Japan Maintains Russian Energy Imports Despite Sanctions

Japan’s Ministry of Economy, Trade, and Industry has reaffirmed the country’s commitment to securing energy supplies from Russia, emphasizing the significance of crude oil and natural gas imports for Japan’s energy security. In a statement provided to Reuters, the ministry highlighted the ongoing importance of the Sakhalin-1 oil and gas project located in Russia’s Far East, stating, “Securing energy from overseas, including the Sakhalin Project, is extremely important for Japan’s energy security.”

The ministry’s comments came in response to inquiries regarding recent sanctions imposed by the United States on Rosneft, Russia’s largest oil producer and a key stakeholder in the Sakhalin-1 project. Japan holds a 30% stake in Sakhalin-1, which was previously operated by ExxonMobil before the company exited the Russian market in 2022. In addition to Rosneft, ONGC Videsh of India also holds a 20% share in the project.

The Japanese government has faced pressure to reduce its reliance on Russian energy sources, particularly following the onset of sanctions after Russia’s invasion of Ukraine. Despite this, Japanese officials have consistently maintained that completely divesting from Russian energy would prove challenging, given the country’s significant dependence on foreign energy commodities.

Continued Dependence on Russian Energy

Japan imports liquefied natural gas (LNG) from the Sakhalin-2 project, which accounts for approximately 9% of the nation’s total LNG imports. The utility company JERA is responsible for these imports, with contracts set to expire in 2026 and 2029. The government has been granted exemptions from sanctions due to the overwhelming necessity of maintaining a stable energy supply, underscoring the delicate balance Japan must navigate in its energy policy.

In a notable response to former U.S. President Donald Trump‘s suggestion that Japan halt its purchases of Russian energy, the economy minister reiterated that the country has been “steadily reducing its dependence on Russian energy.” This statement reflects Japan’s ongoing efforts to diversify its energy sources while simultaneously recognizing the vital role that Russian oil and gas continue to play in its energy framework.

With the geopolitical landscape evolving, Japan’s approach to energy imports from Russia remains a critical aspect of its economic strategy. As the country seeks to ensure a stable energy supply, the implications of ongoing sanctions and international relations will likely continue to influence its energy decisions moving forward.