In August 2003, Shin-Etsu Chemical established Shin-Etsu Silicone International Trading (Shanghai) Co., Ltd. in Shanghai, China, a new Shin-Etsu Group company, which will handle sales of silicone products.

Since July 2000 Shin-Etsu Chemical's Shanghai Representative Office in China has been carrying out marketing activities. To more effectively cope with the Chinese market, which is rapidly growing, Shin-Etsu Chemical established a new Group company to further strengthen and expand its silicone business in China.

With the establishment of this new Group company, following upon the establishment of Zhejiang Shin-Etsu High-Tech Chemical Co., Ltd. in June 2002, Shin-Etsu now has completed the pair of essential wheels of its manufacturing and sales system, and this strategy will make it possible to effectively promote Shin-Etsu's business development in China.

The new company moved to the following address on September 15 and has already started its business activities.

Shin-Etsu's proactive China strategy is being implemented as Shin-Etsu celebrates reaching the milestone of its 50th year in the silicone business, and Shin-Etsu is committed to making every effort to earn the continued support and business cooperation of its customers.