Japan is making significant strides in the Carbon Capture and Storage (CCS) sector, with a projected market value of USD 3,878.5 million by 2035 and a CAGR of 18.4% fueled by government backing, corporate investments, and advanced technologies customized for Japan's unique industrial and geographic needs. The country aims to decarbonize hard-to-abate sectors, produce blue hydrogen, and integrate CCS into bioenergy and Direct Air Capture (DAC) solutions, solidifying its global leadership in CCS initiatives. Japan's focus on CCS deployment is a pivotal step towards achieving carbon neutrality by 2050, particularly targeting emissions from energy-intensive industries like steel, cement, and chemicals. The Green Growth Strategy emphasizes clean energy and sustainability, positioning CCS at the core of Japan's decarbonization strategy. The article highlights key trends in Japan's CCS market, including the development of compact and efficient CCS solutions for urban areas, decarbonization efforts in energy-intensive industries, blue hydrogen production with CCS, and the exploration of offshore CO2 storage. Collaborative projects with countries like Australia and initiatives like the Tomakomai CCS Demonstration Project showcase Japan's commitment to innovative CCS solutions. Policy and regulatory support play a crucial role in bolstering CCS adoption, with the Long-term Strategy under the Paris Agreement providing a robust framework for CCS implementation. Incentives like subsidies, grants, and tax benefits from the Ministry of Economy, Trade, and Industry create a conducive environment for investing in CCS technologies. The industrial sector, particularly steel, cement, and chemicals processing, leads in CCS integration in Japan, driven by emissions reduction targets and technological advancements. Market concentration involves a mix of global players like Shell, domestic innovators such as Mitsubishi Heavy Industries, and research institutions collaborating to drive CCS adoption and innovation in the country, further solidifying Japan's position as a leader in CCS technologies.