Japan to Boost Jet Fuel Production Amid Tourism Surge
In response to a tourism boom and jet fuel shortages, Japan unveils plans to boost jet fuel production and imports, ensuring sufficient supply to support expanding international flight capacity and new routes.
Photo Source: https://i0.wp.com/senecaesg.com/
Japan is gearing up to increase its jet fuel production and imports in response to surging tourism demand. A draft plan unveiled by the government on Tuesday outlines measures to combat the current jet fuel shortage that has impeded the growth of international flight capacity and the addition of new routes.
The tourism industry in Japan has seen a robust revival since the resumption of visa-free travel in late 2022, bolstered by the yen’s decline to a 38-year low, making the country an attractive destination for international visitors.
The draft, developed by the industry and transport ministries, was presented to a panel of specialists tasked with addressing the fuel shortage issue. In the short term, the plan recommends evaluating fuel demand growth at individual airports and ensuring adequate supply by boosting local production and increasing imports. Additionally, it suggests optimizing transport systems using the full capacity of lorries and ships.
For medium- and long-term strategies, the draft includes increasing storage capacity at refineries and airports, securing more lorries, enlarging ships, and modernizing aging cargo handling equipment.
Over the past decade, Japanese refiners have reduced oil processing capacity to align with declining domestic demand caused by an aging population, a falling birthrate, and a shift towards fuel-efficient vehicles. However, with the government aiming for 60 million foreign tourists by 2030, the demand for jet fuel is expected to rise significantly.
“We need to take a long-term approach as jet fuel demand is poised to grow unlike other oil products,” an industry ministry official stated.
About The Author
