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Capacity Expansion for Tenax Carbon Fibre

21 April 2006

Toho plans to install a new carbonization line with annual production capacity of 2,700 tonnes in its Mishima plant in Japan, with startup scheduled for April 2008 to meet their estimated worldwide demand of 37,720 tonnes in 2010.

The expansion of its precursor production capacity is to be pursued in parallel. The capital expenditure for the new capacities for both carbon fibre and precursor will be 10.7 billion yen, giving Toho Group and annual production capacity for carbon fibre of 11,800 tonnes.

According to Toho, demand for PAN-based carbon fibres is expected to grow at an annual rate of between 10 and 15 % and will exceed 30,000 metric tons in 2008. Driving forces are launches of new aircraft and increased use of composite parts for existing aircraft in the aerospace sector, as well as demand increases in wind energy, pressure vessesl, automotive, and digital device applications.

The Toho group has already started construction of a new carbon fibre line with annual production capacity of 1,500 tonnes in its German plant, which will start commercial production in September 2006 as scheduled.

The company says that the decision this time for the additional expansion aims at further intensification of their ability to respond to the increasing requirements of customers, particularly in the industrial segment.





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