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In 2023, the production volume of biodiesel in Japan was approximately **** thousand kiloliters, showing a slight recovery compared to the previous year. However, the overall trend in recent years has been a decline, likely influenced by the impact of the COVID-19 pandemic. Despite the stagnation in Japan, global biofuel usage is expected to grow as part of efforts to combat global warming.

The interest in biofuels keeps rising

In 2021, the Japanese government set a target to increase the share of renewable energy to ** percent by 2030. Furthermore, Japan aims to expand its use of biofuels to reduce greenhouse gas emissions and be less dependent on fossil fuel imports. Accordingly, the generation capacity of energy from solid biofuels and renewable waste has been rising steadily, and the market size for biofuels is forecast to reach around ** Japanese yen by 2030.

 Production and use of biodiesel in Japan

Despite the growing interest in renewable energy in Japan, the number of biodiesel manufacturers has become stagnant in recent years. This is reflected in the production volume as well. Biodiesel is mainly produced from vegetable oils or animal fats and has a low carbon footprint. The sustainable fuel is mainly used in transportation for vehicles like buses and trucks. It is usually blended with petroleum-based diesel since pure biodiesel can be compromised by cold weather and may cause problems when running older vehicles.