Toyoda Gosei Co., Ltd. and Nippon Kayaku Co., Ltd. have agreed to a capital alliance for greater cooperation in their airbag business.
Toyoda Gosei has purchased inflators, a key component in airbags, and other products from Nippon Kayaku for decades, and the two companies have established an outstanding business relationship.
Today, the demand for airbags is rapidly growing as safety regulations become stricter around the world, and this capital alliance will help both companies in their aim to strengthen stable supply and quality assurance systems for airbags globally.
The environment in the automobile industry is undergoing major changes with progress in autonomous driving and the move toward electric vehicles. the two companies will also work together in the field of new materials as well as safety, collaborating in the development of new products.
Toyoda Gosei and Nippon Kayaku will hold approximately 1 billion yen of each other’s common shares.