Tokyo, Japan— Tosoh Corp. has reported mixed fortunes for its chloroprene rubber business over the first three quarters of its fiscal year.
The unit operates within Tosoh’s Petrochemical Group which saw a 29.9% year-on-year drop in operating income, to Yen12.3 billion (€97.9 million).
The fall in profitability over the nine months to 31 Dec, was despite a 6.8% rise in sales to Yen144.6 billion.
Tosoh, however, reported lower shipments of olefin products, such as ethylene and propylene due to scheduled plant maintenance activities.
Similarly, “chloroprene rubber shipments decreased in line with a decrease in production volume,” noted the 4 Feb financial statement.
On the other hand,, the chloroprene rubber unit benefited from “increased export prices on strong demand overseas.”
Looking at the broader picture, Tosoh saw signs of recovery in Japan’s economy, with improvements in corporate earnings, employment and income.
“Concerns, however, over a global economic slowdown due to trade friction between the US and China contributed to heightened uncertainty,” it added.