Collaboration in distribution of Renewable Diesel in Japan, Agreement in trademark license of Renewable Diesel with Neste

May 29, 2023

ITOCHU Corporation (Headquarters: Minato-ku, Tokyo; President and COO: Keita Ishii; hereinafter “ITOCHU”) has signed a collaboration agreement of Neste MY Renewable Diesel, a renewable diesel, produced by Neste OYJ (Headquarters: Finland; CEO: Matti Lehmus; hereinafter “Neste”), the world’s largest manufacturer of renewable products, for Japanese market.

Regarding the reduction of GHG emissions in Japan, the government strongly committed to the "Clean Energy Strategy" and actively advocates its policy to achieve carbon neutrality (hereinafter "CN") by 2050 and a 46% reduction target by 2030.
Renewable diesel, as "drop-in fuel", is getting lots of attention to customers and industries such as transportation and construction in Japan, because it can immediately reduce existing emissions. Vehicle machinery manufacturers are developing technology for electrification and hydrogen-fueled vehicles as CN measures, while also keep utilizing current internal combustion engine technology, for CN in future.

In May 2021, ITOCHU has started first commercial sales of renewable diesel in Japan, as an alternative fuel for delivery-trucks of FamilyMart Co., Ltd. (Headquarters: Minato-ku, Tokyo; President: Kensuke Hosomi). Through co-working with ITOCHU ENEX Co., Ltd. (Headquarters: Chiyoda-ku, Tokyo; President and CEO: Tomofumi Yoshida), ITOCHU has developed supply chain and sales volume of renewable diesel in Japan, and helped our customers reduce their emissions. Neste is the world's largest manufacturer of renewable diesel, sustainable aviation fuel and renewable feedstock solutions for polymers and chemicals production, with a production volume of 3.3 million tons/year worldwide, and is currently promoting further expansion of its supply SAF and renewable diesel. The production volume is expected to reach 5.5 million tons/year by early 2024 and 6.8 million tons/year by the end of 2026. Neste's reputable transaction in raw material procurement, production and supply, as well as its stable quality control in the products have been highly evaluated by Japanese customers.

ITOCHU concludes a license agreement with Neste, and will start importing renewable diesel on a tanker scale in 2023, and expand the area of its distribution, especially in Osaka area in order to supply renewable diesel for potential demand on construction site related to the Osaka-Kansai Japan EXPO, by carrying out joint marketing and partnership with Neste.

One of the basic policies of ITOCHU's medium-term management plan is to "contribute to and strengthen initiative for the SDGs. By increasing the market penetration of renewable fuels in cooperation with leading partners, we will continue to contribute to the realization of a recycling-oriented society.

  • *Neste MY Renewable Diesel is manufactured using raw materials such as waste cooking oil, waste animal fats, etc. that do not compete with food products, and achieves approximately 90% reduction in GHG emissions compared to petroleum-derived diesel on a Life Cycle Assessment basis. Renewable diesel is a "drop-in" fuel that can be used in existing vehicles and refueling facilities as is, and has already been widely distributed mainly in Europe and the United States. The renewable fuel can minimizes the introduction cost related to de-carbonization measures, and can greatly contribute to the reduction of GHG emissions, further utilization of renewable diesel in the transportation industry is expected in the future.

Signing of Trademark License Agreement : Neste Katja Wodjereck (Ms.), EVP Renewable Road Transportation (Front-Left)
and ITOCHU Kenji Tanaka (Mr.), CEO for Asia & Oceania Bloc(Front-Center)

photo from, FamilyMart Co., Ltd.

photo from, Neste MY Renewable Diesel