Year: 2023

Energy-saving technologies to reduce GHG emissions and fuel costs

NYK will install a Variable Compression Ratio (VCR) system on LNG (liquefied natural gas) fueled car carriers to be built by Shin Kurushima Dockyard Co., Ltd. The first vessel is scheduled to be delivered in 2026.

The VCR system can adjust the air compression ratio in the engine combustion chamber to an optimal balance according to engine power and LNG fuel properties. This optimal adjustment will improve fuel efficiency during operation by about 3% in LNG gas mode and about 6% in diesel oil mode. The system is also expected to play an important role in reducing GHG emissions from existing ships and improving engine efficiency when decarbonized fuels are introduced.

Using its technology and experience with large low-speed marine engines, Mitsui E&S DU Co., Ltd. developed the VCR system together with Winterthur Gas & Diesel Ltd, a Swiss engine licensor.

In the “NYK Group ESG Story 2023” published in November, we set new targets that include a “45% reduction of the NYK Group’s GHG (Scope 1+2) emissions by FY2030 (versus FY2021)” and “Total net-zero GHG (Scope 1+2+3) emissions by FY2050 for the NYK Group.”
In particular, with regard to reducing GHG emissions in Scope 1+2, one of the tactics is to maximize energy efficiency, and improving fuel efficiency through technological enhancement is essential to achieving the new decarbonization targets set by the NYK Group. The NYK Group will continue to actively collaborate with partners in Japan and overseas to promote initiatives related to energy-saving technologies, with the aim of realizing a decarbonized society.

Our New Decarbonization Targets (Excerpt from NYK Group ESG Story 2023)

Participation in this demonstration test is part of business activities related to Sail GREEN, a brand that emphasizes NYK’s efforts to reduce GHG emissions through the transport of goods and contribute to the eco-friendly supply chains of customers, regardless of the mode of transport (e.g., by sea or land, through terminals, etc.).

On March 10, 2023, the NYK Group released its medium-term management plan “Sail Green, Drive Transformations 2026 — A Passion for Planetary Wellbeing.” The NYK Group is promoting growth strategies with ESG at the core, based on the Group’s mission statement of “Bringing value to life” and a new corporate vision for 2030, which reads, “we go beyond the scope of a comprehensive global logistics enterprise to co-create value required for the future by advancing our core business and growing new ones.”

On the evening of November 19 in Tokyo (early afternoon local time), NYK was informed by Galaxy Maritime Ltd., which is based in the U.K., that an NYK-chartered pure car and truck carrier (PCTC) named “Galaxy Leader” had been seized near Hodeida, Yemen, while sailing for India. No cargo was on the vessel.

At 8:30 a.m. today, NYK organized a crisis management center at its head office to gather information and manage this incident. As the vessel’s charterer, we are prioritizing the safety of the 25 crew members.

We will report additional information as soon as it becomes available.

Source: https://www.nyk.com/english/news/2023/20231120_01.html

Planning to introduce 20 vessels by 2028

On October 26, NYK took delivery of the LNG-fueled pure car and truck carrier (PCTC) Sweet Pea Leader at Tadotsu Shipyard Co., Ltd., a member of the Imabari Shipbuilding Group. The vessel had been ordered by NYK from Nihon Shipyard Co., Ltd. and is NYK’s seventh LNG-fueled PCTC. NYK will introduce a total of 20 new LNG-fueled PCTCs by 2028 as a bridge-solution to achieve net-zero emissions of greenhouse gas (GHG) by 2050 for the NYK Group’s oceangoing businesses.

Like NYK’s other LNG-fueled PCTCs, the vessel was named after flowers with the desire to realize and pass on a healthy global environment through environment-friendly transportation.

NYK has established “Sail GREEN” as the company’s brand to emphasize NYK’s efforts to reduce GHG emissions through the transport of goods and contribute to the eco-friendly supply chains of customers, regardless of the mode of transport (e.g., by sea or land, through terminals, etc.). Completion of this vessel is an initiative of that brand.

Sweet Pea Leader

Vessel Particulars

Name: Sweet Pea Leader
LOA: 199.90 m
Beam: 38.00 m
Loadable Cargo: 7,000 units
Gross Tonnage: 77,644 tons
Year Built: 2023
Flag: Liberia

On March 10, 2023, the NYK Group released its medium-term management plan “Sail Green, Drive Transformations 2026 — A Passion for Planetary Wellbeing. ” The NYK Group is promoting growth strategies with ESG at the core, based on the Group’s mission statement of “Bringing value to life” and a new corporate vision for 2030, which reads, “we go beyond the scope of a comprehensive global logistics enterprise to co-create value required for the future by advancing our core business and growing new ones.”

NYK’s sixth LNG-fueled pure car and truck carrier (PCTC), Sumire Leader, has started its transportation service for Mazda Motor Corporation (Headquarters: Aki District, Hiroshima Prefecture; Representative Director, President, and CEO: Katsuhiro Kago), arriving at the port of Hiroshima on Oct 17 and the port of Nakanoseki (Yamaguchi Prefecture) on Oct 18

This vessel is the last of four LNG-fueled PCTCs delivered from China Merchants Jinling Shipyard (Nanjing) Co. Ltd.* Desiring to realize and pass on a healthy global environment through environment-friendly transportation, NYK is naming its LNG-fueled PCTCs after flowers, and “sumire” is Japanese for violets.

Sumire Leader will transport finished vehicles, including those made by Mazda Motor Corporation, and seeks to fulfill customers’ demands for a lower environmental burden in the logistics field.

Vessel Particulars

Name: Sumire Leader
LOA: 199.90 m
Beam: 38.00 m
Loadable Cargo: 7,000 units
Gross Tonnage: 78,866 tons
Year Built: 2023
Flag: Liberia

On March 10, 2023, the NYK Group released its medium-term management plan “Sail Green, Drive Transformations 2026 – A Passion for Planetary Wellbeing. ” The NYK Group is promoting growth strategies with ESG at the core, based on the Group’s mission statement of “Bringing value to life” and a new corporate vision for 2030, which reads, “we go beyond the scope of a comprehensive global logistics enterprise to co-create value required for the future by advancing our core business and growing new ones.”

NYK has set a long-term target of net-zero emissions of greenhouse gas (GHG) by 2050 for the NYK Group’s oceangoing business and aims at launching zero-emission ships that run on low-environmental-load marine fuels, such as ammonia or hydrogen, in the future. NYK is positioning LNG, a low-carbon marine fuel, as a bridge-solution until future zero-emission ships are realized. The company plans to take delivery of a total of 20 new LNG-fueled PCTCs by 2028 under the Sail GREEN^** brand.

* Nanjing Jinling Shipping Co., Ltd.
China Head Office: Nanjing, People’s Republic of China; Business: Shipbuilding; Website: http://jlshipyard.sinotrans-csc.com/col/col4261/index.html


** Sail GREEN
A brand that emphasizes NYK’s efforts to reduce GHG emissions through the transport of goods and contribute to the eco-friendly supply chains of customers, regardless of the mode of transport (e.g., by sea or land, through terminals, etc.).

※Click logo to obtain more details.

NYK’s PCTC Fleet Composition Transition Plan (2020–2050) (as of March 2022)

Contributing to the facilitation of vehicle transportation logistics

On June 30, NYK acquired a 25% stake in PT. Patimban International Car Terminal (“PICT”), a car terminal operator based at the Indonesian port of Patimban. The shares were acquired from Toyota Tsusho Corporation, and registration was completed on August 18.

The port of Patimban is 120 kilometers east of the Jakarta city center and has been under construction in stages since 2018. The terminal was capable of handling 220,000 vehicles per year in 2022, and expansion is underway to increase capacity to 600,000 vehicles per year.

Tanjung Priok, another international port located in the Jakarta metropolitan area, has become chronically congested due to increased cargo volume. In addition, traffic congestion on the roads connecting the port and the Eastern Industrial Park in the eastern part of Jakarta, where many Japanese companies are located, has caused delays in importing and exporting auto parts and finished vehicles. The full-scale operation of the port of Patimban is expected to solve these problems.

Through our equity participation in PICT, we will be able to provide optimal logistics services to our customers, including vehicle and construction equipment manufacturers entering the Indonesian market, and contribute to developing the Indonesian economy.

PITC Overview
Name: PT. Patimban International Car Terminal
Establishment: November 2021
Details of Business: Operation of car terminal
Date of Share Acquisition: June 30, 2023
Stockholders: Toyota Tsusho Corporation Group (34%)
Toyofuji Shipping Co., Ltd. (26%)
NYK (25%)
Kamigumi Co., Ltd. (15%)

Locations(Resource: OpenStreetMap)

On March 10, 2023, the NYK Group released its medium-term management plan “Sail Green, Drive Transformations 2026 — A Passion for Planetary Wellbeing. ” The NYK Group is promoting growth strategies with ESG at the core, based on the Group’s mission statement of “Bringing value to life” and a new corporate vision for 2030, which reads, “we go beyond the scope of a comprehensive global logistics enterprise to co-create value required for the future by advancing our core business and growing new ones.”

To transport finished vehicles for Toyota.

On July 24, Freesia Leader, the fifth LNG-fueled pure car and truck carrier (PCTC) operated by NYK, arrived at the port of Nagoya in Aichi Prefecture for a commemorative delivery ceremony that was held on the same day to celebrate the vessel’s arrival and pray for its safe voyage.

After arriving at the Port of Nagoya, the vessel received LNG fuel from Kaguya, an LNG-bunkering ship operated by Central LNG Marine Fuel Japan Corporation,* a joint venture owned by NYK and other companies.

The ship is the third of four LNG-fueled PCTCs constructed by China Merchants Jinling Shipyard (Nanjing) Co. Ltd.** The new PCTC was named after the freesia flower in the hope of realizing and passing on a prosperous global environment through eco-friendly transportation.

Freesia Leader will be engaged in the transportation of finished vehicles for the Toyota Motor Corporation and other customers seeking to reduce their environmental impact in logistics.

Vessel Particulars

Name: Freesia Leader
LOA: 199.90m
Beam: 38.0m
Loadable Cargo: 7,000 units
Gross Tonnage: 71,846tons
Year Built: 2023
Flag: Liberia

On March 10, 2023, the NYK Group released its medium-term management plan “Sail Green, Drive Transformations 2026 — A Passion for Planetary Wellbeing. ” The NYK Group is promoting growth strategies with ESG at the core, based on the Group’s mission statement of “Bringing value to life” and a new corporate vision for 2030, which reads, “we go beyond the scope of a comprehensive global logistics enterprise to co-create value required for the future by advancing our core business and growing new ones.”

NYK has set a long-term target of net-zero emissions of greenhouse gas (GHG) by 2050 for the NYK Group’s oceangoing business and aims at launching zero-emission ships that run on low-environmental-load marine fuels, such as ammonia or hydrogen, in the future. NYK is positioning LNG, a low-carbon marine fuel, as a bridge-solution until future zero-emission ships are realized. The company plans to take delivery of a total of 20 new LNG-fueled PCTCs by 2028 under the Sail GREEN^*** brand.

* Central LNG Marine Fuel Japan Corporation (head office: Kawagoe-cho, Mie Prefecture), founded in May 2020, is a joint venture company comprising NYK, Kawasaki Kisen Kaisha, Ltd., JERA Co., Inc., and Toyota Tsusho Corporation. The company operates Kaguya, Japan’s first LNG bunker vessel. Website: https://central-lng.com/en/

** China Merchants Jinling Shipyard (Nanjing) Co. Ltd.
Headquarters: Nanjing, China
Business: Shipbuilding
Website: http://jlshipyard.sinotrans-csc.com/col/col4261/index.html

*** Sail GREEN is a brand that emphasizes NYK’s efforts to reduce GHG emissions through the transport of goods and contribute to the eco-friendly supply chains of customers, regardless of the mode of transport (e.g., by sea or land, through terminals, etc.).

※Click logo to obtain more details.

NYK’s PCTC Fleet Composition Transition Plan (2020–2050) (as of March 2022)

It’s now possible to track your cargo online and search for RORO sailing schedules. Why not take a look and try it out!

At the Group of Seven (G7) summit held in Hiroshima, Japan, from May 18 to 22 , NYK exhibited a conceptual design for an ammonia-ready LNG-fueled vessel at the summit’s PR exhibition space. NYK’s exhibit included the company’s attempts to implement the world’s first ammonia-fueled vessel with a domestic engine (i.e., ammonia-fueled tugboat and ammonia-fueled ammonia carrier) and contained videos and panel displays to introduce zero-emission vessels.

In cooperation with other companies, NYK is promoting its participation in a project to develop the first ammonia-fueled vessel with a domestic engine. This is part of the Green Innovation Fund projects* sponsored by Japan’s New Energy and Industrial Technology Development Organization (NEDO).

For domestic and foreign media, more than 30 heavy industries, automotive manufacturers, and other entities including related ministries, local governments, and public corporations set up booths featuring Japan’s world-leading initiatives in decarbonization, biodiversity conservation, disaster prevention, digitalization, and other areas. NYK was the sole company from the shipping industry to participate.

NYK will continue its efforts to achieve its long-term goal of reducing greenhouse gas (GHG) emissions to net zero by 2050.

Conceptual designs for an ammonia-ready LNG-fueled vessel

On March 10, 2023, the NYK Group released its medium-term management plan “Sail Green, Drive Transformations 2026 — A Passion for Planetary Wellbeing.” The NYK Group is promoting growth strategies with ESG at the core, based on the Group’s basic philosophy of “Bringing value to life” and a new corporate vision for 2030, which reads, “we go beyond the scope of a comprehensive global logistics enterprise to co-create value required for the future by advancing our core business and growing new ones.”

Related Sustainable Development Goals (SDGs)

* Green Innovation Fund projects
To significantly accelerate current initiatives such as structural transformation of the energy and industrial sectors and innovation through bold investment towards carbon neutrality by 2050, a 2 trillion yen fund has been created at NEDO to provide continuous support to companies and others who are working on management issues based on shared ambitious and specific targets in the public and private sectors. The fund system provides continuous support for up to 10 years, from research and development and demonstration to social implementation. Support is provided mainly in the 14 priority fields for which action plans have been formulated in the Green Growth Strategy.

Wild Rose Leader, NYK’s fourth LNG-fueled pure car and truck carrier (PCTC), entered the ports of Nagoya on May 10 and Yokkaichi on May 15 for the first time. On the same days, commemoration ceremonies were held at each port and attended by related parties to celebrate the vessel’s arrival and wish it a lifetime of safe voyages.

Wild Rose Leader is the second of four vessels to be delivered from China Merchants Jinling Shipyard (Nanjing) Co. Ltd. ² and was given the name of a flower to emphasize NYK’s desire for its LNG-fueled PCTCs to pass on a healthy global environment through environment-friendly transportation.

The day after entering the port of Nagoya, the vessel received LNG fuel from Kaguya, an LNG bunkering ship operated by Central LNG Marine Fuel Japan Corporation, which is a joint venture owned by NYK and other partners. This was the first ship-to-ship LNG bunkering to ever occur at Nagoya port.

On May 12 at the port of Nagoya, the vessel loaded vehicles and equipment handled by Isewan Terminal Service Co., Ltd.,³ and on May 15 at the port of Yokkaichi , the vessel loaded vehicles made by Honda Motor Co., Ltd.

NYK continues to contribute to safe, stable transportation and promote decarbonization in its supply-chains through its environment-friendly fleets.

Vessel Particulars

Name: Wild Rose Leader
LOA: 199.90 m
Beam: 38.0 m
Loadable Cargo: 7,010 units
Gross Tonnage: 71,846 tons
Year Built: 2023
Flag: Liberia

On March 10, 2023, the NYK Group released its medium-term management plan “Sail Green, Drive Transformations 2026 – A Passion for Planetary Wellbeing. ” The NYK Group is promoting growth strategies with ESG at the core, based on the Group’s basic philosophy of “Bringing value to life” and a new corporate vision for 2030, which reads, “we go beyond the scope of a comprehensive global logistics enterprise to co-create value required for the future by advancing our core business and growing new ones.”

NYK has set a long-term target of net-zero emissions of greenhouse gas (GHG) by 2050 for the NYK Group’s oceangoing business and aims at launching zero-emission ships that run on low-environmental-load marine fuels, such as ammonia or hydrogen, in the future. NYK is positioning LNG, a low-carbon marine fuel, as a bridge-solution until future zero-emission ships are realized. The company plans to take delivery of a total of 20 new LNG-fueled PCTCs by 2028 under the Sail GREEN⁴ brand.