Japan will allow contractors and construction firms to purchase paint thinner directly from manufacturers to resolve ongoing supply shortages [1].

This shift in distribution is intended to stabilize the construction sector, which has faced volatile pricing and scarcity due to geopolitical instability in the Middle East [1]. By removing wholesalers from the chain, the government aims to reduce the cost of materials and ensure that essential supplies reach job sites without delay.

Minister Akazawa of the Ministry of Economy, Trade and Industry announced the system on Friday, with orders set to be accepted starting June 23, 2026 [1]. The ministry is attempting to address a bottleneck in the distribution network that has left some firms unable to secure necessary chemicals.

"By delivering directly from thinner manufacturers, we expect to be able to provide more detailed and attentive support," Akazawa said [1]. He also said that the move is expected to have a certain effect on suppressing price increases caused by tight demand [1].

To support this transition, the supply of toluene, a critical raw material used in the production of paint thinner, has been increased to 1.8 times the usual amount [1]. This increase in raw material availability is intended to provide a buffer against further external shocks to the supply chain.

Despite these measures, the government's assessment of the crisis differs from reports on the ground. The government said that overall inventories of naphtha-derived paint thinner are sufficient [2]. However, some members of the painting industry have expressed distrust, stating that the shortage of thinner continues to persist [3].

While the Ministry of Economy, Trade and Industry is moving to resolve distribution bottlenecks, some reports indicate that supply anxiety remains prevalent at the field level [4]. The new direct-purchase system is the government's primary tool to bridge this gap between official inventory levels and the actual availability of materials for small-to-medium contractors.

“"By delivering directly from thinner manufacturers, we expect to be able to provide more detailed and attentive support,"”

This policy represents a rare government intervention into the traditional Japanese wholesale distribution model. By authorizing direct sales, the state is prioritizing immediate industrial stability over the established commercial hierarchy to prevent a wider slowdown in the construction sector caused by Middle East-driven supply shocks.