NGK Takes Steps in Direct Air Capture for Carbon Neutrality
A Japanese ceramics manufacturer has brought its automotive emissions technology into the carbon removal sector. NGK Insulators has adapted the honeycomb structures it makes for catalytic converters to support direct air capture systems. In August 2026, the company installed its first demonstration unit at an industrial site in Fukushima, moving beyond laboratory development into operational testing.
This shift matters because direct air capture remains expensive and energy intensive. Therefore, components that reduce running costs or improve durability could help the technology become more viable. NGK's approach tackles two specific cost drivers: the electricity needed to move air through capture systems and the heat required to release captured carbon dioxide.
Direct air capture removes CO2 directly from ambient air. Unlike smokestack carbon capture, which processes concentrated emissions, DAC systems must handle dilute atmospheric concentrations of around 420 parts per million. Consequently, they need to process enormous volumes of air to capture meaningful amounts of carbon. This makes energy consumption and physical scale critical design challenges.
NGK's honeycomb substrate uses thin ceramic walls to create a large surface area within a compact volume. The structure allows air to flow through with minimal resistance, which lowers the fan power required. During regeneration, when captured CO2 is released by heating, the thin walls reduce the thermal mass that must be heated. As a result, the system requires less energy for both capture and release cycles.
From automotive exhaust to atmospheric carbon
The technology draws on decades of ceramics manufacturing for automotive catalytic converters. NGK has produced honeycomb substrates since the 1970s, refining the material properties and production processes over time. Applying this expertise to DAC required developing new surface coatings that support CO2 adsorbent materials rather than catalytic metals.
According to Shigeru Kobayashi, NGK's president, the honeycomb structure with ultrathin walls provides a very large surface area. This design offers advantages of less pressure loss and low heating capacity. The company expects these features to reduce electricity needed for pushing air through the contactor and heat for releasing captured CO2.
NGK has stated that approximately 30 litres of ceramics would be needed to extract one tonne of CO2 annually. For context, that volume would fit inside a standard shipping crate. The company has also indicated it aims to modify existing production lines to supply up to 300 million litres of honeycomb structure for DAC at scale, suggesting it sees substantial future demand.
Compared with pellet-based approaches, the honeycomb structure promotes more uniform airflow and enables more efficient CO2 capture. Pelletized sorbent beds can create uneven flow patterns and higher pressure drops, increasing fan power requirements. The structured ceramic channels provide consistent flow paths throughout the contactor volume.
Demonstration project moves testing beyond the laboratory
In June 2024, the Research Institute of Innovative Technology for the Earth selected NGK's DAC ceramic substrate for a system demonstrated at Expo 2025 Osaka-Kansai. This provided initial public validation of the technology. However, the August 2026 project with Aircapture represents a more significant milestone because it operates in a commercial industrial environment rather than an exhibition setting.
The demonstration system was installed at Aizawa Concrete's Fukushima Research, Development and Manufacturing Center. This location provides realistic operating conditions, including temperature variations, dust, humidity, and the logistical constraints of an active industrial facility. Testing under these conditions reveals performance characteristics that laboratory trials cannot replicate.
For Aircapture, this marks its first project in Japan. For NGK, it represents the first time the company has tested its DAC ceramics in a working carbon removal installation. The collaboration combines Aircapture's system integration expertise with NGK's materials technology, allowing each partner to focus on its core capability.
Real-world demonstration serves several purposes. First, it validates whether laboratory performance translates to field conditions. Second, it identifies practical issues such as maintenance requirements, material degradation, and operational reliability. Third, it generates performance data under actual operating conditions, which matters for commercial deployment decisions.
Cost and energy efficiency remain central challenges
Direct air capture systems face significant economic hurdles. Current estimates place capture costs between £400 and £800 per tonne of CO2, far above the price of conventional carbon offsets. Energy consumption drives much of this cost. Moving large volumes of air requires substantial fan power, while heating sorbent materials to release captured CO2 consumes thermal energy.
Reducing pressure drop addresses the first cost component. When air flows through a contactor, resistance creates back pressure that fans must overcome. Higher pressure drop means larger fans, more electricity consumption, and greater operating costs. NGK's honeycomb design uses open channels with smooth walls to minimize this resistance.
Lowering thermal mass tackles the second cost driver. During regeneration, the entire contactor must be heated to the desorption temperature, typically between 80°C and 120°C depending on the sorbent material. Much of this heat warms the substrate itself rather than just the sorbent. By reducing wall thickness, NGK decreases the thermal mass, meaning more heat goes directly into releasing CO2 rather than warming inert ceramic.
Material durability also affects long-term economics. DAC systems cycle between adsorption and desorption continuously, subjecting materials to repeated thermal stress. Ceramics generally withstand these cycles better than polymer or metal substrates, potentially reducing replacement costs over a system's operating life. Nevertheless, real-world testing remains necessary to confirm this advantage holds under field conditions.
For UK businesses tracking carbon removal markets, these efficiency improvements matter because they affect the viability of future compliance mechanisms. If direct air capture costs fall sufficiently, it could become a practical option for offsetting residual emissions that cannot be eliminated through operational changes. Currently, however, the technology remains too expensive for most commercial applications outside specialized use cases.
Production capacity and commercialization timeline
NGK's stated production target of 300 million litres suggests the company anticipates substantial market growth. At 30 litres per tonne of annual CO2 capacity, this volume would support approximately 10 million tonnes of annual capture capacity. For comparison, global DAC capacity in 2024 stood at around 10,000 tonnes per year, indicating NGK is positioning for a market roughly 1,000 times larger than current deployment.
The company plans to adapt existing automotive production lines rather than building dedicated DAC facilities. This approach reduces capital investment and allows faster scaling if demand materializes. However, it also means production capacity depends on automotive market conditions and NGK's ability to balance production between two different applications.
NGK's corporate materials indicate commercialization efforts extending toward 2030. This timeline aligns with broader DAC industry projections, which anticipate significant capacity additions in the late 2020s driven by corporate carbon removal commitments and potential policy support. The UK government's consultation on greenhouse gas removal standards, for example, could create clearer market frameworks by the middle of the decade.
Between now and commercial deployment, NGK faces several technical and commercial milestones. The Fukushima demonstration must validate performance claims under operating conditions. Manufacturing processes need refinement to ensure consistent quality at scale. Commercial partnerships must be established with DAC system developers and project operators. Pricing structures need development that balance NGK's margin requirements with DAC operators' cost constraints.
What UK businesses should understand about carbon removal technology
While direct air capture remains largely pre-commercial, UK businesses should track its development for several reasons. First, carbon removal appears increasingly necessary to meet net zero targets. The Climate Change Committee has stated that achieving net zero by 2050 will require engineered carbon dioxide removal to offset residual emissions from sectors like aviation and agriculture.
Second, carbon removal markets are beginning to take shape. Voluntary carbon markets now include removal credits priced substantially higher than conventional offsets. Some large corporations have made advance purchase commitments to stimulate technology development. As standards and verification mechanisms mature, these markets could expand significantly.
Third, supply chain expectations around carbon management continue to evolve. Public sector buyers already assess carbon reduction plans under Procurement Policy Note 06/21. Private sector supply chains increasingly include carbon performance in supplier evaluation. Understanding available carbon management options, including potential future access to removal technologies, helps businesses anticipate these requirements.
For manufacturers, NGK's technology development also illustrates how established industrial capabilities can be repurposed for climate applications. Companies with expertise in materials science, thermal management, or gas processing may find opportunities to apply existing knowledge to emerging carbon markets. This kind of technology transfer could create new revenue streams while supporting decarbonization objectives.
We work with businesses navigating carbon reporting requirements and net zero planning. While direct air capture is not yet a practical option for most organizations, understanding the technology landscape helps inform long-term strategies. Our net zero program supports carbon reporting compliance and helps businesses identify credible reduction pathways before considering removal options.
Key facts about NGK's direct air capture development
- NGK Insulators has adapted its automotive honeycomb ceramic technology for direct air capture systems.
- The company installed its first demonstration unit at Aizawa Concrete's Fukushima facility in August 2026.
- NGK estimates that approximately 30 litres of ceramic substrate would be needed to capture one tonne of CO2 annually.
- The honeycomb structure aims to reduce both air-moving electricity costs and heat requirements during CO2 release.
- NGK plans to modify existing production lines to supply up to 300 million litres of honeycomb substrate for DAC applications.
- The company's commercialization timeline extends toward 2030, aligning with broader direct air capture industry projections.
- The Research Institute of Innovative Technology for the Earth selected NGK's substrate for a system demonstrated at Expo 2025 Osaka-Kansai.
What this development signals for carbon removal markets
NGK's progression from laboratory development to field demonstration reflects broader maturation across the direct air capture sector. Several years ago, DAC existed primarily in research facilities and pilot projects. Today, commercial-scale facilities operate in Iceland, the United States, and elsewhere, with numerous projects in development.
However, significant barriers remain before DAC becomes widely deployed. Capital costs are high, with large facilities requiring hundreds of millions in investment. Operating costs remain above levels that most carbon markets can support without subsidy or premium voluntary purchases. Energy requirements mean DAC projects need access to low-cost, low-carbon power, which limits suitable locations.
Component improvements like NGK's ceramics address some of these challenges incrementally. Lowering pressure drop reduces electricity consumption by perhaps 10-20%, which matters but does not fundamentally change economics. Similarly, reducing thermal mass improves efficiency but does not eliminate heat requirements. Major cost reductions will likely require advances across multiple system components and manufacturing processes.
For businesses considering carbon removal in their net zero strategies, timing remains a key question. Current DAC pricing makes it uneconomical for most applications. Within five years, costs may fall sufficiently for specific high-value uses. By 2035, if technology development and deployment continue at pace, DAC could become a standard carbon management tool. Planning horizons should account for this timeline rather than expecting near-term availability.
UK policy development will also shape market evolution. Government support for greenhouse gas removal research, demonstration projects, and early deployment could accelerate cost reductions and capacity growth. Conversely, lack of clear policy frameworks or market mechanisms could slow commercialization regardless of technical progress. Businesses should monitor both technology development and policy signals to assess when carbon removal might become a practical option.
Training and knowledge development around emerging carbon technologies can help businesses prepare for these transitions. Our SBS Academy offers training on carbon management topics including emerging technologies and market developments. Understanding the options helps organizations make informed decisions as the carbon removal landscape evolves.
Where to find additional information
NGK Insulators publishes technical information and project updates through its corporate website and investor materials. The company's sustainability reports provide context on its broader environmental technology development efforts.
For authoritative information on direct air capture technology and carbon removal policy in the UK, the Climate Change Committee publishes detailed analysis of greenhouse gas removal requirements and technology pathways. The Department for Energy Security and Net Zero provides policy updates on carbon capture and removal support mechanisms.
The International Energy Agency tracks global DAC deployment and publishes regular technology assessments. These reports provide market context and cost trajectory analysis that helps businesses understand where the technology sits in its development cycle.
Industry bodies such as the Institute of Environmental Management and Assessment offer guidance on carbon management practices and emerging technologies. Their resources help businesses evaluate which carbon reduction and removal approaches suit their specific circumstances and timelines.