Low-carbon Ammonia from India Certified under Japan`s `Support focusing on the price gap` scheme
30th June 2026
IHI Corporation, together with Kobelco Power Kobe, Inc. (a wholly owned subsidiary of Kobe Steel, Ltd.), Sumitomo Chemical Co., Ltd., Nippon Beet Sugar Manufacturing Co., Ltd., Hokkaido Electric Power Co., Inc., Mitsubishi Gas Chemical Company, Inc., and UBE Corporation (collectively, the `seven companies`), have announced that their plan to utilize low-carbon ammonia produced in India has been certified under the `Support focusing on the price gap` scheme, in accordance with the Hydrogen Society Promotion Act, by the Minister of Economy, Trade and Industry and the Minister of Land, Infrastructure, Transport and Tourism
“Support focusing on the price gap” scheme under the Hydrogen Society Promotion Act is designed to promote the establishment of supply chains for low-carbon hydrogen and its derivatives, including low-carbon ammonia, by supporting the price differential between low-carbon hydrogen and related products and conventional fuels and feedstocks. Certified project suppliers may receive support from the Japan Organization for Metals and Energy Security (JOGMEC)
In this supply chain development, IHI will offtake the ammonia produced by a low-carbon ammonia manufacturing project being jointly developed with ACME Group in Odisha, located in eastern India, and supply it to the seven companies in Japan. The seven companies will use the ammonia as fuel for power generation and as feedstock for chemical and other industrial applications, thereby contributing to the reduction of environmental impact
The certification marks an important milestone in the development of Japan’s ammonia value chain from fiscal 2030 onward. The seven companies will work to steadily advance and expand the utilization of low-carbon ammonia, aiming to contribute to the realization of a carbon-neutral society
IHI’s Role in the plan: IHI will offtake the ammonia produced in India and take responsibility for supplying it to users in Japan. In addition to developing domestic receiving and utilization infrastructure, IHI will also promote decarbonization through its use at its own facilities, contributing to the realization of a large-scale green ammonia value chain. Going forward, IHI aims to expand this value chain across a wide range of sectors both in Japan and overseas, while establishing a safe and stable supply system
