Automotive surface-treatment functions, excluding production, will be transferred to Nippon Paint Automotive Coatings. The general industrial surface-treatment agent business and all production functions for surface-treatment agents will be absorbed by Nippon Paint Industrial Coatings.

Nippon Paint said the new structure will allow the group to provide surface-treatment products and coatings products through a more integrated organization. The products are currently handled separately by the subsidiaries.

The company expects the reorganization to strengthen product development and technical service capabilities while improving competitiveness and customer satisfaction.

All three companies involved are wholly owned Nippon Paint Holdings subsidiaries. The company expects the reorganization to have an immaterial effect on its consolidated financial performance.