Shin-Etsu Chemical Co., Ltd. (hereinafter referred to as Shin-Etsu) is currently recognized as the world's largest producer of silicon materials. Apart from their silicon products, Shin-Etsu also holds a leading position in various other important and rapidly developing high-tech fields. These include photoresists, atomic resonance fluorescence photoresists, three-layer materials, LED packaging, and gallium arsenide semiconductors.
Seen from the current list of the top 50 global chemical companies in 2022, Shin-Etsu is ranked 20th by sales revenue. However, if ranked by operating profit, it ranks third, with BASF being the first and Nutrien the second (Nutrien's high profit is due to the significant increase in agricultural and chemical products caused by the Russia-Ukraine war, which temporarily increased profitability). However, it should be noted that Shin-Etsu's revenue is only 1/4 of BASF, However, the difference in total profit is only less than 5%, with a profit margin of 35%, making it the most profitable chemical enterprise. So the chairman of Shin-Etsu said, "We have built a business portfolio that is not affected by economic conditions.”
Shin-Etsu is a prominent chemical enterprise in Japan as a valuable investment opportunity. Despite the challenging economic conditions and stock market fluctuations in Japan over the past decade, it has demonstrated consistent growth. Its market value has increased by more than four times during this period, making it an important asset within the Japanese stock market.
The company's business philosophy differs greatly from that of Western chemical enterprises, as it takes a unique approach of "exploring different paths":
1) Chemical companies in Western countries are inclined to engage in buying and selling activities. As their strategies evolve, they consistently pursue the goal of "saving the world" while aiming for greater heights.
2) Xinyue Chemical, driven by innovative thinking, strives to create a larger product with unparalleled stability and an impeccable reputation. It strategically invests in expanding its presence across the existing industrial chain, venturing into the raw material sector and directly manufacturing the necessary components. By acquiring mineral resources and securing control over raw materials, it aligns itself with national strategies while maintaining a practical approach.
The company was established in 1997 and achieved a remarkable revenue of $23.17 billion in 2022, with an impressive profit margin of 36%. Its business operations span across 22 countries, employing a workforce of 25,717 individuals worldwide. With a global presence, overseas revenue accounts for 81%, showcasing the company's resilience even when faced with economic fluctuations in different regions. The company's core philosophy revolves around continuous improvement and the production of industry-required materials. Driven by their commitment to technological excellence, the company consistently leads the industry in precision and quality while maintaining cost-effectiveness.
The company possesses core technologies in the following four business areas, supporting the stable development of the enterprise.
Seven technological supports:
Single-crystal growing technology
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Powdering sintering technology
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Organic synthesis technology
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Electrolysis technology
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Polymerization technology
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Plastic & Film processing technology
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CVD & PVD
Four business sectors：
