The restrictions on steel manufacturing in France and Japan for the sake of environmental protection

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Introduction

The steel industry is one of biggest energy consuming manufacturing industries in the world and it has the largest share in the economy of the world. China and Japan are the two countries that lead in the production of steel globally (Olmez et al. 2016). France being part of the European Community is expected to not only protect the environment but also to improve its quality. France is also targeted to serve the human health protection and to guarantee efficient and cautious natural resource use. Since, steel manufacturing consumes a high level of energy, both Japan and France have restricted steel manufacturing for the sake of environmental protection.

Legal Environment

Japan’s fundamental environmental laws and regulations include 242 regulations, statutes, and administrative directives, including the Basic Law on Environmental Protection and Related Laws Supporting Environmental Law Implementation, as well as the Basic Law on Environmental Protection and Related Laws Supporting Environmental Law Implementation. In addition to the Environmental Effect Assessment Law and the Environmental Effect Assessment Implementation Order and Rules, there are other laws and regulations that regulate investment environmental impact assessment, such as the Environmental Impact Assessment Implementation Rules. Air pollution in metropolitan areas, eutrophication, solid waste, environmental safety, and climate change are among the most pressing environmental concerns facing Japan today. In order to address these environmental challenges, the regulatory approach has been widely adopted in Japan, with incentives-based measures such as environmental fees being largely ignored. In comparing the rules for air pollution in Japan with those in other OECD nations, Japan has stricter limits for air pollution but less rigorous regulations for water pollution in catchment areas such as rivers, lakes, and coastal zones.

As a vocal signatory to the Vienna Convention on Contracts for the International Sale of Goods (Vienna Convention on Contracts for the International Sale of Goods), France has one of the globe’s strictest environmental protection laws. The French legal system is quite complicated. Given the difficulty of understanding French law for a non-native speaker, it is recommended that international law or an arbitration system be used. France has strict control of the air pollution and emissions areas of manufacturing, including the quarrying and mining processes, handling of raw materials, coking, dust and fumes, leakage control, gases and vapors from the processes and other related emissions. Even the process of selling a plant is heavily regulated by French laws.

Recommendation on which Country to Locate

One of the requirements of steel manufacturing is large coke inputs which extremely damages the environment. Coke ovens leads to the emission of air pollution like naphthalene which can cause cancer due to its toxicity (Petkar, 2014). The wastewater from the process of coking is increasingly toxic as well and contains carcinogenic organic compounds, ammonia, ammonium, sulfides, and cyanides. On average, there is an emission of 1.83 tons of carbon dioxide of each ton of steel that is manufactured which makes steel manufacturing one of the major contributors to global warming (Olmez et al. 2016). In addition, thanks to the emission of greenhouse gases, steel production leads to climate change in Japan and France. With this information, Japan is better placed to be the next destination for the firm because, despite its numerous laws, the demands are less strict and manageable compared to the complex legal environment in France.