Refineries will stop buying oil after fulfilling current contracts.
Japan's largest oil refineries, Eneos and Idemitsu, will stop buying Russian oil in response to Russia's invasion of Ukraine, Reuters reports, citing Eneos and the Japan Times. The decision will take effect after the execution of current contracts.
It is noted that the Eneos plant will continue to receive supplies of Russian oil until about April on the basis of contracts signed before the Russian invasion of Ukraine on February 24, without problems with financial calculations and shipment.
“No contracts have been signed since the invasion, and we do not plan to import Russian oil yet,” Eneos chief Tsutomu Sugimori said .
According to him, Eneos can replace Russian oil with raw materials from the Middle East.
According to S&P Global, in 2021 the region accounted for 92% of all crude oil supplies to Japan, while Russia accounted for 4%.
Idemitsu said the suspension of Russian oil purchases was due to the company's concerns about payment and logistics disruptions.
Read also: EU promises to stop helping Russia finance war, but buys oil and gas – MEP
Earlier, the United States imposed a total ban on the purchase of Russian oil, petroleum products, gas and coal. Canada and Australia have banned Russian oil imports, and Britain has vowed to end purchases of oil and oil products in Russia by the end of the year. In turn, the EU and Germany refused to certify Nord Stream 2. The EU and the US have banned the export of refining technology and equipment in addition to previous bans, which only affected production.
Read more about sanctions against Russia and their consequences for the aggressor country at the link.
