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Morning Edition · Thursday, June 11, 2026

Japan Says July Oil Imports Will Return to Pre-War Levels

Tokyo expects crude shipments to recover even as the Gulf conflict continues, the result of years of supply diversification.

Japan Says July Oil Imports Will Return to Pre-War Levels

Japan expects its oil imports to return in July to the level seen before the Iran war, according to remarks by Prime Minister Takaichi reported by the Japan Times. The forecast points to a recovery in shipments even as fighting in the Gulf continues.

The resilience reflects a deliberate strategy. The newspaper noted that Japan once relied on the Middle East for more than 90 percent of its oil imports but has significantly diversified its supply chain in the years since, reducing its exposure to any single region or chokepoint.

That diversification matters now because the Strait of Hormuz is again contested. Iran says the strait is closed, a claim the United States denies, as Al Jazeera reported alongside Tehran's account of strikes on United States bases. For a large importer to project a return to normal volumes during an active conflict suggests it has built alternative sources and stockpiles that blunt the immediate shock.

What this means

Japan's confidence that imports will normalize is a signal that years of supply diversification can cushion a major economy against a Gulf disruption. It also tempers the worst-case oil scenario, since the largest Asian importers have more flexibility than they did during past crises.

What to watch

  • Whether July import volumes actually recover as the prime minister projected.
  • The size and drawdown of Japan's strategic oil reserves during the conflict.
  • How other major Asian importers adjust sourcing if Hormuz traffic is disrupted.

Observations to monitor, not financial advice.

2 sources

Synthesized from: The Japan Times · Al Jazeera