Japan Commences Record Release of Strategic Oil Reserves to Stabilize Global Markets Amid Middle East Conflict

Japan starts releasing 15 days' worth of oil reserves as part of a record IEA effort to stabilize global prices following conflict in the Middle East.

By: AXL Media

Published: Mar 16, 2026, 5:07 AM EDT

Source: The information in this article was sourced from CNA

Coordinated Response to Global Energy Volatility

Japan has initiated the drawdown of its strategic oil reserves following a landmark agreement by International Energy Agency (IEA) member states on March 11. This global intervention, the largest of its kind in history, aims to provide a substantial buffer against the price spikes and supply disruptions caused by the escalating war in the Middle East. According to the IEA, Asia and Oceania are the first regions to execute this release, with individual implementation plans submitted to ensure immediate market availability.

Utilizing Private-Sector Stockpiles First

The Japanese government issued an official notice in its gazette on Monday, March 16, compelling reserve managers to lower current stockpile levels to meet new regulatory standards. Minoru Kihara, the government’s top spokesman, confirmed that the initial phase will focus on releasing 15 days' worth of petroleum reserves currently held by the private sector. This strategy, as outlined by Ryosei Akazawa, the Minister of Economy, Trade, and Industry, prioritizes private holdings before tapping into the primary national government stockpiles.

Japan’s Vulnerability and Reserve Capacity

Japan’s reliance on the Middle East for 95% of its crude oil imports makes the current conflict a direct threat to its national security. To counter this, the country maintains one of the world's most robust strategic reserves. As of December, Japan held over 400 million barrels of oil—equivalent to 254 days of domestic consumption. The current release is a calculated portion of this massive inventory, designed to cool the domestic market without compromising the country's long-term emergency readiness.