Emissions trading system on the rise / 2023 Japanese EV sales: 2.2%

Welcome! I am Hiroyasu Ichikawa, ichi, and this is issue 88 of the "Japan Climate Curation" newsletter??, which curates Japan-related climate news content every week since spring 2022, with over 2,070 subscribers. You can subscribe by clicking on the Linkedin page or the substack link.

I hope you find the articles below beneficial for reading (or skimming)!

*Consulting Service is available for your Japan-related climate or net-zero business. The first 30 minutes of Zoom chat is free, and I could work at an hourly rate starting at $100. Please fill out your request using this link. Thank you!

[????????Japan Climate News Headlines]

【1】Japan to encourage companies to participate in emissions trading - Government will make 20 trillion yen available to assist decarbonization [1/11 Nikkei Asia]

• Japan aims to boost emissions trading by offering 20 trillion yen in decarbonization support and requiring company participation in the emissions trading system (ETS), with industry-specific reduction guidelines and third-party target certification. Participation in the ETS, which covers only about 50% of domestic emissions, will be linked to government support through GX(green transformation) Economic Transition Bonds.

【2】Japan EV sales hit record-high in 2023, but with slow growth - Electric minicars popular, but hybrids, lack of chargers stifle expansion [1/11 Nikkei Asia]

• Japan's EV sales reached a record 88,535 in 2023, a 50% increase from the previous year, but only accounted for 2.2% of all new passenger car sales. Top EV sellers were Nissan Motor, Mitsubishi Motors, and Toyota Motor; China's BYD also entered the Japanese market. Challenges for EV growth include consumer preference for hybrids, slow charging infrastructure development, and unclear benefits of EVs compared to hybrids.

【3】Toyota chairman: Engines still play role in going carbon-neutral - Akio Toyoda reveals new green engine project at Tokyo Auto Salon [1/12 Nikkei Asia]

• Akio Toyoda, chairman of Toyota, revealed a new engine project at the Tokyo Auto Salon, focusing on engines' role in carbon neutrality and showcasing innovative technologies, including a hydrogen-fueled engine, at the world's largest modified vehicle exhibition.

【4】Japan's SkyDrive, Suzuki plan low-cost flying taxi service in India - Partners consider Indian sales and production, hoping to launch in 2027 [1/11 Nikkei Asia]

• Japanese flying car startup SkyDrive and Suzuki Motor are collaborating to start a low-cost flying taxi service in India by 2027, using SkyDrive's eVTOL aircraft. The service aims to offer an affordable and efficient alternative to traditional taxis, with fares similar to current taxi rates in India.

【5】Panasonic to Make Upgraded EV Battery as Soon as This Year New lines not needed to raise output, battery unit CTO says Manufacturing domestically in Japan would be ‘ideal’ [1/15 Bloomberg]

• Panasonic is poised to enhance its EV battery production capacity and supply chain in North America, launching improved cells this year without the need for new manufacturing facilities.

【6】New breed of CEOs at Japanese startups seek growth in the U.S. - Ambitions were on display at CES as country plays catch-up with South Korea [1/12 Nikkei Asia]

• Japanese startups, driven by a new generation of CEOs, are actively seeking growth in the U.S. market. This shift from a domestic focus to global ambitions is changing the landscape for these companies, as evidenced at the CES tech show.

Showstoppers Launchit @ CES 2024 - Discover incredible Japanese startups!

【7】Japan's Mitsubishi eyes massive 'green' hydrogen plant in Netherlands - Trading house to invest $700m-plus, developing know-how for mass production [1/14 Nikkei Asia]

• Mitsubishi Corp. is investing heavily in a major "green" hydrogen facility in the Netherlands, utilizing renewable energy for production and aiming to pioneer commercialization techniques in Europe. This move aligns with the EU's green hydrogen goals and may influence other Japanese companies' hydrogen development.

【8】Japan's Kaneka to triple production of building-integrated solar panels - Tokyo-based chemical company sees strong demand in tightly packed urban areas [1/11 Nikkei Asia]

• Kaneka aims to expand its building-integrated solar panel production threefold by 2030, capitalizing on the growing demand for renewable energy in urban areas. Developed with Taisei, these innovative panels contribute to the burgeoning global market, which is projected to reach $54.8 billion.

【9】China’s Solar Dominance Faces New Rival: An Ultrathin Film As renewable energy becomes a geopolitical tool, Japan looks to recover its technological edge [1/11 Wall Street Journal]

• To challenge China's dominance in the solar market, Japan and its allies are developing perovskite solar cells, offering a light, flexible, and efficient alternative to silicon cells. Japan, a major iodine producer, supports this innovation, aiming for commercial viability in two years, with cost and humidity resistance challenges.

【10】Electric furnaces for a greener future [1/15 NHK World Japan] - YouTube

• The steel industry is integral to the global economy. It's also one of the biggest contributors to CO2 emissions. We look at a technological advancement in Japan that's helping to reduce the sector's carbon footprint.

??That's all for this week! Thank you for reading(or skimming) ??. I hope you will have a wonderful week ahead!

*Consulting Service is available for your Japan-related climate or net-zero business. The first 30 minutes of Zoom chat is free, and I could work at an hourly rate starting at $100. Please fill out your request using this link. Thank you!

"Climate Curation" newsletter in ????Japanese (every Saturday) is available on Linkedin and Substack.

• Please feel free to contact me via?email: hiroyasu.ichikawa [@]socialcompany.org, if there are any research/consulting needs for your business or just for a coffee chat?.
• My personal Twitter(X) account (in ????Japanese) @SocialCompany

ichi (Hiroyasu Ichikawa)