Saudi Arabia, UAE Push Japan to Expand 8 Million-Barrel Oil Stockpiles 10-Fold as Iran War Drags On
Updated
Updated · The New York Times · Aug 18
Saudi Arabia, UAE Push Japan to Expand 8 Million-Barrel Oil Stockpiles 10-Fold as Iran War Drags On
3 articles · Updated · The New York Times · Aug 18
Summary
Saudi Arabia and the UAE have asked Japan to raise the crude each stores there by as much as 10 times the roughly 8 million barrels now held by each country, according to people familiar with the talks.
The push reflects a longer Iran war and rising risks to Gulf export routes, including Houthi attacks in the Red Sea and a Strait of Hormuz that still shows little sign of reopening.
The two Gulf producers are also discussing larger stockpiles in South Korea, seeking to place more oil outside the Persian Gulf even though overland pipelines let them bypass Hormuz for limited exports.
Japan would gain a bigger supply buffer, but the volumes sought likely exceed available tank capacity and would squeeze space for domestic refiners and national reserves; talks continue over scale and cost-sharing.