Although celluloid was an easy-to-process plastic with excellent physical properties, the flammability of this nitrified cotton product presented a hazard. In order to overcome this disadvantage with a noncombustible formula, the Company developedan acetate plastic made from acetate cotton.

From its very founding, the Company planned to enter the photographic film business as a new venture intended to complement the existing celluloid business.
In 1928, the Company established a photographic film testing plant (film lab) in its Tokyo Plant. There, research was conducted on film, photosensitive agents, and coating technologies. A plant was constructed in Ashigara, Kanagawa Prefecture, after this was determined to be the ideal location for film production.
In order to ensure that photographic film would eventually become a major product, Fuji Photo Film Co., Ltd. (currently, FUJIFILM Corporation) was established in 1934 as a comprehensive photography industry company. This company was established with the goal of dominating this business in the conviction that adopting manufacturing and sales initiatives different from those of the celluloid industry was essential.

In 1933, we decided to enter the cellulose acetate business. We adopted the major policy of becoming self-sufficient in production of the raw materials of acetic acid and other products through integrated production from carbide and to develop related chemicals. This represents the origins of our current organic chemicals business. We determined that the Arai district of Niigata Prefecture provided a combination of cheap and abundant electricity, a reliable and plentiful supply of industrial water, and an adequate supply of high-quality limestone ore in nearby mountains. In 1935, we constructed our Arai Plant and began manufacturing carbide, acetylene, aldehyde, acetic acid, acetic anhydride, cellulose acetate, ethyl acetate, and acetone. Regarding acetic anhydride, a critical material for production of cellulose acetate, we adopted the ketene method, which results in high-purity products. This led to our current position as the trailblazer in the production of ketene derivatives and other fine chemicals.

During World War I, prior to the merger that formed our Company, Japan Celluloid Artificial Silk Co., Ltd. first began manufacture of propellant at the Aboshi Plant. Later, during the Pacific War, manufacturing continued on the orders of the Japanese Army and Navy. After the war, we switched to supplying the private-sector to revitalize the market. In 1950, special demand for ammunition arose due to the outbreak of the Korean War, and we resumed our gunpowder business. In 1953, we established the Aboshi Kako Plant on coastal land adjacent to the Aboshi Plant. The next year, however, in view of the special nature of explosive production and storage, we sought a new location. As a result, we established the Kawachi Sub-Plant in the Aboshi Kako Plant (currently the Harima Plant).

As attempts were made to filter tobacco smoke in order to remove harmful substances, acetate filters have the advantage of absorbing nicotine tar without impairing the flavor of tobacco. This product was first put to practical use in the United States in 1951. In 1956, in collaboration with Nippon Monopoly Corporation (currently Japan Tobacco Inc.), we undertook research and development of filter tow, succeeding in domestic mass production of acetate tow in 1958.

After studying various production methods as a means of replacing natural glycerin with inexpensive synthetic glycerin, we devised a unique production method using peracetic acid. As a result, we commercialized peracetic acid synthetic glycerin. This technology was recognized for its uniqueness and was celebrated with the Minister of International Trade and Industry Award, the Chemical Technology Award of the Chemical Society of Japan, and the Technology Award of the Society for Chemical Engineers, Japan. However, the required investment was significant, and it was eventually decided that the business would close in 1992 due to the effects of the oil shock and other changes in the economic environment. Although the synthetic glycerin business has trodden a rocky path, our oxidation reaction technology using peracetic acid is currently being utilized in the alicyclic epoxy and caprolactone businesses.

Celluloid was developed in response to changing consumer preferences and has been adopted in a variety of applications including eyeglass frames, table tennis balls, pachinko machines, and guitar picks. However, achieving cost reductions through mass production is difficult with celluloid and as a result, annual domestic production decreased from a peak of 10,000 tons to 200 tons by the end of the 1980s. We implemented a variety of measures in an effort to continue our longstanding traditional business, but eventually decided to further reduce costs by relocating our production to China. After the establishment of a joint venture, production was gradually transferred, and production in Japan eventually ended in April 1996.

Our Company went through several name changes - from Dainippon Celluloid Company Limited at the time of its founding to Daicel Co., Ltd. in 1966 and Daicel Chemical Industries, Ltd. in 1979. We have since expanded the scope of our business by building on our core technologies of cellulosic chemicals, organic chemicals, polymer chemistry, and pyrotechnics. In recent years, the assembly segment as represented by automobile airbag inflators has grown into another core business. To demonstrate our goal of developing beyond the chemical industry with original technologies and expertise built on chemistry, both inside and outside the company, we decided to rename the Company with its current name, Daicel Corporation.

Since its founding in 1964 as a joint venture with Celanese, Polyplastics has continued to grow through mutual cooperation between Daicel and Celanese. For further growth of Polyplastics amid the rapidly changing business environment, we have sought faster and more flexible decision making, through the top-management talks based on the trust and respect, and reached the agreement of Daicel’s acquire all shares of Polyplastics held by Celanese’s subsidiary. In October 2020, Daicel made Polyplastics a wholly owned subsidiary by fully accomplishment of acquisition of shares of Polyplastics.