Japan Pledges $10 Billion to Secure Asia’s Supply Chains

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Tokyo: Japan has announced a $10 billion support package to help Southeast Asian countries maintain supply chains for essential goods, including medical supplies, amid rising global tensions.

Prime Minister Sanae Takaichi made the announcement during an online summit with leaders from countries such as Thailand, Vietnam, Malaysia, and Philippines.

The move aims to reduce the risk of supply disruptions caused by instability in the Middle East, particularly in energy markets. Japan is focusing on helping these countries secure crude oil from alternative sources and strengthen their energy reserves.

The support will include financial assistance, loans, and guarantees to help companies import oil from outside the Middle East, including from the United States. Japan will also invest in building storage facilities and promoting alternative energy sources such as liquefied natural gas and biofuels.

Officials say the initiative is crucial, as disruptions in Southeast Asia’s supply chains could directly impact Japan’s economy, especially industries that depend on petroleum-based products like medical equipment and plastics.