Japan to Release 20 Days' Worth of Additional Oil Reserves in Early May

Tokyo - Japan plans to release additional oil reserves worth 20 days as early as the beginning of May, Prime Minister Sanae Takaichi said on Friday, amid uncertainties regarding the reopening of the Strait of Hormuz despite the US-Iran ceasefire agreement. The plan was announced during a ministerial meeting to discuss the Middle East situation and will follow the ongoing release of oil reserves worth around 50 days to the market, which began in mid-March, from stockpiles held by the government, the private sector, and oil-producing countries in the Gulf. As Japan prepares for potential prolonged disruptions in crude oil supplies, Takaichi stated during the partially open media meeting, “We will take every possible step to ensure a stable supply of crude oil.” Japan relies on the Middle East for more than 90 per cent of its crude oil imports, most of which pass through the Strait of Hormuz, a major global energy shipping route that Iran has effectively blockaded following the US-Israeli attack on Iran at the end of February. Washington and Tehran agreed to a conditional two-week ceasefire on Tuesday, just before the unilateral deadline set by US President Donald Trump expired for Tehran to reopen the strait or face the destruction of key infrastructure. However, it remains unclear whether Iran’s blockade of the Strait of Hormuz will be lifted, as Israel is reported to continue attacking Iran-affiliated Hezbollah groups in Lebanon even after the ceasefire agreement was reached.