Release of Report on the Market Size and Employment of the Environmental Industry

The Ministry of the Environment (MOE), Japan, releases every year the "Report on the Market Size and Employment of the Environmental Industry." MOE Japan has compiled the estimated results for 2021 and published the "FY2022 Report on the Market Size and Employment of the Environmental Industry."
 
1. Definition of the Environmental Industry
The environmental industry is defined, in this report, as "an industry whose products and services contribute directly or indirectly to environmental protection and resource management, and to the realization of a sustainable society," based on the definition and concept of the environmental industry provided by OECD and Eurostat.
 
Specifically, the environmental industry in this report consists of four sections: "environmental pollution prevention," "global warming countermeasures," "waste treatment and effective use of resources," and "natural environment conservation."
 
* To estimate the market size, employment size, and export and import value of the environmental industry, MOE Japan reviews the scope every year based on environment-related laws and regulations, and the recent development of the environmental industry. As such review is reflected in the estimation published this year, estimation results may not always coincide with those published in the past.
 
2. Key Points of the Estimated Results
(1) Past estimation
(i) Market size
・The estimated market size of the environmental industry was approximately 108.0908 trillion yen in 2021, an increase of 2.3% from the previous year to approximately 1.7 times the size in 2000.
・The share of the market size of the environmental industry in all industrial sectors increased from 6.6% in 2000 to 10.5% in 2021, showing that the impact of the environmental industry on the economic growth of Japan is increasing.
 
(ii) Employment size
・In 2021, the estimated employment in the environmental industry amounted to approximately 2,797,000 people, an increase of 1.8% from the previous year to approximately 1.4 times the number in 2000.
 
(iii) Export and import value
・The estimated export revenues from the environmental industry were approximately 17.1 trillion yen in 2021, an increase of 1.5% from the previous year to approximately 9.7 times the amount in 2000.
・The estimated import value of the environmental industry was approximately 4.8 trillion yen, an increase of 1.3% from the previous year to approximately 9.1 times the value in 2000.
 
(iv) Amount of added value
・The estimated amount of added value in the environmental industry was approximately 46.1 trillion yen, an increase of 2.4% from the previous year to approximately 1.5 times the amount in 2000.
 
(v) Economic ripple effect
・The estimated economic ripple effect of the environmental industry was approximately 205.4 trillion yen, an increase of 2.0% from the previous year to approximately 1.8 times the value in 2000.
 
(2) Future estimation
・The domestic market size is estimated to continue its upward trend and to grow to approximately 123.7 trillion* yen by 2050. The largest share of the market is accounted for by "global warming countermeasures" at 48.0%, followed by "waste treatment and effective use of resources."
 
* This estimation covers changes in existing industries only, while the creation of new industries is not considered. In the future, due to such creation or other reasons, the growth of the environmental industry may exceed this estimation.
 
3. Other
Information concerning the environmental industry is available on the webpage titled "Environmental Industry-related Information (Results of the Survey of Market Size, etc. of the Environmental Industry)" on the Environment Economy Information portal (Japanese).
http://www.env.go.jp/policy/keizai_portal/B_industry/index.html