Naphtha Shortages Having a Growing Impact in Japan

(nippon.com)

50 points | by takakaze 2 hours ago

6 comments

  • guessmyname 1 hour ago
    As someone who grew up eating Calbee snacks, I think they’ll be fine.

    People from my generation aren’t buying Calbee because the bag is colorful. They’re buying it because it’s Calbee and they already know what they’re getting. The packaging could be black and white and I’d still recognize it instantly.

    The only people I could see being briefly confused are younger consumers. Japanese packaging tends to be very colorful, so we’re all conditioned to identify products partly by color. But people adapt quickly. In fact, a black-and-white Calbee bag might end up standing out more on a crowded supermarket shelf than yet another brightly colored package.

    There’s also a chance this ends up being a net positive. If simpler packaging lowers costs and sales stay the same, why go back? Japanese consumers are feeling inflation more than they have in decades, and companies are under pressure too. Cutting costs in a place customers barely notice seems a lot smarter than shrinking the product or raising prices again.

    • BoorishBears 35 minutes ago
      Did you actually read the article past the hero image?

      > Teikoku Databank has identified 52 Japanese companies using naphtha to make basic chemical products like ethylene, synthetic rubber, and PVC resin.

      > The chemicals, petroleum, and coal products manufacturing sector is most vulnerable to naphtha price rises and shortages; of the 4,700 companies in this sector, 67.2% are integrated into the naphtha supply chain.

      • no-name-here 10 minutes ago
        From the official guidelines https://news.ycombinator.com/newsguidelines.html

        > Please don't comment on whether someone read an article. "Did you even read the article? It mentions that" can be shortened to "The article mentions that".

        May be good to edit your comment to remove the first sentence.

    • aaron695 34 minutes ago
      [dead]
  • nogajun 57 minutes ago
    As a result of the Takaichi administration directing subsidies exclusively toward gasoline, oil companies have stopped prioritizing naphtha production, leading to a shortage of daily necessities. The fact that Calbee’s snack packaging has turned monochrome is a direct consequence of this. The Takaichi administration attempted to pressure Calbee into reversing this decision.

    What is even more alarming is that more than half of the Japanese public supports the Takaichi administration, which is implementing such absurd policies.

    • pibaker 7 minutes ago
      > The Takaichi administration attempted to pressure Calbee into reversing this decision.

      Do you have a citation for this? This sounds insane. I can't even think of any good faith motivation for doing this, other than to cover up the shortage and to keep the public pacified.

    • alephnerd 12 minutes ago
      > As a result of the Takaichi administration directing subsidies exclusively toward gasoline, oil companies have stopped prioritizing naphtha production

      Japan doesn't produce naphata - it's almost entirely imported.

      Much of the pain around naphata is transitional. Heck, most Japanese imports of naphtha have now shifted away from the Middle East to the US and India [0].

      And this isn't Japan's first time dealing with a similar black swan event - the late 2000s and early 2010s oil price shock occurred during a much more difficult macro environment for Japan.

      [0] - https://asia.nikkei.com/spotlight/iran-tensions/iran-war/jap...

    • HDThoreaun 50 minutes ago
      How much naphtha is used to color a bag of chips? I figured it was like considerably less than a milliliter. Is that really a significant cost even if naptha prices 10x?
      • rtpg 35 minutes ago
        It sounds like this isn't a cost problem but a supply problem. At one point a 20% reduction in inputs has to affect some output.
        • taneq 27 minutes ago
          Guess they'll have to use a smaller font.
    • georgefloid 20 minutes ago
      [dead]
  • jnakano89 32 minutes ago
    Buried near the end: Nisshin Seifun Welna stopped printing cooking time on their spaghetti packaging tape. There's a Japanese consumer somewhere squinting at the package trying to remember if it was 8 mins or 10 mins.

    This is what "globalized supply chain" looks like up close.

    • Barrin92 18 minutes ago
      >This is what "globalized supply chain" looks like up close.

      If that's the extent of it I'd say they're doing relatively fine. People have been taking these events like covid as some glaring warning of globalized supply chains but given that we've had like ten major supply chain shocks in half as many years I feel like the supply chains are good actually.

      If you told me ten years ago that North Koreans are fighting in Europe, Russia's oil facilities are being hit by drones, Houthis are launching rockets into space and the largest trade route in the world is blocked I'd have guessed it's worse than 4% inflation and Japan's running out of printer ink

  • johnea 1 hour ago
    After studying Japanese language and culture for the last 15 years, and spending about 6 months there in total, I would say they have a massive over-packaging problem in general.

    I've never seen a place throw away more plastics than in Japan.

    If the current oil situation forces a reworking of this system, I'd say all in all, that's an upside.

    • gryson 1 hour ago
      Japan is nowhere near the worst for plastic waste per capita, and it has very high recycling rates.

      Rely more on statistics and less on personal observation.

      • no-name-here 1 minute ago
        Even better to provide a source for each statistic.

        The top search result for recycling claims Japan only has a 19% recycling rate to the US’s 24% [1] but you might have been referring to a specific kind of recycling?

        Japan does have about half the plastic waste though yes [2].

        [1] https://en.wikipedia.org/wiki/Recycling_rates_by_country

        [2] https://ourworldindata.org/grapher/plastic-waste-per-capita

      • georgefloid 13 minutes ago
        Oh fuck away with "statistics"! It's what you observe on your own what counts in life, not some figures made by someone else (with a potential agenda).
      • armada651 1 hour ago
        Since very few types of plastic are actually recyclable most of it ends up being burned despite being separately collected, so I don't think you can simply discount the recycled plastic from the plastic waste being produced.
        • gryson 58 minutes ago
          Japan burns about half of its collected plastic via thermal recycling (recovering the energy) and recycles about a third into new products.

          The key point is that Japan recycles 85% of its plastic waste, which is excellent compared with a country like the US that recycles about 10%. And, the per capita plastic use in the US is far more than in Japan.

          This whole point pops up on the internet so frequently because tourists go to Japan and see lots of individually packaged items in supermarkets and convenience stores. Yes, there is room for improvement there, but overall the situation is not as bad as many countries and probably doesn't deserve the attention it gets.

          • trillic 1 minute ago
            Burning trash is recycling now?
    • dangus 1 hour ago
      Japan can package up all the snacks they want, they still use far less oil per capita than the USA.

      Japan: Approximately 28% of all passenger kilometers are traveled by rail

      United States: Rail travel accounts for only about 0.25% of passenger kilometers

      Remember: when you drive your 30mpg car to work, 20 miles down the freeway, alone in your vehicle by yourself, you are burning over a gallon of refined petroleum product every single day. You can make a loooooot of plastic bags with that much oil.

      Something like 95% of Americans get to work via automobile.

    • georgefloid 15 minutes ago
      Indeed, fully agree! (Albeit the EU is close, but the bureocrats would never charge the industry for plastic-wrapping vegggies and fruits - only the shopper for using thinly-made grocery bags!)

      And then that pesky "leaving it somewhere without littering"-problem. Hail mary for avoiding public waste baskets - a crow or bear could empty it, or some Arab could stow a pressure cooker in one! Oh wait... tbere's no Arabs, which is one of the absolut plusses.

  • mock-possum 42 minutes ago
    Do we say ‘hail corporate’ here too? Because… this feels a lot like viral marketing for whatever this brand is to me.