Message from the Head of Information Electronics

It has been one year and nine months since the formulation of KAITEKI Vision 35 (KV35), the management vision outlining the Mitsubishi Chemical Group's aspirations for 2035, as well as Medium-Term Management Plan 2029.
During this period, the Mitsubishi Chemical Group has clearly defined its business portfolio and implemented a reorganization of its business groups in April 2026. As the Group shifts from a defensive stance to a more offensive, growth-oriented approach, the heads of each business group discuss how they view the changing business environment and how they aim to create value going forward.

Demand is expanding rapidly in AI-related fields, particularly for GPUs that perform computing and inference and for the high-bandwidth memory that supports them. This growth is what is currently driving the semiconductor industry.
Today, our portfolio is concentrated on products that hold strong market positions across key stages of the semiconductor manufacturing process. For example, we hold the world’s leading market share in synthetic silica, a material used in silicon wafer production processes. We also provide products that support critical stages of semiconductor manufacturing, including antistatic agents used to etch circuit patterns on photomasks and high-purity hydrochloric acid, for which we hold an approximate 70% share of the Japanese market. Synthetic silica, in particular, is an essential material for 300 mm silicon wafer manufacturing, and any disruption in supply could affect the broader semiconductor supply chain. Accordingly, we are proactively expanding production capacity in anticipation of future demand growth and are committed to fulfilling our responsibility of ensuring a stable supply. In addition, we operate a global business providing precision cleaning services for semiconductor manufacturing equipment components, enabling us to capture business opportunities from both material and service aspects of the semiconductor manufacturing ecosystem.
In battery materials, we continue to maintain a stable supply of electrolyte solutions and anode materials, which serve as our earnings base, while expecting continued growth in demand, particularly for EV applications. In electronics, demand is increasing for materials that contribute to lower power consumption and higher brightness in next-generation displays, and we will continue strengthening our presence in these growth markets.

As semiconductor technologies continue to advance and become increasingly sophisticated, our broad portfolio of organic and inorganic materials technologies, combined with analytical technologies and computational chemistry capabilities, represents a significant strength for us as a comprehensive chemical company.
Through ongoing dialogue with semiconductor manufacturers and equipment makers, we are identifying future technological challenges and exploring new business opportunities. We are building relationships by engaging in technical discussions with customers through industry exhibitions and other forums while showcasing our technologies and R&D capabilities via the Science & Innovation Center (SIC).
In addition, through our cross-functional Corporate Marketing and Connected Division, business and innovation organizations are working together to create new business pipelines for future growth by leveraging both the strengths developed within existing businesses and the Group’s broader technological assets.

Gallium nitride (GaN) substrates have evolved into a growing business for the Group following more than a decade of research and development and increasing commercialization in laser applications. Looking ahead, we will accelerate development for power electronics applications. GaN substrates have the potential to significantly reduce energy loss during power conversion and are expected to contribute to a wide range of applications, including data centers.
In addition, our U.S.-based subsidiary Gelest, Inc. is advancing the development of dry resist materials, which are expected to play a critical role in next-generation semiconductor patterning technologies. Both technologies are attracting strong interest from customers as important drivers of future growth. We aim to achieve profitability in these businesses during the period of the current medium-term management plan. Through the steady commercialization of these next-generation technologies, we will deepen technical engagement with leading semiconductor manufacturers, creating new growth opportunities.

Our goal is to evolve from a business group that simply provides materials that meet specifications (spec-in business model) to one that participates in solving customer challenges from the earliest stages of development (design-in business model). To achieve this, we must not only respond to customer requirements but also identify latent challenges and future needs that customers themselves may not yet recognize and then propose the materials and technologies necessary to address them. As a business group, we seek to evolve from a mindset focused solely on safety and stability to one that embraces safety and growth. While reliable execution remains essential, sustainable growth requires more. It requires adopting a jobs-to-be-done perspective—understanding customer challenges and proactively proposing solutions. By leveraging the Group’s comprehensive capabilities, we will continue creating value through solving customer challenges and generating new growth opportunities for the future.