The global energy landscape has been thrown into turmoil following the US-Israeli attack on Iran in February 2026, which led to a de facto blockade of the Strait of Hormuz. For Japan, this event has evolved from a temporary disruption into a full-scale structural crisis, exposing the country's precarious reliance on Middle Eastern energy supplies.
A Critical Vulnerability Exposed
Japan's dependency on the Middle East is stark, with approximately 94% of its crude oil sourced from the region. More critically, 90% of these imports transit through the Hormuz Strait. The impact of the blockade became evident in March 2026, when crude oil imports plummeted by 17% year-on-year, marking the lowest level since 1989. The decline was most severe for imports from Qatar, which dropped by 81%, followed by Kuwait at 64% and the UAE at 22%.
Industrial Ripples and Chemical Shortages
The crisis extends far beyond fueling vehicles. The shortage of naphtha—a crucial crude oil derivative used in the production of plastics, chemicals, and synthetic fibers—has created a bottleneck in Japanese manufacturing. With over 80% of domestic naphtha typically sourced from the Middle East, ethylene production facilities have been forced to scale back output.
The ripple effects have reached specialized industries as well. Shortages of toluene and xylene, essential components for thinners, have forced companies like Nippon Paint to adjust their shipments. Industry officials report that procurement teams are working tirelessly, yet supply remains insufficient to meet demand.
Impact on Primary Industries
The agricultural and fishing sectors are bearing the brunt of rising costs. Daily fuel expenses for fishing vessels have surged by over 15,000 yen. This financial strain became so acute that whitebait fishing at the Oi River port in Shizuoka was suspended during the peak Golden Week season, as operations became unprofitable.
Similarly, rice farmers are struggling under a "triple-high" burden: escalating costs for fuel, logistics, and materials. This has led some producers to consider reducing their acreage or ceasing production entirely.
Lessons Unlearned
While national reserves, which cover over 200 days of consumption, initially provided a buffer, inventories fell to record lows by March 2026. Analysts suggest that Japan has failed to resolve the issues of supplier diversification and Middle East dependency that first surfaced during the 1973 oil crisis. Experts warn that even if hostilities cease, returning the Middle Eastern energy situation to the conditions seen before February 28 will be extremely difficult.
Reference(s):
cgtn.com
