Mitsubishi Chemical Plans Exit from PET Bottle Business by 2026

14 Apr, 2025

The decision of Mitsubishi Chemical Corporation to leave the PET bottle industry by 2026 has been made public. This strategic move is driven by the rising raw material and logistics costs that have severely impacted the profitability of the business. Despite efforts to reduce fixed costs and other expenses, the company determined that future growth prospects for the PET bottle business were low, leading to the decision to withdraw.

The PET bottle business, which has been integral to packaging solutions for various products, including condiments and alcoholic beverages, has struggled with diminishing profitability in recent years. The company’s plants in Hiratsuka (Kanagawa) and Azai (Shiga) will cease operations, and production at these sites is slated to end by December 31, 2025. Sales of PET bottles are expected to stop by March 31, 2026.

Mitsubishi Chemical’s withdrawal from the PET bottle business marks a significant shift as it re-aligns its focus on more profitable ventures in response to the challenges posed by the rising costs of materials and logistics. The decision reflects the company's broader strategy of streamlining its operations to ensure future stability and growth, particularly in sectors where it sees more potential for profitability.

This move comes amid ongoing challenges in the global manufacturing landscape, where rising material costs and supply chain disruptions have become common. Mitsubishi Chemical’s decision to phase out its PET bottle operations highlights the growing need for businesses to adapt to changing market conditions, focusing on more sustainable and profitable avenues for growth.

Mitsubishi Chemical’s plans for 2026 and beyond include exploring new business opportunities that promise higher returns, while reducing its dependence on low-margin industries.

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