Category Archives: Japan

Magnates Investor News offers a comprehensive collection of investing updates, investment news and investment opportunities, from Japan.

Japan Shipping Companies Prepare For Rise in Asian LNG Demand

japan lng asia investmentFollowing the Fukushima disaster in 2011 the Japanese people lost all faith in nuclear power and revolted against the industry. with no firm plan for restarting the nuclear reactors, the country has had to look to other sources of energy to accommodate for the 30 percent of total generation capacity that the nuclear energy used to provide.

LNG was one of the energy sources that will be expected to fill a large share of the gap left by nuclear power, and Japan’s top shipping companies are prepared to place orders for an estimated 90 new liquefied natural gas (LNG) tankers by 2020, to meet the rising demand. The shipping vessel investment is estimated to have a total value of 1.8 trillion yen ($17.61 billion).

Fueled by demand from China and South Korea, the amount of LNG traded (globally) is expected to increase to 400 million tonnes a year by 2020, up from 250 million tonnes last year; and Japanese shipping companies want to prepare for the expected rise in demand in Asia. In doing so, it has been reported that Nippon Yusen KK, the largest shipper in Japan, is set to increase its LNG tanker fleet to 100 from about 70; Mitsui OSK Lines Ltd., the second largest shipping company in the country, will increase its LNG fleet to 110 from a current size of 70; and Kawasaki Kisen Kaisha Ltd. plans to buy 20 new LNG tankers before 2020.

India and Japan Invest in Bi-Lateral Free Trade Agreement

india and japan sign trade agreementJapan has signed a bi-lateral free trade agreement (FTA) with India, which has been designed to boost trade between export-dependent Japan, and rapidly-growing India. The bi-lateral accord, which will make Japan and India each other’s largest free trade partner, is expected to be endorsed in parliament; “promptly.”

The 2 countries have been in discussions about the trade accord since 2007, and the final pact will scrap tariffs on 94% of goods within 10 years, with the exception of some of Japan’s fiercely protected agricultural commodities; such as rice, wheat and some dairy products.

It is believed that the new trade agreement with India, is also an effort by Japan to catch up with South Korean investment, which is overtaking Japan when it comes to the number of global FTA agreements it has inked; to improve its global competitiveness. As well, it is hoped that this deal will make investments into India’s infrastructure, to accommodate the increasing demands; of it’s rapidly growing economy.