Japanese remanufacturer diversifies with new focus on automation sector.
By Koichi Yoshizuka, CEO, QRIE Ltd.
As demand for printed documents continues to fall, many remanufacturers are under pressure to adapt. One example is Mitsuboshi Denshi System Co., Ltd. (MDS), a long-established Japanese company that has shifted from toner remanufacturing to electronics manufacturing.
Based in Osaka, MDS was founded in 1951 and built its reputation in the so-called “eco-business” sector. Its original focus included remanufactured toner cartridges, battery recycling, and coil processing. The company’s longstanding commitment to resource efficiency and sustainability pre-dated today’s global environmental standards.
However, as global print volumes declined, MDS faced a shrinking market. The company recognised the need to diversify and acted decisively. Through a series of mergers and acquisitions, MDS expanded into the manufacture and sale of electronic components—specifically connectors, switches, and relays used across the automation and electronics industries.
The shift was led by CEO Masaru Mitsuboshi, who took office in April 2013. He has guided the company through a bold redefinition of its business model. Rather than scale back, MDS used its technical expertise as a springboard into new markets. Under his leadership, the company has restructured, invested, and expanded into high-growth sectors with long-term potential.
According to financial results published in Japan’s Official Gazette (Kanpō), MDS reported sales of ¥2.036 billion ($13.1 million/ €12.2 million) and a net profit of ¥53.7 million ($346,000/€322,000) for the fiscal year ending March 2024. These figures suggest sustainable growth, not a temporary recovery.
In Japan, companies of a certain scale must disclose their financials in Kanpō. The transparency helps track transformation journeys like MDS’s and also serves as a model for others.
Today, MDS supplies components to major players in IT and electronics. While it no longer relies on its traditional imaging business, it has retained its environmental approach. Its sustainability ethos now underpins its operations in the electronics sector, where demand for high-performance, resource-efficient components is growing.
MDS’s experience shows how mid-sized companies, when guided by clear strategy and technical capability, can survive disruption and enter new markets. For toner remanufacturers struggling with falling volumes, the story offers lessons. Strategic leadership, targeted investment, and an openness to change can create a path forward.
In a market still facing consolidation and regulatory pressure, MDS stands out for its ability to evolve. Its combination of sustainability, precision engineering and pragmatic leadership may be a blueprint for others seeking to redefine their future.
