Ken Kobayashi, president of the Japan Chamber of Commerce and Industry (JCCI), called on member companies to stop hoarding naphtha to resolve distribution bottlenecks.
This appeal comes as excessive stockpiling by firms fearing future shortages has disrupted the flow of the petroleum product, which is essential for chemical production. If left unchecked, these bottlenecks could destabilize the supply chain for various industrial chemicals across Japan.
Kobayashi said that the overall supply is sufficient, but the distribution system is struggling. "Overall, there is enough, so everyone must make an effort little by little," Kobayashi said [1].
The JCCI is seeing a surge in concern from the private sector. The number of consultations from member companies regarding naphtha this month reached approximately 1,000 cases, which is double the previous volume [1].
The issue has reached the highest levels of government. Prime Minister Sanae Takaichi previously addressed the distribution bottlenecks during a meeting on April 30, 2026 [2]. Takaichi requested a prompt response from relevant ministers to resolve the supply anxiety [2].
Despite the current distribution hurdles, the government maintains a positive long-term outlook. Takaichi said the supply of naphtha-derived chemical products is expected to be secured beyond the end of the year [3].
“Overall, there is enough, so everyone must make an effort little by little”
The situation reveals a psychological gap between government assurances of supply and the actual risk tolerance of Japanese industrial firms. While the state claims long-term security, the doubling of corporate inquiries suggests deep-seated anxiety. The JCCI's intervention is an attempt to shift corporate behavior from individual survivalism—hoarding—to collective stability to prevent a self-inflicted shortage.
