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  3. 14 Oct. 2022

Asahi Breweries to Invest a Total of 49.1 Billion yen in Tosu Brewery in Japan with Operation Set to Begin in 2026 and Aim to Achieve “Carbon Negative” in 2026

14 Oct. 2022
Asahi Group Holdings, Ltd.

(Tokyo, Japan - October 14, 2022) – Asahi Breweries, Ltd., which is responsible for the alcohol beverages business in Japan under Asahi Group Holdings, Ltd., announces plans to relocate its Hakata Brewery, scheduled to cease operations at the end of 2025, to the new Tosu Brewery and begin operations in 2026. An agreement was concluded with Saga Prefecture and Tosu City on October 14. Investments are expected to be approximately 9.1 billion yen for the purchase of land, and in addition, approximately 40 billion yen for construction of the factory building and other expenses.

Image of Asahi Breweries’ Tosu Brewery

Image of Asahi Breweries’ Tosu Brewery

As a model facility for Asahi Group’s next-generation production system, the Tosu Brewery will, by renovating the manufacturing method and other initiatives, achieve a 50% reduction of energy consumption compared with current levels and promote renewable energy for the energy to be used. Furthermore, under Asahi Carbon Zero, a medium- to long-term target of Asahi Group aimed at achieving zero CO2 emissions across the whole supply chain by 2050, CO2 capture technologies and other initiatives will be introduced with the goal of achieving carbon negative, where the CO2 absorption volumes exceed CO2 emissions, sometime in 2026. Moreover, a diverse range of the Group companies’ products, such as beers, non-alcohol beer-taste beverages, and ready-to-drink beverages, and containers will be manufactured, in addition to soft drinks products, with the aim of streamlining distribution and increasing brewery capacity utilization. With the relocation of the factory, it will be possible for the Tosu Brewery to manufacture and ship the majority of the products that are delivered throughout the Kyushu region. It is expected that improving the demand-to-supply ratio and shortening the distance traveled for delivery within the Kyushu region will achieve a reduction of 30% compared with current levels in CO2 emissions in logistics operations.

The site for relocating the brewery was studied from the perspectives of whether it would be able to sufficiently maintain the production capacities of beers, soft drinks, and other products while ensuring their quality, and from its business continuity plan dealing with natural disasters and other unexpected situations. As Tosu City in Saga Prefecture is able to efficiently supply products throughout the Kyushu region as well as ensure a sufficient quantity of water, it was the best match for the conditions for the brewery, including the size of the land, so it was selected as the relocation site. Compared with the currently operating Hakata Brewery, the size of the relocation site is more than twice as large and the annual production volume is expected to be 1.3 times greater.

Based on the Medium- to Long-Term Management Policy, “solve social issues such as carbon neutrality through business; optimize the supply chain across Japan” has been proclaimed by Asahi Group as one of its Key Medium-Term Strategies for its business in Japan. As is the case with the new Tosu Brewery that is going to be constructed, optimization of the production capacity of a brewery in Japan will enhance operation capacity, and carrying out the expansion of hybrid breweries capable of manufacturing a wide variety of products, such as alcohol beverages and soft drinks, will further improve cost competitiveness and efficiency for the Group as a whole. Moreover, this new factory, which will adopt sustainable production equipment and facilities, will serve as a model brewery, with the aim of achieving carbon negative as early as possible through radical streamlining of energy and implementation of CO2 capture technologies. Through reinvestment of funds created by means of a series of restructuring actions, Asahi Group will achieve carbon negative at all of its production bases in Japan in the future, and strive to become a group that contributes to a sustainable society and is also trusted by future stakeholders.

■Asahi Group Respond to Climate Change