Tsuginohi Co., Ltd. Recognized as a '100 Billion Declaration' Company by the Small and Medium Enterprise Agency

Tsuginohi Co., Ltd.: Pioneering Sustainability in the Circular Economy

Located in Okayama, Japan, Tsuginohi Co., Ltd., led by CEO Seima Kurokawa, has recently been officially listed on the Small and Medium Enterprise Agency's '100 Billion Declaration' portal. This recognition highlights the company's dedication to growth, sustainability, and robust governance practices.

The '100 Billion Declaration' is a national initiative aimed at encouraging small businesses to declare their targets for achieving sales of 10 billion yen while outlining the methods they will employ to reach these goals. Tsuginohi is one of the 3,050 companies nationwide that have successfully passed the agency's rigorous evaluation process, confirming both its strategic growth plans and its social impact.

Remarkable Sales Growth

Over its seven fiscal periods, Tsuginohi has demonstrated phenomenal growth, with sales increasing by 14.5 times since its inception, marking a continuous growth rate of 133%. The company operates a unique circular business model focused on the collection, regeneration, and recovery of rare metals from discarded parts of commercial vehicles, such as DPF and SCR catalysts. By transforming waste into valuable resources, Tsuginohi not only reduces costs for its clients but also enhances its own revenue streams.

Sales Growth Overview

Fiscal Period	Sales (in billion yen)	Remarks
---	-----	---
1 (2018)	0.08	Startup and recovery from Western Japan floods
6 (2023)	0.85	Investment phase focusing on workforce and resource expansion
7 (2024)	1.13	Year-on-year growth of 133%
8 (Target)	1.75	Ongoing development

Stable Transaction Structures

Utilizing Salesforce for customer management, Tsuginohi has established a solid revenue foundation, with a repurchase rate of 73.67% for buying and 55.20% for selling. Of the over 5,000 partnering businesses, more than half are returning customers, underscoring the company's reliability and client loyalty.

Key Metrics

Metric	Value
-----	---
Partners	>5,000 (from 451 in 2018 to 5,171 in 2024)
Buyback Repurchase Rate	73.67%
Sales Repurchase Rate	55.20%
Cost Savings for Clients	Approx. 4 billion yen

Quantified Environmental Value

Tsuginohi has successfully calculated its Carbon Footprint (CFP) in collaboration with Asuene Co., Ltd. Through the revitalization of DPF products, the company scientifically demonstrates a CO₂ reduction effect similar to around 60% compared to new products. This environmental value directly aids partner companies in reducing their Scope 3 emissions, aligning with the ESG compliance demands of larger corporations.

Governance and Human Capital: Mitigating Operational Risks

To address potential organizational risks inherent in a rapidly growing venture, Tsuginohi has implemented various governance measures, ensuring low turnover rates and reasonable work hours. The company is certified as a Great Place to Work® Japan, reflecting its commitment to employee satisfaction and well-being.

Human Capital Metrics

Metric	Value
----	---
Turnover Rate	3%
Average Overtime	20 hours/month
Third-Party Certification	Great Place To Work® Japan (as of June 2025)

Growth Investment Directions: From Labor-Intensive to Technology-Driven

Currently, Tsuginohi is investing in the automation of its production lines while benefiting from subsidies. This strategic shift aims to increase monthly production from 500 to 1,120 units (a 224% increase), ensuring reliable infrastructure for sustainable supply.

The company is also expanding its national presence through offices in Okayama, Tokyo, Saitama, and Aichi, while simultaneously exploring new business avenues, including EV battery recycling and rare metal recovery.

Official Recognition on the 100 Billion Declaration Portal

As part of Japan's initiative to encourage small enterprises, Tsuginohi holds a prestigious listing among 3,050 growth-oriented companies on the 100 Billion Declaration portal.

Link to the portal: 100 Billion Declaration Portal

Industry: Manufacturing; Transportation Equipment Manufacturing.

CEO Seima Kurokawa's Vision

Seima Kurokawa emphasizes the importance of collaboration with financial institutions, governmental bodies, and partner companies. He aims to strengthen their circular infrastructure while detailing their long-term growth strategy, which focuses on equipment investment, human resources, and enhanced governance.

Company Overview

- Company Name: Tsuginohi Co., Ltd.
- Location: Main office in 1448-1 Makabe, Soja City, Okayama Prefecture; Tokyo office in 5F, 1-1-11 Kita Shinagawa, Shinagawa Ward.
- CEO: Seima Kurokawa
- Founded: July 2, 2018
- Business Description: Automotive parts recycling and environmental technology development.
- Brand Statement: 'Connecting Earth in a Good Way.'
- Website: Tsuginohi Official Site