According to informed sources, as conflict in Iran leads to tightening energy supplies, the Japanese government is considering a further release of oil reserves equivalent to 20 days of national demand. Conflict in the Middle East has effectively blocked the crucial Strait of Hormuz, cutting off energy supplies to the global market. Since Japan typically imports about 90% of its crude oil from the Persian Gulf, the country is now compelled to seek alternative sources, including U.S. oil, to cover the shortfall. Last month, Japan began releasing oil from its national reserves as part of a coordinated action by the International Energy Agency (IEA) aimed at curbing war-induced spikes in oil prices. The IEA has agreed to a record release of 400 million barrels of crude from emergency stockpiles.
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