The beginnings of Hagihara Industries can be traced back to 1962, when warp threads of rush mats with a floral or bulrush pattern were substituted with polyethylene. In the 1960s, polyethylene and polypropylene started to be made in Japan, and “Hagihara Industries” also embarked on production of monofilament made with polyethylene as a substitute for natural materials such as cotton, jute, paper, and straw bags. Two years later, Hagihara Industries successfully developed stretchable tape, dubbed “flat yarn,” which began to rise in popularity throughout the domestic market.

In 1973, Hagihara Industries embraced the challenge of achieving the integrated production of the world’s first cloth sheet. The project’s success was a major turning point for the company, as it enabled them to gain overwhelming priority within the industry. This core technology supports Hagihara Industries today.

Currently, the engineering business supports Hagiwara Industries alongside the Plastics Business. The roots of the business stem from a request to sell manufacturing equipment. In 1966, a Taiwanese manufacturer of jute bags was seeking to purchase manufacturing equipment for flat yarn, and in response, Hagihara Industries subsequently emerged as a manufacturer of machinery. While some had concerns about the leakage of technology, Hagihara Industries’ founder and second president, Fuichi Hagihara, accepted the offer with the view to expanding the business. After this, the production and export of manufacturing equipment began to grow into a business.

Additionally, the flat yarn production division directly sent improvement requests to the machinery manufacturing division, which resulted in a dramatic improvement in the level of perfection of the manufacturing equipment.

Taking action and throwing away preconceived ideas is necessary to expand the possibilities of business. It is not a question of “can do it or cannot do it,” but “To Do It, or Not to Do It.” While supplying existing markets with existing products is a stable approach, there will likely eventually be a peak ahead. On the other hand, we are actively developing new products and securing new markets, but this takes a tremendous amount of time and cost.

Therefore, Hagihara Industries is seeking to identify the potential of bringing existing products to new markets as a new approach. We actively participate in trade fairs, collect market feedback, and try to identify new applications for existing products. Our focus has been on working with other companies to achieve win-win results.

An example that illustrates this is tea bags for tea manufacturers. The net section is made of paper, and this results in fine powder produced when cutting tea bags. We overcame this challenge with the use of ultrasonic waves for cutting. This business was made possible through a partnership with a manufacturer of ultrasonic machines.

We must not forget to collaborate with industry, government, and academia, and to work with educational institutions. Hagihara Industries previously successfully developed BarChip through cooperation with Okayama University, Hiroshima Institute of Technology, and Yokohama National University. The universities do not have on-site manufacturing, and Hagihara Industries does not have an R&D department independently separate from the business division. Both the universities and the companies can also have a complementary relationship.

Collaboration with educational institutions also creates positive opportunities for students to experience real-world learning. It is crucial for companies to provide opportunities for learning. As the saying goes, “There is no better way to learn than being aware,” and this is a meaningful initiative where both students and employees are able to discover new things. Maintaining the awareness habit of “change” in your daily activities also gives you the power to discover new possibilities.

“Destroy Hagihara Industries!” Such ominous orders can be heard. To be honest, the source is from within the company. The truth behind this is that unless such an attitude is taken to work, revolutionary innovations will simply not come about. By creating a consistent sense of crisis and forcing one to think for oneself, advances can be anticipated, one step forward, one step higher. And a sense of ambition is also required.

Examples highlighting this include how difficult it would be for Hagihara Industries to incorporate cutting-edge technologies such as AI, IoT, and cellulose nanofiber into its products and technologies without the self-motivated efforts of its employees. The Plastics Business operates with four teams working in three shifts, but if AI and IoT can be used for labor-saving efforts, the production system can be expanded and production volume can be increased without any increase in labor costs. Once know-how becomes accumulated, it can be rolled out to Qingdao, China and Jakarta, Indonesia. The benefits of labor-saving will be immeasurable, including reduced costs, increased production volume, and homogenization of quality.

Manufacturing sites in the 21st century are gradually shifting from physical labor to operations centered on brain-work and administrative tasks. Human work will mostly be related to thinking with their brains, including detecting and responding to risks in advance, innovation, and invention. What will things be like for us at Hagihara Industries when that time comes? This will require the courage to shift from 19th century style manufacturing to 21st century style “kotozukuri.” Drawing on what factors should be changed and what should not, Hagihara Industries is confident that the creation of new value in the 21st century will be possible only with assurance that its products are “valuable to someone” while fulfilling its responsibility to supply products to support society and day-to-day lives.

The founder’s favorite saying of “Sounds interesting. Let’s try it right away!” is the very attitude of everyone working in Hagihara Industries. This attitude will be the driving force creating new markets and kotozukuri.

The domestic market is expected to experience a decline in demand for a variety of products due to the shrinking population there. Yet there is still room for growth in overseas markets. About 25% of Hagihara Industries’ total sales currently comes from overseas markets, and there is a need to increase this further in the future.

In 2024, Hagihara Industries operated locations in 14 countries around the world. For example, the domestic market for packaging materials has plateaued, but the situation is different overseas. Packaging material for vegetables has been adopted by major supermarkets in the U.S., representing a significant achievement. In addition, concrete reinforcing fiber, BarChip, is a product that not only enhances the reinforcing effect of concrete, but also leads to labor savings due to its easy application, and has the potential to spread throughout the world. Hagihara Industries adopts a market-in style of development, rather than a product-out one. In the future, the potential of niche marketing will need to grow even more than it is now. Niche strategies are a treasure trove. If we can cultivate an eye for unearthing such treasures, and adopting the attitude of “Sounds interesting. Let’s try it right away!” will ensure that the employee has the ability to trigger innovation. That is the source of power of ‘Hagihara Industries’.