Tokyo: Japan will commence its largest-ever release of oil from its strategic reserves this week, as announced by Prime Minister Sanae Takaichi. This decisive action comes as the nation prepares for potential shortages resulting from the ongoing US-Israel conflict with Iran.
According to Azeri-Press News Agency, the Japanese government approved the release of 15 days' worth of private-sector reserves last week, driven by fears that the Middle East conflict will disrupt tanker traffic through the Strait of Hormuz. The release of state-owned reserves is set to begin on Thursday, as confirmed by Takaichi in a post on X.
Japan, heavily reliant on the Middle East for over 90% of its crude oil imports, is particularly susceptible to disruptions in this critical maritime route. Takaichi emphasized the importance of peace and stability in the region for both Japan and the international community, stating that Tokyo will continue diplomatic efforts in coordination with related countries.
During a summit in Washington, Takaichi informed Donald Trump that Japan's postwar constitution restricts the deployment of its naval forces to the Strait of Hormuz. Despite this, Japan is set to provide approximately 80 million barrels of stockpiled oil, equivalent to 45 days of domestic demand, to local refiners. This release is significantly larger than the one following the 2011 Fukushima disaster.
As of the end of last year, Japan's oil reserves stood at around 470 million barrels, covering 254 days of domestic consumption. Additionally, the government introduced subsidies to stabilize gasoline prices, capping them at ¥170 ($1.10) per litre, following a surge to ¥190.8 per litre.
Fears of extended closure of the Strait of Hormuz have sparked consumer anxiety in Japan, particularly concerning the availability of household essentials like toilet paper. In response, the trade and industry ministry advised against panic buying and assured consumers of adequate domestic production.
The Japan Household Paper Industry Association, representing 41 companies, confirmed that 97% of toilet paper in Japan is produced domestically using recycled materials. They assured there are no issues with raw material supply and that production could be increased if necessary.
Despite these reassurances, social media has been rife with speculation and panic posts about potential shortages. The Mainichi Shimbun quoted the association's head, Morio Ishizuka, urging consumers to maintain normal purchasing habits and share information responsibly to prevent unnecessary anxiety.