PM Kishida eager to employ auto industry in decarbonization push

Prime Minister Fumio Kishida on Wednesday expressed his belief the auto industry can play a major role in bringing both economic growth and decarbonization to Japan.

During a meeting attended by Toyota Motor Corp. President Akio Toyoda and other business leaders, Kishida stressed the need for cooperation to push ahead with decarbonization efforts, saying the auto sector has the potential to help create a "sustainable society."

Kishida views a program of green transformation as a critical pillar of his vision for "new capitalism," while pledging to ramp up efforts to achieve a carbon-neutral society by 2050.

Attendees of the gathering at the prime minister's office were members of a Japan Business Federation committee on mobility. Japan's most powerful business lobby, known as Keidanren, set up the panel in June, aiming to help the sector become globally competitive.

At the end of the meeting, Kishida said the government will begin discussions with business leaders on what steps the public and private sectors should prioritize to drive a major shift to carbon-free energy sources.

Kishida expressed appreciation for efforts made by auto manufacturers to raise the wages of their employees, as he has been keen to implement measures to encourage companies to increase salaries with households confronting rising prices amid stagnant wage growth.

Toyota, one of the biggest carmakers in the world, has a strong influence in setting the direction of the nation's annual "shunto" spring wage negotiations between management and labor unions.

© Kyodo News