Japanese refiners prepare to keep products supply steady amid talk of Tokyo lockdown

Tokyo — Japanese refiners are preparing to maintain their supply of oil products and refining operations even if Tokyo imposes a citywide lockdown to combat a spike in coronavirus cases, company and industry officials said Friday.

The Japanese refiners' readiness to ensure their stable oil products supply came to light after recent remarks by Tokyo Governor Yuriko Koike about a possibility of imposing tough quarantine measures, including a lockdown, amid a sharp rise in COVID-19 cases in Tokyo.

Although it remains unclear how exactly the lockdown could be enforced, Japan's top two refiners, JXTG Nippon Oil & Energy and Idemitsu Kosan, both said they were ready to ensure their oil products supply remained stable, and had business continuity plans in place. Refiners are considered an essential service in Japan and would likely be required to continue operating during a lockdown.

"Members of the Petroleum Association of Japan are undertaking rigorous preventive measures for refinery operators not to be infected [by COVID-19]," PAJ President Takashi Tsukioka said at a press conference on March 19. "We are making sure to have various measures in order to continue operations [at refineries] even in the event of having [operators] infected," he added.

Japanese refiners have been working closely with the Ministry of Economy, Trade and Industry to ensure stable oil products supply by strengthening their facilities and networks in the wake of the devastating March 2011 earthquake and subsequent oil product supply disruptions.

INDIA LOCKDOWN

The Japanese refining sector's preparedness for the possible lockdown of Tokyo comes as India imposed a 21-day nationwide lockdown on Wednesday to curb the spread of COVID-19.

Indian Prime Minister Narendra Modi in a televised address Tuesday warned that radical measures were required to combat the virus' spread in India, the world's second most populous nation with more than 1.3 billion people.

Ports including Krishnapatnam, Dhamra, Mundra, Tuna, Gopalpur, Karaikal and Gangavaram have declared force majeure due to the lockdown, S&P Global Platts reported earlier.