Changes in Trends Across the Chemical Industry

「After assessing the risks in each risk category, we prepare a risk map for each classification according to established rules.」

「中東情勢の緊迫化に伴うナフサ価格や石油化学製品の高騰、供給不安によるサプライチェーンの混乱リスク等により、不透明な状況が続いております。」

「Uncertainty continued against a backdrop of heightened geopolitical risks, developments in monetary policy in major countries, concerns about a slowdown in China’s economy, and new US trade and tariff policies.」

「During the current interim consolidated accounting period, the outlook for the global economy remained uncertain against a backdrop of an unstable global situation, including soaring resource prices and energy costs owing to heightened geopolitical risks and logistics disruptions caused by natural disasters.」

「During the first three quarters of the current fiscal year, concerns emerged about an economic slowdown owing to the impact of monetary tightening policies in Europe and the United States and the prolonged downturn in China’s property market.」

「During the six-month period ended [the current second quarter], there were no newly arising business or other risks, nor any material changes to the business and other risks described in the Annual Securities Report for the prior fiscal year.」

「During the first quarter of the current fiscal year, economic and social activity continued to normalize and the economy continued to recover, but concerns emerged about a future economic slowdown owing to soaring resource prices resulting from the prolonged situation in Ukraine and the impact of monetary tightening policies, particularly in Europe and the United States.」

「During the current fiscal year, the global economy was recovering as economic activity resumed following the COVID-19 pandemic, but concerns emerged about a slowdown in the global economy owing to heightened geopolitical risks accompanying the prolonged deterioration of the situation in Ukraine, soaring resource prices and rising interest rates.」

「In Greater China, the economy has been deteriorating owing to the slowdown in economic activity under the zero-COVID policy and the rapid spread of infections after the policy was lifted. In the Americas, although consumer-price inflation has been slowing, concerns about an economic slowdown remain owing to higher corporate costs resulting from continued interest-rate increases and restrained housing and capital investment.」

「Looking at the regions where the Group operates, the economy in Greater China recovered as the Shanghai lockdown was lifted and power shortages were resolved, but overall signs of slowing emerged partly owing to the impact of renewed infections. Inflation has continued in the Americas, and concerns about a recession have increased amid expectations of future interest-rate hikes. In ASEAN, personal consumption advanced as the spread of infections subsided, and economic activity remained firm. Japan’s economy was on a gradual recovery track, but uncertainty continued owing to the outlook for the US economy and rising prices resulting from yen depreciation.」

「However, the outlook remains uncertain as global supply-chain disruptions continue owing to food shortages and persistently high resource prices resulting from the prolonged situation in Ukraine, the aftereffects of the Shanghai lockdown and other factors, while concerns are growing over a recession caused by monetary tightening aimed at curbing accelerating inflation.」

「In addition to persistently high raw-material market prices, the impact of the semiconductor shortage and logistics disruptions throughout the year, uncertainty intensified owing to the worsening situation in Ukraine and other factors.」

「The economies of Europe, North America and ASEAN were generally on a recovery track, but differences in the degree of recovery by region and country emerged owing to factors including labor shortages in North America, surging energy prices and supply-chain disruptions centered on a global semiconductor shortage.」

「However, the outlook remains uncertain owing to the renewed spread of infections caused by COVID-19 variants, the impact on supply and demand for semiconductors, crude materials and other products from disruptions to international supply chains, and the risk that elevated raw-material market prices may weaken.」

「Economic activity in Greater China continues to expand on the back of rising demand for semiconductors and next-generation communications. Recovery in the Americas and Europe is expected to accelerate as economic activity gradually resumes and economic stimulus measures take effect, but infections are spreading again in ASEAN, raising concerns about the economic impact.」

「Greater China has recovered to levels seen before the spread of COVID-19. Recovery in the Americas and ASEAN is expected to accelerate as economic activity gradually resumes and economic stimulus measures take effect, but in Japan, the resumption of economic activity has been limited because states of emergency have been declared repeatedly.」

「Greater China has recovered to levels seen before the spread of COVID-19, and a gradual recovery trend has also emerged in Japan and ASEAN, but economic activity remains sluggish in the Americas and Europe, and the outlook remains uncertain.」

「In the regions where the Group operates, Greater China has recovered to levels seen before the spread of COVID-19, but economic activity has remained sluggish in Japan, the Americas, Europe and ASEAN, and uncertainty over the outlook continues.」

「During the first quarter of the current fiscal year, the global economy deteriorated rapidly as economic activity was restricted in countries worldwide owing to the global spread of COVID-19. In the regions where the Group operates, economic activity has gradually resumed in Greater China, but remains stalled in the Americas, Europe and ASEAN. Japan’s economy also deteriorated rapidly owing to stagnant consumption and a substantial decline in exports, among other factors.」

「Although the global economy is being driven by solid corporate earnings in the United States, China’s economy is slowing due in part to the prolonged US-China trade friction, while concerns are also growing about the impact on the economy of the spread of the novel coronavirus, and uncertainty over the outlook is increasing overall.」

「Although the global economy is being driven by solid corporate earnings in the United States, concerns are growing over the prolonged US-China trade friction in addition to the slowdown in China’s economy, and uncertainty over the outlook is increasing overall.」

「Although the global economy is being driven by solid corporate earnings in the United States, risk factors including protectionism stemming from US-China trade friction and exchange-rate trends, in addition to the slowdown in China’s economy, have become evident, and uncertainty over the outlook is increasing overall.」

「The US, led by solid corporate performance, continued to drive the global economy, but uncertainty about the outlook increased as risk factors including the impact of US-China trade friction, monetary policies in various countries, and exchange-rate trends became more pronounced.」

「During the first nine months of the current consolidated fiscal year, the Japanese economy remained solid, led by corporate performance, but the impact of the increasingly uncertain global economy was evident. The global economy also remained solid, led by corporate performance in the US, but risk factors including the effects of US-China trade friction, monetary policies in various countries, and exchange-rate trends became more pronounced, increasing uncertainty about the outlook.」

「During the first six months of the current consolidated fiscal year, the Japanese economy maintained a moderate recovery trend against a backdrop of solid corporate earnings, but the impact of natural disasters on consumption and production was recognized as a risk. The global economy also maintained a moderate recovery trend overall, supported by factors including solid corporate performance in the US, but uncertainty about the outlook increased due to trade friction between the US and China.」

「During the 1st quarter of the current consolidated fiscal year, there were no material changes in financial position, operating results or cash flows, including any abnormal fluctuations, or in the “Business and Other Risks” described in the annual securities report for the previous fiscal year.」

「During the 3rd quarter of the current consolidated fiscal year, there were no material changes in financial position, operating results or cash flows, including any abnormal fluctuations, or in the “Business and Other Risks” described in the annual securities report for the previous fiscal year.」

「Although the global economy maintained moderate growth overall, its outlook remained uncertain due to concerns including slowing economic growth in emerging economies, particularly China, and developments in political and economic policies in the US and Europe.」

「Although the global economy faced concerns including slowing economic growth in emerging economies, particularly China, uncertainty over the economic and trade policies resulting from the change in the US administration, and the United Kingdom’s withdrawal from the EU, it maintained moderate growth overall.」

「The outlook for the global economy remained uncertain due to slowing economic growth in emerging economies, including China, the issue of the United Kingdom’s withdrawal from the EU, and the impact of the economic and trade policies of the new US president.」

「The US economy continued to expand moderately, but the outlook for the global economy remained uncertain due to slowing economic growth in emerging economies, including China, and the issue of the United Kingdom’s withdrawal from the EU.」

「The yen has appreciated and share prices have declined since the beginning of the year, increasing the risk of an economic downturn through deterioration in corporate earnings. In addition, as growth in emerging economies, including China, continues to slow, there are concerns about the impact on the global economy of overseas developments such as the United Kingdom’s withdrawal from the EU and the outcome of the US presidential election, increasing uncertainty about the outlook for the global economy as a whole.」

「Significant changes in trends across the chemical industry in Japan and worldwide could affect the Group’s operating results and financial position.」