The Japanese Plastic Industry

As the Nikkei Review reported, Japanese manufacturers have begun researching and investing in sustainable packaging in response to international regulation; however, they are far behind other international companies, who have already made significant progress. Nevertheless, it has become financially critical to invest in environmentally focused business strategies in Japan, in part due to the Basel Convention which made dirty plastic more difficult to dispose of internationally. Thus, many companies have begun investing to the order of tens of millions of dollars in increased production capacity and sustainable material development.

Unfortunately, many may be familiar with the significant use of plastic bags in FamilyMarts and other establishments. 7 & I Holdings has pledged to reduce their use of plastic bags moving forward by switching to paper bags. Further, there are talks of legally enforcing a plastic bag tax. Yet this also reflects a growing prediction that non-environmentally friendly Japanese industries may face volatility moving forward. Fukusuke Kogyo, Japan’s largest plastic bag supplier, is bracing for falling demands in the wake of these recent developments, and has been forced to invest in biodegradable plastic bag development. 

As the Osaka G20 summit approaches, Tokyo has also adopted a policy package in preparation. Japan is the second largest producer of plastic waste in the world, second to the US. Thus, it has pledged to cut disposable plastic waste by 25 percent over the next 10 years, and completely recycling/reusing all plastic waste in the next 15 years. It will also require a plastic bag tax and bioplastic investment in coming years. Finally, it called on companies to reduce their use of microbes, as it contributes to the micro plastic pollution problem. This is directly in response to Japan’s criticism in 2018 for not signing the Ocean Plastics Charter at the G7 in Canada, due to a lack of preparedness.