Japan’s Crude Oil Imports Drop 65 Pct in April

Tokyo, May 29 (Jiji Press)–Japan’s crude oil imports in April plunged 65.7 pct from a year earlier to 4.07 million kiloliters, the lowest level since such data were first released in 1989, the trade ministry said in a preliminary report Friday. The tumble reflected the de facto blockade of the Strait of Hormuz, a major global oil chokepoint, amid Middle East tensions. Imports from Saudi Arabia, the biggest crude oil supplier for Japan, dropped 57.7 pct, and those from the United Arab Emirates, the second-biggest provider, dived 69.4 pct. Imports from the United States, an alternative supplier standing in for Middle East countries, dropped 32.6 pct, ahead of the full-fledged start of shipments to Japan this month. Meanwhile, Japan’s imports of naphtha, which is refined from crude oil, plummeted 43.7 pct, while production in the country fell 22.8 pct. Naphtha sales in Japan declined 35.6 pct. The Japanese government plans to make up for the drop in crude oil imports by releasing some of its oil reserves. It has said that the country is expected to secure crude oil imports equivalent to 60 pct of the year-before levels in May and 80 pct in June, thanks to increases in imports from alternative sources. END [Copyright The Jiji Press, Ltd.]