Japan is considering subsidies and tax breaks for those who buy passenger cars with clean diesel engines from as early as fiscal year 2009 in an attempt to cut greenhouse gas emissions.
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Government officials told local news agency Kyodo News the budgetary and tax measures were part of proposals discussed during the first meeting the same day of a government panel for the promotion of clean diesel cars, expected to be launched within a year or so by leading Japanese automakers.
Auto industry officials including Japan Automobile Manufacturers Association chairman Fujio Cho and Petroleum Association of Japan president Fumiaki Watari took part in the meeting with officials from the industry, environment and transport ministries, the report said.
The panel will try to come up with specific steps necessary for the promotion by April or May, so that some of them can be presented at this year’s Group of Eight summit to be held in Hokkaido in July, the officials told the news agency.
Though about 50% of cars sold in Europe are powered by diesel engines, Japanese consumers consider them noisy and smoky and best suited to commercial vehicles and off-roaders.
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By GlobalDataLess than 0.1% of passenger cars on Japanese roads are currently driven by diesel engines, Kyodo News said, citing the Ministry of Economy, Trade and Industry.
Honda has previously said it would launch a clean diesel engine in passenger car models in the US and Europe from around 2009.
