KOTRA Publishes Report on Japan's Hydrogen Industry
Promising Areas for Collaboration Include Joint R&D and Standards Integration
Target Set for 12 Million Tons by 2040 with 3 Trillion Yen in Subsidies
Cooperation Also Discussed at KOTRA-JETRO Council
Japan has expanded its hydrogen adoption target to 12 million tons by 2040 and decided to inject subsidies totaling 3 trillion yen over the next 15 years. As a result, there are calls for South Korea to seek cooperation and consider supporting hydrogen-related businesses.
Cover of KOTRA's report "Trends and Implications of Japan's Hydrogen Industry Policy." Provided by KOTRA
The Korea Trade-Investment Promotion Agency (KOTRA) announced on the 25th that it has published the report "Trends and Implications of Japan's Hydrogen Industry Policy," outlining promising areas for bilateral cooperation in the hydrogen ecosystem, which were also discussed during the Korea-Japan summit on August 23.
The report reviews trends in the Japanese government's policies to foster the hydrogen industry and summarizes the market size and leading companies in each sector of the ecosystem, including production, storage, and utilization, as well as the level of Japan's hydrogen technology. It also analyzes the structural strengths and weaknesses, as well as opportunities and threats, of Japan's hydrogen ecosystem.
Japan's government-led policy drive is also evident in its efforts to foster the hydrogen industry. In its 2023 "Basic Hydrogen Strategy," Japan added a plan to introduce 12 million tons of hydrogen by 2040, in addition to its existing targets of 3 million tons by 2030 and 20 million tons by 2050. To support this, the government will provide subsidies totaling 3 trillion yen over 15 years and will invest 5.7 billion yen this year to establish hydrogen and ammonia import and storage hubs.
Japan plans to develop the hydrogen industry across storage, transportation, and power generation. Notable companies include Kawasaki Heavy Industries, which developed the world's first liquefied hydrogen carrier, and Mitsubishi Heavy Industries, which has commercialized high-efficiency hydrogen turbines.
Based on these foundations, the report suggests the potential for expanding Korea-Japan cooperation. With the International Renewable Energy Agency (IRENA) projecting both countries to become the world's largest hydrogen importers by 2050, promising areas for collaboration include joint research and development (R&D), entering third-country markets together, and integrating certification and standards.
The hydrogen industry is also a key agenda item in cooperation between the two countries' trade promotion agencies. KOTRA and the Japan External Trade Organization (JETRO) will hold a regular council in Tokyo on the 30th, designating hydrogen, secondary batteries, semiconductors, and shipbuilding as the four core industries for discussion on cooperation measures. Starting in 2026, KOTRA plans to assign dedicated functions by industry to its four trade offices in Japan to expand collaboration in export support, supply chain building, joint R&D, and investment and personnel exchanges.
Choi Jeongrak, head of KOTRA's Nagoya Trade Office, stated, "Japan's hydrogen ecosystem is still in its early stages, but it is rapidly developing a growth structure led by the government and major corporations. Prior to a full-scale transition to a hydrogen economy, cooperation between Korean and Japanese companies can serve as a foundation for both countries to become central players in the global market."
© The Asia Business Daily(www.asiae.co.kr). All rights reserved.
