Idemitsu Kosan Co, a Japanese oil refiner, will supply approximately 4 million barrels of crude oil to Vietnam at the request of the Japanese government, according to sources familiar with the matter [1]. This move comes as Vietnam, which is a significant exporter of petroleum-derived industrial parts to Japan, faces disruptions in its oil procurement due to the Strait of Hormuz being largely blocked following U.S.-Israeli attacks on Iran [1]. Like other Southeast Asian countries, Vietnam relies heavily on the Middle East for its energy supplies [1].
The Japanese government's request for Idemitsu's supply was made in advance of Prime Minister Sanae Takaichi's planned visit to Vietnam in early May, where discussions are expected to focus on stable energy supplies and strengthening supply chains between the two countries [1]. To fulfill the supply, Idemitsu procured the crude oil from the Middle East but utilized routes that did not pass through the Strait of Hormuz, thereby circumventing the current blockade [1].
Additionally, it was noted that in March, the Philippine government procured 142,000 barrels of diesel fuel from Japan, highlighting Japan's role in supporting regional energy needs amid ongoing supply disruptions [1].
CONCLUSION
Idemitsu Kosan's supply of 4 million barrels of crude oil to Vietnam demonstrates Japan's proactive approach to supporting regional energy stability amid disruptions in the Strait of Hormuz. The move is expected to reinforce energy cooperation between Japan and Vietnam, with further discussions anticipated during Prime Minister Takaichi's upcoming visit.