Japan is planing to spend up to $19bn and draining ~25% of strategic oil reserves to support domestic energy consumers.
To stop this economically cazy negative-sum subsidy race, net-importers should coordinate demand reduction targets.
(@hudsonlockett.bsky.social the 8.8 kiloliter sounds wrong)
From Breakingviews - Breakingviews - Japan’s Takaichi is her own worst energy enemy reut.rs/49rRAew
The PM’s $19 bln subsidy plan to fight rising oil costs follows a campaign vow to tame inflation. It’s also a fiscally unsustainable anachronism blunting pain to the wallet that could boost her case to relaunch nuclear power. A pivot now can save a lot of trouble down the line.
