The Japanese government plans to introduce biofuels for automotive use by the end of the decade, as part of a broader strategy to cut the country’s greenhouse gas emissions, according to local reports. Biofuels are derived from plants such as corn and sugar cane, which absorb carbon dioxide during their life cycles – offsetting the emissions when the fuel is burnt.

The decision was made public this week following a Ministry of Economy, Trade and Industry subcommittee meeting of the Advisory Committee for Natural Resources and Energy, which advises the Minister of Industry.

The Ministry has informed local automakers that they will need to ensure their vehicles will be compatible with petrol mixed with 20% biofuels, adding that it will work with the private sector including fuel companies to come up with an action plan by mid-2025 – including securing adequate supplies of biofuels.

The Ministry stated it will require petrol wholesalers to supply petrol blended with 10% biofuel by fiscal 2030, rising to 20% by fiscal 2040. Most vehicles currently in use in Japan are compatible with fuels containing up to 3% biofuel. Raising the biofuel concentration to 20% will require extensive testing to ensure safety and evaluate its impact on emissions and vehicle performance. The ministry also indicated that it will help meet the cost of refurbishing petrol stations.