Mitsubishi Rayon Co., Ltd. has concluded a basic agreement to establish a joint venture with Honam Petrochemical Corporation to produce and sell methyl methacrylate (MMA) monomers and polymers in South Korea.
  Mitsubishi Rayon has long positioned its MMA and AN (acrylonitrile) business complexes as its core businesses, and is accelerating expansion of its MMA business in East Asia with the aim of becoming the world’s No. 1 player.
  Mitsubishi Rayon has long intended to move into the South Korean market, where demand for MMA materials by the IT sector rivals that of China. The agreement on setting up the new company was made to keep pace with the growing demand for MMA polymers. Mitsubishi sees the tie-up with Honam Petrochemical, which has its own track record of MMA monomer production and sales in the country, as an effective way of further strengthening its MMA chain in East Asia. The next step will be a feasibility study, ahead of the actual establishment of the joint venture.
  Honam Petrochemical has been producing MMA monomers since 2001, based on the C4 direct oxidation process, and has an annual production capacity of 50,000 tons. The joint venture with Mitsubishi Rayon offers Honam Petrochemical the means to boost its monomer output, thus responding to the vigorous demand from users in the IT sector, and also to expand into the production of polymers for IT applications.