Shinsho establishes joint venture for low-carbon aluminum recycling

Shinsho Corporation has announced a joint venture with Taguchi Metals Co., Ltd., to establish a recycling platform for low-carbon aluminum and other non-ferrous metals. The agreement was formalized on December 23, 2025, following a basic understanding from June 13, 2025. Shinsho will hold 70% ownership and Taguchi Metals 30%.

The new entity, with a planned capital of JPY 100 million, will start operations in fiscal year 2027, initially targeting the Northern Kanto region. It will specialize in advanced sorting and sales of non-ferrous metal scrap, aiming to reduce CO2 emissions and promote local resource circulation. This aligns with Shinsho's Medium-Term Management Plan 2026, which prioritizes building proprietary supply chains and driving new businesses in sustainability transformation.

Taguchi Metals, founded in 1974, brings expertise in processing scrap from end-of-life vehicles and appliances, shredding facilities, and advanced non-ferrous metal sorting technologies. Their latest financial results for the fiscal year ended August 31, 2025, showed net sales of JPY 9,983 million and a net loss of JPY 197 million.

The joint venture will leverage Shinsho's strong sales channels with aluminum rolling manufacturers and its expansion into horizontal recycling, combined with Taguchi Metals' experience. Shinsho Corporation expects no impact on its financial results for the fiscal year ending March 2026 from this agreement.