Three Japanese Chemical Giants Unite to Revolutionize Ethylene Plants with Biomass Technology

Asahi Kasei, Mitsui Chemicals, and Mitsubishi Chemical have reached a landmark agreement to transform their ethylene manufacturing operations in western Japan through a groundbreaking green initiative. This strategic collaboration marks a significant step toward reducing carbon emissions in one of the chemical industry’s most energy-intensive sectors. The partnership will leverage government support to accelerate the transition of conventional petroleum-based ethylene plants toward sustainable, biomass-powered alternatives.

Strategic Partnership to Transform Ethylene Production Facilities

The three industry giants have formalized plans to establish a unified joint operating entity overseeing their two ethylene production plants in the region. This consolidation strategy centers on phasing out the Asahi Kasei Mitsubishi Chemical Ethylene Corp. facility at the Mizushima Plant in Kurashiki, Okayama Prefecture, while centralizing all operations at the Osaka Petrochemical Industries facility located in Takaishi, Osaka. By fiscal 2030, this restructuring will streamline production capacity and create a more efficient, integrated platform for introducing green technologies across their ethylene plants.

Government-Backed Decarbonization Initiative

The collaboration received formal approval through Japan’s “Fiscal 2025 Support Program for Energy and Manufacturing Process Conversion in Hard-to-Abate Industries” (HtA Support Program), administered by the Ministry of Economy, Trade and Industry. This endorsement validates the project’s ambitious emissions-reduction goals and provides critical financial backing. The initiative focuses on substituting petroleum-derived feedstock with renewable biomass resources, fundamentally reimagining how ethylene plants operate in Japan’s chemical manufacturing ecosystem.

Next-Generation Bioethanol Technology Powers Plant Conversion

At the core of this transformation lies Asahi Kasei’s proprietary Revolefin technology, currently under development. This breakthrough approach enables the production of decarbonized basic chemicals—including ethylene, propylene, and related compounds—directly from bioethanol feedstock. The initial demonstration facility will be installed at Asahi Kasei’s Mizushima Works, positioning the site as a testing ground for large-scale biomass-to-chemicals conversion. This technological leap represents a paradigm shift for the industry, proving that advanced ethylene plants can operate sustainably without compromising output quality or efficiency.

Phased Implementation: From 2030 Consolidation to 2034 Commercial Launch

The roadmap unfolds in distinct phases. The operational consolidation targeting fiscal 2030 creates the structural foundation, while the scaled-up commercial production launch is scheduled for fiscal 2034. By this timeline, the three companies expect to commence joint commercial production of decarbonized basic chemicals, establishing a new standard for green manufacturing within Japan’s chemical sector. This multi-year implementation strategy reflects the complexity of retrofitting established ethylene plants while maintaining supply chain continuity and market competitiveness.