Bridgestone Announces Sale of Carbon Black Business in Thailand

Bridgestone Corporation (“Bridgestone”) announced that it has entered into an agreement to sell its group company engaged in manufacturing and selling carbon black, Bridgestone Carbon Black (Thailand) Co., Ltd. (“BSCB”) to Tokai Carbon Co., Ltd. and Thai Tokai Carbon Product Co. Ltd. (“Tokai Carbon”).

Bridgestone is committed to reinforcing its global business quality by “turning changes into opportunities” in today’s volatile business environment. The company is accelerating the establishment of a foundation for “growth with quality.” In its premium tire business, Bridgestone is aiming to improve productivity and creativity across the entire value chain, from material and tire development, raw material procurement and production to logistics and sales, with a focus on enhancing its “Dan-Totsu products.” The sale of BSCB is part of these strategic initiatives.

Bridgestone is rebuilding its in-house carbon black business in areas where it can leverage collaboration with global partners such as Tokai Carbon who have specialized knowledge, networks, and resources. In addition to the procurement of carbon black, Bridgestone is also engaged with Tokai Carbon in a joint project*¹ to produce carbon black from used tires in the recycling business. With this business transfer, Bridgestone aims to respond to changes in the business environment and strengthen its competitiveness over the mid-to-long term by leveraging Tokai Carbon’s supply system, technologies, and extensive knowledge related to carbon black. Bridgestone will also continue to deepen its co-creation in the recycling business and other key areas, while advancing the development of a sustainable supply chain to create further social and customer value.

Bridgestone will continue to develop and produce strategic carbon black in-house in areas that are directly linked to its core competence – material technologies, or “mastering rubber” – and where proprietary knowledge and technologies are essential. These areas include premium tires, motorsports tires, and sustainability. These operations will be carried out through Asahi Carbon Co., Ltd., Bridgestone’s group company in Japan. By maintaining in-house development and production of strategic carbon black, Bridgestone will ensure alignment with its business and product strategies and strengthen its “Dan-Totsu” products throughout the value chain. Through these efforts, the company aims to further enhance its competitive advantage and accelerate value creation.

This transaction is part of business restructuring and rebuilding (2nd Stage) in Bridgestone’s MidTerm Business Plan (2024-2026).

The impact of this transaction on the consolidated financial forecast for the current fiscal year is minimal. …

Source: Bridgestone