From Coal to Petroleum: Japan’s Chemical Industry and MITI’s Raw Material Conversion Policy

Keitaro Nagai ()
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Keitaro Nagai: Hakuoh University

No 2516, Working Papers from Waseda University, Faculty of Political Science and Economics

Abstract: This study investigates the transition from coal-to petroleum-based production in Japan’s chemical industry during the high-growth era by focusing on the Ministry of International Trade and Industry (MITI) raw material conversion policies. Through case studies, this study reexamines the prevailing view of MITI’s role in Japan’s economic development, highlighting a collaborative policymaking process between the government and industry. The analysis elucidates how acetaldehyde production shifted swiftly to petrochemical methods during the Second Petrochemical Phase Plan (1960–1964) as MITI’s policies incorporated earlier proposals from industry. For ammonia, the transition happened through the First and Second Large-Scale Expansion Plans launched in 1965 and 1967, respectively. These policies were formally established by the MITI, but they were implemented in response to requests from industry stakeholders.

Keywords: Industrial Policy; MITI (Ministry of International Trade and Industry); HighGrowth Era; Chemical Industry; Energy Transition (search for similar items in EconPapers)
Pages: 36 pages
Date: 2025-07
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