Speaking in Canberra after talks with Australian Prime Minister Anthony Albanese, Takaichi said both countries would act with urgency to strengthen energy security amid a supply squeeze linked to reduced shipping through the strait.

Roughly one-fifth of the world’s oil typically transits through the Strait of Hormuz, with flows curtailed after Iran throttled shipping following attacks by the United States and Israel. About 80 percent of that oil is destined for Asia, according to the International Energy Agency.

“The effective closure of the Strait of Hormuz has been inflicting enormous impact on the Indo-Pacific,” Takaichi told reporters, adding that Japan and Australia would maintain close communication to respond to the situation.

Both governments said they would seek to enhance resilience and autonomy in energy supply chains. Australia is Japan’s largest supplier of liquefied natural gas, while Japan provides a share of refined fuel products, including diesel, to Australia.

The two sides issued a series of agreements covering energy, economic cooperation, defense and critical minerals. Albanese said the measures would help shield Australia from “global shocks” stemming from conflict in the Middle East.

Japan has also emphasized the importance of securing stable supplies of critical minerals used in semiconductors, electric vehicle batteries and defense systems. Australia has positioned itself as a key supplier of such resources, highlighting its reserves as an alternative to concentrated global supply chains.

Defense cooperation has expanded alongside economic ties, including a deal valued at around Aus$10 billion for Japan to supply Mogami-class stealth warships to the Australian navy.

In a separate foreign policy address in Vietnam over the weekend, Takaichi reiterated Japan’s commitment to a “free and open Indo-Pacific,” a strategy aimed at strengthening regional security and supply chain resilience.
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