai, to Expand Chemical Business -

Kao Corporation (President and CEO: Motoki Ozaki) established a new production company, Kao (Shanghai) Chemical Industries Co., Ltd., in April 2012, in the Jinshan district of Shanghai. The new company and its facilities will reinforce Kao's production system for industrial-use chemical products in China.

The production company's new plant is scheduled to start operations in 2014, and the investment is estimated at approximately five billion yen.

To maintain growth on a global basis, Kao has set the Chinese market as its most important priority. Accordingly, in its chemical business, Kao will strengthen production systems in China for products used in fields that are experiencing surging demand, such as steel and steel sheet, civil engineering and construction, and agents for molding. Specifically, the new plant will produce surfactants used as raw materials for various industrial-use cleaners and toiletries, and materials used for molding.

In line with Kao Group's mission to save energy and mitigate its environmental impact, endeavors to reduce CO2 emissions will be promoted at the new plant. Through provision of products that can contribute to CO2 emission reductions in the industrial sector and by recycling resources, Kao strives to contribute to reducing its burden on the environment.

Outline of new company

- Corporate name: Kao (Shanghai) Chemical Industries Co., Ltd.
- Location: Jinshan District, Shanghai, China
- Established: April 2012
- Investment ratio: Kao Corporation, 90%; Kao (China) Holding Co., Ltd., 10%
- Production items: Surfactants for various industrial uses, materials for molding, etc.
- Site area: Approximately 83,000 square meters (planned)

About Kao

Kao creates high-value-added products to help consumers around the world enrich their everyday lives. Over 20 leading brands such as Asience, Attack, Bioré, Goldwell, Jergens, John Frieda, Kanebo, Laurier, Merries and Molton Brown are part of the lives of people in Asia, Oceania, North America and Europe and help generate about 1,200 billion yen (about $US13 billion) in annual sales. Kao employs about 35,000 people worldwide and has more than 120 years of history in innovation. Please visit the Kao group web site for updated information.