Japanese companies Mitsubishi Chemical Corporation (MCC) and Toyota Tsusho Corporation (Toyota Tsusho) have entered a joint venture to produce ethylene and propylene and their derivatives in Japan using bioethanol as a raw material, Toyota Tsusho announced.

The project will involve the production of 100% plant-derived ethylene (bio-ethylene) and its derivatives using bioethanol as a raw material, and the manufacture and sale of plant-derived propylene (bio-propylene) and its derivatives, according to the 14 March statement.

Both companies said they would investigate market demand for bio-ethylene and bio-propylene and their derivatives and would conduct a feasibility assessment with an aim to begin commercial production by 2025.

In addition, MCC and Toyota Tsusho said they would evaluate the products’ greenhouse gas (GHG) reduction qualities over their entire life cycle.

According to its website, Tokyo-based MCC is active in the Americas, Asia, Europe, Japan and the Middle East.

Nagoya-based Toyota Tsusho is the trading arm of the Toyota Group.