Japan Releases Oil Reserves to Ease Energy Supply Crisis.

Japan has begun releasing crude oil from its national strategic reserves to stabilize fuel supply disruptions caused by rising tensions linked to the conflict involving Iran, the United States, and Israel. Government officials confirmed that approximately 8.5 million kilolitres of crude oil will be released to support domestic demand for about 30 days.Japan depends on the Middle East for more than 90% of its crude oil imports. However, disruptions affecting shipments through the Strait of Hormuz have created serious supply risks. As a result, authorities moved quickly to protect energy stability and prevent further price increases.

Oil distribution started from the Kikuma storage terminal located in Ehime Prefecture. Officials also confirmed that additional releases will continue from eight more storage sites before the end of March. Furthermore, authorities plan to release additional supplies from storage facilities in Nagasaki Prefecture and Kagoshima Prefecture in early April.

The government will supply crude oil worth approximately 540 billion yen (about $3.4 billion) to four major wholesale distributors, including ENEOS. Meanwhile, petrol prices in Japan recently reached a record level of 190.80 yen per litre. Therefore, the government continues to provide subsidies to reduce pressure on consumers.

By the end of 2025, Japan maintained strategic reserves equal to about 254 days of domestic consumption, totaling nearly 470 million barrels of oil. However, officials warned that supply shortages are also affecting naphtha, a key material used in producing plastics and synthetic fibers. Authorities continue monitoring the situation closely to maintain industrial stability.