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Interview with YKK Corporation of America

YKK Corporation of America
YKK Corporation of America
Spokesperson

Global trends for zippers are heading same way as apparel and accessories
YKK, a manufacturer of high-quality fastening products headquartered in Tokyo, Japan, has a presence in 71 countries around the world. The company is known for producing a number of high-quality products including zippers, hook & loop fasteners, plastic buckles and notions, webbing, and snaps & buttons. In a conversation with Fibre2Fashion, a spokesperson for the company reveals how it has grown since its inception back in 1934.

Please brief us about the latest achievements at YKK.

We are working with companies every day to help bring their innovations to life. A few things we are proud of include:
  • In 2016, YKK Corporation received the Japan Institute of Design Promotion's Good Design Award 2016 for ECO-DYE, its waterless dyeing technology for zippers.
  • In 2017, our new corporate headquarters in Japan was awarded the top prize (first place) at the global level in the Ashrae Technology Awards. The YKK80 Building is the first Japanese building to receive the award. In March 2016, this building became the first office building in Japan to obtain top LEED-BD+C (Core and Shell) Certification (Platinum) in Japan.
  • In 2017, YKK provided  the zippers for The Boeing Company's new Crew Space Transportation (CST)-100 Starliner Spacesuit.
 

How has the market for fastening solutions evolved over the years? How big is the market and at what rate is it growing?

Originally, apparel and bags that use zippers were produced (sewn) in the countries in which they were sold (consumed). Then production shifted from developed countries to emerging countries due to such factors as rising labour costs, and an increasing number of our customers transitioned to global development, wherein planning and design, production, and sales take place in different countries.

Regarding the size of the market, while we make our own estimates in terms of business activities, there are no set official figures on the global zipper market produced by industry organisations.
How has the market for fastening solutions evolved over the years? How big is the market and at what rate is it growing?

Which are the major markets for zippers, hook & loops, buckles, buttons, and webbing solutions?

There are, of course, thousands of applications for fastening products in almost any industry imaginable. Some of the major industries include apparel and handbags, both in the fast fashion and luxury segments, outdoor industry, including boats, diving suits, and jackets, personal protective and safety gear, such as firefighting gear, chem-bio suits, tool lanyards, the automotive and space industries, medical applications, and luggage.

What are the key trends dominating the zipper industry?

Global trends for zippers are heading the same way as most apparel and accessories markets.  The demand for lightweight, cross-functional zippers using sustainable manufacturing and raw materials is increasing. There are a variety of ways in which YKK strives to expand sustainable options-the use of recycled, organic, and other environment-friendly materials, reduction of resource waste in production processes such as ECO-DYE, YKK's technology for the waterless dyeing of zippers, and elimination of toxic and harmful substances both in production and products. With an increasing number of brands standardising their sustainable products with Bluesign, YKK is also committed to increasing its range of Bluesign certified products all over the world.

In which areas is the application of fastening solutions increasing?

In terms of regions, the Asia region (China, Southeast Asia, South Asia) is growing the fastest. Production started shifting to Taiwan, Hong Kong, and South Korea in the mid-80s. Then in 2005, production shifted dramatically to China with the termination of the WTO agreement on textiles and clothing and all of its associated quotas. But rising wages and labour shortages in China has led to another big shift in the industry. We have begun to see sewing shift to Southeast Asia and to South Asia.
In terms of applications, in apparel and accessories we see the continued use of zippers as a design element. And there are many interesting industrial applications for zippers. Just a few include: 
1. The drainage ditch used in the Akashi-Kaikyo Bridge, which connects the main island of Japan to Shikoku island. This bridge has a drainage ditch made from flexible rubber which can expand and contract as needed. Trash often falls into the ditch, but thanks to YKK's water/air tight zipper, it is possible to remove the trash by opening the zipper. 
2. The H-II A Rocket was invented by the National Space Development Agency of Japan (NASDA) to launch an artificial satellite. This rocket's thermal curtain is connected using a YKK zipper. The thermal curtain protects the rocket from the high heat generated upon launch. At first, the thermal curtain was connected by a cord, but it has been replaced by a zipper because a zipper makes it more convenient to open and close the thermal curtain when checking and repairing the rocket. 
3. When carrying milk by truck, a tank is needed to prevent the liquid from spilling. YKK's technology allows the huge empty tank to shrink after delivery, allowing the driver to haul other items.  A 'soft tank' is made from soft material, so it can be folded up compactly after use. Since trucks using soft tanks don't need to make any trips with an empty trailer, their gasoline usage is less, which is good for the environment. YKK's air/water tight zipper works well in soft tanks because it doesn't leak. In addition, the inside of the tank can be cleaned because the zipper can be opened wide.
In which areas is the application of fastening solutions increasing?

What are the kinds of quality and safety compliances that are specific to fastening solutions?

Ever since it was founded, quality has been central to the YKK Group's management, and all of its business activities revolve around the assurance of quality. Maintaining stable and constant quality has become one of the key concerns for many of the global manufacturers, and in order to support these companies, YKK has established YFS-YKK Fastening Standards-to provide products of the same quality level, wherever and whenever they are manufactured. Each YKK production site conducts various quality tests and reports the results to Japan HQ on a regular basis in order to maintain and assure a consistent quality level. YKK continuously works to improve its quality management, occupational safety and health management and environmental management systems. 

The company's conformity to international and national standards is confirmed through our many certifications (for example, we have ISO9001 certifications at 49 companies in 35 counties). In addition, in the US, YKK's products meet the standards set by the CPSIA (Consumer Product Safety Improvement Act) and the Soluble Elements Restriction per the Consumer Safety Specification for Toy Safety (ASTM F963). In Europe we meet the standards set by REACH (Regulation (EC) No 1907/2006 of the European Parliament and of the Council on the Registration, Evaluation, Authorization and Restriction of Chemicals) and in Japan we meet Japanese Law 112.

Moreover, YKK is an environment-friendly company committed to sustainability. The YKK Group Environmental Pledge was signed on September 20, 1994 with the directive that YKK 'promotes harmony with the environment as the highest priority of its business activities'. As a company, we celebrate World Environment Day on June 5 with tree plantings around the world. We have ISO14001 certifications at 59 companies in 45 counties. YKK has also made improvements to its dyeing technology, which has enabled it to reduce the amount of steam used for dyeing by 25 per cent and wastewater by 50 per cent.

Additionally, fair business practices are the foundation of YKK's business activities. We ask that our suppliers likewise engage in fair business practices. In carrying out our business activities, the YKK Group is expected to undertake corporate social responsibility throughout its supply chain. To achieve this goal we need the help of our trading partners, and we ask that they comply with the following fair business practices.

We require that our suppliers comply with applicable laws and regulations in their business activities as well as with social norms and implement fair and ethical business practices.

We require that our suppliers ensure that they do not use forced labour and child labour. We also require that they provide wages and other conditions of employment as well as maintain health and safety standards that comply with the laws of the countries and regions where they do business.

We request that our suppliers promote the preservation of the global environment as well as engage in procurement activities that are in accordance with our Green Procurement Policy. This policy is based upon our corporate philosophy, the Cycle of Goodness, which states that an enterprise is an important member of society and that it must thereby coexist with other elements of society, and the value of its existence will be recognised by the benefits it shares with society. The belief behind this is that no one prospers without rendering benefit to others. We carry out business activities with the aim of bringing mutual prosperity, and our intent is that innovative ideas and inventions will result in business expansion for the YKK Group, which in turn would bring prosperity to customers and trading partners, and thus benefit all society. We require that our suppliers also establish a quality assurance system for their products as well as ensure the quality and safety of products as required by the YKK Group. We request that our suppliers build an appropriate information security system and manage their information resources appropriately.

In addition to requiring that our suppliers must comply with the above fair business practices, if they use 3TG metals (tin, tungsten, tantalum and gold - metals defined by US law as conflict minerals that are mined in the Democratic Republic of the Congo (DRC) where armed conflict and human rights abuses occur) in their products, we require that they must be able to provide us with satisfactory confirmation that they have conducted a 'reasonable country of origin inquiry' to determine that their 3TG metals are not originally sourced from the DRC or adjoining countries. This requirement is derived from Section 1502 of the Dodd-Frank Wall Street Reform and Consumer Protection Act which requires that companies that make products for which 3TG metals are necessary to the functionality or production of that product must assess their supply chains and publicly report on the source of these materials if they are sourced from regions of conflict in and around the DRC. YKK will not source 3TG containing raw materials from any supplier that is not able to provide us with satisfactory confirmation that they have conducted a 'reasonable country of origin inquiry' to determine that their 3TG metals are not originally sourced from the Democratic Republic of Congo or adjoining countries.

Please share details of the last two fiscals and the expectation for the next two fiscal years.

Our net sales have been increasing at a steady pace 544, 434 million yen in fiscal 2012 to 741,935 million yen in fiscal 2016.

What are the fastening solutions of future expected to be like?

The fusion of fashion and IoT is drawing attention now, and YKK is following this change closely. IoT is expected to have a big impact on the designer's creativity.

Zippers are increasingly being used as an embellishment in fashion apparel. What new fashion innovations can the industry expect in the next couple of years?

YKK makes trend books for each season, but it is very difficult to read trends two or three years ahead. As you pointed out, the trend to use zippers as decorations in apparel and shows has continued since about 10 years ago. In the sportswear industry, reflective and glow in the dark zippers remain popular, and I expect that the trend will continue in the future.

What budget have you allocated towards R&D?

The YKK Group has five research and development centres located strategically around the world to serve our valued customers. Our largest R&D centre, located in Kurobe, Japan, focuses on Core Technology and Fundamental Research for applications across a broad spectrum of fastening markets. Our R&D centre in Italy addresses fastener research to support the fashion industry. The R&D centres located within the US and Taiwan focus on the development of high functioning fasteners for diverse markets such as the automotive, aerospace, military, medical, and industrial safety markets. 

In addition, we currently have development centres located in strategic locations around the world and employ approximately 810 employees, with increases planned, so that we can swiftly respond to customer requests based on the specific needs of each region. YKK's machinery & engineering division works closely with R&D to make their developments operational by designing the necessary manufacturing technologies, processes and tools necessary to economically manufacture these new products. The YKK Group's machinery & engineering group supplies machinery specialised for the fastening products and architectural products business groups to YKK Group factories all over the world by developing materials, developing machinery and equipment, and manufacturing machinery parts and components of machinery and equipment.

Any investment plans for the near future?

In the future, we plan to achieve quantitative expansion, with the ultimate goal being the sale of 10 billion zippers globally. We recently expanded our plant in Vietnam, remodelled the YKK Furumido Plant in Japan to serve as the global R&D Centre for YKK, and completed a new building at the YKK Snap Fasteners Japan Co Ltd's Ageo Plant. We plan to expand the number of development centres globally to better serve our customers and invest in renewable energy, such as the installation of solar panels on the roof of our plant in Anaheim, California and a hybrid power-generation system at YKK Bangladesh.(HO)
Published on: 17/07/2017

DISCLAIMER: All views and opinions expressed in this column are solely of the interviewee, and they do not reflect in any way the opinion of Fibre2Fashion.com.