UBE Mitsubishi Cement transforms Kyushu plant for recycling amid declining demand

UBE Mitsubishi Cement, a joint venture between UBE Corporation and Mitsubishi Materials Corporation, announced on December 23, 2025, a restructuring of its domestic cement production system. The Kanda District 2 kiln at the Kyushu Plant will cease cement production by the end of March 2027 and be repurposed into a specialized recycling promotion center for various waste types. This strategic shift aims to optimize asset efficiency, strengthen the cement business's competitiveness, and increase the thermal energy substitution rate.

The decision is driven by declining domestic cement demand and deteriorating profitability in export markets. The Kyushu Plant, with its significant production capacity, is targeted to expand its thermal energy-based waste treatment to achieve over 50% thermal energy substitution across UBE Mitsubishi Cement. The Kanda District 2 will leverage existing facilities for crushing and packaging waste plastics, and removing chlorine and foreign substances, consolidating cement production at Kanda District 1.

UBE Corporation anticipates a minimal impact on its consolidated earnings forecast for the fiscal year ending March 2026 due to this restructuring. The company's forecast, announced on May 12, 2025, projects consolidated net sales of 490,000 million yen, operating profit of 25,000 million yen, ordinary profit of 37,500 million yen, and profit attributable to owners of parent of 27,500 million yen.