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The company will spend roughly Y2 billion ($US20.77 million) to construct the facility by next April at its Kurosaki site in Fukuoka Prefecture.
The plant will turn out polycarbonate used in such products as optical discs.
The firm also sees the material potentially being used as a glass substitute for LED covers.
In addition to better optical properties than its petroleum-based counterpart, the biopolycarbonate can withstand temperatures in excess of 100 C.
And for each kilogram of input, the production of the plant-derived polycarbonate is said to generate 3kg less in carbon dioxide emissions.
(Nikkei)
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