Anniversary President's Message

Hello, everyone in the Mitsui O.S.K. Group. I am Jotaro Tamura, who assumed the position of President today. I am filled with both anticipation and nervousness as I embark on a new voyage with all of you starting today. I ask for your continued support. To begin, I will speak about the current Middle East situation, which was triggered by the military actions by the US and Israel against Iran on February 28th. I express my heartfelt respect to everyone who is carrying out their duties under these difficult and prolonged circumstances. The de facto blockade of the Strait of Hormuz has already lasted for a month, and addressing its significant impact is an urgent priority. In particular, prioritizing the safety of the crew members on our affiliated vessels, I will personally lead the efforts, working closely with the Japanese government, and devote all our energy to resolving the situation as soon as possible. Now, Mitsui O.S.K. Lines celebrates its 142nd anniversary today. Fiscal year 2026 marks the beginning of a new five-year period for Phase 2 of the Mitsui O.S.K. Group Management Plan, 'BLUE ACTION 2035.' Furthermore, this September, in addition to our flagship cruise ship, 'MITSUI OCEAN FUJI,' which is already beloved by many customers, the new 'MITSUI OCEAN SAKURA' will commence service. We will make every effort to ensure that even more people can enjoy 'Japan's beautiful sea voyages' through this opportunity.

What is Our Foundation?

Our company's long history has seen many pivotal moments. As I deliver my first message as President, I would like to look back, albeit recently, to April five years ago, in 2021. At that time, we announced our Group's new 'Corporate Philosophy,' 'Group Vision,' and 'Values and Code of Conduct,' and I, as the General Manager of Corporate Planning, was deeply involved in their formulation. These are what form our foundation today. The phrase 'from the blue sea' within our Corporate Philosophy, 'Supporting people's daily lives from the blue sea and opening up a prosperous future,' embodies our desire to expand our business domains starting from the sea, our core field of maritime transport, and deliver prosperity to people's lives in a more multifaceted way. This idea connects to our Group Vision, which redefines us as a 'Social Infrastructure Company.' The offshore business in oil, gas, and wind power, developed from energy transport, the terminal business in chemical and automobile transport, and the expansion of overseas investments in logistics and real estate, all of which we are currently promoting, embody this concept. While striving to improve the competitiveness of our maritime transport business, we aim to simultaneously monetize new areas and create synergies between businesses. This portfolio transformation effort is a long-term endeavor, pursued consistently through the 13-year long-term plan 'BLUE ACTION 2035,' while also requiring agile adjustments to strategies at each business level in response to changes in external and internal environments. Our Group's Values and Code of Conduct, 'MOL CHARTS,' had 'S' (=Safety) added five years ago. Safety is literally one of our important management foundations. In the organizational reform implemented at headquarters today, the Safety and Quality Promotion Division has been launched. This division will play a crucial role in leading the maintenance and improvement of safety standards, not only in ship management and operational support but also in the safety management of businesses outside of maritime transport. By effectively integrating digitalization and AI, and aligning with the objectives of each business division, let us support our colleagues at each business site and the crew members on each vessel to achieve safe, healthy, and more efficient operations.

Group Management Plan "BLUE ACTION 2035" Phase 2

Next, I will touch upon the three priority themes outlined in the new management plan announced yesterday. The external environment, in general, has shifted, with globalization, which was once linear, reaching a turning point several years ago. We have entered an era where a spirit of 'Challenge,' unwilling to settle for past practices, is increasingly demanded. This is a significant background for our first priority theme: 'earning power.' Container, car carrier, and chemical tanker businesses have contributed significantly in recent years by capitalizing on favorable market conditions, but strategic responses for the next phase are now required. For dry bulk and tanker businesses, amidst potential significant market fluctuations influenced by geopolitical events, a balance between providing stable transport and seizing profitable opportunities is necessary. For the liquefied gas business, a balance between capturing market expansion opportunities and improving profitability is sought. Group companies, primarily domestic businesses such as Utoc, Daibiru, and Mitsui O.S.K. Sunflower, have generally achieved stable performance, and their continued contributions are expected. In response to climate change issues, we will continue our efforts with a long-term perspective while considering changes in the external environment, demonstrating a spirit of Reliability. Immediate priorities include further promoting efficient operations aimed at reducing CO2 emissions from vessels, and developing businesses for transporting ammonia and liquefied CO2. Regarding 'Capital Allocation,' the second priority theme, we will adjust the pace of investment, which has been executed ahead of schedule in the last three years, to some extent. While seeking to improve capital efficiency through asset rotation, we will balance this with maintaining our financial base and shareholder returns. To counter the inherent volatility in the shipping business's performance, we will maintain overall portfolio stability by combining businesses that generate stable earnings, which support performance during low market cycles, with preparations to benefit from high market cycles. Connecting these strengths to the development of our organization and human resources, and to significant future investments and risk-taking, thereby driving a growth cycle and increasing shareholder returns as a fruit of this growth – this is the core of our Group's growth strategy. To achieve this, we will refine our financial strategy and enhance control over the scale and quality of our assets. The actions to be taken for the third priority theme, 'Strengthening Management Foundation,' are diverse. Towards their execution, expectations are increasingly high for the corporate divisions supporting our businesses, the Technology & Digital Strategy Division, the Fuel Procurement Division, and the regional divisions, which now play proactive roles beyond mere support. What I want to emphasize is that achieving significant results requires overall coordination, including business divisions – in essence, great Teamwork is an essential condition. I myself will always strive to align with the Chief Operating Officer, the Chief Financial Officer, and the entire management team, embodying this Teamwork.

What Defines the Mitsui O.S.K. Group?

Furthermore, I would like to mention that our Group's corporate culture, which forms the foundation of Teamwork, has Honesty and Accountability at its core values. Honesty is precisely defined as 'Do the right thing,' and Accountability as 'Sense of ownership.' I feel that this 'Sense of ownership' is the phrase that best represents the Mitsui O.S.K. Group. Each of us gathers under this 'Corporate Philosophy,' 'Group Vision,' and 'Values and Code of Conduct' and continues to challenge ourselves for their realization. Aiming to become a 'strong and resilient group growing globally,' let us fully leverage our unique identity and strengths to make this 142nd year since our founding, and the first year of 'BLUE ACTION 2035' Phase 2, a fruitful one. President Tamura speaking at the anniversary ceremony.