UNITED STATES
                       SECURITIES AND EXCHANGE COMMISSION
                              Washington, DC 20549

                                   FORM 10-QSB

[X]     Quarterly  Report  pursuant  to  Section  13  or 15(d) of the Securities
Exchange  Act  of  1934

For  the  quarterly  period  ended  MARCH  31,  2003

[ ]     Transition Report pursuant to 13 or 15(d) of the Securities Exchange Act
        of  1934

        For  the  transition  period  from  __________  to  __________

        Commission  File  Number  0-32905

                         AMANASU ENVIRONMENT CORPORATION
                         -------------------------------
        (Exact name of Small Business Issuer as specified in its charter)

NEVADA                                                        98  -  0347883
----------------------------------                            --------------
(State  or other jurisdiction of                        (IRS Employer
incorporation)                                          Identification  No.)

                 701 FIFTH AVENUE, 36TH FLOOR, SEATTLE, WA 98109
                 -----------------------------------------------
                    (Address of principal executive offices)
                    ----------------------------------------

                                  206-262-8188
                                  ------------
                           (Issuer's telephone number)
                           ---------------------------

        _________________________________________________________________
     (Former name, former address and former fiscal year if changed since last
                                     report)


State the number of shares outstanding of each of the issuer's classes of common
equity,  as  of  the  latest  practicable date:41,950,816 SHARES OF COMMON STOCK
                                               ---------------------------------
ISSUED  AND  OUTSTANDING  AS  OF  MAY  13,  2003.
-------------------------------------------------

**Transitional  Small Business Disclosure Format (check one):  Yes [  ]   No [X]

<PAGE>

PART  I  FINANCIAL  INFORMATION

ITEM  1.          FINANCIAL  STATEMENTS

GENERAL

The  Company's  unaudited  financial statements for the three months ended March
31,  2003 are included with this Form 10-QSB. The unaudited financial statements
have  been  prepared  in  accordance  with  the instructions to Form 10-QSB and,
therefore, do not include all information and footnotes necessary for a complete
presentation  of  financial  position,  results  of  operations, cash flows, and
stockholders'  equity  in  conformity  with  generally  accepted  accounting
principles.  In  the opinion of management, all adjustments considered necessary
for a fair presentation of the results of operations and financial position have
been  included  and  all  such  adjustments  are  of  a normal recurring nature.
Operating  results for the three months ended March 31, 2003 are not necessarily
indicative  of  the  results  that  can  be  expected for the fiscal year ending
December  31,  2003.

                                        2
<PAGE>

                         AMANASU ENVIRONMENT CORPORATION
                          (A Development Stage Company)
                                 March 31, 2003
                                   (UNAUDITED)

                                        3
<PAGE>

                         AMANASU ENVIRONMENT CORPORATION
                          (A Development Stage Company)
                                 March 31, 2003
                                   (Unaudited)




                                 C O N T E N T S



                                                        Page
                                                       -----

Balance  Sheets                                            1

Statements  of  Operations  and  Deficit  Accumulated
During  Development  Stage                                 2

Statements  of  Cash  Flows                                3

Notes  to  Financial  Statements                           4

                                        4
<PAGE>

                         AMANASU ENVIRONMENT CORPORATION
                          (A DEVELOPMENT STAGE COMPANY)
                                 BALANCE SHEETS
                                   (UNAUDITED)


<TABLE>
<CAPTION>


                                                        March 31,     MARCH 31,

                                                           2003         2002
                                                        ---------  ------------

ASSETS
------
<S>                                                          <C>         <C>

Current Assets:
Cash                                                   $    58,562   $  78,432
                                                           --------  ----------
                            Total current assets            58,562      78,432
Fixed Assets:
Automotive equipment                                        25,859      25,859
     Less accumulated depreciation                           8,697       7,960
                                                            -------   ---------
                            Net fixed assets                17,162      17,899
Other Assets:
Rent deposit                                                 8,028       8,028
Licensing agreement, net of accumulated
    amortization of $9,264 and $4,632                      305,736     310,368
                                                           ---------  ---------
                            Total other assets             313,764     318,396
                                                           ---------  ---------
Total Assets                                           $   389,488   $ 414,727
                                                           =========  =========

LIABILITIES AND STOCKHOLDERS' EQUITY
-------------------------------------
Current Liabilities:
Amount due for licensing agreement                     $    95,000   $  95,000
Stockholder advance                                            100         100
                                                          ---------  ----------
                            Total current liabilities       95,100      95,100

Stockholders' Equity:
---------------------
Common stock:  authorized 100,000,000 shares of
        $.001 par value; issued and outstanding
        41,950,816                                          27,751       27,751
Additional paid-in capital                                 646,789      646,789
Deficit accumulated during the development stage          (380,152)    (354,913)
                                                          ---------    --------
Total Stockholders' equity                                  294,388     319,627
                                                          ---------    --------
Total Liabilities and Stockholders' Equity              $   389,488   $ 414,727
                                                          =========    =========

</TABLE>

    These statements should be read in conjunction with the year-end financial
                                   statements.

                                        5
<PAGE>

                         AMANASU ENVIRONMENT CORPORATION
                          (A DEVELOPMENT STAGE COMPANY)
                      STATEMENTS OF OPERATIONS AND DEFICIT
                      ACCUMULATED DURING DEVELOPMENT STAGE
                                   (UNAUDITED)

<TABLE>
<CAPTION>


                                                           FEBRUARY 22, 1999
                   Three Month Periods Ended March 31,    (Date of Inception)
                            2003            2002           To March 31, 2003
<S>                          <C>             <C>                   <C>
Revenue:
  Interest income   $       126   $           28                $   3,064
Expenses                 25,365            1,245                  383,216
                      ---------          -------                 ---------
Loss accumulated
during development
stage               $   (25,239)  $     (  1,217)               $(380,152)
                      =========          =======                  ========

Loss Per Share -
  Basic and Diluted $    -        $         -

Weighted average
number of shares
outstanding           41,950,816       41,247,816
                     ===========       ==========
</TABLE>

     These statements should be read in conjunction with the year-end financial
                                   statements.

                                        6
<PAGE>

                         AMANASU ENVIRONMENT CORPORATION
                          A DEVELOPMENT STAGE COMPANY)
                            STATEMENTS OF CASH FLOWS
                                   (UNAUDITED)

<TABLE>
<CAPTION>


                                                                FEBRUARY 22, 1999
                                       Three Month Periods     (Date of Inception
                                        Ended March 31,        to March 31, 2003)
                                           2003        2002
                                        ---------    --------  ------------------
<S>                                            <C>          <C>               <C>

CASH FLOWS FROM OPERATIONS:
Net Loss                                   $(25,239)     $(1,217)      $(380,152)
Changes Not Requiring The Outlay Of Cash:
    Depreciation and amortization             5,369        1,225          17,961
    Services provided for common stock         -             -            70,000

Changes In Assets and Liabilities:
    Increase in prepaid expenses               -          (2,700)           -
                                            --------     --------       ---------
             NET CASH CONSUMED BY
                 Operating Activities       (19,870)       (2,692)      (292,191)

CASH FLOWS FROM INVESTING   ACTIVITIES:
Acquisition of licensing agreement             -              -         (155,000)
Purchase of automobile                         -              -          (25,859)
Rent deposit for warehouse lease               -              -           (8,028)
                                            ---------     --------      ---------
            NET CASH CONSUMED BY
                INVESTING ACTIVITIES           -              -         (188,887)

CASH FLOWS FROM FINANCING ACTIVITIES:
Sales of common stock                          -              -           539,540
Advances received in anticipation of
    common stock sales                         -              -               100
                                            ---------      --------     ---------

            Net Cash Provided By
                FINANCING ACTIVITIES           -              -           539,640
                                            ---------      --------     ---------
Net change in cash                           (19,870)        (2,692)       58,562
Cash balance, beginning of period             78,432         35,287           -
                                            ----------     --------     ---------
Cash balance, end of period                $  58,562      $  32,595    $  58,562
                                            =========      =========    =========
</TABLE>

    These statements should be read in conjunction with the year-end financial
                                   statements.

                                        7
<PAGE>

                         AMANASU ENVIRONMENT CORPORATION
                          (A DEVELOPMENT STAGE COMPANY)
                          NOTES TO FINANCIAL STATEMENTS
                                 MARCH 31, 2003
                                   (UNAUDITED)




1.     BASIS  OF  PRESENTATION

The  unaudited  interim  financial statements of Amanasu Environment Corporation
("the Company") as of March 31, 2003 and for the three month periods ended March
31,  2003  and  2002,  have  been prepared in accordance with generally accepted
accounting  principles.  In the opinion of management, such information contains
all  adjustments, consisting only of normal recurring adjustments, necessary for
a  fair  presentation of the results for such periods. The results of operations
for  the  quarter  ended  March  31,  2003 are not necessarily indicative of the
results  to  be  expected  for  the  full  fiscal year ending December 31, 2003.

Certain  information and disclosures normally included in the notes to financial
statements  have  been  condensed  or  omitted  as  permitted  by  the rules and
regulations  of  the  Securities  and  Exchange Commission, although the Company
believes  the  disclosure  is  adequate  to  make  the information presented not
misleading.  The  accompanying  unaudited financial statements should be read in
conjunction  with  the  financial  statements  of the Company for the year ended
December  31,  2002.

2.  LICENSE ACQUISITION
On September 30, 2002 the Company acquired the exclusive
worldwide  rights  to produce and market a patented product known as Firebird PD
5000,  which  is  a  hot  water  boiler  that collects heat from waste tires. As
consideration for this acquisition, the Company paid $155,000 and issued 650,000
shares  of common stock; it is obligated to pay on demand an additional $95,000.

                                        8
<PAGE>

ITEM  2.       MANAGEMENT'S  DISCUSSION  AND  ANALYSIS  OR  PLAN  OF  OPERATION

Forward  Looking  Statements
----------------------------

This  report  on  Form 10-QSB contains certain forward-looking statements within
the  meaning  of section 21e of the Securities Exchange Act of 1934, as amended,
and  other  applicable  securities laws. All statements other than statements of
historical  fact  are  "forward-looking  statements"  for  purposes  of  these
provisions,  including any projections of earnings, revenues, or other financial
items; any statements of the plans, strategies, and objectives of management for
future  operation; any statements concerning proposed new products, services, or
developments;  any  statements  regarding  future  economic  conditions  or
performance;  statements  of belief; and any statement of assumptions underlying
any  of  the  foregoing. Such forward-looking statements are subject to inherent
risks  and  uncertainties, and actual results could differ materially from those
anticipated  by  the  forward-looking  statements.

The  following  discussion  should  be  read  in  conjunction with the Company's
Financial  Statements,  including the Notes thereto, appearing elsewhere in this
Quarterly Report and in the Annual Report for the year ended December 31, 2002.

COMPANY  OVERVIEW

The  Company  was  organized February 22, 1999. Its operations to date have been
limited  to  obtaining  licensing  for  the production and sale of two products,
conducting preliminary marketing efforts, and conducting testing, for one of the
products.

PLAN  OF  OPERATIONS

The  Company  is  a  development  stage  corporation.  It  has not commenced its
planned  operations  of  manufacturing  and  selling  two products:  a toxic and
hazardous  waste  disposal  system,  and  a  hot  water  boiler.

During the year 2001, the Company obtained a license to manufacture and sell the
Amanasu  furnace,  a  toxic  waste  disposal  system.  On  September 30, 2002 it
obtained  a license to manufacture and sell a state of the art hot water boiler,
which  derives  its energy in a non-polluting chemical process from waste tires.

The  Company  raised  $265,000  during  the  2002 through the issuance of common
stock.    The  Company intends to raise another $300,000 during 2003 through the
private  placement of its common stock.  The proceeds of such private placements
will  be  used  to  continue  the  development  and  market  planning of its two
products,  and  for  other  general  working  capital  needs.

The  Company's  activities  over  the  next twelve months will be devoted to the
construction  of  a  limited number of demonstrational units of the furnace, the
hiring  of  a  limited  staff  to  conduct its business, and the commencement of
marketing  activities; it will also explore the means for exploiting the license
for  the  hot  water  boiler.

                                        9
<PAGE>

The  Amanasu  furnace  has undergone rigorous testing and adjustments to meet UL
and  EPA  requirements, as well as requirements of specific potential customers.
Additional  research  is  also  being conducted in Japan by the inventor of this
product.

The  hot  water  boiler  system  will  be  marketed  throughout  North  America.
Particular  attention  is  being  focused on Mexico.  A complete system has been
shipped to Mexico to undergo testing for compliance with government regulations.
A  formal  agreement  for  marketing  this  product  in Mexico is expected to be
executed  upon  completion  of  this  testing.

The  Company  has  entered  into  discussions with a number of private investors
concerning the private placement of its common stock.  At this time, however, it
has  not  received  commitments  from  any  source.  Although  the  Company  is
encouraged  by  its discussions, it cannot predict whether it will be successful
in  raising  capital,  which  capital  is  essential  to its plan of operations.

The  Company  expects  to outsource the construction and fabrication of units of
its  Amanasu  furnace  to  third  parties,  including the proprietary combustion
system  which will be manufactured by the inventor of the furnace at his factory
in  Hokkaido, Japan.  The Company expects the production cycle of its product to
be three to six months.  The Company believes that it can manufacture as many as
thirty  units  per  month  using  currently available manufacturing and assembly
resources  and  it  believes  the production and assembly resources of the third
parties will be sufficient to meet anticipated product demand of the next twelve
months.  Tests of the furnace have been conducted at a California facility which
is  expected  to  be  a primary source of manufacturing capability.   A total of
$44,000  was  spent  on  this  testing.  Marketing  efforts  are now in process.

The  results  of  operations  during  the  first  quarter of 2003 were a loss of
$25,239  compared  with  a  loss  of  $1,217  in  the  comparable  2002  period.

The  Company  will  require  a  minimum  of  $500,000  to  satisfy  its  cash
requirements of the next twelve months.  If the Company is successful in raising
this  money,  it  will commence production and marketing of units of the Amanasu
furnace  to  prospective  customers  in  the  Pacific  Rim.  If the  Company is
successful  in  raising  the  projected  $2,000,000  to $3,000,000 from sales of
common  stock, management believes that this funding, along with bank borrowings
and  cash  flow from the sales of units, will enable the Company to commence the
full  scale  manufacture  and sale of this product.  The Company can not predict
whether it will be successful in its capital raising efforts.  If the Company is
not successful in raising $500,000, it may not be able to complete its plan of
operations.

                                       10
<PAGE>

PART  II  -  OTHER  INFORMATION

Item  1.     Legal  Proceedings

             NONE

Item  2.     Changes  in  Securities  and  Use  of  Proceeds

             NONE

Item  3.     Defaults  Upon  Senior  Securities:

             NONE

Item  4.     Submission  of  Matters  to  a  Vote  of  Security  Holders:

             NONE

Item  5.     Other  Information:

             NONE

Item  6.     Exhibits  and  Reports  on  Form  8K

             (a)  Exhibits

             99.1  Certification  of  Atsushi  Maki,  President  (Principal
             Executive Officer),  and Chief Financial Officer (Principal
             Financial Officer) pursuant to 18 U.S.C. Section 1350, as adopted
             pursuant to Section 906 of the Sarbanes-Oxley Act  of  2002

             (b)  Reports  on  Form  8-K

             There  were  no  Forms  8-K  filed during the period of this
             report.

<PAGE>

SIGNATURES

In  accordance  with the requirements of the Exchange Act, the registrant caused
this  report  to  be  signed  on  its  behalf by the undersigned, thereunto duly
authorized.

Dated:  May  13,  2003


AMANASU  ENVIRONMENT  CORPORATION



By:     /s/  Atsushi  Maki
        ------------------------------------
        Atsushi  Maki,  Chairman,  President
        and  Chief  Financial  Officer


<PAGE>