News On Japan

Second Oil Shipment Arrives in Japan After Passing Through Hormuz

TOKYO - A crude oil tanker operated by a subsidiary of ENEOS arrived at the ENEOS Kiire Terminal in Kagoshima at around 12:30 p.m. after successfully passing through the Strait of Hormuz, which remains effectively closed due to the worsening situation involving Iran.

The tanker, named ENEOS Endeavour, is the second vessel carrying crude oil from the Middle East to reach Japan after transiting the strategically important waterway, following the arrival of an Idemitsu Kosan-operated tanker.

The large crude carrier, operated by a subsidiary of major Japanese oil refiner ENEOS, transported approximately 2.15 million barrels of crude oil sourced from Kuwait and the United Arab Emirates. The shipment is equivalent to roughly 0.7 days of Japan's total crude oil consumption.

According to ENEOS, the ENEOS Endeavour had been stranded inside the Persian Gulf for more than two months before it was able to leave the region and navigate through the Strait of Hormuz.

The company said it strongly hopes that other vessels still remaining in the Gulf will be able to pass through the strait safely as soon as possible.

The arrival of the tanker provides a modest boost to Japan's energy supplies at a time when concerns continue to grow over the security of oil shipments from the Middle East, a region that accounts for the majority of Japan's crude oil imports.

Source: テレ東BIZ

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MORE Oil Crisis NEWS

A crude oil tanker operated by a subsidiary of ENEOS arrived at the ENEOS Kiire Terminal in Kagoshima at around 12:30 p.m. after successfully passing through the Strait of Hormuz, which remains effectively closed due to the worsening situation involving Iran.

Prime Minister Sanae Takaichi announced on June 2nd that the government will significantly strengthen supplies of paint thinner and other chemical products by allowing raw materials to be supplied directly from petroleum refiners, a measure expected to support supply capacity equivalent to 1.8 times normal annual demand as Japan continues to monitor the impact of tensions in the Middle East on domestic supply chains.

Food price increases in Japan are accelerating, with the number of products subject to higher prices this year potentially reaching 20,000 items as rising costs linked to tensions in the Middle East spread through supply chains and place additional pressure on household budgets.

Mr. Akazawa Ryosei, Minister of Economy, Trade and Industry (METI), said after a Cabinet meeting on June 2nd that Japan expects to secure the crude oil it needs in June through alternative procurement and previously approved reserve releases, without deciding on a third round of state oil reserve releases in May, while also stressing that naphtha supply is expected to remain at levels close to a normal year.

A black-and-white version of Calbee's popular Kappa Ebisen snack has appeared on supermarket shelves in Tokyo as concerns over the supply of printing materials linked to Middle East tensions ripple through Japan's food industry, while more than 1,000 food products are set to become more expensive in June.

As Japan grapples with rising energy costs linked to the prolonged crisis in the Middle East, the government is urging businesses and households to improve energy efficiency, placing renewed attention on a futuristic manufacturing model known as the "dark factory."

Shortages of thinners, paints, adhesive tapes and other petroleum-derived products are continuing to spread across Japan, raising questions about whether supply disruptions can still be explained solely by distribution bottlenecks.

Concerns over instability in the Middle East show little sign of easing, and the effects are increasingly being felt in everyday life across Japan. Supply chain disruptions linked to petroleum-based materials are now affecting everything from household goods to public infrastructure projects.