Japan Backs Oil Pipelines Bypassing Hormuz

Japan will support projects for the construction of oil pipelines bypassing the Strait of Hormuz.

Consensus

Japan is supporting projects to build oil pipelines bypassing the Strait of Hormuz.
The initiative is part of a new energy strategy aimed at improving energy security.
Japan depends heavily on oil imports from the Middle East, with over 90% of its crude oil coming through the Strait of Hormuz before the conflict.
The Japanese government plans to diversify oil supply sources and provide financial support for transportation and risk financing.
The Japan Organization for Metals and Energy Security (JOGMEC) will be expanded to support these projects.
Japan is also considering increasing strategic oil reserves and insuring maritime shipments.

The new strategy aims to address the fundamental change in energy conditions following the conflict between the US and Iran, which exposed Japan's vulnerability. — vedomosti
Iran and Oman agreed on August 25 to resume safe navigation through the Strait of Hormuz and are discussing a temporary joint shipping corridor with plans for a permanent one. — vedomosti
In 2025, 93% of Japan's imported crude oil will come through the Strait of Hormuz. — interfax
Japan is exploring energy imports from the US, Algeria, and Peru, and considering ports in the UAE (Fujairah) and Saudi Arabia (Yanbu) as alternative supply points. — interfax