Eneos Shifts Strategy to Reduce Reliance on Middle East Oil

The recent closure of the Strait of Hormuz during the Iran conflict forced Japan to tap into strategic reserves and scramble for alternative sources. While Eneos has stabilized its procurement through September, the disruption has fundamentally altered the industry's risk assessment. According to Tanaka, the company is preparing to enter formal discussions with the Japanese government to shift procurement strategies away from the Middle East.

This pivot follows record-low import figures from the region, which reached their lowest point since 1979 this past April. To fill the gap, refiners have increasingly turned to crude shipments from the United States, Azerbaijan, and Latin America. While these alternative sources provide a necessary buffer, Tanaka emphasized the difficulty of maintaining a balance between national security and the commercial realities of refining economics.