Japan's Oil Crisis Eases, But the Import Bill Keeps Climbing

Source Summary

Japan's oil crisis has eased as the country diversified crude oil purchases and released stocks from strategic reserves, reducing dependence on Middle Eastern supplies that previously accounted for 90% of imports. However, the cost of sourcing crude from distant suppliers to offset losses from the Strait of Hormuz remains high, with soaring import bills pressuring industrial and economic activity. A June survey by Teikoku Databank Ltd found that as many as 90% of Japanese companies reported being affected.