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Toyota Tsusho Establishes Biofuel Supply in Japan

Maritime Activity Reports, Inc.

May 10, 2023

The car carrier Toyofuji Maru (Toyofuji Shipping) and bunkering ship Shozan (Toyota Tsusho)

The car carrier Toyofuji Maru (Toyofuji Shipping) and bunkering ship Shozan (Toyota Tsusho)

Toyota Tsusho and subsidiary Toyotsu Energy have launched Japan's first continuous, commercial supply of biodiesel blended fuel at the Port of Nagoya.

Toyotsu Energy is supplying Toyofuji Shipping's car carrier Toyofuji Maru after earlier conducting ship-to-ship bunkering trials.

Toyota Tsusho, in cooperation with Daiseki Eco. Solution, is procuring waste cooking oil collected from the employee cafeterias and other facilities of Toyota Group and Toyota Tsusho Group companies, which is being refined and blended with heavy oil for the supply.

Toyota Tsusho conducted its first biofuel operation trial at the Port of Singapore in April 2021. Since then, it has conducted verification tests for the commercialization of biofuel, such as its effectiveness and supply operations, including biofuel supply trials at the Port of Nagoya from April 2022 using ship-to-ship bunkering to fuel tugs and coastal vessels.

The companies see the trials as the first step in establishing a supply chain and regular use of biofuels in Japan. Toyota Tsusho is aiming to further promote and expand the use of biofuels and will aim to increase the volume of biofuels available at the port. It will also conduct verification tests at other ports in the future.

The Japanese government has announced that it will reduce greenhouse gas (GHG) emissions by 46% compared to the 2013 level by 2030 and achieve carbon neutrality by 2050. The target for GHG emission reduction in the coastal shipping sector by 2030 is a reduction of approximately 17% compared to the 2013 level (approximately 1.81 million tons). The government is promoting the conversion of marine fuels from heavy and light oil, which are petroleum-derived, to alternative fuels. Although there are expectations for ships to use hydrogen and ammonia in the medium to long term, due to accompanying requirements such as expensive investments and technological development, biofuel is currently regarded as a viable prospect for carbon-neutral fuel.

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