Japan, UAE reach deal on oil supply bypassing Hormuz

The Japanese government has reached a new agreement with the United Arab Emirates (UAE) to secure additional oil supplies that bypass the Strait of Hormuz, a critical maritime chokepoint.

According to the Operative Information Center-OMM, citing a report by the Nikkei newspaper, the deal involves the transportation of 20 million barrels of oil. The cargo will be delivered via pipeline to the Port of Fujairah, located on the Gulf of Oman, which connects directly to the UAE's oil fields. Japanese Minister of Economy, Trade, and Industry Ryosei Akazawa previously noted that both the UAE and Saudi Arabia are expanding alternative export routes to reduce global dependence on the Strait of Hormuz.

This strategic move comes amid heightened geopolitical tensions in the Middle East, which have historically threatened energy security in the region. The Port of Fujairah has previously been targeted by drone attacks, underscoring the necessity for regional stability to ensure the safe transit of fuel. For Japan, which relies heavily on Middle Eastern crude, diversifying delivery routes is a vital component of its national energy policy, especially as global markets react to shifting dynamics involving major regional powers and the United States. Under the administration of US President Donald Trump, regional energy security remains a focal point of international diplomatic and economic discussions.