Japan should keep focus on cheap Mideast oil, local refiner says
The comments from Taiyo Oil's CEO push back against a government drive to diversify crude sourcing triggered by the U.S.-Iran war.
Taiyo Oil, a local Japanese refiner, has stated that the country should continue relying heavily on Middle Eastern oil due to its cost-effectiveness, despite the government's push to diversify energy sources. CEO Takahiro Yamamoto expressed concern over the excessive diversification efforts, which he believes impose significant costs during peacetime.
He argued that Japan should focus on obtaining crude at the lowest possible cost while retaining the ability to secure alternative supplies in case of a crisis. The Middle East currently provides over 90% of Japan's crude, a level Yamamoto deems appropriate, given the region's critical role in global oil supply. The shift towards diversification is aimed at bolstering energy security, but Yamamoto emphasized that excessive reliance on the Middle East could prove problematic during conflicts, as witnessed during the ongoing U.S.-Iran war.
Written by urgent.news from Japan Times's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
