Japanese PM Says Global Oil Crisis Has Major Impact

Japanese Prime Minister Sanae Takaichi stated that the global oil supply crisis is having a “major” impact on the Asia-Pacific region.

Speaking in Canberra, Australia, after talks with Australian Prime Minister Anthony Albanese, she said both countries would respond promptly to secure a stable energy supply.

Around one-fifth of the world’s oil is typically transported through the Strait of Hormuz, where shipments have been restricted by Iran since attacks by the United States and Israel.

Eighty percent of that oil is destined for Asia, according to the International Energy Agency.

“The effective closure of the Strait of Hormuz has caused a major impact in the Indo-Pacific,” the Japanese leader told reporters, as reported by AFP news agency on Monday (4/5/2026).

“We affirm that Japan and Australia will communicate closely with each other in responding with urgency,” Takaichi said.

Both countries aim to strengthen autonomy and resilience to secure a stable energy supply, Takaichi stated.

Australia is Japan’s largest supplier of liquefied natural gas, while Japan in turn supplies around seven percent of Australia’s diesel.

The Japanese government has also expressed its desire to ensure a stable supply of critical minerals, which are vital for semiconductors, electric vehicle batteries, and weapons systems.

Australia and Japan have also strengthened their defence relations, reaching an agreement worth A$10 billion (US$6 billion) last year for Japan to provide Mogami-class stealth frigates to the Australian navy.