The Japanese government is considering releasing part of its national oil reserves as the ongoing conflict involving Iran disrupts global energy supplies, Kyodo News reported on Friday, citing government sources. Tokyo may coordinate the move with other countries or decide to act independently if necessary.
Japan depends heavily on the Middle East for its energy needs, importing about 95% of its oil from the region. Nearly 70% of that supply normally passes through the Strait of Hormuz, which has effectively been closed due to the conflict involving Iran.
To prepare for emergencies, Japan maintains national oil reserves equivalent to roughly 146 days of domestic consumption. In addition, the country holds private-sector stockpiles and joint reserves with oil-producing nations.
Altogether, Japan’s total oil reserves are estimated to cover about 254 days of imports, making them among the largest strategic stockpiles in the world.
Earlier this week, government officials had said there were no immediate plans to release the reserves. However, according to the Kyodo report, authorities are now closely monitoring the situation and considering whether part of the national stockpile stored across the country could be supplied to domestic companies to maintain stable fuel availability.
The government is also evaluating whether such a release should be coordinated with other countries or carried out independently, as well as determining how much oil would need to be released to offset potential shortages caused by the disruption in the Strait of Hormuz.
Japan previously released portions of its strategic oil reserves in 2022 following Russia’s invasion of Ukraine, working in coordination with the International Energy Agency and several partner countries.