Japan Seeks Diversified Oil Supply Amid Middle East Uncertainty

Japan is considering permanent alternatives to boost crude oil and naphtha imports from the Middle East, according to recent reports.

The country's largest refiner Eneos Holdings is targeting a 90% refinery utilization rate by fiscal year 2027, after run rates recovered to 84% in the current fiscal year. This goal may be linked to Japan's efforts to diversify its oil supply routes.

Japan has cut its economic growth forecast for the current fiscal year due to higher crude prices and a weaker yen, which raises concerns about its energy security.