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Nov. 28, 2014

【英】ニュースリリース(IR)

Announcement of the Construction of Corrugated Container Factory in Vietnam

Oji Group set “Further expansion of overseas business” as one of the major pillars to strive towards the realization of an innovative value-creating company. We are especially promoting capturing package demand in Southeast Asia and India which economy has been growing rapidly. Our group’s packaging business in this area consists of 20 manufacturing sites (including corrugated container factory in India which started operation this July) and operation of a new factory in Myanmar which will start coming May. Oji now has one corrugated container factory and one folding box factory near Ho Chi Minh City, Vietnam. To meet future growth of packaging demand in this area and providing best product to our customers, we would like to announce the decision to construct new factory as follows.

1. Corrugated Container Business in Vietnam
Since year 2000, Oji Group has operated corrugated container business in Vietnam. We have three corrugated container factories in Dong Nai Province (Southern area), Haiphong City (Northern area) and Bac Ninh Province (Northern area) at present. We also acquire United Packaging (Folding box) last year. New factory will be our fifth manufacturing sites in Vietnam.

2. Objectives of New Factory
(1) Corresponding with market demand increase of corrugated container in Southern Vietnam
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With the steady growth of Vietnam economy, geographically interact with both East-West Economic Corridor and South Economic Corridor and plenty of work-force, various manufacturing companies increase investment in Vietnam.
It will increase corrugated container demand and new factory will correspond with it.

(2) To adapt to market demand of high-graphic corrugated container
In Southeast Asian packaging market, it is a trend toward colorful printing. Decorative products demand is also increasing in corrugated box products. In order to meet such a market demand, we will install high-graphic printing machine and together with UP’s offset printing business, we will provide with packaging product which would be best for the customer’s needs in Southern Vietnam market.

3. Overview of New Factory

Form of Establishment The second factory of Ojitex (Vietnam) Co., Ltd.
(wholly owned subsidiary of Oji Holdings)
Location VSIP- II Industrial Park
[Binh Duong Province, Vietnam (40km north from center of Ho Chi Minh City)]
Investment 3.0 billion JPY
Production Capacity Corrugated container business : 42million m2/year
Start-up Date Jan, 2016 (planned)

Mr. Koichi Tano
Director of Board, Vice President, General Manager of Corporate Planning Dept.,
Oji Package Innovation Center Inc. Phone: +81-3-5550-3064