U.S. Calls on Japan to Consider Halting Imports from Iran

June 27, 2018

Tokyo- The administration of U.S. President Donald Trump has called on Japan's government and Japanese companies to consider stopping imports of crude oil and other products from Iran.

The U.S. government, which has announced its plan to reinstate sanctions on Tehran following Trump's recent decision to pull his country out of the historic 2015 nuclear deal between Iran and six world powers, has also asked other allies, including the European Union, to halt imports of Iranian products.

At a meeting in Tokyo on June 19, senior U.S. officials, including from the Department of State, explained to the Japanese side Washington's plan to include suspension of crude oil imports in the sanctions package and sought Tokyo's cooperation, sources familiar with the matter said.

Japan is expected to consider the request carefully and try to seek a middle ground while telling the U.S. side that Iranian crude oil is important for its energy procurement, according to the sources. Last year, Iranian oil accounted for about 5 pct of Japan's overall crude oil imports.

The Japanese and U.S. governments, and related companies exchanged opinions, Japanese Minister of Economy, Trade and Industry Hiroshige Seko said at a press conference on Tuesday. While refraining from going into details "for diplomatic reasons," Seko said, "We will carefully examine the impact of the sanctions and hold talks with nations concerned so that our country's stable energy supply is not affected."

Later on Tuesday, a high-ranking U.S. Department of State official told reporters in Washington that the U.S. government plans to ask countries to stop imports of Iranian oil from Nov. 4.

Japan is seen joining the sanctions, the official indicated, noting that Japan's response to the U.S. request will unlikely be much different from those from other oil-importing countries.

At new bilateral trade talks, set to kick off next month, Tokyo plans to ask for Washington's understanding for its measures to help reduce the huge U.S. trade deficit with Japan, such as expanding imports of liquefied natural gas from the United States.

If the United States find Japan's imports of crude oil and other items from Iran problematic, the matter could become a hurdle in the trade talks, informed sources said. Jiji Press