Visions - Winter 2009 - 9

Among its products, DCPC manufactures and/or custom blends propane, isobutane, butane, isopentane, n-pentane and others to precise customer specifications for vapor pressure, composition, and purity. from the start -- strong customer service and an established marketplace reputation -- which allowed them to continue down a path of success for over a decade. “DCPC is the top supplier in the U.S. market, which is the biggest market of propellant gas in the world,” said Kei Tokumitsu, who oversees the DCPC business in SCOA’s Chemical Group.“DCPC was acquired by Sumitomo Corporation group in 1995, thanks to the introduction by one of our best customers in the household insecticide business, S.C. Johnson, who was a DCPC propellant gas customer.” “The initial purposes of acquiring DCPC were, firstly, to penetrate the gas market with products which Sumitomo Corporation of America could secure from Japanese manufacturers. Secondly, our purpose was to strengthen the relationship with the household insecticide customers by not only having a multi-faceted business relationship, but also by understanding more of the industry information from aerosol fillers who manufacture household insecticide aerosols for various brands. Since the acquisition, the propellant gas market has changed, and Japanese manufacturers lost their strength in that product’s business, so DCPC started sourcing their product on their own.” Tokumitsu said that SCOA currently provides stable and competitive finance as well as advice and guidance on business expansion, and is currently working to help DCPC expand its business base. By turning its eye to the specialty gas area, for example, SCOA can utilize its diverse business relationships to gain ground for DCPC. “The propellant gas market in the U.S. is a very mature and stable market,” Tokumitsu said,“and therefore it is not easy to grow the sales volume substantially. DCPC has been successful in keeping their share not by reducing the price, but providing stable and excellent service, and respecting the relationship with their customers.” Auriemma reiterated that the relationship between SCOA and DCPC has strengthened over time. “When SCOA acquired controlling interest in 1995, initially there were a lot of the cultural differences which certainly took some time to adjust to,”Auriemma said,“but we worked through it, and we credit the strong efforts by SCOA’s people to make it work and bridge those gaps.We went through some challenging times early in the relationship, including a joint venture in China, but SCOA was with us every step of the way and helped us navigate through it. SCOA brought some experience in those markets and ventures that our company lacked, and at the end of the day, there was a lot more trust in the working relationship between SCOA and us.That became a building block for us.The SCOA/DCPC relationship has to be built on trust and respect, and we have that today.The only agendas are the ones we all agree upon. It’s easier to make tough Sumitomo Corporation of America 9
Visions - Winter 2009

Table of Contents for the Digital Edition of Visions - Winter 2009
