Bloomberg Anywhere Bloomberg Professional About Bloomberg


Japan Oil Imports Fall 17% as Recession Damps Demand (Update1)

By Megumi Yamanaka

Dec. 22 (Bloomberg) -- Japan’s crude oil imports fell for the first time in three months as exports plunged to a record in November, cutting consumption by the world’s third-biggest user.

Japan imported 17.7 million kiloliters, or about 3.71 million barrels, a day of crude last month, down 17 percent from a year earlier, the finance ministry said in a preliminary report released in Tokyo today. Imports of liquefied natural gas decreased 5.9 percent to 5.24 million metric tons.

Japan’s total exports fell 26.7 percent in the month, the finance ministry said, marking the sharpest decline since data were made available in 1980. Stagnant demand has forced Nippon Oil Corp., the country’s largest refiner, and other local oil companies to slash output. Utilities cut generation for a fourth month in November as the recession reduced electricity use.

Japan’s oil import bill totaled 805 billion yen ($8.99 billion) in November, according to the report, a 35 percent decrease from a year earlier. Imports of coal fell 4.2 percent to 15.2 million tons last month.

The trade ministry forecasts Japan’s demand for all refined oil products will decline by an average of 2.9 percent in the next five years through March 2013.

LNG is natural gas that’s been chilled to liquid form for transportation by ship. Heavy fuel oil is burned at thermal power generators in Japan, and also is the fuel for boilers at factories.

To contact the reporter on this story: Megumi Yamanaka in Tokyo at myamanaka@bloomberg.net.

Last Updated: December 21, 2008 20:19 EST

Sponsored links