Japan’s July oil imports to return to pre-war level

TOKYO: Japan will secure the same volume of crude oil imports in July as it did the year prior, its leader said Thursday, crediting alternative sources obtained despite the Middle East war’s impact.

Japan relied on the Middle East for over 90% of its oil imports but has significantly diversified its supply chain, prime minister Sanae Takaichi told a special meeting of her ministers.

The US expanded its exports tenfold and Japan also managed to approach other oil producers, she said.

“In addition to the US, from which shipments arrived from Alaska last week, imports have been secured from Latin America, the Asia-Pacific region, Central Asia and Africa, as well as, most recently, Canada,” she said.

“Crude oil is scheduled to arrive from Mexico for the first time in July. We are making progress in diversifying our crude oil supply sources,” she said.

Iran’s effective closure of the vital Strait of Hormuz in retaliation for US-Israeli strikes on Tehran has rattled global energy markets.

The result was insufficient supplies of oil and oil-related products for resource-poor Japan, where businesses have complained about shortages of everything from ink to plastic to medical supplies.

Takaichi added that she will visit Europe from this weekend to attend a Group of Seven meeting in France.

With her fellow leaders, she said she will discuss the importance of energy security as a “representative of Asia”, where the severe economic impact of the Middle East conflict is being felt.