Japan seeks alternative energy supplies amid Strait of Hormuz crisis

Tokyo – Japanese Prime Minister Sanae Takaichi has stated that the government is working to secure alternative raw material suppliers and energy sources amid the crisis in the Strait of Hormuz resulting from the conflict in Iran.

She also expressed readiness to implement additional measures flexibly to support the public and national economy should price increases continue over an extended period.

“We are working with ministers to secure alternative supply sources for goods that may become unavailable,” Takaichi said during a budget committee meeting of the upper house of the Japanese parliament on Tuesday, 17 March.

Takaichi stated that the government is considering various scenarios given the uncertain situation in the Middle East.

“If the crisis continues, we will take flexible steps to ensure public welfare is maintained,” she said.

The Japanese government has decided to use remaining reserve funds to stabilise fuel prices, whilst subsidies will begin on 19 March.

The government has also begun releasing oil reserves.

Takaichi acknowledged that rising oil prices could affect the agricultural sector, including driving up fertiliser prices.

The government will monitor price developments and take additional measures to support producers and protect consumers, she said.

On 28 February, the United States and Israel launched attacks against targets in Iran, including Tehran, causing damage and killing civilians.

Iran retaliated by attacking Israeli territory and US military facilities throughout the Middle East.

The escalation in the region has resulted in a de facto blockade of the Strait of Hormuz, the primary route for oil and liquified natural gas shipments from Persian Gulf countries to global markets.

The disruption has also impacted oil exports and production in the region.