Gas Station Closures in Japan Up for 3rd Consecutive Year

Tokyo, March 3 (Jiji Press)--The number of gas station bankruptcies and closures in Japan rose for the third consecutive year to reach 184 in 2024, according to research firm Teikoku Databank Ltd.

The increase reflects sluggish gasoline demand and the burden of repaying interest- and collateral-free loans under a program introduced during the COVID-19 pandemic.

In 2025, gas stations are expected to continue to face consumer reluctance to buy as pump prices remain high after the gradual reduction of government subsidies, a Teikoku Databank official said.

In 2024, 22 gas stations went bankrupt with liabilities of 10 million yen or more, while 162 closed temporarily or permanently.

Thanks to the pandemic-related financial aid, the number of such gas stations had been limited to 124 in 2021.

[Copyright The Jiji Press, Ltd.]