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Japan and Australia Set Joint Economic‑Security Declaration on Two‑Way Energy Supply

The move reflects rising oil‑route risks alongside pressure to cut reliance on China.

Overview

  • Meeting in Canberra on Monday, Prime Minister Sanae Takaichi and Prime Minister Anthony Albanese confirmed two‑way energy supply and set a joint economic‑security declaration that adds intelligence cooperation and work on critical minerals.
  • Japan relies on Australia for about 70% of coal, 40% of liquefied natural gas, and 60% of iron ore, while Australia imports much of its jet fuel and diesel, which explains the push for reciprocal supply.
  • Japan moved to implement its April defense export rule change as Defense Minister Shinjiro Koizumi met his Philippine counterpart in Manila on Tuesday to start talks on a framework for transferring used escort ships.
  • Two U.S. Navy destroyers that transited the Strait of Hormuz were targeted by Iranian attacks with no damage, according to U.S. reports on Monday, which highlights risks to oil shipping routes.
  • Chinese authorities said Tuesday that a fireworks factory blast in Liuyang killed 26 people and injured 61, detained company leaders, and ordered similar plants in the city to halt operations.