Seven Japanese firms to commercialise ammonia bunkering, build four car carriers

Imabari Shipbuilding, Kawasaki Kisen Kaisha (“K” LINE), Kyokuyo Shipyard, JERA, Shin Kurushima Dockyard, Nippon Yusen Kabushiki Kaisha (NYK), and Nihon Shipyard (NSY), on Tuesday (27 October) announced that they have agreed to develop an ammonia fuel supply chain in Japan’s Chubu region and to build and operate four ammonia-fuelled car carriers supported by the supply chain.

This project will be a comprehensive initiative to develop an integrated ammonia fuel supply chain, from the procurement of green ammonia and development of ship loading facilities to the construction of a dedicated bunkering vessel with fuel supply through ship-to-ship (STS) bunkering, and the operation of ammonia-fuelled car carriers.

To address the need to reduce greenhouse gas (GHG) emissions from international shipping as well as customers’ Scope 3 emissions, the seven companies aim to establish a stable ammonia fuel supply system through the integrated development of the supply chain. 

This project will be the world’s first commercial supply chain, with the Chubu region serving as the hub, integrating fuel procurement, supply infrastructure at the Hekinan terminal, and vessel operations. 

By combining their respective technologies, expertise, and infrastructure, the seven companies will establish an advanced integrated business model that brings together ammonia fuel procurement and supply, the construction of ammonia-fuelled car carriers, and development of an ammonia bunkering vessel. 

Through this initiative, the companies will promote the decarbonization of international shipping through a Japanese industry  collaboration while also supporting the broader utilisation of ammonia for industrial and other applications. In doing so, they aim to contribute to the realisation of a sustainable society and the development of a low-carbon ammonia market.

Under this project, JERA will procure green ammonia produced using renewable energy. These supplies are intended to come from regions including India. In addition, JERA will develop new ship loading facilities at the ammonia receiving terminal adjacent to the Hekinan Thermal Power Station, which will establish a stable supply system for the bunkering vessel. JERA will contribute significantly to the decarbonization of international shipping and to Japan’s decarbonization efforts, with the Chubu region serving as a key hub.

Kyokuyo Shipyard, which possesses advanced technical capabilities in building specialized vessels, will build the ammonia bunkering vessel. It is scheduled for completion in 2030, the same as ammonia-fueled car carriers. Following completion, the vessel will be owned and operated by NYK or a wholly owned NYK subsidiary.

“K” LINE and NYK will also establish a fuel sales joint venture, equally owned by the two companies, to facilitate fuel sales and supply between vessels. Using a bunkering vessel owned and operated by NYK or a wholly owned NYK subsidiary, the joint venture will supply ammonia fuel to car carriers through STS bunkering.

By combining the stringent safety standards and operational expertise the two companies have accumulated in handling ammonia and LNG, they aim to establish a safe, highly efficient fuel supply system.

“K” LINE and NYK will each introduce two ammonia-fuelled car carriers, for a total of four vessels. Following their scheduled completion in 2030, the vessels are expected to transport finished vehicles for customers including Toyota Motor Corporation.

The vessels will be Japan’s first ammonia-fuelled car carriers. They will be equipped with dual-fuel engines capable of using ammonia as fuel, as well as fuel tanks with sufficient capacity to enable trans-Pacific voyages using ammonia fuel alone.

To ensure the safe use of ammonia, which is toxic and corrosive, the vessels will also incorporate a multilayered safety concept, including measures to prevent and detect leaks and to neutralize ammonia in the event of a leak.

Shin Kurushima Dockyard will lead the basic design phase. The vessels will then be jointly designed and built by Shin Kurushima Dockyard, Imabari Shipbuilding, and NSY.

Photo credit: JERA
Published: 28 October, 2026