Can Japan’s US$10b energy shield oust China’s influence in Southeast Asia?
Pledge is a bid to ‘embed Japan at the centre of Southeast Asia’s energy security architecture’, observer notes, but questions its impact
However, one observer argued that the move’s impact might be limited, given Japan’s inability to alter the ground realities in the Middle East and Southeast Asian countries’ instinct for strategic hedging over picking sides.
The announcement came at a Japan-led Asia Zero-Emission Community online forum attended by the leaders of Thailand, Vietnam, the Philippines and Malaysia, among others.
Takaichi said the support would cover the equivalent of 1.2 billion barrels of oil, matching about a full year of total crude imports by the Association of Southeast Asian Nations.
Crude prices have surged again after failed US-Iran talks to reopen the Strait of Hormuz, a situation worsened by the US naval blockade of Iranian ports.