Japan prepares to pay for oil’s long way round

AI Summary

Japan plans to subsidize the extra cost of importing oil from routes that avoid the increasingly dangerous Strait of Hormuz. Cabinet-approved measures include diversifying energy imports, supporting tanker insurance, and financing alternative oil-transport infrastructure.

Japan is preparing to subsidise the additional cost of importing oil from suppliers outside the Strait of Hormuz, in a significant government intervention aimed at reducing the country’s dependence on the increasingly dangerous waterway. The Japanese cabinet approved three bills yesterday designed to diversify energy imports, support tanker insurance and finance alternative oil transport infrastructure. …