On the Establishment of a Joint Venture with China Dawu Jianchang Copper Industry Co., Ltd.

TOUCHI INTERNATIONAL CORP. has reached an agreement with Da Wufeng Jianchang Copper Industry Co., Ltd., a major copper processing company in China, to establish a joint venture, aiming to strengthen the international production and supply system in the non-ferrous metals field.

Background and Significance of the Joint Venture Establishment

China is the world's largest consumer of copper, and demand for copper products is rapidly increasing, especially in the electrical/electronics and construction sectors. Da Wufeng Jianchang Copper Industry Co., Ltd. is a copper processing company with high technical capabilities and production capacity in China. Through the establishment of this joint venture, our company aims to establish a supply system for high-quality and competitive copper products by integrating Japan's strict quality standards with China's production capacity.

Future Business Development

The joint venture will primarily engage in the production and sale of copper processed products such as copper wire rods and copper bars. Our company will be responsible for exporting the products to the Japanese and Southeast Asian markets, aiming to build a global non-ferrous metals supply chain. President Ryu Kokushi stated, "This joint venture is a groundbreaking initiative that combines the strengths of both Japan and China. We will build a partnership that contributes to the industrial development of both countries."