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Manila Bulletin devider devider Japan to halt Iran oil imports under US pressure: reports

Japan to halt Iran oil imports under US pressure: reports

Published Sep 3, 2018 11:20 am
By Agence France-Presse Japan's major oil wholesalers are preparing to suspend crude oil imports from Iran in October, amid fears Washington will sanction countries importing Iranian crude, local media reported. A second phase of sanctions targeting Iran's crucial oil industry and banking sector will be reinstated on November 5. (AFP/File / ATTA KENARE / MANILA BULLETIN) A second phase of sanctions targeting Iran's crucial oil industry and banking sector will be reinstated on November 5. (AFP/File / ATTA KENARE / MANILA BULLETIN) US President Donald Trump in May pulled out of a 2015 nuclear deal with Iran and last month began reimposing sanctions that block other countries from trading with Iran. A second phase of sanctions targeting Iran's crucial oil industry and banking sector will be reinstated on November 5. Japan has been seeking a waiver that would allow it to continue importing Iranian oil, but it appears unlikely to win one, Jiji Press agency and other local media reported in recent days. As a result, Japanese oil companies are preparing to halt imports of Iranian crude and researching ways to increase imports from elsewhere to make up the shortfall, the reports said. A trade ministry official on Monday confirmed Japan had raised the issue of a waiver in talks with the US but declined to comment further. Oil importers declined to confirm they were contingency planning for a halt in Iranian imports. "We've been saying we will observe a government decision (on Iranian oil imports), but we can't comment further as we don't disclose information on individual trades," a spokeswoman for wholesaler Showa Shell Sekiyu told AFP on Monday. Wholesaler JXTG also declined to confirm the report. Resource-pour Japan relies heavily on imports of oil from the Middle East, though crude from Iran accounted for just 5.3 percent of the country's total imports last year.
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