Japan's promising climate tech startups / ongoing EV struggle / Tokyo GX Week

Welcome! I'm Hiroyasu Ichikawa, ichi, and this is issue?71?of "Japan Climate Curation" newsletter??, which curates Japan-related climate news content every week since spring 2022, with over 1,700 subscribers. You can subscribe by clicking on the?Linkedin page or the substack link.

Ten news articles were curated this week, covering Japan's promising climate tech startups, Ongoing EV struggle, Tokyo GX Week, and more.

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】Annual "100 Amazing Venture Companies" by Toyo Keizai, a weekly business magazine, is released and includes more than 20 climate tech startups.[9/8 Weekly Toyo Keizai]

Here are some of the notable climate tech startups worth checking

• EF Polymer provides affordable agriculture solutions through hydrogel polymer made from bio waste and fruit peels, which helps farmers save 40% water and ensures better nutrient content and fresh taste of crops.
• Innoqua provides water treatment technology and develops innovative technologies that harness the power of nature to reuse water, save energy, reduce costs, and protect the environment.
• Degas amplifies climate action in Africa through innovative farmer financing and regenerative agriculture, offering enhanced supply chain visibility and promoting soil restoration and carbon sequestration for additional revenue.
• EX-Fusion is pioneering laser-powered commercial nuclear fusion reactors, leveraging locally advanced technologies to accelerate development, with a mission to transform global energy, contribute to various industries, and promote nuclear fusion as a sustainable and hopeful energy solution for the world.

【2】Japan’s Top Utility Open to Signing LNG Deal With Qatar Again [9/7 Bloomberg]

• JERA Co., Japan’s top power producer, is in talks with Qatar for a long-term liquefied natural gas(LNG) purchase deal, potentially returning to the Middle Eastern nation. As oil prices soar, driven by major OPEC+ players curbing their outputs, the world braces for a possible 2.7M barrels/day supply deficit in Q4. Despite the anticipation that season changes might ease market tension, persistent cuts by Saudi Arabia and mounting global demand suggest steeper prices ahead.

【3】Ammonia to supplement LNG in Japan's decarbonization efforts: JERA Global CEO [9/6 CNBC]

• JERA, a company established four years ago, is currently one of the largest LNG buyers, constituting over 85% of its fuel requirements. Despite its significant reliance on LNG, JERA is deeply committed to reaching a net-zero carbon footprint. The firm recognizes Japan's challenges due to its geographic location and aims to balance energy sources. To address this, JERA is developing renewable energy solutions, hydrogen and ammonia. However, since renewables can't meet the base load, LNG remains a crucial transition fuel, expected to persist for 20-30 years, even as JERA explores diverse energy options.

【4】Toyota’s Dominance Threatened by Rise of Electric Vehicles [9/6 The New York Times *Gift URL]

• Toyota, a global leader in hybrid cars, faces challenges from rising electric vehicle companies like Tesla and BYD. Although still profitable, Toyota's slow transition to full-electric vehicles impacts its market share and image. The company's approach might need to adapt to changing consumer preferences.

*California Shows an Electric-Car Uprising Headed for the US（ [9/8 Bloomberg Green *Gift URL]

【5】Toyota builds California hydrogen site for cars and power [9/9 Nikkei Asia]

• Toyota Motor has inaugurated a hydrogen production site in California to fuel over 200 Mirai vehicles daily. Managed by FuelCell Energy, the system uses biogas, cutting 9,000+ tonnes of CO2 emissions yearly. Additionally, byproduct water from hydrogen production will wash incoming cars.

*Japanese Automakers Struggle to Compete in Chinese Market [9/8 The Japan News]

• Japanese automakers, including Toyota, Honda, and Nissan, face declining sales in China, largely attributed to the fallout from the Fukushima water release and a slow EV rollout. As China's preference for EVs grows, Japanese brands, primarily offering gasoline-powered vehicles, lag behind. Past political tensions also cast a shadow, with some fearing prolonged sales issues.

【6】Inpex to Consider US Ammonia Plant and Green Investments [9/6 Bloomberg]

• Japanese energy firm Inpex Corp., is exploring constructing an ammonia plant in the US and another in Abu Dhabi. Motivated by the US's Inflation Reduction Act, which provides significant subsidies for eco-friendly fuels and climate technologies, the company aims to amplify its supply of green fuels designed to reduce emissions. Furthermore, Inpex is closely observing policy changes in Australia due to newly imposed environmental controls and price caps, which may influence their decisions regarding the potential expansion of their Ichthys LNG plant in the 2030s.

【7】Japan's Itochu to invest in battery farms for renewable energy [9/7 Nikkei Asia]

• Japanese trading giant, Itochu, partners with Akaysha Energy to capitalize on Japan's rising demand for energy storage batteries. This initiative, supported by sizable government subsidies, seeks to address grid overloads and enhance the efficient utilization of renewable sources in the country.

【8】Japanese lawmaker arrested for alleged bribery linked to wind power projects [9/7 NHK WORLD-JAPAN News]

• Tokyo prosecutors arrest Lower House's Akimoto Masatoshi for allegedly accepting a bribe of 60 million yen (~$406,000) from an ex-renewable energy company executive. The company sought to win offshore wind power bids. This arrest throws light on potential corruption amidst Japan's renewable energy push.

【9】Japan’s ispace: the unruly start-up that shot for the Moon and missed [9/7 Financial Times]

• Japan's ispace aimed to make lunar history, aspiring to be the first private-sector firm to land on the Moon. However, amidst technical challenges and corporate upheavals, the attempt failed. Despite this setback, its shares remain strong. Yet, concerns persist over its future financial stability.

【10】During Sep.25 through Oct. 5, the Ministry of Economy, Trade and Industry (METI) will integrally host the following nine conferences, collectively called Tokyo GX Week.

1. Tokyo GX Week Plenary Session: September 25
2. Third Asia Green Growth Partnership Ministerial Meeting: September 25
3. Sixth Hydrogen Energy Ministerial Meeting: September 25
4. Third Asia CCUS Network Forum: September 27
5. Fifth International Conference on Carbon Recycling: September 27
6. Third International Conference on Fuel Ammonia: September 29
7. Global Green Transformation Conference (GGX) x Task Force on Climate-related Financial Disclosures (TCFD) Summit: October 2
8. Tenth Innovation for Cool Earth Forum (ICEF): October 4 and 5
9. Fifth Research and Development 20 for Clean Energy Technologies (RD20) (Leaders Session): October 5

??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!

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ichi (Hiroyasu Ichikawa)