Japan secures UAE pledge to expand oil stockpiles amid Hormuz closure
Ryosei Akazawa says the UAE will replace released crude and grow joint reserves, while Tokyo seeks stable supplies despite the Hormuz closure.
- Japan has secured a commitment from the United Arab Emirates (UAE) to expand joint crude oil stockpiles that are maintained in Japan.
- The agreement aims to ensure a stable energy supply for Japan due to the closure of the Strait of Hormuz and rising tensions in the Middle East.
- As part of the deal, the UAE promised to replenish crude oil that has already been released from the reserves and to further increase the stockpile volume.
- The UAE is a critical energy partner for Japan, supplying approximately 40% of its total crude oil imports.
Japan said Tuesday (May 5) that it had secured a United Arab Emirates commitment to expand joint crude oil reserves maintained in Japan by Emirati companies, as Tokyo moves to protect energy supplies amid worsening tensions in the Middle East.
Economy, Trade and Industry Minister Ryosei Akazawa said he requested in Abu Dhabi on Tuesday during talks with Sultan Al Jaber, his UAE counterpart and the Gulf state’s special envoy to Japan.
The two ministers agreed to strengthen cooperation to secure a stable flow of crude oil, with the Strait of Hormuz, a critical energy transport route, still closed because of the deteriorating situation in the region.
“We want to significantly increase the joint stockpiles with the UAE,” Akazawa told reporters in Paris after finishing his Middle East tour. “The UAE has promised to replenish the crude oil already released and to expand the stockpiles further,” he added.
Crude oil from the UAE makes up about 40 per cent of Japan’s total crude oil imports. The UAE withdrew from the Organisation of the Petroleum Exporting Countries on Friday and plans to gradually raise production at its own discretion.
In his meeting with Jaber, Akazawa also asked the UAE to increase oil supplies to Japan steadily. He proposed cooperation on Japan’s plan to strengthen crude oil stockpiles across Asia, as well as future Japanese contributions, including financial support, to the development of alternative oil transport routes. Both sides agreed to work towards putting the proposals into effect.
In Saudi Arabia, Akazawa held talks with Saudi Foreign Minister Prince Faisal bin Farhan on Monday. The UAE and Saudi Arabia are two of Japan’s major crude oil suppliers.
During Akazawa’s visit, Iran launched a missile attack on the UAE. Akazawa said he had not encountered any danger and stressed that his meetings had been highly productive.
[Copyright The Jiji Press, Ltd.]
