ENEOS to end lubricant production at Yokohama Plant
ENEOS Corporation has announced that it will gradually phase out the production of lubricants and fuels at its Yokohama Plant in Kanagawa Prefecture in Japan between January 2026 and March 2028.
The move forms part of the company’s ongoing efforts to restructure its petroleum production and supply network in response to long-term shifts in domestic demand and increasing international competition.
In line with its Third Medium-Term Management Plan, ENEOS aims to bolster its earnings base and enhance the competitiveness of its refining and marketing businesses. “Safe operations and a stable supply of energy” remain central to this plan, the company stated.
ENEOS cited the “structural decline of domestic demand for petroleum products and severe international competition mainly in Asia” as key factors influencing its decision. It is currently assessing options to relocate lubricant production from the Yokohama site to other existing facilities.
The Yokohama Plant, which began operations in 1922, has a lubricant production capacity of 126,000 kilolitres per year and employs 85 workers. The plant also produces 3,900 tonnes of grease annually.
In its Long-Term Vision, ENEOS has committed to maintaining a stable supply of energy and materials while pursuing carbon neutrality. The company said it will continue to prioritise safe operations and a stable energy supply as it navigates this transition.
