Middle East crude oil to be rerouted via Suez Canal as METI adopts safety measure
CommodityGeopolitics
The Ministry of Economy, Trade and Industry said on the 25th that it will change the procurement route for Middle East crude oil to one that passes around the Cape of Good Hope and transits the Suez Canal. It will take about 55 days to reach Japan, longer than the previous route, but the ministry chose a safer sea lane because tensions in the Middle East continue. It will forgo additional reserve releases in September and October, and because arrivals in Japan will be delayed by about 30 days due to the route change, it will use the reserve release already decided for September and cover the full required volume in October via routes other than the Strait of Hormuz. Economy, Trade and Industry Minister Ryoji Akazawa stressed at a press conference after a cabinet meeting on the 25th that there is no problem with procurement and that the necessary volume for Japan as a whole is being secured.
