Japan Faces 15 Million-Kiloliter Naphtha Crunch by June, Former Trading House Chief Warns
Updated
Updated · Bloomberg · May 25
Japan Faces 15 Million-Kiloliter Naphtha Crunch by June, Former Trading House Chief Warns
2 articles · Updated · Bloomberg · May 25
End-June is the likely point when Japan begins running short of naphtha-derived chemical products, according to Fumiya Kokubu, a former major trading house chief now at the Institute of Energy Economics, Japan.
Kokubu said replacing the 15 million kiloliters of naphtha Japan had sourced annually from the Middle East before the regional war began nearly three months ago would be “impossible.”
His warning clashes with the Japanese government’s assessment that supplies can last into next year, sharpening concern over the country’s petrochemical feedstock security.
The gap in views underscores how the Middle East conflict is testing Japan’s dependence on imported naphtha for downstream chemical production.
Is this crisis the final push for Japan to abandon its reliance on Middle East energy for good?
With conflicting reports on Japan's chemical supply, is a severe shortage imminent or is the crisis already under control?
As Middle East conflict cuts off a key chemical, can Japan innovate its way out with bioplastics before industries halt?