Toray Unit Gets Warning over Carbon Fiber Leaks in China

Economy Politics

Tokyo, Dec. 23 (Jiji Press)--A subsidiary of major Japanese fiber maker Toray Industries Inc. <3402> has got a warning from the industry ministry over leaks of carbon fibers to companies other than its legitimate business partners in China.

In the warning issued on Tuesday, the ministry demanded that the subsidiary, Toray International Inc., make sure to keep strict export controls in place.

Carbon fibers, used in aircraft parts and other products, are subject to export restrictions as they can be converted for military use.

Although the supply of carbon fibers is restricted to companies with permission from Japan's industry minister, those exported by Toray International were transferred to several other firms in China over the last few years.

The ministry found that there were flaws in Toray International's management system, such as leaving to local employees work to confirm the identity of client firms and why they need carbon fibers.

[Copyright The Jiji Press, Ltd.]

Jiji Press