Japan asks wholesalers to shift from Dubai to Brent pricing to curb fuel costs

Japan

TOKYO, March 27, 2026 – Japan’s Ministry of Economy, Trade and Industry has asked domestic wholesalers to use Brent crude oil pricing instead Dubai as a benchmark for setting gasoline prices to curb increases, Reuters reported on Friday.

The move adds to other steps taken by the Japanese government recently to address oil supply shortages, including releases from private and national oil reserves, and tapping stockpiles jointly held with producing countries.

Dubai crude reached an all-time high of USD 170 last week, making Middle East oil the most expensive globally. Japan depends on the Middle East for more than 90% of its oil, and Japanese companies have been buying oil at an average price of USD 140-200, according to the ministry. In contrast, Brent oil futures are trading at around USD 100 per barrel.

Documents seen by Reuters showed that India, Indonesia and Vietnam have approached Japan for support in the wake of crude oil supply disruptions caused by the US-Iran war. Vietnam has requested crude for the Nhi Son Refinery, a joint venture between Petrovietnam, Kuwait Petroleum Europe and Japan’s Idemitsu Kosan and Mitsui Chemical.

The ministry declined to comment, as did two of Japan’s top refiners and wholesalers contacted by Reuters, namely, Eneos Holdings and Cosmos Energy Holdings. Reuters noted that, although this sort of ministerial guidance is not legally binding, companies typically comply.

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