RTTN:Japan To Buy Less Iranian Oil, Azumi Tells Geithner After Tokyo Meeting
(RTTNews) - Japan will take "concrete steps" to reduce further its oil dependency on Iran, Finance Minister Jun Azumi said after a meeting with his U.S. counterpart Timothy Geithner on Thursday.
Japan will reduce its imports of Iranian crude oil "as soon as possible and in a planned and measured manner" in line with U.S. sanctions on Iran over its nuclear development program, Azumi told a joint press conference with Geithner in Tokyo.
He said "in the past five years, we have reduced... the amount of oil imported (from Iran)," and added that "we wish to take planned and concrete steps to further reduce this share, which now stands at 10 percent."
Geithner welcomed the announcement, and said that Japan was a "vital security and economic ally" for the United States, and that the two governments would work closely together on the Iran issue.
He said Washington was "working very closely with Europe and Japan and allies around the world to substantially increase the amount of pressure we bring on Iran,"
He appreciated Tokyo for the support it provided to Washington and the international community for "this very important strategic objective."
Geithner arrived in the Japanese capital late on Wednesday after visiting China, which buys almost a third of Iran's oil exports and has rejected what it calls U.S. unilateral action against Tehran in the past. His East Asia tour comes amid international tension as Iran had begun enriching uranium to a higher grade than is needed for power generation.
In a Security Council meeting on Wednesday, major global powers, including Russia and China, expressed their concern over the Iranian decision to begin uranium enrichment work at its newly constructed underground Fordo nuclear plant located near the holy city of Qom.
Being the second biggest customer for Iranian oil, Japan would be in trouble if it withdrew from Iranian oil market at a time it is using increasing amounts of oil-fired thermal power to generate electricity.
All but six of its 54 nuclear reactors are closed after the Fukushima Daiichi nuclear power station breakdown raised fear of radiation.
The Japanese government has reportedly indicated to Arab countries in the Persian Gulf the need to increase supply to make up any shortfall.
Japan, however, hopes the United States will exempt its banks from the sanctions in exchange for significantly reducing its crude oil imports from Iran, under a provision of a relevant U.S. law, Kyodo reported before the talks, citing unnamed government officials.
