JAKARTA - Japanese Prime Minister Sanae Takaichi said the government is trying to find alternative suppliers of raw materials and energy sources amid the crisis in the Strait of Hormuz due to the conflict in Iran.
He also expressed readiness to implement additional measures flexibly to support the community and the national economy if the price increase lasts for a long time.
"We are working with ministers to secure alternative supply sources for goods that may not be available," Takaichi said at a meeting of the budget committee of the Japanese upper house of parliament, Tuesday, March 17, reported by ANTARA from Sputnik.
Takaichi said the government was considering various scenarios given the uncertain situation in the Middle East.
"If the crisis continues, we will take flexible steps to ensure that the welfare of the community is maintained," he said.
The Japanese government has decided to use the remaining reserve funds to maintain fuel prices, while subsidies will take effect on March 19.
The government has also started releasing oil reserves.
In a parliamentary debate, the opposition warned that a prolonged crisis in the Middle East could disrupt oil supplies as well as essential raw materials for the chemical, fertilizer and semiconductor industries.
Takaichi acknowledged that rising oil prices could have an impact on the agricultural sector, including pushing up fertilizer prices.
"The government will monitor the development of prices and take additional steps to support producers and protect consumers," he said.
On February 28, the US and Israel launched an attack on targets in Iran, including in Tehran, which caused damage and killed civilians.
Iran retaliated by attacking Israeli territory and US military facilities across the Middle East.
Escalation in the region led to a de facto blockade of the Strait of Hormuz, the main route for shipping oil and liquefied natural gas from Persian Gulf countries to global markets.
The disruption also impacted oil exports and production in the region.
The English, Chinese, Japanese, Arabic, and French versions are automatically generated by the AI. So there may still be inaccuracies in translating, please always see Indonesian as our main language. (system supported by DigitalSiber.id)
