Japan will not instantly refuse to import Russian oil, asserts Economy Min Hagiuda

Japanese Economy, Trade and Industry Minister Koichi Hagiuda, who is currently on a visit to the United States on Thursday has claimed that Tokyo has no plans to refuse Russian oil imports as the country is reliant on Kremlin oil. As per the reports of Kyodo News, Hagiuda stated that joining other countries that are denying Russian oil would be tough for Japan. For the fiscal year concluding in March, Russia accounted for 4% of Japan's total oil imports. Natural gas imports from Moscow accounted for 9% of Tokyo's total imports, while coal imports from Russia accounted for 11%. The Minister further stated that given Japan's resource constraints, it would be difficult for them to keep up with other countries right away.

Hagiuda met with US Energy Secretary Jennifer Granholm and requested that Washington increase LNG output to help Japan lessen its reliance on Russian energy. In a separate meeting with US Secretary of Commerce Gina Raimondo, the duo agreed on core principles for semiconductor cooperation, with the goal of diversifying chip-making capacity, increasing transparency, responding to shortages quickly, and investing in R&D, according to CNA.

The Minister stated that Japan would provide public finance to assist Japanese enterprises in pursuing LNG projects in the United States in a bid to create the groundwork for future investment. Given the ongoing conflict in Ukraine, the two sides also agreed to develop initiatives to address sustainable energy technology and energy security on a regular basis. He further said that coordination with like-minded countries is becoming increasingly crucial as the world destabilizes as a result of the Ukraine war.

EU sixth package of sanctions

The European Union revealed the sixth package of anti-Russian sanctions on Wednesday, which proposes a withdrawal of Russian oil. European news outlets suggest that the European Commission has recommended that EU members refuse to import Russian crude oil and oil products in the next six months and in 2023. In the meanwhile, POTUS Joe Biden said that he would meet with other leaders of the Group of Seven (G7) major countries this week to consider additional sanctions against Russia, which might put pressure on Japan to support an embargo on Russian oil imports.

Image: AP/ @hagiuda_ko_1/Instagram